The deal surpasses what was negotiated in 2018. It is the first life-of-field benefits agreement ever signed for an offshore oil and gas project in the province — commitments that run for the entirety of the project’s productive life, not just the construction years.

The Business Opportunity: A Province-Wide Supply Chain

Bay du Nord represents the largest supply chain opportunity for Newfoundland and Labrador since Hebron, and its local content commitments go further than any previous offshore project. Here is a breakdown of opportunities by sector.

How to Participate: The Procurement Process

In the uncharted territories of innovative tech, the oil and gas exploration sector of Equinor is charting new frontiers with an arsenal of cutting-edge technology.

Welcome to the Fibra Frontier, where a small but dynamic team is revolutionizing real-time well monitoring, propelling the oil and gas industry into an era of unprecedented efficiency and cost savings.

High-Tech Hub in the Heart of Europe

Did you know that Equinor boasts one of the fastest computing clusters in all of Europe?

The Fibra team, stationed at the core of this technological marvel, orchestrates a symphony of 40 servers processing data from fiber optic cables embedded in the wells. What might seem like a routine operation takes on a groundbreaking significance when you realize it has already saved Equinor millions of NOK (Norwegian Krone) – and they’re just getting started.

The Fiber Optic Ballet Below the Surface

Imagine a dance of data beneath the ocean’s depths as oil and gas find their way from the reservoirs beneath Johan Sverdrup to the shores at Kårstø. How is this feat accomplished? Enter fiber optic cables, seamlessly integrated along the wells. Perched atop the well is an interrogator, a machine that sends laser pulses down the fiber. When the laser bounces back, it creates a back reflection, the cue for Fibra to shine. This revolutionary technology transforms these back reflections into usable, real-time data.

At this point, you might ask, “What makes Fibra so special?” It’s not just the data; it’s the staggering volume and speed at which it’s gathered. Picture constantly streaming 10,000 Netflix movies – that’s the magnitude of Fibra’s prowess. This amalgamation of high-speed performance computing and big data sets Equinor’s Fibra cluster among the fastest in Europe, making it a playground for innovation and a challenge to be reckoned with.

Speed is the Name of the Game

Lindvar Lægran, the Fibra team lead, emphasizes the need for speed in every aspect of their work. Processing data at a speed of approximately 5 GB/s requires every line of code to be meticulously optimized for performance. In the world of Fibra, a ‘canary test’ is conducted every 30 minutes to ensure that each line of code runs seamlessly millions of times per second.

The speed at which Fibra operates is not just a technical feat; it’s a mindset, a way of life. Espen Tjønneland, a Fibra developer, explains how the team’s code must be efficient enough to process data faster than it’s received. Fibra, in essence, is a continuous symphony of signal transformations and optimizations that demand meticulous attention to detail.

From Two Weeks to Two Seconds: A Data Revolution

An integral part of Fibra’s success lies in creating a standard for streaming fiber data. Previously, different suppliers had varied formats for their interrogators, causing delays in data processing. Fibra changed the game by becoming the “one system to rule them all,” allowing operators to view data a mere two seconds after collection. This monumental shift, facilitated by the use of Kafka and Kubernetes technologies, revolutionized Equinor’s approach to data access and decision-making.

Espen Tjønneland, the Fibra developer, points out that the system’s ability to choose the correct processing profile during an interrogation session is crucial. Fibra stores raw data but employs different algorithms to process various data flows, filtering for specific information based on the task at hand. The efficiency gains are immense, allowing Equinor to save resources, scale operations, and maximize hardware capabilities.

Edge Processing: The Need for Speed Beyond the Clouds

While the cloud is the go-to solution for many, the Fibra team quickly realized that it couldn’t deliver the speeds they needed. In response, Fibra embraced edge processing, using on-premises servers and hardware to achieve the required velocity. Ian Utbjoa, another Fibra developer, underscores the importance of scripting everything for ease of handling the infrastructure. Fibra’s need for speed goes beyond code; it involves working on infrastructure, implementing file readers for unconventional file systems, and delving into layers of technicality rarely explored.

Ian Utbjoa provides insight into the team’s multifaceted responsibilities, comparing their work to dissecting an old radio and understanding its intricacies. The need for speed, combined with a broad spectrum of responsibilities, makes working on Fibra a fascinating journey that goes beyond traditional software development.

Building, Deploying, and Automating: The Fibra Mindset

The Fibra team operates on the principle of scripting and “automating themselves out of a job.” While everyone in the team wears multiple hats, there are specialized areas of focus. Petter Kvamen Clausen, working on the lower layer of Fibra’s development, collaborates with technologies like Kubernetes, Docker, Helm charts, server operations, and Ansible. The emphasis on fault tolerance within servers ensures rapid rebuilding and restoration when needed.

Fibra, though not classified as business-critical, operates with the same level of diligence and precision. Petter highlights the importance of monitoring, using open-source tools like Prometheus and Grafana to keep a vigilant eye on operations. The aim is to deliver a stable product, ensuring that operators can depend on data availability even if Fibra isn’t classified as business-critical.

Fibra’s Economic Impact: Saving Millions with Swift Detection

Fiber optic cables and Fibra have already demonstrated their economic impact, with a remarkable example from Johan Sverdrup. Fibra played a crucial role in swiftly detecting a leak between two annuli, the void spaces between casings in the well. This early detection saved Johan Sverdrup from a two-day shutdown and additional diagnostics, resulting in a staggering savings of 40 million NOK.

Taber Hersum, the Fiber Optics project lead, acknowledges the impressive work done by the Fibra team, recognizing their creativity and perseverance. Taber, a geoscientist turned project leader for Fibra & Fotone, marvels at the stable and high-performing system the developers have built from scratch in just two years.

Today, Fibra is in use on Johan Sverdrup and Martin Linge. With fibers in over 35 wells currently under real-time monitoring and more installations in the pipeline, Fibra is becoming a cornerstone of Equinor’s technological prowess.

Fibra Light: A Glimpse into the Future

As the Fibra team continues to enhance and maintain the existing system, they’re not resting on their laurels. The next big innovation on their horizon is Fibra Light – a smaller, mobile version of Fibra designed to bring real-time monitoring to assets that might benefit from its capabilities. Espen Tjønneland details the vision behind Fibra Light, emphasizing its potential for intervention jobs and testing scenarios. This compact solution aims to make real-time well operation observation accessible to all assets with minimal effort and cost.

Building Fibra Light is not just about code; it involves tackling logistics and developing a solution that can seamlessly travel offshore without consuming excessive space. The team’s dedication to innovation, automation, and efficiency shines through in its commitment to bringing real-time monitoring capabilities to a broader spectrum of Equinor’s assets.

A Symphony of Speed, Innovation, and Savings

In the ever-evolving landscape of oil and gas exploration, Equinor’s Fibra project emerges as a beacon of innovation. The combination of cutting-edge technology, a forward-thinking team, and a commitment to automation has not only revolutionized real-time well monitoring but also resulted in substantial economic savings.

The Fibra team’s journey reflects the dynamic nature of technological advancement in the energy sector. Their ability to navigate challenges, automate processes, and push the boundaries of speed sets a standard for efficiency in the industry.

As Fibra continues to expand its footprint across Equinor’s operations, it symbolizes a commitment to harnessing the power of data for informed decision-making. The Fibra Frontier is not just about streaming data at unprecedented speeds; it’s about transforming the way the industry approaches real-time monitoring, ultimately driving cost-effective and sustainable practices.

In the grand narrative of Equinor’s technological odyssey, Fibra stands as a testament to the company’s ethos of embracing innovation, challenging conventions, and boldly venturing where few have gone before – into the depths below, where data dances through fiber optic cables, orchestrating a symphony of efficiency and savings in the heart of the Fibra Frontier. The future is here, and it’s streaming data at the speed of innovation.

The scientific consensus is that human activities, primarily burning fossil fuels, has warmed Earth’s surface and ocean basins, causing havoc in the world’s delicate environmental system.

Our energy appetite, which currently utilizes fossil fuels such as coal, oil, and gas, is the primary contributor to global climate change, accounting for over 75% of global greenhouse gas emissions.

Burning fossil fuels releases large amounts of carbon dioxide, a greenhouse gas, into the air, which traps heat in our atmosphere and causes global warming. As a result, the average global temperature has already increased by 1°C, and warming above 1.5°C risks further sea level rise, extreme weather, biodiversity loss, and species extinction, as well as food scarcity, worsening health, and poverty for millions of people worldwide.

The impact of climate change also includes changes in temperature and precipitation patterns, rising sea levels, shrinking mountain glaciers, changes in flower and plant blooming times, and wildfires.

To combat climate change, we need to reduce our carbon footprint and support sustainable new energy initiatives. This means a dramatic change in the world’s top polluting industries such as fossil fuels, agriculture, fashion, transport, and construction. As well, we need to ensure the world’s top pollutant emitters are coming on board with responsible low emissions solutions. Not all countries are equal when it comes to carbon emissions. The top ten carbon-emitting countries include China, the United States, India, Russia, Japan, Iran, Germany, South Korea, Saudi Arabia, and Indonesia.

SHOULD WE STOP USING FOSSIL FUELS?

Knowing the threat of climate change, we have an immediate and fearful reaction from the world’s people to, “stop using fossil fuels right now”. What the general public doesn’t realize is the big energy picture. Eliminating the immediate use of fossil fuels has a corresponding negative impact on the world that is as bad or worse than climate change.

REMEMBERING HOW WE GOT HERE

Fossil fuels are responsible for increased economic prosperity, education, food supply, social services, health care, a revitalized manufacturing sector, the improvement of millions of lives through direct and indirect employment and lower energy costs, new sources of government revenues, and strengthened energy security for all nations.

Fossil fuels have been responsible for a higher standard of living for all. So unless we give up our cars, live in the woods, live off the land, and give up all of the amenities we enjoy today like cell phones, computers, abundant food sources, etc., then we must accept that the progress of mankind is deeply dependent on fossil fuels for at least 20-30 years.

THE IMPACT OF NOT USING FOSSIL FUELS RIGHT NOW

Not using oil and gas would have an immediate and significant global impact on poverty, food supply, global products, machinery, plastics, and other aspects of the economy.

There has to be a responsible transition from fossil fuels to renewables to mitigate further risks, which takes time.

It took 100 years for oil and gas to be integrated into society, it will take at least 25 years to remove it responsibly, to ensure there are no dire global consequences, incurred by moving too fast.

WHY DO WE USE FOSSIL FUELS?

We need fossil fuels to literally fuel our existence. According to the UN, the largest carbon-emitting systems and processes that utilize fossil fuels include:
generating power
manufacturing goods
cutting down forests
utilizing transportation
making things like cement, iron, steel, electronics, plastics, clothes, and other goods
mining and other industrial processes
operating machinery
manufacturing
utilizing plastic
transportation such as cars, trucks, ships, and planes
producing food
powering buildings
building and energizing cities and communities
clearing land for agriculture
deforestation
powering buildings
utilizing electricity and power

What would the world look like if we cut out oil and gas and then cut out these carbon-emitting processes? My guess is, the world would come to a halt, much like that of Covid 19.

Is that really where we want to go?

HOW DO WE COMBAT CLIMATE CHANGE AND STILL USE FOSSIL FUELS?

That’s a question the world’s greatest minds work on every day.

In essence, oil and gas are essential to a sustainable future. Oil and gas companies, operators, major contractors, and suppliers consider this question daily. That’s precisely why they are so effective and answering it. If you want to know how to responsibly transition from fossil fuels to renewable, watch what the oil companies are competently doing. Study their energy transition plans. Understand their vision and goals and you will find a very strategic, well-thought-out development plan for the new energy-sustainable world.

Oil and gas companies are working to transition into the renewable energy space by taking direct an decisive action to succeed in the energy transition in the following ways:

Energy Security
Oil and gas companies provide a reliable source of energy that is essential for world energy demand, economic growth, and development. Oil work to ensure we have the energy to power transportation, heat homes/buildings, and generate electricity.

Without oil and gas, many countries would be unable to meet their energy needs, leading to economic instability, social unrest, hunger, poverty, illness, homelessness, and more.

Transition Fuel
Oil and gas can serve as a transition fuel as we move towards a more sustainable future.

Oil and gas are the fuels used to generate electricity while renewable energy sources are developed and responsibly integrated into the new energy mix.

Innovation
The oil and gas industry has a successful history of implementing innovation and technological solutions to sustain our progress.

Oil and gas companies’ expertise can be leveraged to develop new technologies and solutions that can help to reduce greenhouse gas emissions and promote sustainability.

Carbon Capture & Storage
Carbon capture and storage (CCS) is used by oil and gas companies to capture carbon dioxide emissions from power plants and industrial facilities and store them underground, thereby reducing carbon emissions into the atmosphere.

Carbon capture and storage will be critical in the new energy transition equation.

Economic Benefits
The oil and gas industry provides significant economic benefits, including royalties, job creation, tax revenue, and investment in local communities. and more.

Research
Oil and gas companies are world leaders in funding research into new technologies and solutions that can help to reduce greenhouse gas emissions and promote sustainability.

Environmental Stewardship
The oil and gas industry is committed to environmental stewardship and reducing its environmental impact. Many companies have implemented policies and initiatives to reduce greenhouse gas emissions, promote energy efficiency, and protect the environment.

Many oil and gas companies have set stringent targets to reduce their greenhouse gas emissions, invest in renewable energy, and promote sustainable transportation.

Integrating Renewable Energy
Oil and gas companies are integrating renewable energy into their operations to reduce their carbon footprint. For example, they use solar or wind power to generate electricity.

The Use of Biogas & Geothermal
Biogas, which is produced from organic waste, is being used as a fuel source to reduce the carbon footprint of oil and gas operations.

Geothermal energy is used to power oil and gas operations, reducing the need for fossil fuels.

Energy Efficiency:
Oil and gas companies are using energy efficiency measures, such as improving leak detection and repair, installing vapor-recovery units, or using combined heat and power, can help to reduce greenhouse gas emissions.

Decreasing Freshwater Usage:
Oil and gas companies are reducing their carbon footprint by decreasing freshwater usage. For example, they use recycled water for hydraulic fracturing. These recycling efforts reduce their carbon footprint.

Used Oil Recycling
More companies are utilizing small-scale, waste-oil,micro-refinery units that transform used oil into diesel fuel. This approach yields fuel for ongoing operations and is a relatively inexpensive alternative to more traditional oil disposal methods.

Streamlining and Improving Processes
IIOT, analytics, automation, reserve replacement and enhancement capabilities, and emerging artificial intelligence programs all assist in finding and eliminating operational inefficiencies.

Improving the efficiency of ongoing operational processes, oil and gas companies produce the same amount but with reduced costs and energy expenditure, leading to a reduction in greenhouse gas emissions.

These and many other emerging emissions-reducing technologies are emerging. Every company is on the hunt for carbon-reducing innovations that will save the day. Here lies the $trillion opportunity for you and your company.

For countries like Canada, which are natural resources rich, the new energy evolution, means prosperity ahead. Canada is well positioned to supply its own nation with energy and supply those less fortunate in terms of land, water, and natural resources, with their much-needed energy.

THE NEW ENERGY MIX

What we know for sure is that oil and gas will fuel the incoming renewable energy economy.

Pitting one fuel source against another only divides us and deflects from the critical development of the new energy mix.

This new energy mix is imperative to meet world energy demand, mitigate energy security threats and ensure our world is fed, cared for, and prosperous.

Success looks like this:
A dramatic reduction in carbon emissions
A powerful new energy mix
Countries working together for a global renewable energy economy

ONE WORLD, ONE PEOPLE

As we venture forward into the new energy world, we must remember:
Emissions know no boundaries. We are one world.
Energy use and energy security are basic human rights.
Climate change calls for global unity, and responsibly working together.
Energy transition means responsible utilization of oil and gas to bring in renewable energy.
The new world order is a new-energy mix that means opportunity and prosperity for everyone.

Sources & Images:
natural-resources.canada.ca
Norwegian Petroleum Directorate – NDP
CNBC
Climate Trade
Earth.org
UN.org
Climate Trade
Ace Space
World Population Review

Lisa Baiton, President & CEO of the Canadian Association of Petroleum Producers (CAPP), took the stage at the conference and began her address by highlighting the global energy crisis, illustrating its impact on energy worldwide. Lisa said, “The year 2022 will be remembered for its global energy disruption. The energy crisis in Europe, with shortages of natural gas and oil, is very far from over and continues to pose geopolitical and economic threats. And, it has spread across the globe… it’s not just Europe. Russia’s invasion of Ukraine has brought the global energy security and affordability crisis to the doorsteps of Canadians. The world is undergoing a historical transformation that will impact every country and virtually every society in existence today. This global shift is at the scale of the industrial revolution and is ushering a new era, redefining global trading relationships and geopolitics.”

Lisa’s message resonated deeply, as we have all felt the cumulative effects of this energy disruption, with rising costs affecting our everyday lives; from groceries to home heating to supply chain shortages. The world, Lisa explains, “is undergoing a transformative shift of historical proportions. This shift is comparable to the industrial revolution and redefines global trading relationships and geopolitics.”

At the heart of these fast-paced changes lies the resource that moves the world….energy.

CANADA: Poised to be a stabilizing force for the energy crisis

Lisa conveyed, “The oil and gas industry has been the foundation of the Canadian economy. The upstream oil and gas sector contributed over $197 billion to Canada’s real GDP in 2021 and an average of $12 billion per year in revenue to governments from 2019 to 2021. The sector employs 450,000 Canadians in high-skilled and high-paying jobs. And, these employees come from all regions of Canada. Ours is a truly national industry. The industry is a long-term partner in Newfoundland and Labrador. Over the past 25 years, royalties from offshore production have reached more than $25 billion. Investment into the Province totals over $53 billion over that same period. These contributions to the provincial economy support thousands of jobs and help fund infrastructure, healthcare, schools, roads, and critical social programs.”

Recognizing the demand for oil and the urgency to supply oil to address the energy crisis, Lisa emphasizes that Canada has a unique opportunity to stabilize global energy security while lowering global emissions. The Newfoundland offshore energy industry is an opportunity waiting to happen. With direct access via the province’s oceans, it bypasses the market access challenges faced by other regions in Canada. Furthermore, its geographical proximity to Europe positions it as a secure and trusted supplier of energy to address the ongoing energy security crisis.

Addressing climate concerns, Lisa acknowledges the industry’s commitment to reducing greenhouse gas emissions and investing in clean technology. Newfoundland and Labrador’s offshore industry already produces some of the lowest-emitting barrels of oil in the world. Lisa points out, “Canada’s oil and gas producers view climate change as a serious issue that requires innovation and investment to reduce greenhouse gas emissions. Our industry is a significant investor in clean technology and we are one of the largest spenders on environmental protection – precisely because we understand the scale of this challenge.”

The oil and gas industry in Canada has been focusing on lowering emissions for years and Canadian producers have been an important part of Canada’s global leadership in emissions-reducing innovations and technologies, Lisa points to the solution, “Game-changing technologies and investments will enable Canada’s oil and gas producers to continue reducing emissions. We will require a creative – whole-of-Canada – approach to ensure that our oil and gas sector remains competitive.”

Lisa stresses to Industry that, credible forecasts show oil and gas remaining a significant part of the global energy mix for decades to come, “With investment returning to the offshore industry globally, Newfoundland and Labrador has a golden opportunity within reach. it will require a collective effort from industry and all levels of government to reimagine the province’s potential and seize this moment for the benefit of its people, all Canadians, and global partners seeking a secure and responsible energy supply.”

The province of Newfoundland and Labrador stands on the precipice of greatness, ready to unleash its full energy potential. The combination of oil, gas, and wind will all be elements of the new energy mix that will lead us to a sustainable new energy future. The global investment community is watching closely as Newfoundland and Labrador cements its place as a global energy powerhouse, thereby securing its role as a catalyst for global energy security, economic prosperity, and environmental stewardship. 

Market Cap Decline of -30.16 % in One Year

Equinor ASA has a market cap or net worth of $80.33 billion as of June 2, 2023. Its market cap has decreased by -30.16% in one year, which may be one factor in explaining the company’s recent decision to further investigate the financial viability of mega-project Bay du Nord, Offshore Newfoundland.

Market capitalization, or market cap, is one measurement of Equinor’s company size. The market capitalization, commonly called a market cap, is the total market value of a company’s outstanding shares and is commonly used to measure how much a company is worth. It’s interesting to note that the Norwegian State is the largest shareholder with 67%, managed by the Ministry of Trade, Industry, and Fisheries, ensuring maximum benefits are returned to the people of Norway.

Equinor is also listed on the Oslo and New York stock exchanges, ensuring broad international ownership.

Factors Contributing to the Bay du Nord Delay

Equinor’s market cap decline, the rising costs of goods and supplies, increased global inflation, and global cost increases based on supply chain challenges, could naturally add up to set in motion a course of correction in the financial management of assets, development timelines, and the re-evaluation of global projects for Equninor. This coupled with the company’s commitment to half their operated greenhouse gas emissions by 2030 relative to 2015 levels, with 90% of the cuts coming from absolute reductions, demonstrates their firm commitment to reducing emissions within their current portfolio.

This cumulative big picture of the financial and environmental considerations of the company would most likely lead to delays in projects currently on the board for development. At the recent EnergyNl conference in St. John’s Newfoundland, Equinor leader, Tore Løseth, country manager for Equinor Canada, spoke to a room full of industry players, business owners, workers, and stakeholders, many of whom stand to gain enormous business growth benefits from the Bay du Nord project. Tore was in the uncomfortable position of having to deliver the disheartening news that the predicted $16 billion Bay du Nord project will be delayed.

Tore Løseth said, “Bay du Nord is one of the biggest subsea development that Equinor will ever undertake both in size and investment. It’s important to make the best financial decisions at the right time to enable a successful investment. This past year, the project has seen a significant cost increase in many aspects of development. This is largely driven by increased global inflation and cost growth in the supply industry nationally and internationally. This is a trend we are seeing across our portfolio. Bay du Nord teams will now spend the next couple of years evaluating all the opportunities to make a stronger project. To do this we will work closely with our suppliers, partners, and stakeholders to improve project competitiveness while ensuring a development that provides significant benefits for Newfoundland and Labrador.”

Bay du Nord Delayed:
What does that mean for the province of Newfoundland and Labrador and its people?

The Bay du Nord project (BdN) consists of several oil discoveries in the Flemish Pass basin, some 500 km northeast of St. John’s in Newfoundland and Labrador, Canada. The first discovery was made by Equinor in 2013, followed by additional discoveries in 2014, 2016, and 2020. Bay du Nord is a mammoth project with huge opportunities for jobs, supply base, technology transfer, business growth, supply chain infrastructure, revenue, royalties, and the building of a $16 Billion energy infrastructure in the province of Newfoundland and Labrador.

Despite Delays Bay du Nord: Remains an exciting project on the horizon

Tore Løseth looks to the future, “In spite of this postponement I’d like to share the exciting paths Bay du Nord will take in advancing by providing energy security with low carbon emissions. The project remains an important part of Equinor and our partner BP’s long-term development portfolio. I feel confident that even with this delay, I can illustrate what will make Bay du Nord important in the decades to come. At Bay du Nord we are living an innovation mindset focused on long-term value creation that will break new ground in a smarter and technologically advanced way. This is also the philosophy of how we optimize our oil and gas assets to reach a net-zero future. Last year Equinor published our Energy Transition Plan, a concrete plan focused on developing new energy and new industries, creating value for local communities, and how we plan to meet net zero by 2050.”

Newfoundland: Key Energy Hub for World Energy Demand

Given the world is in an energy crisis and demand for energy is incredibly high in places like Europe Newfoundland is strategically aligned to deliver energy worldwide. Given that Newfoundland’s offshore industry is established, and geopolitically stable and its proximity to markets for renewables and non-renewables is unprecedented, Newfoundland’s energy industry is globally poised to be in very high demand. It’s predicted that wind and hydrogen could put Newfoundland on the map as the world’s leader in Hydrogen. Think about that.

The energy transition is key to the new energy mix that will lead us to a sustainable net-zero future. Eqninor’s Energy Transition Plan outlines the company’s goals and strategies for transitioning to a low-carbon future. Bay du Nord will be evaluated and restructured to ensure it delivers low-carbon fuel within the critical framework of the Net Zero plan.

Here is a summary of the key points of Equinor’s Energy Transition Plan:

Goals

• Equinor aims to achieve net-zero emissions by 2050.
• The company plans to reduce its absolute greenhouse gas emissions by at least 50% by 2050, compared to 2019 levels.
• Equinor plans to increase its renewable energy capacity to 12-16 GW by 2030.

Strategies

• Equinor plans to invest in renewable energy, such as offshore wind and hydrogen.
• The company will continue to produce oil and gas but with a focus on reducing emissions and increasing efficiency.
• Equinor will use digitalization and artificial intelligence to optimize its operations and reduce emissions.
• The company will work with partners and stakeholders to accelerate the energy transition.

Initiatives

• Equinor plans to develop a large-scale offshore wind farm in the North Sea, which will have a capacity of up to 4.5 GW.
• The company will invest in hydrogen production and carbon capture and storage.
• Equinor will continue to explore oil and gas but with a focus on reducing emissions and increasing efficiency.
• The company will use digitalization and artificial intelligence to optimize its operations and reduce emissions.

Equinor’s Energy Transition Plan outlines the company’s commitment to transitioning to a low-carbon future. By investing in renewable energy, such as offshore wind and hydrogen, and reducing emissions from its oil and gas operations, Equinor aims to achieve net-zero emissions by 2050. The company’s use of digitalization and artificial intelligence will help optimize its operations and reduce emissions. Equinor’s plan is an important step towards a more sustainable energy future.

The Government of Newfoundland and Labrador released its budget and Energy NL welcomes a number of the initiatives, including reinstatement of the offshore seismic program, support for the renewable sector, continuation of the Offshore Exploration Initiative, and assessment of natural gas opportunities. The energy sector continues to be an economic driver, responsible for approximately 20% of provincial GDP and an approximately $100 million contribution to the Future Fund.

“Overall, I see Budget 2023 as positive for the energy sector. The return of the offshore seismic program is important to our industry. Seismic data is used to help determine where exploration should occur and has the best chance of being successful. Moreover, it is used to attract investment into the offshore through the land sale process. Seismic will also play an important role as we look for possible locations to store carbon. Early research indicates our offshore has the potential to store all of Canada’s carbon emissions and seismic data can help us find the pathway to carbon storage and net zero.” said Charlene Johnson, Energy NL CEO

There is an allocation of over $500,000 for the renewable sector, including increasing capacity for environmental assessment and regulatory oversight. Energy NL is pleased to see investment in the environmental assessment process to ensure appropriate protection and progress, not a delayed process. As well, increased resources to develop an efficient and robust regulatory approach are welcomed. Initiatives such as the green technology tax credit and Low Carbon Economy Fund may also help Energy NL members lower their carbon footprint and Energy NL looks forward to learning more about these initiatives and how its members can benefit.

“Continuation of the Offshore Exploration Initiative is important as we have seen the program stimulate important offshore activity, including exploration for this year. The almost $5 million to assess natural gas in the Jeanne d’Arc Basin is also a positive step to help open another energy play for Newfoundland and Labrador. We continue to make significant progress in our energy sector and I look forward to working with Energy NL members and the provincial government to ensure industry growth and success.” said Charlene Johnson, Energy NL CEO

Energy NL represents approximately 500 member organizations worldwide that are involved in the energy sector. Members are active in all areas of the supply and service sector and include a diverse representation of businesses that range from offshore supply vessels and helicopters, carbon reduction and sustainable technologies, health and safety equipment and training, engineering solutions and fabricators to law firms and human resource agencies.

The Government of Newfoundland and Labrador in Canada is reviewing its current offshore oil and gas assets, specifically focusing on its equity positions in the Hebron, Hibernia Southern Extension, and White Rose Extension projects. The goal is to determine their potential and structure the province’s asset portfolio for sound fiscal stewardship, high-quality services, and public-sector benefits.

Given the offshore equivalency of Norway’s energy sector and Newfoundland’s energy potential, one cannot consider assets and opportunities without careful examination of Norway’s model of success. After all, the true measure of leadership is the ability to emulate those already doing it.

The key to Norway’s success was its nationalization of resources through the establishment of a state-owned company, strong regulatory frameworks, and long-term thinking. The Norwegian Petroleum Directorate ensured best practices, profitability, and efficient development of resources while reducing environmental impact. Investment in a sovereign wealth fund provided long-term financial stability and income for future generations. To replicate Norway’s model, careful planning and implementation are required.

The most common justification for Newfoundland not achieving success at the rate of Norway is that Newfoundland and Labrador is a province, while Norway is a country. Underneath that statement reveals the true issue. Canada and its provinces are not aligned at the level that is necessary to become one of the greatest countries on earth. Let’s start there…

HOW CAN NEWFOUNDLAND REPLICATE NORWAY’S SUCCESS?

How can Newfoundland replicate Norway’s success? That is the “$billion” question. This article serves to provide a framework of operations for Norway’s energy development and reveals how the right strategy, equity in projects, and infrastructure led to profits and ultimately the world’s most successful investment fund, allowing Norway to be one of the richest countries, per capita, on the planet.

Nationalization of resources

Norway nationalized its oil and gas resources and created a state-owned company, Statoil (formerly Statoil and StatoilHydro), to manage them. Headquartered in Stavanger, Norway Equinor ensures Norway’s petroleum mandates are executed with precision and as a result, today Equinor is operating in 36 countries with additional investments in renewable energy.

The first step in Newfoundland reaching its full potential is to ensure it’s aligned with Canada and has the necessary organizations and funds to be primary equity stakeholders in its own energy projects, thereby ensuring Newfoundland and Labrador as well as Canada, are the primary beneficiaries at every step of the energy industries development. Without this, in place, full benefits are not able to transfer. Once again, think of this as the difference between being employed within a company and owning the company. The owner of the company dictates the future and outcomes of the operation. Working at the company has marginal influence, benefits, and results.

Newfoundland and Labrador has traditionally fore-fitted long-term success for the benefit of short-term jobs. Here is the first hurdle to overcome. This is a mindset and leadership issue, not an industry issue.

North Sea Oil and Gas Fields

Strong regulatory framework

The Norwegian government established a strong regulatory framework to ensure that oil and gas companies operating in the country met high standards for safety, environmental protection, and labor rights. This helped to build trust with the public and ensured that the resources were developed responsibly. The Norwegian Petroleum Directorate was formed to ensure best practices and profitability.

While Newfoundland and Labrador’s regulatory framework is governed by CNLOPB, the province will often fail to adhere to the Atlantic Accord’s full framework, simply because the oil projects offshore Newfoundland are not government-owned at a majority shareholder level. Therefore, no matter how good the government and the Atlantic Accord are, there is no authentic way to ensure the majority of work is done in the province.

Exploration and production offshore Newfoundland spur $billions of infrastructure contracts and work. This important work offers opportunities and builds infrastructure however the work often slips through the cracks with justifications like, “Newfoundland doesn’t have the facilities to deliver on such projects.” That justification is an easy reason to allow work to go outside the province, however, it is a direct result of not being primary stakeholders in the provinces’ energy projects.

If you owned a company and you could get the work done locally would you?

If you owned a company would you invest in the infrastructure of your business, so that you could utilize that solution over and over again as you scale your company?

As an employee, how invested are you in the profitability of the company, company sustainability, and long-term benefits of the company?

Get the big picture?

As primary shareholders, the ability to influence work decisions and where it occurs is mitigated and therefore results are not diluted. Not being the primary shareholders of oil projects offshore Newfoundland leaves the province with a limited scope of influence and outcomes.

Ultimately, justifications for work being done outside the province are a recipe for playing small and not maximizing profits and potential. It’s short-term thinking over long-term success and investment.

Long-term thinking

Norway took a long-term approach to develop its energy resources and established the Government Pension Fund Global (GPFG) to invest profits from the resources for future generations. This ensured that the country did not squander its wealth in the short term and had a sustainable financial strategy.

THE NORWEGIAN PETROLEUM DIRECTORATE

The Norwegian Petroleum Directorate (NPD) is responsible for managing Norway’s petroleum resources on behalf of the state, with a focus on ensuring that exploration, development, and production of oil and gas resources are conducted efficiently and in an environmentally responsible manner.

Here are some of the key steps that the NPD took to ensure that Norway’s oil and gas industry was profitable:

1965: The NPD is established as a government agency to manage Norway’s petroleum resources.

1972: The NPD is given regulatory authority over Norway’s offshore oil and gas industry.

1970s: The NPD begins promoting exploration of Norway’s offshore oil and gas reserves by providing geological and geophysical data to oil companies and offering financial incentives for exploration.

1980s: The NPD continues to promote the exploration and development of Norway’s offshore oil and gas resources, leading to the discovery of several large fields in the North Sea.

1990s: The NPD shifts its focus to maximizing recovery from existing oil and gas fields, implementing policies to encourage operators to invest in new technology and techniques to increase recovery rates.

2000s: The NPD implements regulations to reduce the environmental impact of offshore oil and gas production, including regulations related to drilling waste and emissions.

Overall, the NPD’s approach to ensuring profitability in Norway’s oil and gas industry has been based on being a primary shareholder in the majority of oil and gas projects, promoting efficient exploration and development of resources, maximizing recovery rates from existing fields, and implementing policies to reduce the environmental impact of production.

The NPD has also worked closely with industry stakeholders to establish a framework for collaborative decision-making on issues related to resource management and development. Together, these efforts have helped make Norway’s oil and gas industry one of the most profitable in the world.

UNDERSTANDING NORWAY’S MODEL OF DEVELOPMENT

Replicating Norway’s model of development for energy resources is a complex process that requires careful planning and implementation. While every country is unique, there are several key steps that can be taken to replicate Norway’s success in this area:

Establish a clear energy policy:
A clear energy policy is essential to guide investment decisions and ensure a consistent approach to resource management. The policy should outline long-term goals for energy security, sustainability, and economic development.

Conduct a comprehensive resource assessment:
A comprehensive assessment of the country’s energy resources is essential to identify areas with high potential for oil, gas, and renewable energy development. This assessment should take into account geological, geophysical, and environmental factors.

Develop a regulatory framework:
A regulatory framework that promotes responsible and sustainable resource development is essential to protect the environment and ensure public safety. This framework should include regulations for the exploration, production, and decommissioning of energy infrastructure.

Establish a sovereign wealth fund:
A sovereign wealth fund can help to manage the country’s energy revenues and ensure long-term financial stability. This fund should be managed transparently and independently to avoid corruption.

Build strong partnerships between industry and government:
Collaborative partnerships between industry and government can help to ensure that investment decisions are made in a way that promotes long-term sustainability and balances the interests of all stakeholders.

Promote environmental protection:
Environmental protection should be a top priority in energy development, and regulations should be in place to minimize the impact of oil spills, reduce greenhouse gas emissions, and promote biodiversity.

Invest in renewable energy:
Investing in renewable energy sources like wind, solar, and hydropower can help to diversify the energy mix and reduce reliance on fossil fuels.

Promote innovation and technology development:
Encouraging innovation and developing new technologies can help to increase the efficiency of resource extraction and maximize the value of energy resources.

Develop a skilled workforce:
Developing a skilled workforce is essential to ensure that the country has the human capital necessary to manage and develop its energy resources.

Encourage research and development:
Encouraging research and development in areas like carbon capture and storage and advanced drilling techniques can help to increase the efficiency and sustainability of energy development.

Foster international cooperation:
Building strong relationships with other countries can help to promote knowledge sharing and collaboration in energy development.

Ensure transparency and accountability:
Transparency and accountability in energy development are essential to maintain public trust and avoid corruption. This can be achieved through regular reporting and independent audits.

Consider the social and economic impacts of energy development:
Energy development can have significant social and economic impacts, and these should be carefully considered in investment decisions. This includes impacts on local communities, indigenous peoples, and the broader economy.

Develop infrastructure:
Developing the necessary infrastructure, such as pipelines, ports, and storage facilities, is essential to support energy development and ensure the efficient transport of resources.

Encourage investment in the energy sector:
Encouraging investment in the energy sector can help to promote growth and development, but it should be done in a way that is consistent with the country’s energy policy and regulatory framework.

Promote energy efficiency and conservation:
Promoting energy efficiency and conservation can help to reduce energy consumption and mitigate the need for new energy development.

Ensure stakeholder engagement:
Engaging with stakeholders, including local communities, indigenous peoples, and environmental groups, is essential to ensure that their interests are taken into account in energy development decisions.

Develop a communication strategy:
Developing a communication strategy to inform the public about energy development activities and engage them in the decision-making process can help to build support and maintain public trust.

Monitor and evaluate progress:
Regular monitoring and evaluation of energy development activities are essential to ensure that they are consistent with the country’s energy policy and regulatory framework and that they are achieving the desired social, economic, and environmental outcomes.

Continuously improve and adapt:
Energy development is an ongoing process, and it is important to continuously evaluate and improve the approach over time. This may involve adapting to changing market conditions, technological advances, or environmental factors.

Overall, replicating Norway’s model of development for energy resources requires a comprehensive and collaborative approach that balances economic, social, and environmental factors. It is important to establish a clear energy policy, develop a strong regulatory framework, invest in renewable energy, promote innovation and technology development, and engage with stakeholders throughout the process.

While Newfoundland and Labrador have adopted many of these strategies for success, the missing piece is still equity and ownership. Every single one of these development initiatives changes, based on being primary shareholders of the resource.

Being primary project shareholders and following this development model, countries like Canada can learn from Norway’s success and create a sustainable and profitable energy sector to secure their own future.

NORWAY’S OIL & GAS PRODUCTION

The NPD’s resource classification system defines oil and gas resources as reserves once the operator
has submitted a plan for development and operation (PDO) or decided to implement a measure to
optimize recovery that does not require a PDO. Discoveries are classified as fields once an approved
development plan is available. 93 fields were in production at the year-end of 2022. In contrast, Offshore Newfoundland has

NORWAY’S TRILLION-DOLLAR FUND

Norway’s trillion-dollar fund, officially known as the Government Pension Fund Global (GPFG), was built primarily from the country’s oil and gas revenues. The fund was established in 1990 to manage Norway’s petroleum wealth and ensure long-term financial stability for the country.

The fund is managed by Norges Bank Investment Management (NBIM), a branch of the Norwegian central bank. NBIM invests the fund’s assets in a diversified portfolio of stocks, bonds, and real estate in countries around the world. The fund has strict ethical guidelines that prohibit investments in companies that engage in activities such as the production of nuclear weapons, tobacco, or severe environmental damage.

The fund has grown steadily over the years, and its size is a testament to Norway’s commitment to saving and investing its petroleum wealth for future generations. The fund has also benefited from Norway’s stable political and economic environment, as well as its reputation as a responsible investor.

It’s worth noting that Norway has been very disciplined in managing its oil and gas revenues. A significant portion of the revenues is set aside in the fund, rather than being spent immediately. 

This has helped Norway avoid the “resource curse” that has plagued other countries that have relied heavily on natural resource exports and have failed to secure long-term gains from oil and gas projects.

Last year, Norway became Europe’s biggest supplier of natural gas and now covers 30% of the continent’s demand for gas. That revenue further supports the country’s $1.3 trillion sovereign wealth fund and provides the government with the ability to ramp up spending on renewables and support economic instability during downturns. Clearly, Norway has its bases covered.

By investing the fund’s assets in a diversified portfolio of assets, Norway has been able to generate substantial returns over the years, helping the fund grow to its current size.  Norway has the largest Sovereign Wealth fund in the world. This fund amounted to 1.275 Billion USD in 2020. That’s a lot of money for a country of 5,3 million inhabitants. The fund holds 1.4% of all of the world’s listed companies, In December 2021, the fund was worth about $250,000 per Norwegian citizen.

This is the formula for Norway’s extraordinary success.

WILL CANADA UNITE ITS ENERGY PROVINCES?

Will Canada invest in its provinces and have primary ownership in its recourses, thereby ensuring the long-term success of its citizens? This is the ultimate question, not only for oil and gas but for the new incoming renewable energy projects such as Hydrogen.

Our Canadian government has to be strong enough to bet on itself and its resources. It has to follow a clear-cut plan of achievable success like Norway in order to ensure prosperity and sustainability long term. This is particularly important as our renewable resources come onstream.

It’s one thing to have a sustainable resource like Hydrogen and wind, to ensure we meet climate change targets, but without financial sustainability as well, we quickly realize it’s a never-ending rat-race of frustrations because of a lack of long-term results.

The Norwegian State

Norway strategically established the principle that the state was to work toward having majority shares in its oil and gas projects. With the majority of project shares, Equinor often became the lead operator in the oil and gas projects. This, in turn, influenced decisions to ensure contracts and jobs were kept local and the project benefitted Norwegian citizens from the resource.

This commitment fundamentally changed the course of Norway’s history. It is the pivotal right move that changed every single decision thereafter. This is a testament that when we step up, things align and fall into place. Prosperous, courageous action begets opportunity and much higher results. The key is to step up. Step up every time and avail of the opportunities that courageous right action provides. Norway earned $50 billion from its direct ownership of oil and gas licenses last year which is more than five times the amount earned in a normal year, as the country became Europe’s biggest supplier of natural gas after Russia’s invasion of Ukraine.

Another example displays Norway’s catch-net of benefits, as additional discoveries around the Norwegian Troll field, where Equinor had its second find of the year will deliver estimated volumes of 24 million and 84 million barrels of oil equivalent. Norway becomes the primary beneficiary of these additional finds rather than the oil companies. With Norway in the driver’s seat of its energy resources, the destination was always profitable and sustainable long term.

Without majority project ownership, Canada remains short-sighted and unable to avail of the totality of benefits from critical energy resources. We can no longer afford to believe that we are not the creators of our destiny. Rather Canada needs to be proactive, long-term thinkers, as seen by the leadership in Norway. Norway proves time and time again, that fortune favors the brave.

The Bay du Nord FPSO will be located 500 km NE of St. John’s at water depths of 650 – 1170 meters and recoverable oil has been projected to be over 1 billion barrels. The developer of the project, Equinor, has determined that a floating production storage and offloading vessel (FPSO) will be used to extract the oil.

Upramp of work for Equinor’s massive deepwater project is commencing, and the first oil is expected in about five years’ time. Construction is expected in 2024 once a benefits agreement is fully in place with the provincial government of Newfoundland and Labrador

Local Newfoundland and Labradorians are bound by the Atlantic Accord which governs the workflow of projects to be executed locally with local people. It’s a right, a necessity and an important piece of project success.

According to Equinor they, “Strongly support building local capacity and will prioritize goods and services from suppliers within the Province wherever possible. Consistent with the Accord Acts, Equinor will adopt a contracting and procurement strategy that gives first consideration to services provided from within the Province and to goods manufactured in the Province, where those services and goods are competitive in terms of fair market price, quality and delivery.” Equinor’s contracts and procurement office is located in St. John’s, to coordinate and manage the project’s procurement-related activities in the region.

Darin King, Director of Trades NL says, “We have the capacity and world-class workforce to Build Right Here in Newfoundland and Labrador. Trades NL is heavily advocating to ensure that our government and Equinor maximize the Bay du Nord opportunity to its full potential.

This project has the potential to create a significant amount of work for the people in the province, however, there are key components of the project that must be constructed in the province for that to happen.

This includes, but is not limited to:

• Construction of Process and Utility Modules;
• Matting of Constructed Modules;
• Commissioning and Startup;
• Tow-out of the FPSO, as well as a;
• Community Benefits Agreement.

Trades NL has built upon a 30-year legacy with an increasingly experienced, high-caliber, highly trained and safe workforce to construct Bay du Nord. Darin King believes that everything, except the hull can, and should, be built in Newfoundland & Labrador. Equinor’s website states, “Equinor strongly supports building local capacity. Equinor expects successful bidders for contracts awarded for the Bay du Nord project to work together with Equinor and the local labor force in order to optimize participation from the local marketplace in the project development.”

Darin King explains his concerns for the project, “We’ve had projects happen in the past where the work was done elsewhere unnecessarily. Our goal is to ensure that we garnish the work that we are qualified to execute. We have thirty years of exemplary offshore experience in the trades sector and these mega-projects are now at a point where our expertise and competence are being executed all over the world. Our goal is to ensure that any transfer of technology continues to grow in the region and that we use our current expertise and resources to ensure Bay du Nord has a world-class safety protocol and workforce.”

GET INVOLVED!

Please engage with your local MHA and other government officials – to ensure they are aware that in order for this project to reach its full potential and return profits to communities throughout our province, they must continue to advocate for work to be constructed within our province, by our local workers.

Be professional, respectful and deliver a strong message.

Premier Andrew Furey: (709) 729-3570, premier@gov.nl.ca

Hon. Andrew Parsons: (709) 729-2920, andrewparsons@gov.nl.ca

List of MHAs and their contact details: assembly.nl.ca/members

The Net Zero Project supports the development of clean growth strategies and projects in priority areas of Canada’s net zero journey as they relate to its offshore energy industry: carbon capture, utilization, and storage; electrification and renewable energy; and hydrogen.

The Net Zero initiative includes a range of activities, such as:

• Developing a roadmap for achieving net-zero emissions in Newfoundland and Labrador by 2050.
  
• Establishing a network of organizations committed to the transition to a net-zero economy.
  
• Conducting research and analysis to identify opportunities for reducing emissions and developing new technologies.
  
• Providing training and support to businesses and organizations to help them reduce their carbon footprint.

THE NET ZERO ELECTRIFICATION FEASIBILITY STUDY

Aker Solutions is a market leader in both offshore greenfield and offshore brownfield electrification of oil
and gas facilities through studies and projects in Norway, Scotland, Gulf of Mexico, Australia and Brazil.
Aker has taken the learnings from these activities and applied them to potential developments offshore
Newfoundland and Labrador.

Offshore platforms typically generate electricity by burning fossil fuels to run onboard gas turbines and/or
diesel-powered generating units. An alternative is to supply offshore installations with electricity from the
mainland using a power cable transmission system.

There are many benefits to utilizing power from the shore including reduced CO2 emissions, increased efficiency due to increased uptime of power system, increased safety due to reduction in possible sources of ignition and reduced planned maintenance and lower operating costs.

Power can be connected from shore via alternating current (AC) or direct current (DC). For distances longer than 150 km, high voltage direct current (HVDC) has historically been used. The power transmission losses of the entire string do however always need to be considered from an overall perspective.

Power from shore is widely used offshore Norway where sixteen fields constituting 45% of the countries’ oil and gas production will be connected to the shore by 2023 by both HVDC and AC cables. Similar to
Newfoundland and Labrador, Norway’s electrical grid is predominantly powered by low GHG emitting
hydroelectric power. This project aims to apply lessons learned from the Norwegian power from shore
experience to future developments in the more challenging offshore environment of Newfoundland and
Labrador.

Offshore developments in Norway are typically in 100-400m water depth, and generally within 150km of
shore, whereas the potential development areas identified in this scope are in iceberg-prone locations more than 400km offshore and in water depths greater than 1200m. This water depth leads to floating solutions that have to be readily able to disconnect in the event of a potential iceberg impact. The only FPSO currently powered from shore in Norway is the permanently moored circular Goliat FPSO located in 400m of water and 100km offshore, in an area that is not prone to icebergs.

POWER FROM SHORE SCENARIOS

Two potential greenfield power from shore development scenarios have been identified; a development in the West Orphan Basin with a point of interconnection (POI) at the Soldiers Pond station, and a potential development in the Labrador Sea with a POI at the Muskrat Falls generating station (See Figure 3-1: Potential Power From Shore Development Areas).

Aker’s analysis indicates that electrifying new floating developments in these locations is challenging but feasible. These developments would be amongst the furthest from shore and deepest water electrification projects carried out to date.

The most appropriate technology for these locations is low-frequency AC distribution with subsea transformers acting as distribution points to the FPSO. The diagrams below are a representation of the preferred LFAC approaches.

LFAC power from Shore Transmission System for 2xFPSOs

Representation of an LFAC power from shore transmission system for 4xFPSOs

The development of this initiative points toward the use of a Low-Frequency AC transmission and distribution system. This transmission technology will require less onboard space, reduced weight, and offer more flexibility in the electrical system design of the FPSO because major equipment, such as a gas compressor, can utilize the incoming 20Hz power and smaller converters and transformers can feed the remaining equipment as necessary.

This will lead to reductions in regular maintenance, and increases in system uptime as the system does not require the maintenance or downtime associated with main power generation by onboard rotating machines.

This system would require an onshore connection to the power grid and equipment to step down the voltage between 132kV and 145kV for subsea transmission. It also requires a subsea cable connected to a subsea transformer for distribution to multiple FPSOs, and to step down the power from the transmission voltage to 50-66kV, for use on each FPSO. It would also require dynamic cables from the sea bed to the FPSO, and will require the use of an electrical swivel if a ship-shaped FPSO concept is selected.

To review the full report click here

Intelligent Wellhead Systems Inc., a leading supplier of digital technologies that improve oil and gas well completion operations, announced that Shiblee Hashem has joined the executive management team as Vice President of Operations.

In his new role, Hashem will lead the rapidly growing operations team, including the regional managers and US facilities teams, and work closely with the COO to drive the company’s transformational strategies to meet financial goals.

“Safety and efficiency have always been part of the IWS mission,” said Hashem.  “As the company grows in 2023, our focus is on delivering the highest service quality while maintaining safe and efficient operations,” he added.

Hashem brings more than 25 years of oil and gas consulting and operations management experience in both upstream and downstream services.  Throughout his career, Hashem has worked closely with some of the largest independents and national oil companies in Europe, the Middle East, Asia, North and South America, and North, East and West Africa. Drawing upon his extensive national and international experience, he offers a diverse professional background in both executive and technical management. Prior to joining IWS, he held senior management positions with AccessESP (a Baker Hughes Company) and Halliburton.

Hashem earned a Bachelor’s Degree (Cum Laude) in Electrical Engineering from Prairie View A&M University in Texas.  While studying for his degree, he was a collegiate president of Eta Kappa Nu, the international honor society of the IEEE, and a member of Tau Beta Pi, an engineering honor society. He is also a graduate of the Executive Business Leadership Program in Business Administration, Finance and Management from the Mays Business School of Texas A&M University.

In addition, Hashem belongs to the Project Management Institute (PMI) and the US Gulf Coast Section of the SPE.  He is currently serving as the Program Chairperson of the SPE’s Bangladesh Section.

Based in Houston, Hashem reports to Steve Sinclair-Smith, Chief Executive Officer of IWS.

Recent highlights

In other news, Pason Systems, Inc. increased its non-controlling investment in IWS through the acquisition of outstanding common shares of IWS for an aggregate purchase price of $7.9 million and an agreement to invest up to $25 million in preferred shares of IWS. 

There was also cause for celebration when the company’s inVision® Digital Valve Control™ technology received a Special Meritorious Award for Engineering Innovation (MEA) in the Digitalization category from Hart Energy.

About Intelligent Wellhead Systems

The InVision™ platform for Completion operations from Intelligent Wellhead Systems improves wellsite safety and efficiency with Wellsite Instrumentation, Digital Valve Controls, and Remote Monitoring solutions. Utilizing its customer’s standard operating procedures, IWS creates a Digital Handshake™ to minimize human errors during operations activities. 

Learn more via the company’s website – www.bettercompletions.com or email info@bettercompletions.com.

Critical minerals are an essential component of many renewable energy and clean technology applications and are vital to building Canada’s green and digital economy. That is why the Government of Newfoundland and Labrador is joining the Government of Canada in providing support to help the province’s mining sector to grow and meet the increasing global demand for critical minerals.

The Honourable Seamus O’Regan Jr., federal Minister of Labour and MP for St. John’s South-Mount Pearl, announced an investment of $5.2 million over the next three years for the Government of Newfoundland and Labrador to deliver two new critical mineral initiatives focused on geoscience and exploration activities. The announcement was made on behalf of the Honourable Ginette Petitpas Taylor, federal Minister of Official Languages and Minister responsible for ACOA.

In addition, the Honourable Andrew Parsons, Minister of Industry, Energy and Technology, confirmed $4.6 million in support through its existing Junior Exploration Assistance program and in-kind support over three years. These investments support an airborne geophysical survey program to help identify areas in the province for potential critical mineral exploration. The surveys will capture data remotely from areas where the geology is not well understood due to poor bedrock exposure. 

The funding will also provide increased support for eligible junior exploration companies searching for critical minerals in Newfoundland and Labrador through a new component of the Provincial Government’s Junior Exploration Assistance Program. Newfoundland and Labrador’s mineral industry continues to be a key economic driver for the province and a focus for investment attraction efforts. The estimated activity for 2022 is projected to result in over $5.4 billion in mineral shipments, $189 million in exploration expenditures, and employment of approximately 8,800 person-years.

Quotes

“The rise of critical minerals presents a real opportunity for Newfoundland and Labrador, given this province’s tremendous critical mineral potential. Support for exploration is necessary to expand our future critical mineral production and our participation in the creation of those products necessary to drive the transition to a green economy,” said Honorable Andrew Parsons, Minister of Industry, Energy, and Technology.

“Newfoundland and Labrador’s remarkable geology has helped us build a strong mining sector that provides thousands of jobs and many benefits for businesses and communities. We know that there is an untapped potential right here to discover more of the critical minerals that Canada and the world need to build a greener economy,” said Honorable Seamus O’Regan Jr., Minister of Labour and MP for St. John’s South-Mount Pearl.

“Atlantic Canada has an important role to play in developing sustainable industries and contributing to the digital economy. This investment will help ensure that more critical mineral exploration and development move forward, which will contribute to clean growth and support this region’s mining industry,” said Honorable Ginette Petitpas Taylor, Minister of Official Languages and Minister Responsible for ACOA.

Belinda Labatte, CEO and Director stated: “We are pleased that these assays further confirm the results of the infill and expansion programs encountered so far. Significant intervals were encountered in the third and last batch of results from the Battery Zone, including 10 holes (LL-22-70 to 79) in the south end of the Battery Zone. The assay results further validate the continuity and quality of the mineralization. The best interval of 10.37% Cg over 64.0m was encountered in hole LL-22-074 including 14.15% Cg over 14.5m. We look forward to receiving the results from the shoulder sampling conducted in November in the EV and Battery Zones, to complete the drill database. The database would be used to start with the NI-43-101 compliant mineral resource estimate.”

Highlights

Assay results from the third and last batch of 10 of 26 holes drilled at Battery Zone:

• Consistent, near-surface graphite mineralization along the southwest margin of the Battery Zone
• Strong graphite values and significant widths in all 10 drill holes
• The best interval of 10.37% Cg over 64.0m from 27.0 to 91.0m in hole LL-22-074 including 14.15% Cg over 14.5m from 45.0 to 90.0m
• The second best interval of 11.42% Cg over 26.5m from 48.0 to 74.5m including 15.01% Cg over 13.5 from 51.0 to 64.5m and 17.16% Cg over 5.5m from 69.0 to 74.5m in hole LL-22-073
• The battery zone remains open on the south end.

The drilling was supervised by Québec-based, independent geological consultant Breakaway Exploration Management Inc. and was operated under ECOLOGO requirements and compliance protocols, as Lomiko is ECOLOGO certified. Please see the press release issued on March 23, 2022, for more details about Lomiko’s ECOLOGO certification.

The drill program at La Loutre was initiated on May 15, 2022, with the goal to further define the deposit, provide the data needed to increase confidence in the mineral resource, and build on the results of the positive Preliminary Economic Assessment (“PEA”) for the La Loutre project as announced in the Company’s July 29, 2021 press release. Lomiko has retained InnovExplo Inc, a Quebec-based independent consulting firm specializing in geology, resource estimation, mining engineering, and sustainable development, to prepare an updated NI 43-101 compliant resource estimate for the La Loutre project following the completion of the 2022 drill program.

The assay results reported in this press release are for the 10 holes drilled at the south end of the Battery Zone. These holes were drilled to confirm the results of the previous drilling and provide better detail in this part of the Battery deposit. Please refer to Table 1 for the weighted averaged graphitic carbon-bearing drill intersections (not true thickness) and Table 2 and Figure 1 for the collar locations referred to in this press release.

Significant intervals of graphite mineralization were intersected in all 10 holes. The best intersection was 10.37 percent graphite (“%Cg”) over 64.0m from 27.0 to 91.0m in hole LL-22-074 including 14.15% Cg over 45m from 45.0 to 90.0m. The second-best interval was 11.42% Cg over 26.5m from 48.0 to 74.5m including 15.01% Cg over 13.5 from 51.0 to 64.5m and 17.16% Cg over 5.5m from 69.0 to 74.5 in hole LL-22-073. These two holes as well as holes LL-22-077, LL-22–078, and LL-22–079 form the southernmost extent of the Battery Zone. The robust dimensions and tenor of the strong intervals intersected in these holes suggest that the intervals continue further to the southeast and that the Battery zone remains open in that direction.

Generally, it was noted that the graphite mineralization intersected in the Battery zone is visually more coarse-grained than the graphite mineralization intersected at the recently drilled EV Zone.

Table 1: Weight averaged graphitic carbon-bearing drill intersections (not true thickness)

Table 2: Drill Hole Collar Locations (UTM NAD 83, Zone 18)

QAQC and Analytical Procedures

The drill core was logged and marked for sampling by a professional geologist. All the core was photographed as part of the logging procedure. Core samples were collected by splitting each sample interval in half lengthwise with a hydraulic core splitter. One-half of the interval was returned to the core box, and the other half was placed in a plastic bag with a tag. The tag number was marked in indelible ink on the outside of the bag, and the bag was sealed with a plastic tie-wrap. One certified reference material standard and one blank were included in each batch of 21 samples. For shipping, samples were placed in rice bags that were individually sealed with numbered, tamper-proof security tags. The rice bags were then placed on wooden pallets, secured with plastic wrapping, and delivered by truck to Manitoulin Transport Inc. for shipping to Activation Laboratories Ltd. (“Actlabs”) in Ancaster, Ontario.

At Actlabs the samples were crushed to 80% passing 2mm and then riffle split to a 250g sub-sample that was pulverized to pulp 95% passing 105μm (Actlabs Code RX1). The sample pulps were then analyzed for graphitic carbon “Cg”) by mild hydrochloric acid digestion followed by combustion in an infrared induction furnace (Actlabs Code 8Cg). Actlabs is accredited under ISO 9001:2015 registration and is independent of the Company.

Qualified Person

The technical content presented in this press release was reviewed by Mark Fekete, P.Geo. who actively participated in the La Loutre drill program as an independent consultant to the Company as the “Qualified Person” as that term is defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

About Lomiko Metals Inc.

Lomiko Metals has a new vision and a new strategy for new energy. Lomiko represents a company with a purpose: a people-first company where we can manifest a world of abundant renewable energy with Canadian and Quebec critical minerals for a solution in North America. Our goal is to create a new energy future in Canada where we will grow the critical minerals workforce, become a valued partner and neighbor with the communities in which we operate, and provide a secure and responsibly sourced supply of critical minerals.

In addition to La Loutre, Lomiko is working with Critical Elements Lithium Corporation towards earning its 70% stake in the Bourier Project as per the option agreement announced on April 27^th, 2021. The Bourier project site is located near Nemaska Lithium and Critical Elements south-east of the Eeyou Istchee James Bay territory in Quebec which consists of 203 claims, for a total ground position of 10,252.20 hectares (102.52 km2), in Canada’s lithium triangle near the James Bay region of Quebec that has historically housed lithium deposits and mineralization trends.

About the La Loutre Graphite Project

The Company holds a 100% interest in its La Loutre graphite development project in southern Quebec. The La Loutre project site is located within the Kitigan Zibi Anishinabeg (KZA) First Nations territory. The KZA First Nations are part of the Algonquin Nation and the KZA territory is situated within the Outaouais and Laurentides regions.​ Located 180 kilometers northwest of Montreal, the property consists of one large, continuous block with 76 mineral claims totaling 4,528 hectares (45.3 km2).

The Property is underlain by rocks belonging to the Grenville Province of the Precambrian Canadian Shield. The Grenville was formed under conditions that were very favorable for the development of coarse-grained, flake-type graphite mineralization from organic-rich material during high-temperature metamorphism.

Lomiko Metals published July 29, 2021, Preliminary Economic Estimate (PEA) which indicated the project had a 15-year mine life producing per year 100,000 tonnes of graphite concentrate at 95% Cg or a total of 1.5Mt of graphite concentrate. This report was prepared as National Instrument 43-101 Technical Report for Lomiko Metals Inc. by Ausenco Engineering Canada Inc., Hemmera Envirochem Inc., Moose Mountain Technical Services, and Metpro Management Inc., collectively the Report Authors.

For more information on Lomiko Metals, review the website at www.lomiko.com

President & Director Rowland Howe will provide an in-depth update on the Company at 11:40 a.m. ET, November 22, 2022. RMEC is an interactive experience for featured companies and investors. Companies will have 20 minutes to outline their investment opportunity before investors get the ability to engage in a real-time Q&A with management after the presentation.

About Atlas Salt

Atlas Salt owns 100% of the Great Atlantic salt deposit strategically located in western Newfoundland in the middle of the robust eastern North America road salt market. The project features a large homogeneous high-grade resource located immediately next to a deep water port. Atlas is also the largest shareholder in Triple Point Resources as it pursues the development of Fischell’s Brook Salt Dome in the heart of an emerging Clean Energy Hub on the west coast of Newfoundland.

About RMEC

RMEC (Resource Mining & Exploration Conference) is a unique virtual investor conference. The goal is to expose new investors, as well as our global network of retail and institutional investors, to vet Exploration & Mining opportunities. The number of companies is limited, and the content is curated with investor time and interest is paramount. While not exhaustive by design, the REMC aims to present potential investments to new and seasoned resource investors by presenting highlights for further research.
 
Each participating company hosts a live presentation followed by a Q&A period within approximately a 35-minute slot. The goal is to help investors learn about the junior companies that are shaping the future of the Global Resource Sector within a responsive and pressure-free environment.
 
RMEC will present up to six junior exploration companies, as they seek to discover the next world-class mines.

Investors can get more detail about RMEC at www.rmeconferences.com.

Partnering with an industry leader such as NAH, which is the most active driller of helium wells globally by a wide margin, offers a significant advantage for HEVI. As a result of being aligned with NAH and executing this Amended Farmout, HEVI is ideally positioned to benefit from the continued exploration and development of its asset base by NAH and to leverage its extensive data, learnings, and expertise, without spending capital in the near term. NAH’s farm-in allows HEVI to conserve its approximately $10 million in cash and liquid assets while maintaining financial flexibility and future optionality to pursue other targets across the Company’s 5.5 million acres of helium rights.

As part of the Amended Farmout, HEVI and NAH also entered into a new seismic option agreement (the “Seismic Option Agreement”) and seismic option review agreement (the “Seismic Option Review Agreement”) (and together with the Seismic Option Agreement, the “Seismic Agreements”), which could expand the number of wells to be drilled by NAH by 60%, from the original five to up to eight. The Amended Farmout supersedes the original farmout entered into with NAH on June 28, 2022 (the “Original Farmout”) and maintains all earning terms and after-earning operations from the Original Farmout.

“This Amended Farmout truly sets HEVI apart from other helium-focused peers, as we are afforded multiple near-term drilling catalysts, including two exploration wells by year-end 2022 and a third drill in the first half of 2023, without spending our own capital and while retaining 99% of our land base,” said Greg Robb, President & CEO of HEVI. “In addition, NAH could increase the number of drills from five, contemplated under our Original Farmout, up to potentially eight wells as a result of the Seismic Agreements, an approximately 60% increase. The Amended Farmout allows HEVI to maintain optionality to continue exploration and development of internally-generated targets on our extensive land base while providing visibility to bring production on stream without subjecting shareholders to dilutive equity financing.”

Strategic Benefits of the Amended Farmout & Seismic Agreements

• Drilling Timelines Accelerated: NAH will accelerate the timeline to drill its first two test wells at Mankota, as defined herein, into Q4/22 and commits to drilling a third well in the first half of 2023. If any of these three initial test wells are commercially productive, NAH has committed to expeditiously drill development wells on the related earned farmout blocks, which management expects could be timed to coincide with a potential new NAH processing facility.
• Receipt of Proprietary Seismic: Under the Amended Farmout, NAH will furnish to HEVI two proprietary seismic lines comprised of 35km of data in the Mankota area, previously used by NAH to target drilling locations, of which three are currently producing helium. Mankota is situated in the first of three predetermined blocks of land in Saskatchewan as outlined in the Original Farmout. NAH will select a fourth and fifth test well location on each of the other two blocks by June 30, 2023, with both wells to be spud by Q1/24.
• Seismic Agreements Expands Drilling: NAH and HEVI have entered into a new Seismic Option Agreement and Seismic Option Review Agreement, covering two seismic option areas (the “Seismic Option Areas”) and one seismic review area (the “Seismic Review Option Area”) at Mankota. Details of the Seismic Agreements are provided below.

Seismic Option Areas: Pursuant to the Seismic Option Agreement, NAH will shoot new seismic, incurring 100% of the cost, in both Seismic Option Areas, the data from which will be provided to HEVI, and earn NAH the right to drill an option well (the “Option Well”) in each of the two Seismic Option Areas prior to August 31, 2023, thereby earning an 80% operated interest in the section on which the Option Well was drilled plus nine contiguous sections of land. Following the drilling of each Option Well, NAH retains an 80% and HEVI a 20% working interest in the operations and lands. If NAH does not spud an Option Well by August 31, 2023, their ability to earn a working interest terminates.

Seismic Review Option Area: Pursuant to the Seismic Option Review Agreement, NAH is able to review HEVI’s proprietary seismic data covering the identified Seismic Review Option Area, along with data from HEVI’s 06-02-06-06W3M well for a 30-day period. Following this review, NAH can elect to drill a well in the Seismic Review Option Area (the “Seismic Review Option Well”) on or before the end of Q2/23, release the option altogether, or shoot new seismic data over the Seismic Review Option Area. If the latter option is elected, NAH would provide the data to HEVI, and have the option to spud a Seismic Review Option Well before October 31, 2023, on the same terms as Option Wells outlined above.

Executing this Amended Farmout provides numerous strategic advantages for HEVI. With NAH committing to drilling two wells in Q4/22 and a third well in the first half of 2023, HEVI offers shareholders exposure to near-term drilling catalysts that can accelerate cash flow generation. In addition, HEVI will receive proprietary seismic that NAH used to successfully bring three new helium wells into production, giving HEVI greater insight and valuable data that can be used in identifying future targets. Finally, the execution of the Seismic Agreements will give HEVI access to greater seismic coverage on its land without the associated costs, and provides an opportunity to participate in wells drilled by NAH across the Seismic Option Areas and Seismic Review Option Area. All of these enhancements are expected to drive meaningful value creation and strengthen HEVI’s longer-term outlook.

About Helium Evolution Incorporated

Helium Evolution is a Canadian-based helium exploration and production company holding the largest helium land rights position in North America among publicly-traded companies, focused on developing assets in southern Saskatchewan. The Company has over five million acres of land under permit near proven discoveries of economic helium concentrations which will support scaling the exploration and development efforts across its land base. HEVI’s management and board are executing a differentiated strategy to become a leading supplier of sustainably-produced helium for the growing global helium market, offering a compelling opportunity for investors.

The Smart DP Transmitter provides multiple measurements ranging from -5 PSI (-138 inH2O) to 5 PSI (138 inH2O) through -1500 PSI (-41520 inH2O) to 1500 PSI (41520 inH2O) with a reference accuracy of ±0.075% of full span. It offers up to a 100:1 turndown ratio while all models support Primary Value (PV) reversal (high side / low side) except for the 1500 PSI option.  For seamless integration, the DP Transmitter can be ordered with an output option of 1-5V, 4-20mA, 4-20mA/HART, or RS485 Modbus.  All models carry the Explosion-Proof rating, while the 4-20 mA/HART model can be ordered with the optional Intrinsically Safe rating.  The new DP Transmitter is provided with our signature highly visible backlit, 350° rotatable LCD screen. In addition, magnetically coupled integral pushbuttons are provided both internally and externally for ease of use.  Configuring the transmitter is effortless with an easy-to-navigate menu system.  

“The rapid adoption of our H Series platform has only reinforced the market’s need for cost-effective, high-performance process instrumentation with advanced features. OleumTech is continuing to innovate and, while we are excited about the release of the DP Transmitter, we are equally excited about our product road map and the releases expected over the coming months,” said Brent McAdams, OleumTech Executive Vice President.

Smart Differential Pressure Transmitter Highlights:

• Nominal pressure range options:
  5, 30, 150, 400, 1500 PSI /
  138, 830, 4152, 11072, 41520 inH2O
• Reference accuracy: ±0.075% of full span
• Stability: ±0.2% Upper Range Limit / 5 years
• Output signal options:
         1-5 V
         4-20 mA
         4-20 mA/HART
         RS485 Modbus
• Adjustable span, Turndown ratio of 100:1 (accuracy not affected at TD ratio of 10:1 and below)
• Backlit, 350°-rotatable LCD
• Push button configuration
• Diaphragm option: Hastelloy C or 316L SS
• Explosion-Proof (standard on all models)

Intrinsically Safe (optional on 4-20mA/HART model only)

About OleumTech

OleumTech® is a leading manufacturer of wireless industrial automation, IoT, and machine-to-machine (M2M) solutions. For the past two decades, OleumTech has set the performance standards in M2M and IIoT communications with over 550,000 transmitters and 50,000 networks deployed.  Their versatile products are distributed globally in oil and gas, refining/petrochemical, water/wastewater, and IoT industries, as well as other industries that require industrially-hardened, battery-powered sensors and I/O networks. Headquartered in Foothill Ranch, CA, OleumTech is an ISO 9001-certified organization with a full commitment to excellence in delivering superior quality, reliability, and customer satisfaction.

For more information, visit www.oleumtech.com and follow us on Facebook, LinkedIn, and YouTube.

Newfoundland and Labrador is a hotbed of activity serving the new energy revolution. The energy transition to clean fuels and renewables makes the province a powerful solution for meeting global demand and responsible oil.

Newfoundland and Labrador provide a secure, strategically located, prosperous location for energy companies who want to invest and work in the region.

Andrew Parsons, Minister of Industry, Energy, and Technology outlines his views on energy and the highly lucrative opportunities for the future ahead.

The OGM: Many people blame oil and gas for the climate crisis, what are your thoughts on this?

Andrew Parsons: The Province understands the importance of the Newfoundland and Labrador oil and gas sector in the energy transition. With our low emissions per barrel compared to the international average and our strong environmental, social, and governance structure – Newfoundland and Labrador can be a part of the solution in helping meet global demand for responsible oil while the world transitions to a lower-carbon economy. 

The OGM: What’s the province’s plan for a new energy mix?

Andrew Parsons: Newfoundland and Labrador are fortunate to have an abundance of renewable energy resources. Currently, over 80 percent of our electricity is generated from renewable energy resources, which will increase to 98 percent with the in-service of Muskrat Falls, and decommissioning of the Holyrood Thermal Generating Station. The province developed a renewable energy plan late last year with input from residents, industry, and stakeholders. The five-year, “Maximizing Our Renewable Future” plan has a vision of reducing the province’s fossil fuel use, and delivering affordable and reliable renewable energy to the people of the province and beyond while developing and using its renewable energy resources in a manner that ensures environmental protection, meaningful Indigenous engagement, job creation, and industry growth. This plan is available on IET’s website.

The OGM: What do you think are the feasible solutions for Carbon capture and storage?

Andrew Parsons: With our existing infrastructure and highly trained workforce, Newfoundland and Labrador are very well positioned to take advantage of the economic opportunity presented by carbon capture and storage. Our world-class offshore carbon (CO2) storage prospectivity spans 1.8 million km2, with the potential for much more. The province’s extensive database of seismic data will play a role in the identification of these reservoirs. 

The OGM: What’s the economic opportunity in clean-tech innovation?

Andrew Parsons: The clean technology sector will play a vital role in the economic recovery of Newfoundland and Labrador.  Clean technology innovation will contribute to job creation, economic diversification, and a sustainable economy. It will drive economic development, playing an increasingly important role in the development of many of our resource sectors such as oil and gas, mining, forestry, fisheries and aquaculture, tourism, and oceans. This diversity uniquely positions our province to research and develop clean tech solutions for our traditional industries, and sell these solutions to the world.  

The OGM: Where will oil and gas play a role in energy 10 years from now – 20 years from now.

Andrew Parsons: Well-known and respected sources of energy-market analysis, such as the International Energy Agency and the United States Energy Information Administration, forecast that oil and natural gas could meet approximately 50% of total global energy supply and consumption over the next 10 to 20 years in recent long term scenario outlooks. Even in some of the more stringent pathways forecasted, to achieve net-zero CO2 emissions by 2050, oil and natural gas still represent around 30% of the world’s energy supply and consumption mix by 2040. With the restart of the West White Rose, Terra Nova coming back online this year, and the recent approval of Bay du Nord, the province’s offshore will play a key role in helping the province meet global demand for environmentally responsible and geopolitically secure sources of oil. 

The OGM: What’s the best-case scenario for responsible development while mitigating climate impact?

Andrew Parsons: Newfoundland and Labrador have a strong environmental, social, and governance structure, matched with our low emissions per barrel compared to the international average we continue to show our commitment to net-zero by 2050 while managing a just green transition.

Source and Image: www.gov.nl.ca

Texas A&M University researcher Dr. Hongquan Chen is spearheading a two-year project to upgrade the software with pathline calculation visualizations, which can show how changing conditions underground affect the speed and direction of fluids.

Since no cameras exist underground to show detailed reservoir activity, tracking injected fluid movement is a matter of math based on data and the laws of physics to render or visually create flow simulations. Streamline software is fast enough to render an instant flow field, like a snapshot. Still, it can’t keep up with flow alterations, especially when reservoir pressures drop or increase with startups or shutdowns in adjacent wells. Pathline calculations consider fluid to be made of individual particles, and all instances of each fluid particle’s movements are tracked and combined into a tracking flow, like a video.

“Think of buildings on the Texas A&M campus as the geologic structure underground and the students moving between them as the individual fluid particles,” Chen explained. “Streamlines would be the timed snapshots from security cameras that track students leaving or entering the buildings. Pathlines would be tracking every student’s phone by GPS location as they traveled their entire routes to class. So, streamlines assume a steady walk between buildings, and pathlines show if they ran, walked, or stopped to talk.”

Chen is enhancing the software architecture to accommodate a robust parallel calculation process while developing algorithms to trace the fluid particle positions, or pathline segments, across time steps. In the end, all the pathline segments will be chain-linked into a flow-over-time video. Because the particle locations are captured frame by frame, any flow field changes that disturb the particles’ movement will show up in the video.

The project currently focuses on fluid flow in conventional oil and gas reservoirs, but Chen said pathlines could also reflect fluid migration in more complicated reservoirs. The calculations could also work with gas injections, easily tracking and displaying whether carbon dioxide or hydrogen penetrates deeply into a storage reservoir or migrates to a place of high leakage risk.

“We could even extend this to geothermal problems,” said Chen. “Like fluids, thermal energy can also be traced, though heat flow is more intangible. This could visualize any subsurface flow, whether fluid or heat. The potential is there.”

With global oil markets in turmoil and gasoline prices soaring around the world, an upcoming event hosted by Rice University’s Baker Institute for Public Policy will highlight how economic sanctions on Russia will affect everything from the cost of a barrel of oil to the price of gas at the pump. 

World-renowned energy experts Toril Bosoni, head of the International Energy Agency’s oil industry and markets division, and Natasha Kaneva, head of global commodities strategy at J.P. Morgan, will discuss the current state of the oil market March 23.

Oil remains the world’s largest source of energy — by far — even as policymakers consider plans for an alternative energy future. The economic sanctions imposed on Russia by the United States and the European Union have pushed prices to multiyear highs amid growing fears of supply disruption. The discussion with Bosoni and Kaneva will explore questions surrounding supplies and what role governmental policy can play in addressing challenges.

What: Baker Institute event, “Oil Market Update: Taking Stock After Russia’s Invasion of Ukraine.”

Who: Bosoni will present the IEA’s latest monthly Oil Market Report, followed by comments from Kaneva. After the presentation, Mark Finley, fellow in energy and global oil at the Baker Institute, will moderate an audience Q&A.

When: Wednesday, March 23, 9-10 a.m. CDT.

Where: The event is free and open to the public, but registration is required. There are two ways to attend: register here to attend in person, or register here to attend virtually via Zoom.

Follow Rice News and Media Relations via Twitter @RiceUNews.

This news release can be found online at news.rice.edu.

Founded in 1993, Rice University’s Baker Institute ranks as the No. 2 university-affiliated think tank in the world and the No. 1 energy think tank in the world. As a premier nonpartisan think tank, the institute conducts research on domestic and foreign policy issues with the goal of bridging the gap between the theory and practice of public policy. The institute’s strong track record of achievement reflects the work of its endowed fellows, Rice University faculty scholars and staff, coupled with its outreach to the Rice student body through fellow-taught classes — including a public policy course — and student leadership and internship programs. Learn more about the institute at www.bakerinstitute.org or on the institute’s blog, http://blog.bakerinstitute.org.

Located on a 300-acre forested campus in Houston, Rice University is consistently ranked among the nation’s top 20 universities by U.S. News & World Report. Rice has highly respected schools of Architecture, Business, Continuing Studies, Engineering, Humanities, Music, Natural Sciences and Social Sciences and is home to the Baker Institute for Public Policy. With 4,052 undergraduates and 3,484 graduate students, Rice’s undergraduate student-to-faculty ratio is just under 6-to-1. Its residential college system builds close-knit communities and lifelong friendships, just one reason why Rice is ranked No. 1 for lots of race/class interaction and No. 1 for quality of life by the Princeton Review. Rice is also rated as a best value among private universities by Kiplinger’s Personal Finance.

Deputy Premier, Minister Siobhan Coady opened up sessions with positive outlooks and the way forward. In the first session business leaders profiled their sentiments on the plans for a prosperous future and included; Keith Pearson from the Town of Placentia, Charlene Johnson, CEO of NOIA, Corey Parsons, Director of Business Development and External Affairs from Trades NL.

Participants had a creative Speed Networking session allowing them to meet key individuals quickly and easily. An innovative way to get to know attendees and speakers alike. Companies shared their new projects, innovations, product and services in the exhibition.

The Port of Argentia is one of the most strategically positioned for global import-export, energy, minerals, tech, and other commodities. Its geographic position and sea lane proximity make it a meca-region to house marine-related industry sectors is second-to-none. Those from the Argentia region gave an overview of the many projects taking place at the Port of Argentia.

Speakers included Scott Penney, CEO, Port of Argentia, Alex Troake, Business Development Manager of TMSI, and Tara Laing, Director of Corporate Communications for Marine Atlantic. 

Providing an in-depth understanding of the aquaculture opportunities in the province were Mark Lane, past Executive Director of Newfoundland Aquaculture Industry Association, Carey Bonnell of Ocean Choice International. 

What’s very clear is the aquaculture industry in the province is in its infancy and there are enormous opportunities to come with on-land and at-sea aquaculture innovation.

Addressing industry and innovation a powerful team of speakers showcased the power of forward-thinking and laid the foundation for the tech industry that is about to happen in the province.

Kieran Hanley the Executive Director of econext spoke about accelerating cleantech growth in Newfoundland and Labrador. 

Paul Preston, CEO of techNL also paved the way for a tech-centered future as a possibility for lifting the island out of geographic restrictions and creating a foundation for being globally competitive.

Perhaps one of the most exciting projects on the horizon is LNG offshore Newfoundland. This coupled with Qatar Gas having a 40 percent equity investment offshore, and the local commitment by LNG Newfoundland to bring Natural Gas to market are very powerful signs of things to come.

The new LNG project happening offshore Newfoundland is focused on permitting and developing LNG infrastructure needed to monetize significant stranded natural gas in the Jeanne d’Arc Basin, offshore Newfoundland. LNG Newfoundland and Labrador is Canada’s opportunity to provide clean natural gas to growing markets in Europe. Once operational, the natural gas will produce some of the cleanest LNG in the world.The project will create enormous business opportunities and jobs while reducing impacts of climate change and air pollution globally. The Project requires a centralized offshore gas hub, a pipeline, and natural gas liquefaction facilities, and an export terminal at Grassy Point, Placentia Bay, NL. For more details on this project: www.lng-nl.com

Key Note speaker Andrew Parsons, Minister of the Department of Industry, Energy & Technology gave the final address. Forever the consummate supporter of the provinces people and companies Minister Parsons gave an optimistic outlook of things to come. Given all that the province has gone through and overcome, we have exciting times ahead.

It is predicted that when the oil and gas industry comes back on stream, the next 25 years will bring $100 Billion + in royalties and revenue from the offshore oil and gas industry. It is forecasted that the number of oil and gas jobs in the province will DOUBLE to approximately 56,000 people in that same time frame. All of that activity plus new oil finds to come, mean that wages and consumer sending will more than DOUBLE, and 15,000 new housing units will come into play by 2045 is predicted.

In order to build that prosperous energy future, we need to drill more and focus on project ownership. It has to be a Canadian mindset and mandate as well as a provincial one. The smartest politicians will see that possibility and will invest in the time needed to make it happen. Petroleum is the biggest game that Canada has in its resource nest egg and utilizing fossil fuels to bring in renewable energy, is the way to advance and prosper simultaneously!

ATTEND NEXT YEAR – SAVE THE DATE

October 25th and 26th 2022
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It is a significant milestone both for the commercialization of unconventional resources in Saudi Arabia and the expansion of Aramco’s integrated gas portfolio, which will provide additional feedstock to support growth of the Company’s high-value chemicals business, complement its focus on low-carbon hydrogen production and help reduce emissions in the domestic power sector by providing a cleaner-burning alternative to liquid fuel. 

With an estimated 200 trillion standard cubic feet of gas in place, the Jafurah basin hosts the largest liquid-rich shale gas play in the Middle East. This shale play covers an area measuring 17,000 square kilometers and production of natural gas at Jafurah is expected to ramp up from 200 million standard cubic feet per day (scfd) in 2025 to reach a sustainable gas rate of two billion scfd of sales gas by 2030, with 418 million scfd of ethane and around 630,000 barrels per day of gas liquids and condensates, which are essential feedstock for the growing petrochemical industry. It will make Saudi Arabia one of the world’s largest natural gas producers.

HRH Prince Abdulaziz bin Salman Al Saud, Minister of Energy for the Kingdom of Saudi Arabia, said: “I would like to thank the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, and HRH Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince, Deputy Prime Minister and Minister of Defense, for their ongoing support of the Kingdom’s energy sector. The development of Jafurah will positively contribute to the Kingdom’s energy mix and it has been made possible thanks to close co-operation between more than 17 different agencies. The government is committed to the empowerment of national companies such as Aramco and no other energy company in the world is empowered to the same extent by the state, or by the Ministry of Energy which oversees the concession to develop the Kingdom’s hydrocarbon resources.”

The project is a key component of the Company’s long-term strategy and Aramco expects total overall lifecycle investment at Jafurah to exceed $100 billion. Through its unconventional gas program at the Jafurah, North Arabia and South Ghawar fields, the Company expects to create more than 200,000 direct and indirect jobs. 

Amin H. Nasser, Aramco President and CEO, said: “This is a pivotal moment in the commercialization of Saudi Arabia’s vast unconventional resources program. It is a breakthrough that few outside the Kingdom thought was possible, and which has positive implications for energy security, economic development and climate protection. Gas has a critical role to play in the energy transition and it will help significantly reduce emissions in the domestic energy sector, while providing a feedstock for low-carbon hydrogen and ammonia. It will also allow Aramco to tap into high-value feedstocks for use in the expanding Downstream petrochemicals industry and our aim is to significantly increase our gas production capacity over the next decade to meet demand growth.”

Aramco recently announced its ambition to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions across its wholly-owned operated assets by 2050. Jafurah is expected to contribute to Saudi Arabia’s goal of producing half of its electricity from gas and half from renewables as the Kingdom pursues its own 2060 net-zero target. 

At peak production, Aramco’s unconventional gas program is expected to replace around half a million barrels of crude oil per day that would otherwise have been used for domestic consumption. The Jafurah gas development alone is expected to replace more than 300,000 barrels of crude oil per day at peak production. 

Nasir K. Al-Naimi, Aramco’s Upstream Senior Vice President, said: “The development of Jafurah is a game-changer for our Unconventional Resources program. It will be one of the most modern, cost-efficient shale development schemes in the industry and observe the highest environmental and safety standards. Jafurah will be a key enabler of our ambitions moving forward, and we continue to explore new fields, re-evaluate existing ones and evaluate potential joint investment opportunities in both natural gas and natural gas liquids as we pursue our goal of developing an integrated global gas portfolio to meet long-term energy and petrochemicals demand.” 

Aramco has awarded 16 subsurface and EPC contracts valued at $10bn for the Jafurah Gas Plant and gas compression facilities, as well as infrastructure and related surface facilities. These contracts were awarded to domestic and international service companies and involve several projects to enable development of subsurface and surface components of the Jafurah program. 

This will allow for the reliable delivery of gas and condensates through a dedicated surface network that includes a gas processing plant, a gas compression system and network of around 1,500 kilometers of main transfer pipelines, flow lines and gas gathering pipelines. The program also includes construction of the Jafurah Bulk Supply Point, transmission lines, power interconnection for Jafurah Gas Plant and new cogeneration plant facilities. 

In line with Aramco’s Digital Transformation Program, development of Jafurah will incorporate advanced Fourth Industrial Revolution (4IR) technologies, including Industrial Internet of Things (IIoT) and video analytics, to enhance construction, operation and safety. 

Aramco has awarded the majority of Jafurah subsurface contracts, in addition to engineering, material procurement and construction contracts, to contractors based in Saudi Arabia, in association with reputed international contractors and service providers. This is in line with the Company’s efforts to support development of the domestic energy sector and local supply chain partners. In addition, to drive domestic value creation and maximize long-term economic growth and diversification, the Jafurah development program will include an In-Kingdom Total Value Add (iktva) component. Aramco launched the iktva program in 2015 to facilitate development of a diverse, sustainable, and a globally competitive energy sector.

Read more at Aramco

Source and images : Aramco

THE OGM AUDIO VERSION –
BECAUSE WE CARE ABOUT YOUR EXPERIENCES

Given the enormous global demand for energy, the answer to climate change is not choosing one energy form over another, rather it is about mitigating environmental impact in every single energy form and application.

The smartest thing we can do with oil and gas is use it to fuel new energy sources. Oil and gas provide the foundation for the development and production of energy in every energy sector including; solar, wind, hydro, nuclear, tidal, geothermal and biofuels.

There’s a lot of misinformation floating around and it’s unsubstantiated rhetoric to believe renewables are going to replace fossil fuels any time soon. This is the era of clean energy innovation for both non-renewables and renewables.

Given all of that, how do we mitigate the environmental impact of petroleum when we need it to fuel the development of renewable energy?

Good question.

We start with the obvious. We evaluate the biggest contributors to emission pollution and prioritize them from there. At the top of the list of oil and gas pollution contributors is flaring natural gas which produces Methane emissions.

If you’ve driven through an area where oil and gas is being extracted from shale formations, or seen an offshore oil platform in operation, you may have seen flames coming out of high-standing flaring pipes. That is gas flaring off and it’s one of the most destructive processes playing havoc with our environment in the oil production process.

The U.S. shale oil and gas boom has rendered the United States one of the world’s top flaring nations, next to Russia, Iran, and Iraq.

There are many ways to combat flaring emissions, we just need to be creative enough to find them. 

THINK DIFFERENT

Energy professionals, scientists, and experts understand that the answer to climate change is not ending fossil fuels and replacing them with renewables (which also have an environmental impact), rather it’s developing every energy source and application with far less environmental impact.

That means not only changing the way we produce energy but also transforming the things we use petroleum for. Things like fuel for cars, trucks, rail transport, air travel, plastics, makeup, heating oils, lighting, diesel and gasoline turbines, lubricants, dyes, paints, carbon black and sulphur fuels, petrol, paraffin, diesel, gas oil, aviation gasoline, grease, vaseline, wax, asphalt and the list goes on.

Are we going to stop making and using those things?

No. We don’t eliminate that which sustains us. We transform it to a higher version of itself where it has a far less environmental impact.

THE WAY FORWARD

Oil and gas innovators are dealing with carbon pollution in two ways.
1. They are creating carbon neutrality with carbon offsets.
2. They are reducing or eliminating carbon emissions where it counts.

Those two methods include everything from using the Cactus plant to offset carbon, all the way to using gas in oil production and transforming it to energy for computer data centers. People all over the world are making changes and transforming our new energy world into a more conscious energy-producing planet that is far more environmentally friendly.

It is a very interesting time in history and innovation is saving the day.

ENERGY + TECH

Chase Lochmiller, is the Co-Founder & CEO of Crusoe Energy was recognized as one of the 100 Most Intriguing Entrepreneurs of 2021 at the Builders + Innovators Summit in Healdsburg, California for his work in transforming flare gas into a usable alternative.  Here’s how it works.

Crusoe Energy is converting wasted natural gas to energy-intensive computing solutions. Crusoe’s patented award-winning Digital Flare Mitigation® (DFM) provides oil and gas companies with a fast, low cost, and simple solution to natural gas flaring.

As the energy industry works to address infrastructure constraints and increase environmental standards around flaring and emissions, this is a concept whose time has come.

Check them out: www.crusoeenergy.com

THE NEW ENERGY MIX

Addressing climate change is about developing the new energy mix and simultaneously mitigating environmental risk. Some energy sectors may take more effort to reduce emissions than others, but it is possible to do so in every energy sector. 

As forward thinkers, we need to envision a world where energy works for us, rather than against us. We need to stop wasting time on debating which energy sources are better and just get on with it.

We need to share our stories, our successes, and our solutions to level the playing field and get these solutions working worldwide. We need to utilize our global collective intelligence to solve our global problems and execute with precision and use computers to get us there.

Here at the OGM, our goal is to share the stories that support every energy source being a contribution to our people and our planet. If you are creating products and services that elevate our new energy world we invite you to share them here.  TheOGM.com/U-publish-it.

Source & Pictures: CrusoeEnergy.com

The electricity produced by the thermal balancing power plants will be fed to the national grid assuring system reliability, for instance, during times of adverse weather conditions. The contracts include altogether 16 fast-starting and flexible Wärtsilä 20V34SG gas engine generating sets. The projects will be delivered on Engineering, Procurement, and Construction (EPC) basis to existing power plant sites UTE Luiz Oscar Rodrigues de Melo and UTE Viana 1, as well as a new power plant UTE Povoação 1, all located in Espírito Santo, a state in Southeast Region of Brazil.

Wärtsilä gas power plants operate on natural gas, the cleanest fossil fuel available. They feature high efficiency at any load, providing plant efficiency levels of up to 50 percent in simple cycle, and up to 54 percent in combined cycle mode. Their unmatched flexibility is highlighted by the fact that they can reach full output power within minutes of the start signal, which is an essential benefit in systems that wish to integrate higher levels of renewable energy.

Flexible Wärtsilä gas engine power plants can utilise natural gas, LPG, synthetic fuels and various bio-gas fuels. Power plants which initially run on natural gas, can switch to operate on sustainable decarbonised fuels as and when these sources become available. This future-proofing feature alleviates the risk of investments made today becoming stranded assets later.

“Our presence in Brazil is long and solid. With these projects we are approaching the important milestone of 3 GW of installed base in the country and continue to meet the evolving needs of our customers. We offer the best-in-class technology for power optimisation. The high efficiency of the Wärtsilä engines, with their quick power ramp-ups, in a matter of minutes rather than hours or days, provide the flexibility and reliability needed in today’s energy market, which is trending increasingly towards renewable energy,“ says Håkan Agnevall, President and CEO, Wärtsilä Corporation.

Wärtsilä is acknowledged for its capabilities in providing fast-track EPC projects and the demands for EPC deliveries are growing fast in South America. The demand for regulatory compliance is accelerating, as well as concern for the environment and the well-being of local communities, and Wärtsilä has decades of experience in addressing these requirements.

Wärtsilä Brazil was established in 1990 and has operations in Rio de Janeiro and Manaus with a complete offering covering the total range of Wärtsilä’s equipment portfolio. To date, Wärtsilä has delivered 2.7 GW of power plant capacity in Brazil, of which 739 MW are currently covered by Wärtsilä long-term service agreements. Wärtsilä has also converted 275 MW of oil-fuelled capacity to run on natural gas in Brazil.

Source(s) and Image(s): Wärtsilä Energy

The successful SAF delivery is part of this pilot project at DFW—the second busiest airport in the world—demonstrating the commercial and technical viability of SAF, while showcasing the potential to close the circularity loop at the airport by providing raw material for the production of renewable fuels. 

“The introduction of sustainable aviation fuel to DFW Airport marks a major milestone in our effort to reduce our sector’s overall carbon footprint. We recognize our future success depends on our ability to protect our natural resources, and we are committed to continuing to serve as an industry leader in sustainable practices.” said Robert Horton, vice president of environmental affairs at DFW Airport.

The circularity project is a great example of cooperation to upcycle and reuse valuable waste materials across the value chain. It begins at the airport, where Neste, via its subsidiary Mahoney Environmental, collects used cooking oil from more than 200 concessionaires who prepare and serve food to airport customers. Neste converts this waste material into renewable fuels, which replace fossil fuel use in the global transport system. 

To complete the circle, Avfuel safely supplied a demonstrative load of Neste MY Sustainable Aviation Fuel™ to DFW Corporate Aviation, the airport’s full-service fixed-base operator (FBO), for its business aviation customers. The 8,000-gallon (approx. 24 metric tons) demonstrative load of SAF reduces carbon emissions by 19 metric tons*—a reduction that could grow significantly if more SAF enters the airport’s fuel pool. Neste’s SAF, in neat form and over the life cycle reduces greenhouse gas emissions by up to 80%** compared to fossil jet fuel.

Overall, DFW expects the pilot circular economy program could deliver the same climate benefit as reducing the emissions from 70 passenger vehicles to zero over the course of the year. 

DFW, Avfuel and Neste will continue to explore opportunities to bring more SAF to the airport. This could potentially include making the fuel available to commercial and cargo airlines. DFW’s goal is to become a net-zero operation by 2030, and it views SAF as an essential component of enabling its partners to achieve their emissions reduction goals.

“Together we’re charting a bold new flight path that shows airports how they can achieve their climate goals faster and ultimately enable flight operators, businesses and passengers to fly with a smaller carbon footprint. We’re able to do this because all parts of the SAF value chain came together—the airport, the fuel supplier and the producer. And, most importantly, all the partners involved are committed to creating a sustainable future for air travel and fighting climate change.” said Chris Cooper, Neste’s vice president of renewable aviation in North America.

Keith Sawyer, Avfuel’s manager of alternative fuels, said, “Avfuel is proud to have supported DFW and Neste in realizing this momentous occasion. DFW and Neste have laid an excellent foundation for sustainability and provide a shining example of how organizations can work together to increase sustainability and promote renewability. The Avfuel team is honored to have played a role in demonstrating that SAF is available for use now and circular solutions are feasible through industry collaboration.”

Neste in brief

Neste (NESTE, Nasdaq Helsinki) creates solutions for combating climate change and accelerating a shift to a circular economy. We refine waste, residues and innovative raw materials into renewable fuels and sustainable feedstock for plastics and other materials.

We are the world’s leading producer of renewable diesel and sustainable aviation fuel, developing chemical recycling to combat the plastic waste challenge. We aim at helping customers to reduce greenhouse gas emissions with our renewable and circular solutions by at least 20 million tons annually by 2030. As a technologically advanced refiner of high-quality oil products with a commitment to reach carbon-neutral production by 2035, we are also introducing renewable and recycled raw materials such as waste plastic as refinery raw materials.

We have consistently been included in the Dow Jones Sustainability Indices and the Global 100 list of the world’s most sustainable companies. In 2020, Neste’s revenue stood at EUR 11.8 billion, with 94% of the company’s comparable operating profit coming from renewable products. Read more: neste.com

About Dallas Fort Worth International Airport

Dallas Fort Worth International (DFW) Airport is one of the most frequently visited superhub airports in the world. Centered between owner cities Dallas and Fort Worth, Texas, DFW Airport also serves as a major job generator for the North Texas region by connecting people through business and leisure travel.  

About Avfuel Corporation

Avfuel provides fuel and services—including sustainable fuel and initiatives—to the global aviation industry and is the leading independent supplier in the United States. Established as a supply and logistics company more than 45 years ago, Avfuel is core competent in every aspect that surrounds the delivery of fuel—from refinery to wingtip. Avfuel combines global access with personalized service throughout a fueling network of more than 3,000 locations worldwide and 650+ Avfuel-branded FBOs. Our 100% dedication to aviation demonstrates our passion and commitment to a global community that prospers on the movement of goods and services around the world.

Source(s) and Image(s): Neste, Aufuel, Phoot by Dallas Airport

Cutting fuel consumption and engine maintenance costs 

Battery storage will be used as a spinning reserve in place of generator sets, enabling the vessel to run on fewer engines with more optimal load while still maintaining the requirement for redundancy.An added benefit with batteries is peak shaving that takes the strain off the engines during big load variations by levelling the power and delaying the need for engines to restart.This results in significantly lower fuel consumption and reduced maintenance costs due to less wear-and-tear on engines

“A significant benefit of battery storage is that it enhances the responsiveness of propulsion and other systems due to instant power response in line with load variations, offsetting slower ramp speeds with less responsive engines” Anderssen says.

This is particularly useful for offshore support vessels that are heavily dependent on DP systems for fast manoeuvrability in safety-critical situations, he explains.The batteries for Siem Offshore will be supplied together with a DC grid for power distribution to consumers, with control and monitoring of the battery storage solution handled by the SeaQ Energy Management System (EMS) that interacts with existing control systems onboard.

“The flexibility of the SeaQ ESS system that enables it to be easily integrated with a vessel’s existing systems, as well as its advanced functionality, were key factors in our selection of Vard Electro for this retrofit to reduce our environmental footprint,” says Jon A. Houge, Operations Manager of Siem Offshore.

Adaptable modular system for different types of vessels

Vard Electro will act as system integrator for the turnkey project that will entail engineering, installation, integration, testing, and commissioning of the system comprising batteries, DC grid, EMS, energy storage inverter, filter and/or transformer, fire detection, and a cooling & ventilation system.Anderssen says there is increasing demand for such hybrid retrofits both for offshore support vessels such as PSVs as well as larger ships, with Vard Electro’s modular system highly adaptable for ease of installation on a wide variety of vessels with minimal downtime.

“We are very pleased to have won this initial contract with Siem Offshore and look forward to collaborating with them on this project as well as possible future deliveries of battery systems,” he says.“The award is further vindication of the proven efficacy of the SeaQ battery technology in optimising engine performance to deliver big fuel efficiency gains for shipowners amid increasing regulatory and market demands for low-carbon vessel operations.”

It is the latest in a string of similar deliveries of battery storage systems from the leading ship technology supplier’s SeaQ range that have demonstrated significant fuel savings for vessel operators while also reducing emissions since the first system was delivered five years ago. 

About Vard Electro 

Vard Electro is a globally recognized and trusted provider of marine electrical systems with a strong focus on innovative and sustainable solutions to give clients a competitive advantage. The company provides advice in close cooperation with the customer in order to develop cost-effective and environment-friendly systems designed to optimize operational performance.

Vard Electro works with all established brands in the market to offer smart user-friendly solutions with a high degree of flexibility and reliability, supported by efficient service throughout a vessel’s lifetime. With strategic locations across the world, Vard Electro currently has its equipment installed on more than 300 vessels, including complete systems for power management, propulsion, automation and navigation.

SeaQ® 

Vard Electro’s SeaQ range consists of three main product groups: SeaQ Bridge, SeaQ Power and SeaQ Control. Conforming to the highest industry standards, every SeaQ product can be delivered as a standalone unit or as part of a larger integrated package, giving VARD a competitive advantage in delivering flexible solutions in line with market requirements. 
www.vard.com/products-and-services/electro 

About VARD

VARD is one of the major global designers and shipbuilders of specialized vessels. Headquartered in Norway and with approximately 8,200 employees, VARD operates shipbuilding facilities in Norway, Romania, Brazil and Vietnam. Through its specialized subsidiaries, VARD develops power and automation systems, deck handling equipment, and vessel accommodation solutions, and provides design and engineering services to the global maritime industry.

VARD’s long shipbuilding traditions, cutting-edge innovation and technology coupled with its global operations and track record in constructing complex and highly customized vessels have earned it recognition from industry players and enabled it to build strong relationships with its customers.The majority shareholder of VARD is Fincantieri Oil & Gas S.p.A., a wholly owned subsidiary of FINCANTIERI S.p.A.

Headquartered in Trieste, Italy. FINCANTIERI is one of the world’s largest shipbuilding groups, and a global leader in cruise ship design and reference player in all high-tech shipbuilding industry sectors. With over 230 years of history and more than 7,000 ships built, the Group today has a production network of 18 shipyards operating in four continents and over 20,000 employees.www.vard.com | www.linkedin.no/company/VARD 

About Siem Offshore 

Siem Offshore is a privately owned company, listed on the Oslo Stock Exchange. It was established in 2005 and has since expanded its fleet through newbuilds and business acquisitions. The company’s fleet consists of 29 vessels and includes platform supply vessels, anchor-handling tug and supply as well as offshore subsea construction and well intervention vessels.www.siemoffshore.com 

Source(s) and Image(s): VARD

The result was a whole new E-World that ultimately will make us more versatile, globalized, and resilient.

When people stopped flying planes and the world pretty much shut down, people had to implement new business models for marketing, sales, hiring, investor relations, PR, supply/vendors and processes, partnerships, and more.

This new E-world means harnessing zoom and teams platforms and ensuring online meetings are connected and professional even if you were meeting from your bedroom.

While we now start to get back to a ‘new normal’ and travel becomes more available, the power of E-business will forever play a role in how we expand and grow from here forward.

See it as an opportunity rather than a problem.

Six E-Sales Opportunities To Grow Your Company In The New Digital World

If you want to sell a product or position your company for an important bid, how are you going to accomplish your goals in Covid times?  

When we are working from home, using zoom, or dealing with outside distractions, how can we succeed? Those are the challenges of the day. It is a new challenge, to find ways to keep ourselves and our clients connected, online.

Believe it or not, with creativity and engagement, we can have an effective E-Work environment that can out-perform old sales models.

1. Think about it, less travel, more meetings, less cost, more communication. It adds up. Business is nothing more than a network of conversations. People who organize meetings effectively, stack meetings, and create an E-Flow work environment will win the game of the E-work world.
   
2. Building great relationships that create trust and rapport is still the foundation of any relationship. Having clients get to know, like, and trust you is key; so, the rules have not changed. Building rapport still means a professional appearance online and an appropriate zoom background. It means good communication, understanding your client, finding common ground, discovering needs, sharing experiences, matching mannerisms and speech, future pacing, and finding solutions. 
   
3. Quickly adapting to this new E-World means recreating the outside world inside the computer world. It means finding new ways to connect and get personal with relationships so that there is a strong foundation of trust established online.
   
4. Computer advances and algorithms have taken over the laborious job of research and client acquisition. Business development costs came down, workflows became more efficient, and sales grow from there. 
   
5. The E-world will expedite globalization, and before we know it, doing business anywhere in the world at any time will be an affordable proposition. Global commerce is emerging, and the opportunities are truly endless.
   
6. We must look into the future and see where nations will unite in common goals. Languages will merge, and borders and boundaries will fall away. Free markets will be the foundation of the global playing field of business as we grow exponentially with E-Business automation and processes.

PAAS – PUBLISHING AS A SERVICE

As publishers of a global energy magazine, The OGM served clients around the globe ensuring suppliers and energy companies got their message to the right market.

Publisher Tina Olivero says, “During the pandemic it became apparent that tradeshows and flying to meetings was not an option for us or our clients. E-meetings became the norm and suddenly, the world got much smaller. Client contact became easier, faster, and automated. Computer advances and algorithms took over the laborious job of research and client acquisition. Business development costs came down, workflows became more efficient, and sales took off for us. That would not have happened, except for the pandemic. Long story short, there’s a silver lining in everything, when we are willing to embrace the challenges, we then reap the rewards.”

PaaS is a client solution that searches out potential clients, matches content with buyer and seller and creates an automated lead generation system. Where traditional advertising could be hit and miss at times, PaaS connects those interested, with those selling and the computer algorithm does all the work of bringing them together. As a result, expanding into new markets is now affordable. Finding your exact right client is now easier. All of this is because of the new E-Work environment and computer AI.

Visionary Tina Olivero says, “The E-world will expedite globalization and before we know it, doing business anywhere in the world at any time, will be an affordable proposition. Global commerce is emerging, and the opportunities are truly endless.”

WHAT INDUSTRY SAYS

Ryan Burrowes, CEO of Warehouse Transport Group and head of Canada/Guyna operations said, “As a CEO of a growing logistics and investment company, I was in dire need of new digital technology to take my business online. We needed a marketing and sales enhancement solution and a way to scale. I found everything and more with Tina and TheOGM Agency team. Having lived all over the world, Tina is a visionary who sees things from a global perspective.

Our operations have a foothold in Guyana, Ontario, Nova Scotia, and Newfoundland. So Tina and her team are a perfect fit for us. The OGM’s new digital business development solutions are strategic and sustainable for the new world order where everyone is doing business on Zoom.

The OGM digital tools come with algorithms and automation that provide us with a flow of never-ending, high-level opportunities to quote on new work. Not just any work but leads with key decision-makers for our business. That is invaluable. The OGM is a platform with new digital tools that we all need in a business in this day and age. This new digital game is entirely different and capitalizing on that makes for really exciting times. Tina and her team have gone over and above our contractual agreement and, honestly I wouldn’t have it any other way. That’s the people we want to work with. Already, I consider her a part of our family, for now, and for the future.”

Ryan Burrowes CEO, Warehouse Transport Group Canada-Guyana – WarehouseTransport.ca

PICK THE RIGHT PARTNERS

There are many companies out there that are trying to adapt online. For energy companies choosing the right partners who have extensive experience in the energy industry is key.

Tina Olivero says, “The most important part of outreach and communication right now is content. You have to partner with key marketing and sales people who speak “energy”. Otherwise you are trying to bring your clients into your world, with someone who does not understand your business and most importantly, doesn’t understand what your clients need. That’s a one way ticket to no success.

Aligining with The OGM as 30-year publishers of energy content, coupled with our digital media agency, makes The OGM a premium choice. When you have that level of business competence, communication is easy. Adapting with new digital processes and creating automations has to be routed in powerful words, which create powerful actions, which create powerful results. It’s that simple. These are truly incredible times. Reach out and lets what we can create.

www.TheOGM.com

About the Author Tina Olivero

Tina Olivero is a conscious entrepreneur, managing a publishing company – TheOGM.com, a digital media firm – DigitalCollateral.ca and a new Sales Engine company – TheOGM.ca. She has 30 years in the marketing and sales business in the energy sector. She is committed to energy and sustainable development with her Our Great Minds. This innovative magazine shares the great minds and collective intelligence that are combating climate change and eradicating carbon emissions. 

CRP Subsea and Hellenic Cables collaborated to jointly apply for the MaRINET2 programme, as both companies are looking to increase the lifespan of dynamic subsea cables. The testing at the University of Exeter used a dynamic cable designed and manufactured by Hellenic Cables and a Bend Stiffener designed and manufactured by CRP Subsea. The power cable (only) and power cable with Bend Stiffener were individually tested to compare both performance and fatigue.

John Duggan, Principal Design Engineer at CRP Subsea, states, “These results are encouraging but expected and explain why the use of a CRP Subsea Bend Stiffener in such a system is critical. The CRP Subsea Bend Stiffener material has undergone an extensive and rigorous material qualification. This along with the comprehensive design methodology, manufacturing, and quality systems have been fully reviewed and approved by Lloyds Register. Our Bend Stiffener is designed to maintain a cable or flexible pipe above a given minimum bend radius in a dynamic application. This, in turn, increases the life of the product by protecting it against damage and fatigue, which can result due to over bending. It is imperative that we use our 25+ years’ experience of supplying Bend Stiffeners to all the major oil and gas manufacturers, without any failures in service, to support dynamic cable protection for FOW.”

The study is related to one of the key challenges for Floating Offshore Wind (FOW) developers, which is to ensure the long-term integrity of the dynamic cable, connecting the floating platform to the Offshore Sub-Station. Whilst dynamic cable assemblies are recognised as a key technical risk, the sector is not at a commercial scale yet, this funded research and development support is required to demonstrate and enhance dynamic cable solutions for FOW.

George Georgallis, Head of R&D and Cable Engineering for Hellenic Cables commented, “At Hellenic Cables we are always looking forward in collaborating with industrial and academic partners involved in the offshore industry to promote and validate innovative concepts. The positive outcome of the fatigue test of a dynamic power cable coupled with a bend stiffener at the Exeter DMaC facility is very encouraging.”

Professor Lars Johanning, Project Lead at the University of Exeter, explains, “Floating offshore wind power will be a vital component in achieving global Net Zero targets. It will also have a profound effect on the economy in Europe and globally, creating new jobs in the supply chain and providing a key component for the post-pandemic green recovery. We are extremely excited working with innovative companies in the development of subsystems for the floating offshore industry.”

The University of Exeter performed two tests. Firstly, the performance characterisation tests that involved bending the cable to a 3.7° angle at the headstock whilst holding a constant force of 40 kN, 60 kN and 80 kN at the tailstock at a 10s cycle period. Secondly, the fatigue testing involved bending the cable to 4° whilst holding a constant force of 80 kN. The cycle period was steadily decreased from 10s to 1s (to minimise overall test duration). The test plan was identical between the power cable (only) and the power cable with bend stiffener combination (including the change in cycle period).

Bend Stiffeners are used to protect cables and flexible pipelines from over bending at the termination point. Manufactured from an elastomeric material, the Bend Stiffener is suited to the constant wave and current-induced motion of dynamic installations and can also be used for static applications. The conical shape of the Bend Stiffener provides a gradual increase in the overall stiffness between the flexible pipe, umbilical or cable, and the termination in order to prevent over bending at the termination point.

CRP Subsea (formerly Trelleborg Offshore UK)  

Using advanced material technology, CRP Subsea provides high integrity solutions for the harshest and most demanding offshore environments. CRP Subsea specialises in the development and production of polymer and syntactic foam-based buoyancy and protection products for the offshore renewables and oil & gas industries. CRP Subsea has been providing innovative solutions to the industry for over 40 years. www.crpsubsea.com

Source(s) and Image(s): Subsea

Now, he believes, is a key moment in the development of the offshore wind industry, and Norway, with its unique strength in both maritime operations and offshore energy production, is perfectly positioned to both add value to projects and client businesses, as well as accelerate its own clean energy transition.

Dugstad adds, “If you look at plans in the EU, where the goal is increasing offshore wind production capacity from around 12 GW today to 300 GW by 2050, and beyond, including the UK, US and Asia, we see that this is probably the renewable sector with the clearest growth ambitions. Solar obviously has a role to play, as does onshore wind and hydropower, amongst others, but with the expected real, exponential growth and the Norwegian offshore and maritime expertise, offshore wind is a hugely exciting opportunity for our partners (NORWEP’s members)… and, indeed, for the maritime industry as a whole.”

Generating value

In analysis released this year, NORWEP forecast that annual revenues from offshore wind could reach EURO 10 billion for Norwegian suppliers by 2030. Dugstad himself believes that a turnover of around EURO 8-10 billion by that point is not just feasible, but realistic.

“The potential for a national base of expertise that encompasses everything from specialised shipyards, to sea state and weather monitoring, digital O&M solutions, offshore equipment suppliers, shipowners, smart management systems, advanced vessels, heavy lifting, installation expertise – the list really does go on – is huge,” Dugstad argues. “The Norwegian supply chain is in a unique position to support industry development. And, when arguably the biggest challenge the sector faces is managing the expected pace of growth, it needs our help.”

For Dugstad, and his campaigning organisation, their own challenge lies in creating awareness, building international networks and relationships, and positioning Norwegian suppliers (and developers, such as Equinor) as natural partners.He admits other nations, such as Holland and Denmark, have a head start in terms of recognition, but only because Norway, with a population of just under 5.5million, has traditionally put such an emphasis on oil exploration, rather than wind development, on its continental shelf. “But, as I said,” he stresses, “that also leads to an advantage. We now have so much knowledge, so much operational experience, that is easily transferrable. It’s up to us to get that message out there and facilitate dialogue. There’s real value our partners can add here… so let’s get to work.”

Global gathering 

Nor-Shipping 2022, taking place from 10-13 January in Oslo and nearby Lillestrøm, will be an ideal opportunity to do just that, Dugstad opines. NORWEP is hosting its own pavilion in the Blue Economy Hall – which focuses on showcasing and enabling sustainable ocean business success – so participating companies can access the eyes, ears and intelligence of the 50,000 international decision makers expected to attend ‘Your Arena for Ocean Solutions’.

“The entire maritime industry is gathering in one place for the first time in a long time,” he comments, “and especially those with an interest in marine operations and specialised vessels that serve offshore assets. It’s a hugely relevant arena for us and we expect some very valuable meetings between our partners, project developers, and other industry suppliers we can collaborate with. The world is coming to Norway, rather than Norway having to go out to the world, and that really is too good an opportunity to miss.”

Building understanding

Alongside the pavilion, NORWEP will also be inviting offshore wind developers to discuss the challenges they face and the services, technology and expertise they require to tackle them. “I think that’s another area where we can contribute,” the NORWEP executive muses, “by creating a forum for knowledge sharing and building understanding between the various stakeholders needed for success in this arena. That way we can help our partners determine how best they can support the industry, while the developers get the expertise they need for success.”

He concludes where he began, on a matter of timing, “With COP26 on the agenda and the need to build a renewable energy base fit to realise our climate ambitions – and build it now – we have to realise the enormous offshore wind potential we have in front of us. Together, I believe we can do just that.”So, as he’s already said, let’s get to work.”

See you at Nor-Shipping…   www.nor-shipping.com www.norwep.com 

Source(s) and Image(s): Nor-Shipping, Norwep

About GlobalData

4,000 of the world’s largest companies, including over 70% of FTSE 100 and 60% of Fortune 100 companies, make more timely and better business decisions thanks to GlobalData’s unique data, expert analysis and innovative solutions, all in one platform. GlobalData’s mission is to help our clients decode the future to be more successful and innovative across a range of industries, including the healthcare, consumer, retail, financial, technology and professional services sectors.

Source(s) and Image(s): GlobalData, Shutterstock

The award is the result of a competitive RFP process. GeoSapient is teaming with Harvard University’s Dr. Daniel Jacob, a recognized international leader in satellite observations of methane, and Innovative Imaging and Research (I2R), which specializes in remote sensing, geospatial, and optics-based products and services. 

John Kelley, GeoSapient’s president stated, “GeoSapient assembled a world-class team to demystify and communicate the methane emission challenges and opportunities. This work will help reconcile current on-the-ground measurement and expertise with the growing body of satellite measurements.”

“Ultimately, improvement is the key word. The study will advance understanding about methane emissions for regulators, policymakers, and oil and gas operators,” said Dr. Jacob.

CAMS member companies are committed to continuously studying and reducing greenhouse gas emissions based on the most up-to-date scientific knowledge.  As satellite data is increasingly available, operators want to know how best to leverage the technology. 

“This effort to ground truth GHG emissions measurements taken from the sky is vital to the industry’s effort to accurately quantify and monitor GHG emissions across the value chain,” said Christopher Smith, SVP for Policy, Government and Public Affairs at Cheniere. “Optimizing the strengths of satellites and other monitoring technologies will help ensure natural gas and LNG remains a net positive for the climate.”

“Methane-detection capability is an important factor towards the world’s effort to reduce carbon emissions,” said Vanessa Ryan, manager of carbon and climate policy for Chevron, “Research, innovation and deployment of best practices helps focus on the best technological opportunities to contribute to the accuracy and credibility of global methane reporting.”

“Technology solutions are essential to the global effort to address methane emissions,” said Bart Cahir, senior vice president of unconventional at ExxonMobil. “The research we are supporting through CAMS is helping determine the best approach to monitoring and reducing methane emissions for potential application across the industry.”

“Supporting technological advances in monitoring methane emissions through elevated remote sensing technology is an imperative step in enhancing industry success is this arena,” said Carrie Reese, Sustainable Development Director for Pioneer Natural Resources. “It is an up-and-coming advancement, and we fully support CAMS efforts to identify limitations and further the strengths of this satellite technology.”

About the Project Team

GeoSapient, Inc. is an early-stage startup in the Geospatial Analytics-as-a-Service market that helps energy and environment firms manage, optimize, and secure their global supply chains from the sky. GeoSapient systems integration expertise leverages the proliferating collection platforms, the data-in-motion explosion, and enabling technology. 

Dr. Daniel Jacob is the Vasco McCoy Family Professor of Atmospheric Chemistry and Environmental Engineering in the School of Engineering & Applied Science at Harvard University. He is a recognized international leader in satellite observations of methane and their use to infer methane emissions on all scales, from the global methane budget down to point sources. His research spans spectral retrievals of atmospheric methane from satellite radiance measurements, validation of satellite observations and integration with suborbital measurements, and inverse methods to derive emissions based on the satellite observations. He and his students have published 34 peer-reviewed scientific publications covering these different aspects of methane research. Jacob leads the Methane Working Group of the NASA Carbon Monitoring System Science Team.

Innovative Imaging and Research (I2R) develops cutting-edge remote sensing and imaging technologies for industrial, academic and government clients. In addition to developing custom imaging systems for niche markets, I2R improves client geospatial products through laboratory and in-flight camera calibrations, custom image processing algorithms, and aerial and satellite payload systems engineering services.

About the Collaboratory to Advance Methane Science (CAMS)

The Collaboratory to Advance Methane Science (CAMS) is a research collaboration on methane science directed by some of the world’s top leaders in energy development. CAMS research characterizes methane emissions and identifies specific sources so that mitigation strategies are most effective. Results from CAMS research has the potential to lead to technology solutions, better work practices, and new equipment designs to manage methane emissions.

Demonstrable advancements in the environmental performance of natural gas are reinforced by industry’s long-term commitment to monitoring and reducing methane emissions.

CAMS members include Cheniere, Chevron, Equinor, ExxonMobil, Pioneer Natural Resources, Sempra LNG, Shell and Williams. The consortium is administered by GTI, a leading research, development and training organization that has been addressing global energy and environmental challenges by developing technology-based solutions for consumers, industry, and government for 80 years.

Source(s) and Image(s): CAMS, Adobe

In addition, as part of the transaction, Calix has entered into a licence agreement with the LEILAC Group under which it will retain 30% of royalties earned by the LEILAC Group from the deployment of the technology, regardless of Calix’s equity stake in the LEILAC Group. The LEILAC Group will operate autonomously, with its management team and a Board composed mostly of Calix directors, with one appointee nominated by Carbon Direct. The LEILAC Group, comprising Calix (Europe) Ltd (UK) and its subsidiaries, is the exclusive licensee of Calix’s Low Emissions Intensity Lime and Cement (LEILAC) CO2 capture technology.

LEILAC technology was successfully piloted at 25K tonnes per annum scale at HeidelbergCement’s plant in Lixhe, Belgium, and is being scaled up to 100K tonnes per annum scale in the “LEILAC-2” project for a HeidelbergCement plant in Hannover, Germany. Further commercial pilot plants for lime production are under development with Tarmac, the UK division of CRH, and AdBri in Australia, among others. US-based Carbon Direct’s investment arm, Carbon Direct Capital Management, makes direct investments into leading carbon removal and utilization technology companies. 

The firm also operates a scientific advisory business, which advise leading corporations on how to fulfil their carbon removal and utilization commitments. Carbon Direct’s advisory work spans 28 countries and includes clients such as Microsoft and Shopify. Pottinger acted as a financial and strategic advisor to Calix on this transaction, and Hamilton Locke acted as a legal advisor.

Carbon Direct investment to accelerate LEILAC technology uptake

Along with existing capital already invested in the LEILAC Group, Carbon Direct’s investment will be used by the LEILAC Group to accelerate and continue the de-risk deployment of the LEILAC technology, both technically and commercially. Technically, additional resources will be deployed in engineering and research to speed optimization. Commercially, new resourcing in business development, especially project development and CO2 use or sequestration, will be deployed to help develop complete project solutions for customers.

A new CEO will be appointed to run the business as a stand-alone entity. The investment marks the conclusion of work led by Pottinger to accelerate commercialization of the LEILAC technology and identify the optimal financial and strategic partner(s) to support this the business’ critical next phase of development.

Calix Limited CEO Phil Hodgson said the deal represented a critical milestone in Calix’s stated strategy of seeking equity “farm-ins”, after initial development undertaken by Calix, to accelerate and deploy its underlying platform technology into each line of business, with Calix remaining head licensor. He said the investment by Carbon Direct will help accelerate the development and deployment of the Calix Technology for cement and lime decarbonization.

Mr. Phil Hodgson Commented, “As each of these businesses become independent commercial entities, they will remain joined at the hip, technically with Calix, which will continue to support the development of the core intellectual property. Over time, growing royalty income from these companies will also support the development of new applications of the IP and associated technologies.”

Mr. Hodgson continued to add that the investment by Carbon Direct will help accelerate the development and deployment of the Calix Technology for cement and lime decarbonization, by saying, “The recent Intergovernmental Panel on Climate Change (IPCC) report was unequivocal in saying that to reach the stated 2030 goals on climate change, CO2 emissions have to be reduced. LEILAC Technology is an option that is being deployed now to meet this urgent need. Carbon Direct coming on board is a strong vote of confidence in Calix’s LEILAC decarbonizing technology, following on from endorsements and partnerships with industry leaders such as Heidelberg Cement, Cemex, Lhoist and Solvay. The investment will assist us in accelerating the deployment of the technology into the carbon capture and storage landscape, with additional resources covering technology research and development, CO2 logistics, use and storage, and whole-of-project expertise, while our technology gains more exposure in global markets outside of Europe. The deal also represents our first material portfolio transaction in our stated strategy to farm-in equity to deploy our technology commercially. This strategy adds speed and focus at a critical time in the technology commercialization journey, and leaves the head company to focus on what it does best – supporting our technology and developing the next global, disruptive applications.”

Pottinger Executive Chairman Nigel Lake added: “Great engineering and technology alone are not enough: to have a transformational impact on an entire global industry takes a dedicated and well-resourced business. The investment by Carbon Direct marks a critical inflection point for both Calix and the LEILAC Group as decarbonization of the construction sector begins in earnest.”

Carbon capture is needed to reach the UN climate goals

Global decarbonization efforts are accelerating. For example, in June 2019, the UK Government became the first major economy to commit to net-zero CO2 by 2050 and is heavily supporting decarbonization efforts through funding under the UK Department of Business, Energy and Industrial Strategy £1bn Net Zero Innovation Portfolio. In 2021, the European Union unveiled a plan to slash its carbon emissions by 55% before 2030 and impose border tariffs on countries, including Australia, that do not have some form of the carbon price. Cement production is the world’s single biggest industrial cause of carbon pollution, responsible for up to 8% of global emissions, producing more than 4 billion tonnes of CO2 per year. Cement is the primary ingredient in concrete, the second most used material in the world after water. Meanwhile, the global production volume of lime was approximately 330 million tonnes in 2020, with myriad applications beyond cement including the manufacture of aluminum, asphalt, copper, glass, gold, lithium, plasterboard, silver, solar-grade silica, steel, table salt and toothpaste. Lime is also used in agriculture and for water and sewage treatment.

Carbon Direct founder and CEO Jonathan Goldberg said Carbon Direct invested in companies that could deliver both commercially viable solutions and solve big climate problems. Mr. Goldberg Commented. “We are very impressed by the technical and commercial rigour of the LEILAC team, and plant partners are outspoken in their excitement about LEILAC. We are delighted to support Phil, Calix, and the LEILAC Group as they seek to scale LEILAC into cement and lime plants around the world. Both Carbon Direct’s investment team and its scientific advisory team, which now includes 46 globally renowned CO2 scientists and project managers, are available to assist the LEILAC Group on subjects including capital markets, regulations, commercial development, and technical development. Our entire firm is dedicated to helping technologies such as LEILAC to scale.”

Making 1 tonne of lime or cement clinker produces approximately 1 tonne of CO2LEILAC’s Breakthrough carbon capture technology

Between 50 to 60% of cement CO2 emissions derive from the process of heating or “calcination” of limestone, the chemical reaction that converts limestone (CaCO3) into lime (CaO) and CO2. These emissions are therefore unavoidable and a low-cost capture solution is essential. The patented LEILAC kiln design separates CO2 emissions arising during lime and cement production without significant energy penalty. The LEILAC kiln is being developed to use a variety of input fuels and is also easily electrified, enabling complete decarbonization of production by switching to renewable energy. LEILAC technology was successfully piloted at 25ktpa scale at HeidelbergCement’s Lixhe Cement plant in Belgium and is being scaled up to 100kTpa scale in the “LEILAC-2” project for a HeidelbergCement plant in Hannover, Germany. LEILAC-2 is targeted to be in production by late 2023 / early 2024 and is being funded by €34m from the EU Horizon 2020 scheme through a combination of cash and in-kind contributions from industrial partners. In addition to HeidelbergCement, industrial partners helping in developing the technology include Cemex, Tarmac, Cimpor, Lhoist, Engie and Solvay. Six commercial-scale cement and four commercial-scale lime follow-on projects are being developed with several interested parties, with two projects now moving into more detailed planning under previously announced heads of agreement with CRH’s UK subsidiary Tarmac and Adbri in Australia.

About Carbon Direct LLC

Carbon Direct provides both scientific advisory services and investment capital to the carbon removal & utilization ecosystem. Our advisory business works for clients to fulfill their carbon removal & utilization commitments. Carbon Direct’s team of world-renowned carbon scientists has a nuanced understanding of the true risks and opportunities of emerging and mature carbon removal & utilization technologies. Our investment business makes direct investments into leading carbon removal & utilization companies. Carbon Direct was founded in 2019 by Jonathan Goldberg and has offices in New York City. To learn more, visit www.carbon-direct.com

About Calix

Calix is a team of dedicated people developing a unique, patented technology to provide industrial solutions that address global sustainability challenges. The core technology is being used to develop more environmentally friendly solutions for sustainable processing, advanced batteries, crop protection, aquaculture, wastewater and carbon reduction. Calix develops its technology via a global network of research and development collaborations, including governments, research institutes and universities, some of the world’s largest companies, and a growing customer base and distributor network for its commercialized products and processed. Because there’s only one Earth – Mars is for Quitters.

Source(s) and Image(s): Calix Limited, Carbon Direct LLC, LEILAC Group

That was Lee. He always told you what he thought and he’d be confident and determined that he could influence things in his very own positive way. He had a good soul. Lee cared about people. He cared about our oil industry and he sure as heck cared about Newfoundland and Labrador. Lee also cared so much about wife Martha and his family. We always knew where Martha was, all about her studies and all about his love for his family.

Lee Shinkle was the grandfather of the oil and gas industry. He spent the last forty years supporting, encouraging, planning, and envisioning the birth of the offshore oil and gas sector in Newfoundland and Labrador. 

At NOIA, the Newfoundland Oil Industry Association, Lee was a NOIA member, a treasurer, a board member, and president for NOIA. That showed his enormous dedication and commitment to the industry. Lee has done more for this province, and for NOIA, than just about anyone I know. A passionate voice with an innate compass to understand “what’s possible”, Lee executed some of the smartest, most strategic, growth initiatives in the offshore.

Not near enough credit has been given to Lee for his teaching, mentorship, and dedication and how that has shaped this province and it’s prosperity. However, in February of 2019, Lee was given the highest honor of all. The honor of his peers, with the Noia Outstanding Contribution Award. Lee shared his speech with a group of about 400 NOIA members. Lee delivered a heartwarming and insightful story; a story that would make you laugh, make you cry, and most of all, inspire you to carry on to Act 2. Given the drilling programs ahead and the Gas potential in the region, who knows, we might just be the next North Sea in Act 2.

I thought I’d share Lee’s speech with you as it was one of the best I’ve heard in 30 years in the industry:

“Thank you all for this award. Peer recognition is the best recognition of all. Thank you to NOIA as well for organizing and triumphing recognition of people in all stages of their careers.

I was told I could talk for as long as I wanted… but, I’ve been on your side of this podium for many years, so I’ll stick to a few highlights of what has been a very wild ride, and I’ll hold some details for a book I’m thinking of writing. I’ll finish with a resume of everything I have learned in the last 40 years.

I finished college in 1972 with a BA in History and English. Having no prospects and nothing to do my Uncle, Andrew Crosbie, suggested he would hire me at Crosbie Insurance and send Martha and I to London to learn about Marine and Aviation insurance. After a precise, in-depth and critical analysis of the question our decision was “why not”?

We returned to St. John’s in 1975, with our first daughter Malindi, and I was immediately attracted to the oil industry. In particular, I was captivated by what all that expensive offshore exploration activity could mean for the insurance business.

In 1978 I was sent to Calgary to set up Crosbie Insurance West and chase Arctic oil exploration insurance business, Dome Petroleum, Panarctic Oil and others. A year after that, in 1979, the Petroleum Incentive Program (PIP) started which was a generous Federal Government scheme to promote Canadian companies exploring for petroleum in harsh environments.

That same year, Dick Spellacy approached my Uncle about leasing foreign supply vessels, Canadianizing them and then leasing them to an offshore explorer. All that was needed was a customer. Dick came to Calgary, we approached Mobil Oil together, and lo and behold we signed the first vessel charter. I can assure you, a legendary party ensued, and it would become the perfect kick-off to the next maniacal five years.

Martha and I and our first three children returned home in 1980 and immediately got into the offshore marine insurance business. It wasn’t long before Jan Furst from Nordco came calling looking for volunteers to help revitalize NOIA and to create a growth strategy.

I agreed to become the Secretary-Treasurer, and in my first full year, our financial report showed income of $3,500 and expenses of $2,500 leaving a surplus of $1,000 to start NOIA’s sovereign wealth fund. Too bad the Government wasn’t following NOIA’s wise example!

The following three years were filled with excitement and promise. The malt whiskey flowed, and tonnages of smoked salmon were ordered. Local investment manager Tom Foran recently told me that at that time the power of our exploration drilling program could literally move Mobil Oil’s stock price. People would line up at Tom’s office in the morning to give him money to buy Mobil options hoping to make their fortunes!

This financial frenzy, which led to a lot of heartbreak, should have been warning enough that the bloom might be coming off the rose. However, when the Ocean Ranger sank in February 1982, the dangers of the industry we were involved in really came into sharp focus.

Not long after, things began to fall apart for the industry. The weather and ice issues manifested, the PIP program ran out, the Federal and Provincial governments went to war over jurisdiction of the resource, and the oil price collapsed. Exploration evaporated, companies closed, trained employees left, and there were plenty of people crying doom and gloom.

But a steady group of dedicated enthusiasts continued to believe in the future of the industry. I am proud to be numbered amongst them. We believed we needed to keep the momentum going, to keep lobbying politicians, and to keep encouraging the owner companies and Tier 1 contractors.

Year after year, we would trek off to OTC and Offshore Europe waving the flag and repeating our mantra “Soon… we’ll be there soon”. We could also see that the Americans and Europeans were attracting a lot of attention to their regions with their conferences. So, with essentially no industry to speak of, we had the confidence to start a Conference of our own. And people came!

Suffice it to say; the true believers were a pretty cocky bunch. We believed we were “so smart” about what was to come. A group of about 10 of us had a Breakfast Club. There are a few here today; Rob Strong, Fraser Edison, Pat Stamp.

We would meet most Friday’s for breakfast and to exchange gossip but the main event was once a year, near Christmas, we would have a prediction contest as to what would happen in the coming year in the industry, with the prize being the ceremonial beer mug but more importantly bragging rights. There were usually ten categories and the person who got the highest tally, as agreed at the following year’s lunch, got to keep the mug for a year.

Clearly, this was serious stuff! Given that these guys should have had the best sources of information, you would think it would take 7 or 8 right answers to win the beer mug.

Not a chance. The whole business of predicting what will happen in the offshore, even one year out, is so uncertain that our winner would be lucky to get 2 or 21/2 out of 10.

By the late 1980’s I personally was having a crisis of belief in the future. So I retrained as a stockbroker and got a job on Bay Street in Toronto. Proudly announcing this to Martha, she smiled and responded that she hoped I would be happy there and able to send home lots of money since she wasn’t leaving Newfoundland. There was no point arguing… she told me I’d just have to try harder here.

Regardless of my scepticism, progress was being made. The Federal Government won the ownership battle, decided to share jurisdiction with the Province, and ultimately the Atlantic Accord was signed.
The negotiations continued with the Hibernia ownership consortium, and the Federal Government continued to sweeten the pot with inducements. And the one thing that was is, and forever will be out of our control, the oil price, looked to be recovering.

Fortune favoured the true believers, the Hibernia development deal was signed, and the first construction contracts were awarded. More legendary parties ensued, and the malt whiskey and smoked salmon returned.

So, the time was obviously right to once again get fully committed to the offshore. Local entrepreneur Harold Wareham had convinced me to leave the insurance business and head up a contract R&D company called Instrumar. As part of the deal, Steve Henley and I got Harold to back us in an offshore supply company called AMI Offshore. We then artfully convinced my brother Matt to leave his secure government job to chase oil riches with us. So the smart guys were ready to rake it in. But just two weeks after Matt left his job, Gulf pulled out of the Hibernia consortium. Our only client was now on hiatus. The cheque book had left the Province! Smart guys zero, oil industry carries on as usual.

We all know the story of how the project got put back together. The group of us true believers were front and centre whipping up industrial support across the country and tormenting anyone who would listen about the importance of making it happen.

So, Hibernia finally did happen. We started to make some money on the construction project.
At AMI we listened to others about where the future might take us. In particular, Wes Abel, Mobil’s local lead, clearly stated to the industry that the real success would come to those companies that learned that the real economic opportunity was in operations and maintenance. Better a dollar a day forever than $100 once in a while. Our focus shifted to operations.

I took on the challenge of leading AOC Canada, a joint venture of Aberdeen based AOC and Toronto based Bracknell, set up to pursue the initial Hibernia operations and maintenance contract. A hard battle was fought, but we were victorious in the end. Hurray more legendary parties!

After the award, I asked Bill Fanning, who was with Hibernia at the time, what our secret sauce was, thinking there must have been something really special about what we did that enabled us to win. Bill told me the competitors were both pretty much the same, but we tried harder!

Gradually, over the next decade, the local supply sector evolved into what you see today. Lots of mergers and acquisitions, but pretty much the same folks chasing the same contracts as the additional projects got built and the market expanded.

Crosbie Group bought into AMI and eventually bought the whole company. But to be honest, the real long term success for our family didn’t arrive until the early 1990s when Crosbie Group founded a joint venture with Salamis out of Aberdeen to provide maintenance and deck services. We gained an equity foothold in business we could manage for ourselves, here at home.

Crosbie Salamis was our chance to realize the dream we had been chasing since the mid-1970s when Andrew Crosbie had the vision to get us all worked up about the possibilities that the offshore industry offered the people of this province. The dream that we were going to be more than strictly the local labour, that we were going to be ongoing contributors to the industry and that we could translate our business success into giving back to our communities. For me, Crosbie Salamis is a leading beacon of the dream that we were all sold at the very beginning.

What started out initially as an experiment in skills and technology transfer has grown into one of the province’s largest locally owned and operated companies in the industry. We eventually bought out our partner Salamis in a friendly transaction, and now we have completed the circle by partnering up in Guyana in the hopes of being, for our partner in Guyana, what Salamis was to us.

I’ve been reflecting a lot since learning of this award a few weeks ago. Looking back, through all the ups and downs, we have collectively built an industry with four producing projects, with major expansions and asset life extensions and cash flow expected for the next 25 years. We have a new project in the hopper moving towards sanction. We have the largest combined exploration drilling commitment we have ever seen. We have many new global companies chasing our subsea oil wealth. We are better at managing risks than we have ever been. And our local supply community is knowledgeable, passionate, and poised to take its place on the world stage.

It sounds to me like Act 1 is over. Act 2 is starting with the next wave of exploration, and it will be up to all of you to bring it to fruition for the benefit of this wonderful place we call home. Look around this room, and you see the next wave of leaders and believers. It’s particularly gratifying that two of my own children, Malindi Shinkle and Jessica Banfield, both of whom are here today at the Exxon table, went straight from college into long term, challenging careers in our industry.

I have enjoyed this wild ride enormously, but let me be crystal clear. For me, none of it would have been possible without the love, support, and the outright refusal to move to Toronto 30 years ago, of my wife Martha, and our children Malindi, Geoffrey, Jessica, and David. Thank you to all of you, from the bottom of my heart.

With that, I will finish up by passing on a few short pearls of wisdom that I have learned during Act 1, and that I hope you carry with you into Act 2:

Firstly: there’s no one in charge.

Secondly: no one knows what is going to happen next which is why it’s so exciting.

Thirdly: you have to keep trying harder.

And lastly: you have to make sure to have lots of legendary parties!

Good luck, and thank you.”

__________________________________________________

Lee was intrumental in Act 1. He’s is watching over us now. He’ll be a champoin for us in Heaven. Let’s make him proud and bring in the next generation of oil and gas along with renewables and tech. There’s nothing stopping us now…it’s time for Act 2.

We could never say it enough… but  thank you LEE SHINKLE for all you have done.

From October 6–8, a total of four energy exhibitions took place in Munich as part of the innovation hub The smarter E Europe Restart 2021: Intersolar Europe, ees Europe, Power2Drive Europe and EM-Power Europe accompanied by two specialist conferences Intersolar Europe Conference and ees Europe Conference) and three exhibition forums. After more than two years without the possibility of meeting in person at exhibitions, the entire industry was elated to come together again live at The smarter E Europe Restart 2021.

The organizers are more than satisfied with the results. Around 15,000 visitors had been expected at this year’s more compact (due to Covid-19) Restart version of the innovation hub for new energy solutions. With approximately 26,000 visitors from 93 countries and over 50 percent coming from outside of Germany, the expectations of the organizers were greatly exceeded. In light of the Covid-19 restrictions, the very high level of interest among international visitors was particularly exciting for exhibitors. 

The positive reception is, above all, the result of the very dynamic growth and excellent long-term prospects in the participating industries: Photovoltaics, markets for batteries and energy storage systems, e-mobility and green hydrogen as well as components, solutions and new business models for the integration of renewable energies into the energy infrastructure. Even based on conservative estimates, these areas are expected to experience considerable growth throughout Europe in the coming years, and this boom has already begun. In five exhibition halls, the four energy exhibitions showcased everything related to the efficient generation, storage, distribution and usage of renewable energy:

• Intersolar Europe Restart 2021, the world’s leading exhibition for the solar industry
• ees Europe Restart 2021, Europe`s largest and most international exhibition for batteries and energy storage systems
• Power2Drive Europe Restart 2021, the international exhibition for charging infrastructure and e-mobility 
• EM-Power Europe Restart 2021, the international exhibition for energy management and integrated energy solutions

At the event, it became very clear just how important it is to the entire industry, in light of dynamic developments, to meet and exchange ideas in person and work together on innovative projects for the future of the energy supply. What also became evident: Sector coupling as a crucial factor for the energy transition is becoming more and more of a focus, and green hydrogen is becoming an increasingly important option with which to couple the energy, heating and transportation sectors more closely by way of renewable energies. 

The “Green Hydrogen Manifesto”, which was presented as part of The smarter E Europe Restart 2021 at Messe München, provided valuable inspiration for advancing this energy source. With this manifesto, the initiators Hydrogen Europe, German Hydrogen and Fuel-Cell Association DWV, European Electrolyzer & Fuel Cell Forum EFCF and The smarter E Europe aim to send a clear signal in favor of decarbonization and a sustainable circular economy.
We would be delighted if you already saved the date of the next scheduled The smarter E Europe: May 11-13, 2022!

If you were not able to attend all events in person, this year you still have the opportunity to catch up on anything you missed and experience the industry highlights even now that the exhibition is over. Just follow this link to The smarter E Expo TV: www.thesmartere.de/de/expo-tv

The Smarter E Europe Restart 2021 – A Spectacular new start for the Innovation Hub

The new energy world is gaining momentum throughout Europe – the stakeholders met in Munich/Pforzheim, October 11, 2021: After a triumphant three days, it’s clear that The smarter E Europe Restart 2021 was a success. Taking place in a more compact restart format due to the Covid-19 pandemic, the innovation hub for new energy solutions was an absolute success. With more than 450 exhibitors, 45,000 square meters of exhibition space and around 26,000 visitors from 93 countries, it was possible to host the event again for the first time in two years.

Responses from exhibitors, visitors, organizers and partners were positive across the board: “We are so happy to finally meet again in person!” The industry is looking forward to the next The smarter E Europe from May 11–13, 2022. Matthias Taft, CEO at BayWa r.e. AG commented, “We are so excited that it’s possible to meet personally with our customers and suppliers for the first time in nearly two years of the pandemic. For us, it’s an incredible opportunity to take part in The smarter E Europe Restart 2021 and be able to showcase our innovations and expand our network.”

At the core of the innovation hub are the key issues related to a sustainable energy and transportation industry: Renewable energies, decentralization, digitalization and sector coupling as well as smart, connected energy systems. Innovative technologies, new business models and pioneering projects were presented at the accompanying conferences and forums.

From October 6–8 October, 2021, a total of four energy exhibitions took place at the innovation hub: Intersolar Europe, ees Europe, Power2Drive Europe and EM-Power Europe, accompanied by two conferences (Intersolar Europe Conference and ees Europe Conference) and three exhibition forums. What’s more, Intersolar celebrated its 30th anniversary this year. Together, these exhibitions share a common vision of creating a smart, sustainable and connected energy supply system. The smarter E Europe puts the new energy world on the map.

Tailwinds for the industry: The bedrock of the new energy world is booming

The European solar market is booming. According to industry association SolarPower Europe, new photovoltaic systems with a capacity of 18.2 gigawatts (GW) were installed in 2020. This represents an 11 percent increase in market volume over the previous year. And all forecasts are predicting further growth, also in terms of jobs: The Swiss plant construction company Meyer-Burger, exhibitor at Intersolar Europe Restart 2021, is revitalizing the Solar Valley in Germany’s Saxony-Anhalt with two factories for solar cells and modules and is creating new jobs in the new energy world.

To ensure the success of the energy transition, further expansion of renewable sources of energy is still necessary. According to Carsten Körnig, CEO of the German Solar Association (BSW Solar), a sort of “turbo mode” for solar energy and storage systems is needed now to avoid a looming electrical energy gap in the near future by replacing fossil fuel power plant capacities before it’s too late.

In addition to a faster expansion of traditional roof and ground-mounted photovoltaic systems, contributions can also come from building-integrated photovoltaics (BIVP) and agrivoltaics in agricultural areas as well as floating PV. Accordingly, companies such as BayWa r.e. GmbH and Rem Tec Srl have presented innovative agrivoltaic and floating PV systems and products.

Photovoltaic systems combined with electrical energy storage for grid control and managing grid congestion are becoming more and more important and will form the backbone of our energy infrastructure in the future, as demonstrated by another highlight: The joint sessions of the ees Europe Conference and the Intersolar Europe Conference on the combination of PV and storage systems. 

Storage systems and green hydrogen as the core of the energy transition

The expansion of solar and wind energy is the first step toward a further decarbonization of the energy industry. However, efficient electricity storage systems are crucial – and the storage market is booming along with battery production, both for large-scale and residential storage systems.

Investments and government incentive schemes worth billions, rapidly growing revenues and many new players are characteristic for the current market. On site, exhibitors such as Huawei Technologies Co. Ltd., Sungrow Power Supply Co. Ltd. and Fenecon GmbH also provided insights into the dynamic battery storage markets.

Expert lectures and discussions held as part of the ees Europe Conference were also devoted to this topic, as were the ees AWARD winners Commeo GmbH, Enphase Energy NL and SAX Power GmbH. “It’s exciting how many people are starting to think about grid security, energy storage and renewable energies. Commercial storage systems are in especially high demand, since companies have recognized the benefits of capping load peaks and easing the burden on the grid as well as saving money. It’s really encouraging to get such positive feedback on our ESS solutions from the international trade visitors,” says Franz-Josef Feilmeier, Managing Director Fenecon GmbH.

Another key element of the energy transition is also gaining ground at the moment. Green hydrogen is becoming an important option with which to couple the energy, heating and transportation sectors more closely by way of renewable energies. “The entire energy storage industry has an exciting future ahead: Green hydrogen perfectly follows the trends and meets the requirements for decarbonization. As the link to the use of renewable sources of energy in all sectors, hydrogen is unbeatable – it also connects the ecological benefits with regional value creation,” says Ove Petersen, co-founder and CEO of the GP JOULE Group.

The “Green Hydrogen Manifesto”, which was presented as part of The smarter E Europe Restart 2021 at Messe München, now provides valuable inspiration for advancing this energy source. With this manifesto, the initiators Hydrogen Europe, German Hydrogen and Fuel-Cell Association DWV, European Electrolyzer & Fuel Cell Forum EFCF and The smarter E Europe aim to send a clear signal in favor of decarbonization and a sustainable circular economy.

“We are at the verge of a hydrogen market economy: Green hydrogen not only brings incredible opportunities for European industries but is also an entire system integrator at the core of the energy transition. To reach the climate targets, policies must be put in place to pave the regulatory path for this energy source. This is the only way that all of the inspiration and creativity which was so impressively showcased at the exhibition can find its way into the future of renewable, sustainable and cost-effective energy supply,” says Werner Diwald, Chairman of the Board for the German Hydrogen and Fuel-Cell Association (DWV).

E-mobility: The key element between the new energy world and the world of mobility

The role of e-mobility in the new energy world, charging infrastructure as the intersection between mobility and power grids as well as the prospects of the Vehicle2Grid concept as a game changer of the new world of mobility – these are just a few of the main topics at the Power2Drive Europe Restart 2021. At the exhibition and the accompanying forum, the major players of the energy transition in the transportation sector came together.

Manufacturers, suppliers, distributors and start-ups presented the latest developments and business models. The integration of Power2Drive Europe and the innovation hub for new energy solutions demonstrates clearly: In order to take advantage of all that the mobility and transportation sectors have to offer, electric vehicles and charging infrastructure must be viewed as an integral part of the energy system.

High-performance electric vehicle batteries not only serve as energy storage for vehicles but can also be used as building blocks in the power grid. Electric vehicles make decentralized storage capacity available for the energy transition. Foundations include Vehicle2Grid (V2G), Vehicle2Home (V2H) and Vehicle2Work solutions.

“Charging infrastructure is a central element for the success of e-mobility – and at the exhibition, we explored how it relates to other topics such as storage, photovoltaics and regenerative energy. In turn, this event showcased the entire energy and mobility sector, which is incredibly exciting for us,” says Karl Kolmsee, Director Product Portfolio Management at Webasto Customized Solutions.

A firsthand experience of the energy transition

Visitors who took part in EM-Power Europe Restart and the accompanying forum were able to experience the energy transition firsthand. As always, the award ceremony for the Energy Transition Award 2021 for the best utility companies in German-speaking regions was a highlight – the award-winning projects are tangible and put the new energy world at our fingertips.

The Energy Transition Award demonstrates that every company – from locally operating municipal utilities to internationally active energy groups – can and must make a contribution to the energy transition. This is evident in the award-winning companies for the category Energy Transition 2021, which include Entega, Stadtwerke Karlsruhe, Stadtwerke Mühlheim am Main GmbH and Stadtwerke Bernau GmbH. Click here for a complete list of winners.

Another highlight: The daily sessions on climate neutrality and how companies can achieve this. Businesses have also caught up with the times: More and more companies are switching to cost-effective and environmentally friendly electricity and are embracing climate-neutral production. At EM-Power Europe, special focus was placed on the path to becoming a climate-neutral company, sector coupling in buildings and districts as well as future issues surrounding smart grids and grid infrastructure.

“To optimize CO2 emissions, we are focusing on sustainable energy supply through digitization and new business models. By working at the grid edge, the interface between smart grids and prosumers, the relationships between consumption, production and storage are being redefined. In this way, renewable energy can be integrated efficiently, and energy supply can be guaranteed flexibly and reliably”, says Markus Mildner, Head of Global Sales, Siemens Smart Infrastructure.

Four exhibitions, one mission

The innovation hub is also just the place for start-ups: Responses on the start-up area and stage were very positive – interested young companies were able to bolster business and directly interact with investors and other companies as part of the Business Speed Dating. Accelerating the transformation: Making renewable energy available 24/7, seven days a week, achieving a connected, clean and modern energy and transportation industry, tackling challenges and seizing opportunities for the entire industry, sectors working together in harmony with each other, advancing flexible solutions and concepts – that’s the vision of The smarter E Europe.

And the innovation hub for new energy solutions is not alone in this: A great number of international stakeholders in the modern energy industry gathered from October 6 to 8 in Munich. The smarter E Europe Restart is an important event marking the return of exhibitions and sends an important signal for the industry, which very much welcomes these activities. Visitors and exhibitors who were not able to attend the innovation hub can catch up on everything they missed by accessing articles, statements and interviews in Expo TV: https://www.thesmartere.de/de/expo-tv.

The smarter E Europe, which encompasses the four individual exhibitions (Intersolar Europe, ees Europe, Power2Drive Europe and EM-Power Europe), will take place from May 11–13, 2022, at Messe München.
For more information, please visit: www.TheSmarterE.de/en

The smarter E Europe

The smarter E is the innovation hub for events and topics that drive the new energy world. Renewable energy, decentralization and digitalization are bringing lasting changes to the energy world. This development demands cross-sector, intelligently integrated concepts and solutions for the efficient generation, storage, distribution and use of energy, so that we can ensure a secure and sustainable energy supply around the clock in the future. Under the motto “Creating the new energy world”, The smarter E Europe unites four exhibitions and conferences that take an in-depth look at these topics. In doing so, it is now Europe’s largest platform for the energy industry.

Intersolar Europe, the world’s leading exhibition for the solar industry, has been dedicated to solar energy for 30 years and has established itself as the industry’s most important meeting point. The exhibition focuses on the areas of photovoltaics, solar thermal technologies and solar power plants.
ees Europe, the continent’s largest and most international exhibition for batteries and energy storage systems, will take place for the seventh time in 2021, presenting the entire value-added chain of innovative battery and energy storage technologies.

The smarter E Europe is organized by Solar Promotion GmbH, Pforzheim, and Freiburg Wirtschaft Touristik und Messe GmbH & Co. KG (FWTM).

Source(s) and Image(s): The smarter E Europe Restart, © Solar Promotion GmbH

The three-year pilot, located at Slate-owned 55 St. Clair West in Toronto, (headquarters to IBI Group and the Smart City Sandbox) demonstrates how commercial building owners can accommodate the growing demand for EV charging stations while simultaneously improving the building’s energy efficiency and reducing operational costs. Leveraging SWTCH’s bidirectional, vehicle-to-grid (V2G) charging technology, SWTCH operators will study the V2G charger’s ability to store energy through a parked Nissan Leaf during off-peak hours, and redistribute that energy to the building and the Level 2 EV chargers during on-peak hours.

“The mission of the Smart City Sandbox has always been to cultivate the next generation of smart buildings and infrastructure by bringing together established market leaders with early-stage companies to develop technologies that improve efficiency, the environment, and citizen engagement. As an early-stage investor in SWTCH, we believe the pilot embodies all tenets of this mission by allowing EV owners to participate in an innovative solution that supports decarbonisation and benefits all stakeholders,” said IBI Group CEO, Scott Stewart.

“Environmental sustainability is central to how we think about acquiring, enhancing and managing real estate at Slate Asset Management. Our goal is to create places where our people and tenants thrive, and to contribute to our communities and the environment. Driving innovation in clean technology and finding ways to make our properties more resource-efficient is key to that objective and benefits all of our stakeholders. We’re pleased to be making our property at 55 St. Clair West available for this groundbreaking pilot program, which can help make clean energy solutions more accessible and widespread in urban settings across Canada and beyond,” stated Katie Fong, Vice President of Asset Management at Slate.

As electric vehicles gain popularity and adoption, the question of how to accommodate a rise in EV charging infrastructure without additional strain on the electrical grid becomes increasingly relevant. Vehicle-to-grid technology allows buildings to draw energy from parked EVs during on-peak hours rather than the grid. During the pilot, the parked Nissan Leaf will store energy during off-peak hours and redistribute that energy to the building and the EV chargers in use, creating an energy flow that is cost-effective and environmentally sustainable.

The technology and model developed by SWTCH is unique as it includes a financial incentive for EV owners to participate in the program which leverages the blockchain. The SWTCH app tracks when energy is being drawn from a car’s battery and when it’s being charged, creating a history of credits and debits securely managed through blockchain technology that participants can monitor on their phones.

“We are thrilled to partner with IBI Group and Slate, through the Smart City Sandbox, to address the barriers to widespread EV adoption. By proving our innovative charging and energy management solution, we hope to significantly reduce the cost of EV charging infrastructure and materially enhance grid efficiency,” commented SWTCH CEO, Carter Li.

About Smart City Sandbox

The Smart City Sandbox unites like-minded public- and private-sector partners to foster innovative new products and solutions focused on improving the quality of life in urban environments. By bringing together entrepreneurs, start-ups, influencers and the tech ecosystem at-large, the physical-turned-virtual Sandbox provides events and programming to foster engagement and collaboration, while offering tangible opportunities for the development and delivery of new products and services.

About IBI Group

IBI Group Inc. is a technology-driven design firm with global architecture, engineering, planning, and technology expertise spanning over 60 offices and 3,000 professionals around the world. For nearly 50 years, its dedicated professionals have helped clients create livable, sustainable, and advanced urban environments. IBI Group believes that cities thrive when designed with intelligent systems, sustainable buildings, efficient infrastructure, and a human touch.

About SWTCH Energy Inc.

SWTCH provides end-to-end EV charging and energy management solutions for high-density urban settings. Our innovative EV charging platform streamlines the charging experience for drivers while optimizing usage and revenue for site operators. SWTCH’s approach to EV charging ensures greater flexibility and scalability to meet the growing demand for charging while minimizing infrastructure upgrade costs. Ultimately, SWTCH’s mission is to improve EV charging accessibility in urban, multi-tenant settings and ensure the effective integration of EVs in our clean energy future. 

About Slate Asset Management

Slate Asset Management is a global alternative investment platform focused on real estate. We focus on fundamentals with the objective of creating long-term value for our investors and partners. Slate’s platform has a range of investment strategies, including opportunistic, value add, core plus and debt investments. We are supported by exceptional people and flexible capital, which enable us to originate and execute on a wide range of compelling investment opportunities.

Source(s) and Image(s): IBI Group

CRP Subsea’s latest innovation, Motion Stabilisers, along with Bend Restrictors (including VIV strakes) and Tri-Strakes® C (Combi) VIV suppression strakes, are designed to protect these submarine power cables from environmental damage potentially caused by lateral movement in very deep waters and difficult seabed environments.

Andy Smith, Sales Team Manager (Elastomers) at CRP Subsea, states, “We are extremely proud of this substantial contract award in support of Hellenic Cables interconnector project, which has now been successfully installed. The seabed environment around Crete is extremely challenging with deep water and a variable seabed morphology. Our solutions will enhance stability of the power cables from lateral movement, additional tension, over-bending and fatigue, providing a long-term solution.”

Mitigating axial or lateral pipe and cable walking, the Motion Stabilisers have been designed to reduce slippage on the seabed and mitigate additional tension and damage from movement. Manufactured from CRP Subsea’s highly abrasion resistant API 17L certified Uraduct® material, the Motion Stabilisers assembly is easy on a cable lay vessel,
allowing speedy installation.

Maria Lamprou, Hellenic Cables’ Project Manager, explained, “We came to CRP Subsea as it has an unrivalled track-record in the design and installation of cable protection solutions. Over the course of the project, the company has designed and manufactured three different types of cable protection solutions to meet the needs of our very demanding project, both in terms of seabed terrain, water depth, installation load and schedule requirements. We are delighted we chose CRP Subsea, whose products were delivered, installed and over-boarded with ease.”

The construction of an electricity interconnection between Crete and the Peloponnese on the mainland of Greece, will provide the island with a cheaper and more secure energy supply. The aim of the project is to cut the cost of electricity generation in Crete by replacing expensive and polluting oil-fired units with a more efficient alternative from across the Aegean Sea. The project includes laying two new submarine cables, each 135 kilometres long, making this the longest subsea alternative current connection in the world. The interconnector will provide around 34% of Crete’s total electricity demand in 2021.

Source(s) and Image(s): CRP Subsea

Whether it’s the Fit for 55 package in Europe or the forming of a new government in Germany: A new foundation is being laid – also for the energy market of the future. Green hydrogen is a key element for a climate-neutral economic system. As a main feature of a sustainable energy supply, green hydrogen enables intelligent networks across the energy, heating and transportation sectors. Under the heading “The Green Hydrogen Manifesto”, the manifesto aims to help drive the advancement of green hydrogen in Europe.

“Against the backdrop of the current realignment in politics, our manifesto aims to encourage decision-makers to factor in green hydrogen – whether in the energy sector or the economic sector. Because hydrogen that is produced from renewable sources is not only important for the energy transition. More importantly, it also provides huge opportunities for the economy of the European Union,” says Werner Diwald, Chair of the German Hydrogen and Fuel-Cell Association DWV.

Europe as a model for the introduction of green hydrogen. Along with the German DWV, authors of the manifesto include Hydrogen Europe as the European umbrella organization for the hydrogen and fuel cell industry, the European Electrolyzer and Fuel Cell forum EFCF and The Smarter E Europe, the innovation hub for new energy solutions. The manifesto is aimed at policy makers in the European Union as well as national governments and politicians.

“We want to show policy makers how important green hydrogen is for a circular economy and decarbonization, and motivate them to take action. In the future, Europe must lead the way in introducing this energy source while also ensuring and enhancing prosperity and prospects. That is our responsibility for the future and for climate protection,” commented Jorgo Chatzimarkakis, CEO of Hydrogen Europe.

The manifesto defines how Europe can live up to its leadership role by laying out twelve demands, including a guiding framework and targeted incentives as well as measures to ramp up production volumes and reduce costs. The first demand is: The CO2 content of energy carriers should serve as the new currency for energy systems. Other specific recommendations include, for example, the certification of hydrogen as a global commodity, the appointment of a dedicated EU Hydrogen Special Envoy in charge of driving forward the EU Hydrogen Strategy and partnerships with third countries, and a legal framework at the EU level for the regulation of hydrogen networks.

Presenting to international trade visitors

This manifesto was presented at the Green Hydrogen Forum, part of the innovation hub The smarter E Europe Restart 2021, which is still taking place in Munich until October 8. Oliver Bucheli, President of the European Electrolyzer and Fuel Cell Forums comments, “With its focus area Green Hydrogen Forum & Expo, ees Europe Restart 2021 was the perfect setting to present our manifesto to an international expert audience and win over supporters. Green hydrogen will only be able to establish itself on the market with active support from the economy, science and policy makers. Europe has the means to be a worldwide leader in this industry.”

Shortly after its publication, as many as 54 companies and organizations have signed the Green Hydrogen Manifesto as a sign of their support. Some of the first to sign include SAIPEM S.p.A., Forschungszentrum Juelich, Haldor Topsoe AS, the German Federal Association for Combined Heat and Power (B.KWK), ITM Power, Paul Wurth GmbH and Deutsche Kreditbank AG , among others. The large number of signatures demonstrates the importance of the demands to policy makers. Markus Elsässer, CEO of Solar Promotion GmbH states, “We are pleased that we are able to draw attention to an extremely relevant energy issue with the Green Hydrogen Forum and the Green Hydrogen Manifesto.”

The smarter E Europe

The smarter E is the innovation hub for events and topics that drive the new energy world. Renewable energy, decentralization and digitalization are bringing lasting changes to the energy world. This development demands cross-sector, intelligently integrated concepts and solutions for the efficient generation, storage, distribution and use of energy, so that we can ensure a secure and sustainable energy supply around the clock in the future. Under the motto “Creating the new energy world”, The smarter E Europe unites four exhibitions and conferences that take an in-depth look at these topics. In doing so, it is now Europe’s largest platform for the energy industry.

Intersolar Europe, the world’s leading exhibition for the solar industry, has been dedicated to solar energy for 30 years and has established itself as the industry’s most important meeting point. The exhibition focuses on the areas of photovoltaics, solar thermal technologies and solar power plants.

ees Europe, the continent’s largest and most international exhibition for batteries and energy storage systems, will take place for the seventh time in 2021, presenting the entire value-added chain of innovative battery and energy storage technologies.

Power2Drive Europe, the international exhibition for charging infrastructure and e-mobility, focuses on solutions and technologies for clean transportation.

EM-Power Europe is the international exhibition for energy management and integrated energy solutions. It focuses on the efficient distribution and use of electricity and heat generated from renewable sources of energy, smart energy management, and sector coupling in buildings and districts. Other key topics are smart grids and microgrids, grid infrastructure, energy services, and operator models. 

The German Hydrogen and Fuel Cell Association e.V. (DWV) 

The German Hydrogen and Fuel Cell Association e.V. (DWV) as an interest group has been working since 1996 to promote the rapid market introduction of hydrogen as an energy carrier and of fuel cell technology. The association aims to promote the development of the hydrogen economy as a component of a sustainable energy supply in order to ensure the efficient achievement of climate targets while at the same time maintaining security of supply and Germany as an industrial location. 

Hydrogen produced with renewable energies will play a decisive role in this. The association’s activities will focus on implementing and optimizing the necessary market, technological and regulatory framework for the hydrogen economy in the areas of plant engineering, generation, transport infrastructure and application technologies. To solve these challenges globally, DWV is also committed to international sustainable cooperation. Our 400 personal members and over 140 member institutions and companies represent more than 1.5 million jobs nationwide; the association thus represents a significant part of the German economy.

EFCF

EFCF AG organises the European Electrolyser and Fuel Cell Forum – world’s leading scientific and technical conference in the field of electrolysers, fuel cells and hydrogen since 1994 in Lucerne Switzerland. The forum accommodates more than 500 experts, building bridges between science, engineering and industry.

Hydrogen Europe

Hydrogen Europe is the European association representing the interest of the hydrogen and fuel cell industry and its stakeholders and promoting hydrogen as an enabler of a zero-emission society. With more than 300 companies and 27 national associations as members, our association encompasses the entire value chain of the European Hydrogen and fuel cell ecosystem collaborating with the European Commission in the Fuel Cell Hydrogen Joint Undertaking.

Source(s) and Image(s): © Solar Promotion GmbH

Image: Olivier Bucheli (President, European Electrolyzer and Fuel Cell Forum EFCF), Werner Diwald (Chairman of the Board,  German Hydrogen and Fuel Cell Association DMV),  Jorgo Chatzimarkakis (CEO,  Hydrogen Europe) and Markus Elsässer (CEO, Solar Promotion GmbH) (from left to right).

Overcoming obstacles

Global market

New features

Source(s) and Image(s): Moscord and Photographer Geoffrey Whiteway

Repeating customers in a new company

Norwind Offshore is a newly established ship owning company that will offer specialized vessels designed for advanced maritime operations in the development and service of the offshore wind sector. The owners of Norwind Offshore have a long history in the offshore and maritime industry. Over several decades, VARD and the owners of the new company have developed a strong relationship through the building of a broad range of advanced offshore and specialized vessels. 

Fredrik Mordal Hessen, General Manager for the Offshore and Specialized business area in VARD, says, “I would like to congratulate Norwind Offshore’s owners with the new company, and wish the team welcome back as a customer of VARD. To have local shipowners is vital for the innovation power of the complete maritime cluster at the north-west coast of Norway. As such these are particular important contracts for the entire maritime cluster in this region. We are looking forward to continuing the great cooperation, and to contribute to developing the maritime industry for the future together with our many good customers and partners.” 

Svein Leon Aure, CEO in Norwind Offshore also commented, “Norwind Offshore is exited and looking forward to take delivery off several high-quality vessels from VARD in the years to come. We are pleased to continue our long relationship and together contribute to further position the maritime cluster towards the renewable energy market.”

VARD 4 19

The VARD 4 19 design is a highly versatile platform for sustainable offshore windfarm support operations, focusing on onboard logistics, security, comfort, and superior operability. The 85-metre vessels have a beam of 19.5 meters and will be equipped with a height-adjustable motion-compensated gangway with elevator system, a height-adjustable boat landing system, and will be prepared for battery solutions. The CSOVs will have an accommodation for 87 persons on board, with an option to increase to 120 persons.VARD’s specialized high technology subsidiaries will be involved with major deliveries onboard, and in the shipbuilding process of the vessels.  

SeaQ Integrated Bridge

The newbuildings will have Vard Electro’s SeaQ Integrated Bridge System installed, – a bridge solution with an intuitive user interface designed with the operator in focus. Organized to achieve a clean and efficient workspace, the bridge emphasizes ease of operation, safety, and ergonomics.For control and monitoring of the vessels’ systems and overview of emissions, the newbuilding’s will be equipped with Vard Electro’s SeaQ Integrated Alarm System (IAS), Power Management System (PMS), and Energy Management System (EMS).

PSV to be converted to a SOV

The Platform Supply Vessel is of VARD 1 08 design with a length of 81 meters and a beam of 18 meters. The vessel will be converted to a Service Operation Vessel (SOV) outfitted for offshore wind farm operations.

About VARD

VARD is one of the major global designers and shipbuilders of specialized vessels. Headquartered in Norway and with approximately 8,200 employees, VARD operates shipbuilding facilities in Norway, Romania, Brazil and Vietnam. Through its specialized subsidiaries, VARD develops power and automation systems, deck handling equipment, and vessel accommodation solutions, and provides design and engineering services to the global maritime industry.VARD’s long shipbuilding traditions, cutting-edge innovation and technology coupled with its global operations and track record in constructing complex and highly customized vessels have earned it recognition from industry players and enabled it to build strong relationships with its customers.The majority shareholder of VARD is Fincantieri Oil & Gas S.p.A., a wholly owned subsidiary of FINCANTIERI S.p.A. Headquartered in Trieste, Italy. FINCANTIERI is one of the world’s largest shipbuilding groups, and a global leader in cruise ship design and reference player in all high-tech shipbuilding industry sectors. With over 230 years of history and more than 7,000 ships built, the Group today has a production network of 18 shipyards operating in four continents and over 20,000 employees.

Source(s) and Image(s): VARD

Actively supported by the Technology Leadership Board (TLB) and Oil and Gas UK (OGUK), this new approach will enable new technologies to be trialled and tested in multi-operator collaboration field trials, enabling faster, lower-cost and wider industry adoption.

Keith Hogg, Project Manager – Emissions Reduction, The Net Zero Technology Centre commented, “This collaboration could be a true game changer in the way we approach technology development in the wells P&A space. It has the potential to accelerate the progress of technologies being field trailed and tested making them available to operators far more quickly. The success of this new collaborative approach has been driven by the commitment of the operators; Spirit Energy and Harbour Energy who participated in the first project together.
It is this proactive attitude and willingness to collaborate and share information that we need other UK operators to replicate, as this is key to the future of this collaboration and meeting our industry commitment to a minimum of 35% cost reduction and 50% emissions reduction in well P&A by 2035.”

The Oil and Gas Authority has identified that well P&A represents circa 45% of UKCS decommissioning costs, or an estimated £23bn spend over the life of the basin. Technology best practice and innovation has a key role in helping operators reduce the cost of well P&A and deliver CO2-compatible well plug and abandonment techniques.

Carlo Procaccini, OGA Head of Technology and Co-Chair of the TLB, stated, “Reducing well P&A cost has long been identified by the TLB and the OGA as a very important priority for our industry. Novel technologies have the power to achieve that. The TLB has been proudly supporting the efforts by the Net Zero Technology Centre, Spirit Energy, Harbour Energy and other partners to bring an ambitious field trial programme to life. Now is the right time to expand this programme to more operators and technologies to accelerate testing and adoption of a fuller portfolio of critical technologies for P&A efficiencies.”

Over the next two years the well P&A collaboration initiative has committed to increase the number of technology field trials, in low access cost land wells. This will support the validation and qualification of alternative P&A barrier materials, inspection and verification technologies and other P&A enabling technology streams to expand the reach of the rigless well P&A approach.

The wells P&A collaboration initiative will be managed by the Net Zero Technology Centre and overseen by a multi-operator steering group, with backing from Spirit Energy, Repsol and Harbour Energy already secured. The steering group will review up to five technologies per year, conducting a minimum of three field trials for each. The ambition for the initiative is to have six technologies qualified and adopted by 2025.

Joe Leask, OGUK’s Decommissioning Manager commented, “The implementation of new technologies in decommissioning is a key priority for our members at OGUK, particularly in well decommissioning, which comprises almost 50% of the expenditure over the next decade. OGUK’s decommissioning forum is keen to support the Net Zero Technology Centre’s collaborative approach, which will help us lead the way on safe, environmentally
sound, and globally competitive well decommissioning.”

A pilot project was undertaken in Q2 2021 to ensure the robustness of the collaboration process. Well engineering services firm Interwell qualified their patented formation-to-formation thermite barrier in Canada. Supported by Spirit Energy and Harbour Energy, five successful field trials were completed, with the technology now recognised as part of the standard “non-routine” abandonment procedure with the Alberta Energy Regulator (AER),
paving the way for the same recognition in the UKCS from operators and regulators alike.

Mike Richardson, Industry Technology Sponsor, Spirit Energy said, “Our industry has struggled to be truly collaborative in the past but this is a fantastic opportunity for operators to work together, reduce costs, accelerate new technology have a better range of plugging solutions available…. all at the same time!”

Source(s) and Image(s): The Net Zero Technology Centre

Shell has signed a framework agreement with the renewable energy developer Island Green Power to develop solar PV projects with co-located battery storage potential, with an initial collaboration on over 700MW total generating capacity.

Shell has also partnered with Clearstone Energy to develop several utility-scale solar PV projects in the South-East of England. The Clearstone Energy projects have a total combined export capacity of 100 MW with co-located storage potential, enabling Shell to generate renewable power close to customer demand. Both deals would be subject to a future final investment decision.

David Bunch, Chairman, Shell UK said, “Shell is building an integrated power business which spans the renewable generation, trading and supply of clean energy to businesses and consumers. We will work with both Island Green Power and Clearstone Energy to deliver high-quality solar PV projects to supply more of our UK customers with renewable power.”

Shell has set a global target to be a net zero emissions energy business by 2050, in step with society. Increasing renewable power generation will play a key role in delivering the strategy, as well as supporting the UK in meeting its net zero 2050 goal.

Source(s) and Image(s): Shell & Mercom India

GUYANA, SOUTH AMERICA

Guyana, has for centuries, been rich with diversity, inclusion, cultures, races, and religions. The 7 different ethnic groups that make up the region live harmoniously. They celebrate their differing languages, beliefs, and vantage points. It’s a celebration of differences that brings everyone together.

The “Land of Many Waters” is where the word Guyana came from. Waterfalls abound and set the stage for some of the most beautiful rainforest landscapes on earth. It’s no coincidence that Demerara, Essequibo, and Berbice River are the names of three large rivers and are also the names of the three Guyana counties. Guyana is a world of water in all its various forms. Surprisingly, in Guyana you will find the mammoth Kaieteur Falls; the largest single-drop waterfall in the world.

With 80% of the country covered in rainforests, Guyana is an ecotourist’s dream come true. It’s the place for explorers to look for unknown species and for travelers to have untold adventures.
Bordering on Venezuela, oil and gas were bound to happen for Guyana.

Currently, Venezuela holds the world’s record for proven oil reserves. Surpassing Saudi Arabia and Canada means mega-potential. Guyana has an open-for-business policy and will most likely follow its global energy sister, Venezuela in terms of oil payout. We’re predicting a similar oil boom.

Based on Guyana’s geographic proximity to Venezuela, its oil exploration discoveries to date, and the government encouraging economic prosperity climate makes the region a solid bet. It makes this region one of the hottest places in the world to partner, invest, and work.

Unprecedented oil history is making waves in Guyana as we speak. ExxonMobil is discovering offshore oil at unprecedented rates. To date, 20 oil discoveries have been announced and the most recent project was just announced at the Guyana offshore Stabroek Block in September of 2021. And we’ve only just begun.
With coastal plains in the north, mountains in the highlands covered in rainforests, and dusty savannah plateaus in the south, Guyana gas it all. It is an entrepreneur’s dream.

THE BURROWES FAMILY IN CANADA AND GUYANA

With a long rich history of family members in Guyana and Canada, Ryan Burrowes, CEO of Warehouse Transport Group (WTG), is the bridge between the two regions. No stranger to global opportunities, Ryan’s $multimillion logistics company has an intuitive compass for what’s to come.

“My parents were both born in Guyana and came to Canada in the mid-’70s. My father, Peter, is an environmental engineer who started his career with the Guyana Bauxite company and now 48 years later, specializes in wastewater engineering and sustainability, an underdeveloped service in Guyana at the moment. My mother, Cheryl, has a music management business and both she and my sister have taught music in Guyana and are active in the Guyanese community in Toronto. My brother Andrew also works in the IT side of the business. Its a family affair.” said Ryan.

Bridging regions and building new opportunities has been a lifestyle and a passion for the Burrowes family. It makes perfect sense that they have a family-run freight forwarding and logistics company. “We are a family business. We think about family and community as a way of life. Moving between regions is what we do. With technology and transportation where it is today, the world is our home,” said Ryan.

THE GUYANA LEGACY

Ryan’s family lineage is rooted strongly in Guyana. “My great grandfather, Sydney Abdool, started the family in the insurance business more than 100 years ago and we are fortunate enough to have our WTG offices alongside Abdool & Abdool Insurance in Georgetown,” said Ryan.

My grandfather Eddie Fredericks was an icon in the community. He was a legal visionary with a passion for international relations. Eddie was instrumental in the sugar industry, and while CEO of Shell and Consul General for the Netherlands, he also oversaw the earlier drilling days, for oil by Shell, in Guyana. I think he would be happy that I am carrying on this lineage. My other grandfather, Thomas Burrowes worked at the Guyana Tobacco Company for over 45 years, retiring as Managing Director before migrating to Canada. Canada and Guyana have always felt line one and the same,” said Ryan.

THE WORLD IS OUR HOME

As the world digitalizes and globalizes, barriers dissolve and opportunities emerge. With vision and insight, Ryan envisions the future of Guyana and has great expectations.

“Our dream is to build a bridge between Guyana and Canada so that the people who want to do business in both regions can take advantage of that opportunity. Not only will we be moving freight for our clients between the two regions, but we will be forming partnerships and joint ventures to develop stronger infrastructure in the region. Right now, the opportunities are unprecedented. We will be looking for companies to partner with who have the same commitment to family values, community, and business as we do. We are visionaries for Canada and Guyana and are in it for the long game. Since our family motto has always been to help those in need, we are deeply committed to giving back to the Guyanese community,” Ryan explained.

“I am very fortunate to have been exposed to a strong Guyanese heritage from birth. I remember back in my school days, on the last day of school before summer break, most of my friends were going to Florida for vacation and I always received puzzled looks when I said I was going to Guyana. I thought I was different. I didn’t realize it at the time that those family trips were the foundation of my future. I spent summers in Guyana with my grandparents and our relatives and they handed down the Guyanese culture to me. Now its my blended culture,” Ryan recalls.

The beneifit of being a citizen of both Guyana and Canada gives Ryan’s company an extra advantage, “I am extremely proud to be a dual citizen of two amazing countries that have shaped my character and destiny. I formed WTG Guyana Inc, a Guyanese company, to identify where our services can be helpful to the Guyanese economy and share the remarkable links between the two countries. Canada, especially the East coast, has many similarities to Guyana with a long history of trade between Newfoundland and Guyana.”

“When I visited recently, I was completely blown away by the excitement shown towards myself and our company. I realized that the opportunity for Canadians to showcase their oil and gas products and skills in Guyana is enormous. For example, one of our primary initiatives with our partners in Halifax, Nova Scotia, is to develop the construction and infrastructure needs in Guyana. That’s a really exciting project and will be the foundation for many more to come,” said Ryan.

Bill Organ, Nova Scotia operations manager and director of logistics says, “We are serving clients from Newfoundland to Guyana and every place in between. We see the connection between Newfoundland and Guyana as something very special. There’s a synergy between the two offshore oil regions. We see similar people, similar offshore oil plays, and both are growing industry sectors. It is a very exciting time. Newfoundland has a 30-year history in oil, whereas Guyana has just begun. We see strategic partnerships between the two regions as a primary area of focus.”

Ryan Burrowes’ best friend and wife, Veronica Burrowes, is the head of financial operations at WTG – Warehouse Transport Group. Veronica says, “We plan to build a much‐needed infrastructure that will support the advancing energy sector in Guyana. We will be looking for partners that will allow for the transference of technology, the ability to transfer skills and transfer much‐needed infrastructure to the region. We are focusing on building a solid foundation of local partnerships that ensures the people of Guyana are the primary benefactors of their oil resource. We will be going beyond the country’s requirements for local content and partnerships and will ensure that the people of Guyana benefit from all of our endeavours.”

DO YOU WANT TO DO BUSINESS IN CANADA AND GUYANA?

Ryan concludes, “Our goal is a long-term vision where everyone wins. We encourage companies who want to do business in Guyana to come and meet with us. We encourage Guyanese companies who want strong partners from abroad, to let us know what they want to accomplish. We’ll be the bridge that builds a sustainable new energy nation.”

For more information on doing business in Guyana please reach out to Ryan Burrowes and his team at www.warehousetransport.ca

DOWNLOAD: WTG-GUYANA CANADA CONNECTION solutions below.

The Calgary-based oil majors announced agreements to restructure both the Terra Nova FPSO and West White Rose projects off the province’s coast. The agreements, supported by $205 million in funding from the provincial government, mean work will restart on the Terra Nova project this fall and the companies will evaluate the feasibility of restarting work on West White Rose by the middle of 2022.

Suncor said in a news release the agreement is expected to extend production life at Terra Nova by approximately 10 years, providing an additional 70 million barrels of oil. The floating production, storage and offloading (FPSO) vessel has not produced oil since late 2019. Most of the more than 1,000 jobs linked to the oilfield have been lost.

Suncor president and CEO Mark Little said in the news release the Terra Nova life extension provides “strong economic returns and will provide long-term value for investors.”

The project is expected to return to operations in 2022 and will continue operating until 2033.
Suncor will increase its ownership stake in the project to 48 per cent from 38 per cent, the release states. Cenovus will increase its stake to 34 per cent from 13 per cent and El Dorado, Ark.-based Murphy Oil Corp. will boost its ownership to 18 per cent from 10 per cent.

The concentrated ownership structure will lead to four international oil companies – Exxon Mobil Corp., Chevron Corp., Norway’s Equinor SA and Mosbacher Operating LLC – exiting the project.

Suncor is also boosting its ownership interest in the West White Rose project to 40 per cent from 27.5 per cent in exchange for a cash payment from Cenovus, which is reducing its stake to 60 per cent from 72.5 per cent.

The FPSO will undergo maintenance work at the Bull Arm Fabrication site in Trinity Bay, N.L. starting in September prior to sailing to dry dock in Spain later this year, according to the news release. Since beginning production in January 2002, the Terra Nova has produced 425 million barrels of oil.

The two agreements are cause for celebration in the Atlantic province’s struggling offshore oil industry and for a province which had been expected to face the slowest economic recovery from the COVID-19 pandemic.

Source(s) and Image(s): Suncor Energy Inc., Cenovus Energy Inc, Atlantica Center for Energy

Last month, the Intergovernmental Panel on Climate Change, the United Nations body for assessing the science related to climate change, released its latest report. 

The news is frightening and undeniable – climate change is widespread, intensifying and accelerating. If we don’t take greater steps to cut greenhouse gas emissions, some of the consequences we’ve all been seeing – extreme heatwaves, severe rain and flooding in some areas, droughts and massive wildfires in others – will be permanent. Earth is on track for disaster unless we make significant changes.

Although some impacts of climate change are now unavoidable, the good news is that it’s not too late to avoid the worst that will occur if we do nothing. If humans stop burning fossil fuels over the next 20 years, we can avoid some of the most drastic effects. We have some time, but we need to start the transition now.

Canada’s electricity sector is essential to this transition, but we need to dramatically increase our overall supply of electricity. The Canadian Electricity Association estimates that to achieve “net-zero” carbon emissions by 2050, Canada will need to double or even triple the size of the current electricity supply to support the changes necessary to eliminate fossil fuels.

New low-carbon capacity needed

We’re starting from a good place with more than 82 per cent of the electricity generated in Canada already non-greenhouse gas emitting, but we’re going to need to add a lot of new capacity from low-carbon sources.

Although it’s not feasible to eliminate the use of fossil fuels for power generation immediately (these plants are currently needed for base load, peak demand and balancing the grid) we can use the 20 years we have to build out a better power system that combines intermittent renewables, hydro, storage and nuclear.

Of these, nuclear power may be the most important.

Our modern society depends on a steady supply of baseload power, and although renewables are going to play a vital role, the fact that the sun doesn’t always shine and the wind doesn’t always blow, means they can’t replace generating stations that operate 24/7 as the foundation of our power grid. Energy storage can help stabilize the grid, especially at peak times, but it can’t replace base load power in the middle of the night or in the dead of winter.

Nuclear is best source

Hydro power has a role to play, but except for the Gull Island project in Labrador, there aren’t many feasible large-scale sites left to be developed in Canada. That leaves nuclear power as the best source of non-emitting baseload power that we can use to ramp up the supply of electricity that we’ll need to reach net-zero.

In addition, nuclear plants are the only source of energy that can produce both low-carbon electricity and clean heat, which means they will also play an important role in decarbonizing energy intensive processes like steel manufacturing and hydrogen production.

Fortunately, Canada is well positioned to grow our nuclear industry to reach this low carbon future. For more than 75 years we’ve been a global leader in developing and operating nuclear technology for nuclear medicine and power generation, and the Canadian Nuclear Safety Commission is recognized as a world-class regulator. We’re also one of the world’s leading producers of uranium, which means we have a secure supply of fuel

In New Brunswick, NB Power’s Point Lepreau Nuclear Generating Station has been providing a major portion of the province’s electricity needs for almost 40 years and its presence anchors a growing nuclear cluster which can be built upon to help us achieve our low carbon future.

Modular huge opportunity

It’s no accident that two leading developers of the next generation of advanced small modular reactors (SMRs) – ARC Clean Energy Canada and Moltex Energy – have set up shop in New Brunswick because of the world-class body of nuclear operating experience and knowledge that exists here. Their presence creates huge economic and employment opportunities to manufacture and sell high-quality, Canadian made advanced SMRs around the world.

Just as there are well running CANDU reactors already operating here in Canada and in Europe, Asia and South America, there will be a strong market for the latest generation of advanced SMRs manufactured right here and then shipped to their final location, whether it be at an existing power site, industrial location, a remote community in Canada’s far north, or international locations. Access to reliable low-carbon electricity is an essential service in our modern society, a key measure of quality of life, and crucial to fighting climate change before it’s too late.

Intermittent renewables and distributed generation are absolutely necessary and will be a part of our energy future, but they will not be able to completely replace the need for a large amount of reliable low-carbon baseload electricity. This is why nuclear power is vital in greening our future and fighting climate change.

Source(s) and Image(s): Atlantica Centre for Energy

‘Leading edge erosion’ is a serious issue with large commercial wind turbine blades. It is caused by environmental impacts including rain, hail, ice, salt and UV. Such damage of the blade surface leads to increased drag and ultimately to reduced energy production. It also drives operating cost up due to increased maintenance, regular blade replacement and downtime of the generator. While the issue already exists for onshore installations, it becomes even more significant for offshore wind farms, operating under extreme conditions.

Based on specifications defined by Edge Solutions, INEOS Styrolution developed a specific material solution using its Luran® SC product. This material became the basis for the armourEDGE shield – a leading edge protection solution that significantly reduces the impact of environmental factors on the leading edge of wind turbine blades. The armourEDGE shield leads to significantly less downtown and maintenance cost. It also results in an increase in annual energy production. Their armourEDGE system is currently being installed on an operational offshore wind farm in northern Europe.

David Urch, Managing Director, Edge Solutions comments, “Leading edge erosion is a significant issue for wind turbines, offshore and onshore. With tip speeds approaching 330 km/h, continual impacts by rain, hail, ice and other airborne particulates damage the blade surface, leading to increased drag and reduced energy production. This drives up operating cost due to increased maintenance downtime and ultimately blade replacement. Over the last four years we have worked closely with the team at INEOS Styrolution to develop our armourEDGE product which maintains the blades’ aerodynamic properties and is extremely durable. With rapid installation, this results in less downtime and improved profitability for wind farm owners.”

The Luran® SC product line is comprised of blended ASA1 with PC2. The material provides very high heat resistance, stiffness and excellent impact strength. It is very stable towards oxidation. Because of its inherent robustness, Luran® SC is the material of choice for a wide range of challenging outdoor applications.
1 Acrylonitrile styrene acrylate
2 Polycarbonate

Ken MacIntosh, Key Account Manager at INEOS Styrolution, states, “It’s been very motivating to work with an entrepreneurial company like Edge Solutions. Together, we came up with the optimised material performance for the given challenge.”

About INEOS Styrolution

INEOS Styrolution is the leading global styrenics supplier, with a focus on styrene monomer, polystyrene, ABS Standard and styrenic specialties. With world-class production facilities and more than 90 years of experience, INEOS Styrolution helps its customers succeed by offering solutions, designed to give them a competitive edge in their markets. At the same time, these innovative and sustainable best-in-class solutions help make the circular economy for styrenics a reality. The company provides styrenic applications for many everyday products across a broad range of industries, including automotive, electronics, household, construction, healthcare, packaging and toys/sports/leisure. In 2020, sales were at 4 billion euros. INEOS Styrolution employs approximately 3,600 people and operates 20 production sites in ten countries.

About Edge Solutions

Scottish company Edge Solutions has developed its armourEDGE shield which is a game-changing approach to the costly problem of leading-edge erosion on wind turbine blades. Its precision engineered shields securely bond to the leading edge of blades to provide an aerodynamically optimal, full-life protection that minimizes maintenance costs and maximizes energy production and return on investment.

Source(s) and Image(s): Edge Solutions and INEOS Styrolution

 “Preem’s production of renewable petrol is an important piece of the puzzle that Sweden must solve to achieve the climate goals. Residual products from our Swedish forests have a unique potential and this is an exciting step in our work to develop the fuel of the future,” said Peter Abrahamsson, Head of Sustainable Development at Preem AB.

To meet Sweden’s long-term goals of greenhouse gas (GHG) emission reductions, fuel suppliers must reduce the carbon intensity of transportation fuels. Co-processing of biomass-based pyrolysis oil is one method to reduce the carbon intensity of transport fuels at the refinery compared to blending of biofuels downstream. Pyrolysis oil produced from sustainable solid biomass materials such as sawdust or agricultural residuals is a low carbon feedstock suitable for refinery upgrading. Biomass-based pyrolysis oil can qualify as an Annex IX Part A feedstock under the European Union Renewable Energy Directive, which is directly supported by Sweden’s Integrated Energy and Climate Plan. Pyrolysis oil co-processed in an FCC is an economically attractive method of meeting RED biofuel mandates for Advanced Biofuels.

Ben Owens, vice president and general manager, Honeywell Sustainable Technology Solutions stated, “UOP is excited to support Preem for the production of low-carbon transportation fuels. FCC co-processing of biomass-based pyrolysis oil is an integrated production solution using existing refinery infrastructure to convert sustainable feeds into advanced biofuels.” 

FCC co-processing technology is part of a portfolio of renewable fuel solutions offered by the Sustainable Technology Solutions group at Honeywell UOP. Using the UOP Optimix GF Feed Distributor system, many types of bioliquids can be successfully co-processed in an FCC unit.  Refinery co-processing is one method for meeting biofuel mandates and produce low carbon fuels. Preem AB is the largest fuel company in Sweden, with a refining capacity of more than 18 million cubic meters per year. Preem refines and sells gasoline, diesel, heating oil and renewable fuels to companies and consumers in Sweden and worldwide. By 2030, Preem will produce approximately 5 million cubic meters of renewable fuels, and thereafter aims to become the world’s first climate neutral biofuels- and refining company. Honeywell recently committed to achieve carbon neutrality in its operations and facilities by 2035. 

This commitment builds on the company’s track record of sharply reducing the greenhouse gas intensity of its operations and facilities as well as its decades-long history of innovation to help its customers meet their environmental and social goals. About half of Honeywell’s new product introduction research and development investment is directed toward products that improve environmental and social outcomes for customers. Honeywell UOP is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries.

Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions, a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries. Honeywell is a Fortune 100 technology company that delivers industry-specific solutions that include aerospace products and services; control technologies for buildings and industry; and performance materials globally. Our technologies help aircraft, buildings, manufacturing plants, supply chains, and workers become more connected to make our world smarter, safer, and more sustainable.

Source(s) and Image(s): Honeywell and Preem

These agreements will increase Cenovus’s working interest in Terra Nova and, if a decision is taken to restart West White Rose, reduce the company’s working interest in the White Rose field.

Cenovus’s working interest in Terra Nova will be 34%, up from 13%. The company will receive $78 million from the exiting partners as a contribution towards future Terra Nova asset retirement obligations. The Terra Nova asset life extension project will proceed, extending the life of the field to 2033.

Production is expected to resume before the end of 2022, with gross production expected to reach approximately 29,000 barrels per day in 2023. Including funding from the Government of Newfoundland and Labrador, the net to Cenovus outlay to restart Terra Nova is expected to be approximately $60 million to first oil. 

“Sanctioning the Terra Nova asset life extension provides a superior value proposition for our shareholders compared with the alternative of abandoning and decommissioning the project. While we are still evaluating whether to proceed with West White Rose, the capital risk in our portfolio will be reduced if we decide to move forward,” said Alex Pourbaix, Cenovus President & Chief Executive Officer.

Cenovus and Suncor, as part of the restructuring, have entered into an agreement whereby Cenovus will decrease its working interest in the White Rose field and satellite extensions while Suncor will take a larger stake, contingent upon approval of the West White Rose project restarting. Cenovus would reduce its stake in the original field to 60% from 72.5% and to 56.375% from 68.875% in the satellite extensions. Cenovus and its partners continue to evaluate their options on the West White Rose Project, with a decision to be made by mid-2022. 

Cenovus continues to progress swiftly towards its $10 billion net debt target, which it expects to achieve later this year. At that point the company expects to begin allocating some of its free funds flow toward enhancing shareholder returns.

Cenovus Energy Inc.

Cenovus Energy Inc. is an integrated energy company with oil and natural gas production operations in Canada and the Asia Pacific region, and upgrading, refining and marketing operations in Canada and the United States. The company is focused on managing its assets in a safe, innovative and cost-efficient manner, integrating environmental, social and governance considerations into its business plans. 

Source(s) and Image(s): Cenovus Energy and Suncor Energy

The South Asian country is an important maritime hub in the Indian Ocean, with an estimated 31,000 vessels a year traversing the East-West trade route connecting the major industrial centres of North America, Western Europe and Asia, making it a vital link in the global supply chain serving a region that hosts around 35% of the world’s population.

It is not surprising then that Inchcape’s South Asia Area General Manager Ravi Ramachandran believes “it is long overdue that Inchcape has a presence in Sri Lanka” with the joint venture named Inchcape Mackinnon Mackenzie Shipping (Private) Ltd that was launched in July this year.

Ramachandran said, “This joint venture brings to the table the globally uniform service standard of Inchcape together with the local strength and assets of the John Keells Group, which will collectively be able to deliver a superior value proposition to customers.”

Turning back the clock

There is also an interesting historical twist to the tale as the JV incorporates Mackinnon Mackenzie Shipping, which was originally established in 1871 as Mackinnon Mackenzie & Co in the former Ceylon by Inchcape’s founders, Scottish merchants William Mackinnon and Robert Mackenzie, before being acquired by JKH in 1974.

And to square the circle, the JV is located in the Mackinnon Mackenzie building in the capital Colombo that was formerly owned by the Earl of Inchcape.

Inchcape Sri Lanka country manager Tharaka Nanayakkara said, “So this marks something of a homecoming for Inchcape and we feel we are recovering part of our history.”

The landmark collaboration expands Inchcape’s area operation based in Mumbai, India and enables it to deliver maritime services in key areas such as bunkering, husbandry and crew changes for a wide range of vessels – from oil tankers, container carriers and bulkers to ro-ro ships, naval vessels and cruise liners – calling at all ports of Sri Lanka.

Bunkering challenge

Inchcape’s commercial manager for the Middle East, South Asia and Africa, Koushik Chakraborty, points out a major challenge for vessels traversing this major sea passage is securing high-quality bunker fuel at competitive prices with minimal route deviation and time-definite delivery.

The new venture is able to arrange more economic OPL (Out-of-Port Limit) bunkering at the ports of Colombo and Galle, as well as bunkering at anchorage at Hambantota, a newly developed port at the southern tip of Sri Lanka located only 10 nautical miles from the East-West trade route.

This is facilitated by the country’s primary supplier of marine bunker fuels and lubricants, Lanka Marine Services, which is part of the John Keells Group’s ports and shipping business along with South Asia Gateway Terminals.

Chakraborty said, “Our scale allows us to offer sharp prices and guaranteed time-definite delivery to facilitate fast turnaround. This provides a significant saving to the ships versus many other international ports where bunkers are taken at anchorage or alongside.”

Global standards

Inchcape, with a worldwide network of over 240 offices in 60 countries, is now able to safely deliver a full range of maritime services in Sri Lanka based on global standards of best practice in governance and transparency, supported by state-of-the-art digital technology under its internally developed World of Ports platform and port operations and finance platform, Optic.

Aside from seamless bunker port agency, these include full port agency, husbandry, crew logistics services, ship chandelling, liner agency, marine survey & inspection, logistics services to oil and gas, construction, dredging, cable-laying sectors, cruise tourism solutions, military support services and maritime consultancy.

Crew changes

A big issue for ship operators during the COVID-19 pandemic has been ensuring crew changes are carried out safely and securely to maintain health onboard and minimise disruption to operations, with Sri Lanka an important location for switching crews as well as taking onboard spares and provisions.

Ramachandran says Inchcape facilitated the repatriation of hundreds of Indian seafarers from the US, Manila and Singapore at the height of the pandemic, organising their smooth disembarkation from vessels and providing a safe and seamless transfer back home by taking care of end-to-end transport as well as necessary official approvals.

Over the past year, it has successfully facilitated more than 7000 crew changes across several ports in India for both Indian and foreign crew in line with strict protocols and has now secured permission from local port health authorities to carry out vaccinations onboard vessels with the assistance of trained medical personnel.

‘Shifting regulations’

“Other than the Coronavirus-induced local port restrictions, the rapidly changing statutory regulations and processes have made crew logistics quite challenging in most ports of South Asia,” Ramachandran explains.

“Inchcape has been in the forefront of providing timely assistance to the global maritime community with a structured crew change programme.”

This expertise is now also available in Sri Lanka with a highly experienced crew logistics desk working around the clock at the Colombo office to provide 24/7 assistance on crew movements, as well as procurement and delivery of spares, to keep trade flowing on the East-West route.

“Inchcape Sri Lanka’s local expertise, relationship with authorities and a strong understanding of processes and procedures gives us the ability to offer high-quality fully compliant agency services that gives peace of mind to customers,” concludes Ramachandran.

Source(s) and Image(s): Inchape Shipping Services

“We know compact excavators are a multi-functional tool around the job site. They are used
for everything from lifting and placing materials such as concrete barriers, to unloading equipment such as portable generators. This utility hook adds ease to our customers’ work and minimizes the potential for damage to both the machine and attachment, which, at the end of the day, increases productivity and reduces machine down time,” said Frank Gangi, Yanmar Compact Equipment North America product manager of attachments.

Ideal for lifting heavy objects, the utility hook improves equipment longevity and overall safety by providing a dedicated, engineered lifting point built into the machine linkage. This provides a stronger position from which to lift, rather than putting the strain on the end of the arm or the attachment. A strap or chain draped around an attachment or a bucket tooth, for example, can cause warping or risk of failure to the attachment or equipment since it may not be rated for such concentrated loads in that area.

The Stowable Utility Hook is designed by Yanmar for Yanmar excavators, offering customers the peace of mind that comes with an OEM-supported product. The utility hook is engineered with the same reliability and performance standards customers have come to expect with Yanmar equipment.

The hook features a multi-directional design that allows it to swing in each direction, as well as 360-degree swivel movement. This provides operators optimal lifting position as well as the ability to easily position lifted objects when setting them into place. The swivel hook conveniently stows out of the way with an easy-to-operate lock pin when not in use. Maintenance on the utility hook is nearly effortless thanks to a single recessed Zerk fitting. The hook can be retrofitted onto all Yanmar compact excavator models from the ViO25 up to the SV100. Installation can be completed in as little as 20 minutes.

About Yanmar Compact Equipment

Yanmar is a leading global player in the industrial machinery industry. In the construction equipment sector, Yanmar was first to market with the launch of the first mini excavator in 1968 and its invention of the revolutionary zero-tail excavator in 1993. Yanmar Compact Equipment has four production plants in Japan, France, Germany, and the U.S., to deliver a range of products and services to the global market.

About Yanmar

With beginnings in Osaka, Japan, in 1912, Yanmar was the first ever to succeed in making a compact diesel engine of a practical size in 1933. A pioneer in diesel engine technology, Yanmar is a global innovator in a wide range of industrial equipment, from small and large engines, agricultural machinery and facilities, construction equipment, energy systems, marine, to machine tools, and components — Yanmar’s global business operations span seven
domains. On land, at sea, and in the city, Yanmar provides advanced solutions to the challenges customers face, towards realizing A Sustainable Future.

Source and Images: Yanmar Compact Equipment

The report, titled “Geophysical Exploration for Deer Musk East Claim Area” was prepared by Advanced Geoscience Inc. The report concludes that the results from the geophysics program “…demonstrate a strong likelihood for the occurrence of lithium brine deposits beneath the claim area.” The report recommends additional geophysics studies to further improve the definition of the brine targets. It also recommends drilling to assess the lithium content of the brine targets with the goal of ultimately generating mineral resources.

David Watkinson, President and CEO of Ameriwest, stated, “The results of the report are exciting, as they are proving up the exploration model outlined by the Company’s geological team for DME. It is clear the next phase of work including drilling, is warranted, to better define and test the geophysical targets identified in this report.”  

The Deer Musk East Property (DME or the Property) is located on the southeast margin of Clayton Valley between the paleo-lacustrine playa and Clayton Ridge, the first set of uplifted Tertiary sediments on the east side of Clayton Valley. DME is adjacent to and south of Noram Lithium Corporation’s Zeus Project and Cypress Development Corporations Clayton Valley lithium properties. Those company’s exploration activities have successfully discovered lithium claystone deposits with NI 43-101 Technical Reports defining lithium mineral resources.

Note that the location of DME adjacent to or nearby properties does not guarantee exploration success at DME or that mineral resources or reserves with be defined on the Property. However, the exploration models and activities conducted by those companies provide a useful guide for exploration work being completed by Ameriwest at DME.

The geophysics program at DME consisted of a three-tiered geophysical program that included 30,200-feet (9.05 km) of seismic surveys in four lines that contained 2,210 stations, a detailed gravity survey with 85 station readings, and a selective seven-station transient electromagnetic resistivity survey. The work was initiated to identify the subsurface sedimentary composition, locate, and identify possible tectonic structures, to ascertain the potential depth to groundwater, and to determine if the groundwater is brine rich. Brine rich groundwater has potential to host concentrated lithium.

The data clearly showed the “seismic stratigraphy” as a complex fault zone that both lifts up as well as down drops vast sections of the Property (horst and graben fault blocks) which have created potentially favourable traps for lithium-rich brines and brings potentially lithium-rich sediments to the near-surface. 

A central core uplift area in the middle of the claim block was clearly apparent from both the seismic and gravity surveys. There is a substantial gravity low on the east-central part of the claim block indicating a large down-dropped section. This suggests potential for a massive fault-blocked groundwater pool is evident. The geophysicist identified three distinct fault zones, although other faults are likely present.

The 2D Subsurface TEM Resistivity Profile produced by the geophysicist revealed a strong near-surface, low conductivity groundwater horizon (the current recharge aquifer) that overlies a very conductive saline-rich aquifer. It, in turn, overlies another low conductivity aquifer. If these groundwater horizons are lithium-rich brines, they would be between 300 – 800 feet below the surface. Drilling is required to test for the presence of lithium in the various groundwater aquifers. Groundwater, across the width of the claim block, appears to host saline-rich brines that have potential to also contain lithium.

Source and photo: Ameriwest

As the next step in enhancing the Ecofining process technology offering, Wood’s technology will be integrated to use the byproducts of the UOP Ecofining process technology to produce renewable hydrogen, reducing lifecycle GHG emissions a further 10% when compared to the total GHG emissions produced by conventional petroleum jet fuel. The renewable hydrogen is then injected back into the Honeywell Ecofining process to remove feed impurities and create a cleaner burning renewable fuel. The carbon dioxide (CO₂) that is generated from the production of the hydrogen can be captured and routed for permanent underground sequestration using the Honeywell H₂ Solutions technology suite, further reducing lifecycle GHG emissions an additional 10% when compared to the total GHG emissions produced by conventional petroleum jet fuel. The combination of technologies results in an aviation fuel that is effectively carbon neutral compared to petroleum fuels. 

Ben Owens, vice president and general manager of Honeywell Sustainable Technology Solutions says, “The combination of these technologies from Honeywell and Wood greatly reduces fossil carbon dioxide emissions compared to traditional fuels by using byproducts to provide hydrogen for the Ecofining process. As a result, a renewable fuels refinery can be essentially self-sustaining in hydrogen production while reducing the carbon intensity of the renewable fuels to very low levels.”

“Wood has a rich history of collaborating on technology developments with Honeywell and together we are now producing solutions for the production of carbon-neutral renewable fuels. This solution utilizes our long-established experience in hydrogen plant technology to help fuel producers reduce operating costs while meeting sustainability goals with proven, reliable and efficient technologies,” said Andy Hemingway, President, Energy, Optimization, and Innovation, at Wood.

Recently, the U.S. Department of Energy (DOE), the U.S. Department of Transportation (DOT), the U.S. Department of Agriculture (USDA), and other federal government agencies worked together to introduce the Sustainable Aviation Fuel Grand Challenge with a goal to produce 3 billion gallons per year of sustainable aviation fuel by 2030 in the U.S. If those 3 billion gallons of SAF were produced using Honeywell’s comprehensive package of technologies, it could result in the equivalent of 34 million metric tons of cumulative carbon dioxide avoided per year, depending on the oil and fat feedstock mix used. The UOP Ecofining process has been used for commercial production of sustainable aviation fuel since 2016 by World Energy in California. The facility remains the only 100% renewable jet fuel unit in the world. The Ecofining technology is used in most 100%-biofeed units producing renewable diesel and all the licensed renewable jet fuel production in the world today.

Honeywell UOP currently has licensed 22 Ecofining units in nine countries around the world, processing 12 different types of renewable feedstocks. Wood is a FTSE 250 company and a global leader in engineering and consultancy across energy and the built environment, helping to unlock solutions to some of the world’s most critical challenges.The company provides consulting, projects, and operations solutions in more than 60 countries, employing around 40,000 people. Wood is a pioneer in hydrogen production technology with an experience list of more than 120 hydrogen and synthesis gas plants worldwide. 

Wood’s hydrogen technology, based on their unique Terrace Wall™ reforming furnace, has been selected for more than 120 hydrogen and synthesis gas plants worldwide. Honeywell UOP is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions, a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries. 

Source and Photos: Honeywell and Wood

“We are delighted to have acquired what is already a market-leading company in IMServ. The company has been at the cutting edge of  metering technology for twenty years and the team members are genuine pioneers in the sector. Steve and his skilled management team are hungry for growth; they take a hands-on  approach in the business and are supported by an experienced and knowledgeable 500-strong  workforce. We’re really looking forward to working closely with IMServ and enabling its next stage of growth,” said Thomas Sikorski, Co-Founder of Bluewater.

IMServ is a leading provider of electricity metering services (both installation and  management of smart and advanced meters), data services(smart and advanced meters data  analysis and management) and visualization services. At the business’ core is a range of  specialist electricity metering technologies, along with highly accurate energy data collection  services. This is presented to suppliers and end-users in a seamless, intuitive online data  management analysis and reporting platform. 

IMServ is now one of the UK’s largest independent energy data management providers, and  is enabling the decentralisation of power generation and digitalisation of the electricity  market. 

Steve Brown, Managing Director of IMServ, said, “Bluewater is the perfect partner for  IMServ. Their energy transition expertise and financial strength will allow us to take  advantage of the huge growth potential arising from energy transition. In addition, with  capital to deploy, we are now looking at several acquisition options to drive our expansion in the UK and other European markets.” 

Its technology today is managing more than 25% of all the electricity that goes through the  National Grid. The company has gone from strength to strength as smart meters have  become a fundamental platform to deliver data that helps reduce carbon emissions.  

IMServ will continue to be led by Managing Director Steve Brown, allowing the company to  transition seamlessly and to continue offering best-in-class service to customers (including  energy suppliers and end-users), employees, and other stakeholders. 

Steve and the IMServ leadership team were attracted to Bluewater’s deep sector knowledge,  supportive financial and business mindset, and the private equity firm’s drive to embrace the energy transition. Bluewater’s tried and tested approach to enabling rapid growth is a perfect  fit with IMServ’s own ambitious growth strategy, which has responded to government mandated demand for smart metering and more efficient management of energy use. 

The IMServ strategy sees significant growth opportunities in several areas in the UK and  internationally: the expanding data settlement market to support the needs of the flexible  energy transition; organic growth through increased uptake of smart meters in the  commercial and domestic electricity markets; and potential mergers and acquisitions  nationally and overseas, with announcements of this kind expected within the next six  months.  

About IMServ 

IMServ is one of the UK’s leading Energy Data Collection and Meter Operations service providers and  is an award-winning pioneer of metering and data collection services for the electricity, gas, and water  sectors. IMServ is headquartered in Milton Keynes, UK, and has expanding operations in the  Netherlands. 

Through the government-mandated smart meter rollout IMServ is playing a central role in the energy  transition, making energy usage more efficient while helping to cut emissions. 

In 2019, IMServ became the first non-domestic metering business to become a user of DCC services  in the Other User (OU) role for smart meters.

About Bluewater 

Bluewater is a specialist international private equity firm focused on the middle-market energy  sector. Their experienced investment and operating professionals drive value creation as they  manage $2.5billion of investment across a portfolio of 22 companies. Today, Bluewater has a prime  focus on projects or technologies that contribute to the energy transition agenda and works to a  diversified investment strategy based on the principles of sustainability and close working  partnerships with best-in-class management teams. Bluewater has a strong focus on ESG and is a  signatory to the UN Principles for Responsible Investment.

Source and photos: Bluewater & IMServ

Paradigm will perform fire deluge inspection, verification and dry testing services using Paradigm Dry-Flo® digital technology. DryFlo® was chosen for its waterless solution, enabling the operators to meet fire safety and environmental regulatory compliance while limiting long-term corrosion effects.

Daniel McCormick, Director of Fire Services at Paradigm Group, commented, “The awarding of these new contracts in West Africa and the Mediterranean recognized Paradigm Dry-Flo® digital technology as a cost-effective, sustainable and innovative alternative solution to traditional wet testing methods. We are glad to support the environment and regulatory compliance, while saving operators the additional cost of wastewater containment, treatment and disposal.’’

Daniel McCormick also stated, “Paradigm is proud of its cross-industry innovative technology and value-added services that enable waterless fire suppression system testing in an intelligent, clean, sustainable and reliable manner.”

Paradigm Group was established in Groot-Ammers, The Netherlands, in 2009, to develop and commercialize new technologies and innovations for the upstream Oil & Gas Industry. With a broad width of market participation, Paradigm Group consists of four specializations:
1. Drilling Optimization
2. Production Efficiency
3. Well Intervention
4. Fire Protection

Each area of expertise boasts unique technologies supported by strong Intellectual Property positions. Even in this challenging business climate, an aggressive R&D effort continues and including joint development partnerships with major oil and gas operators.

Source and Photo: Paradigm Dry-Flo

“Excitement and optimism could be felt on the conference floor today as the Newfoundland and Labrador offshore oil and gas industry joined together for the first time in this way in almost two years. Noia members and conference delegates are excited for recent announcements about projects such as the Terra Nova FPSO restarting. There are good things beginning to happen again and the industry is excited to get back to work and back to where we were just under two years ago. Today was a great day to look at the challenges we have overcome and what our future may look like. I look forward to a deep dive tomorrow on how we can reach our potential,” said Charlene Johnson, Noia CEO.

The first day of conference included an address from Premier Andrew Furey who focused on the important impact the Newfoundland and Labrador offshore oil and gas industry will have for the future and the innovation required.

ExxonMobil Canada

ExxonMobil Canada president Lazaro Cosma reaffirmed the commitment of his company to working offshore Newfoundland and Labrador.

CNOOC

CNOOC International area manager Todd Hartlaub updated delegates on their recent exploration campaign conducted during a pandemic.

Newfoundland and Labrador Oil and Gas Corporation

Jim Keating, Acting CEO of the Newfoundland and Labrador Oil and Gas Corporation outlined the importance of our offshore resources.

A discussion on local content also highlighted the approach of BHP in helping the supply community participate in major projects.

LNG – GAS PROJECT ANNOUNCED

While oil has been the primary driver of the region, gas has been waiting in the wings as a valuable clean energy commodity to be developed. The NOIA conference was the place where the announcement of that historic project became a reality.

It’s been known for many years that the gas potential offshore Newfoundland was a possiblity. It took incredible minds and visions to bring the development plan to a reality.

LNG Newfoundland and Labrador, proposed a natural gas development project that starts with the central gas export hub, in the centre of the existing production fields in the Jeanne D’Arc basin.  

The gas supply is currently expected to be produced as a by-product of current oil production in the region and is being underutilized. Here lies the opportunity.

Discussions at NOIA focused on lowering carbon emissions in the offshore and a potential LNG project was presented to delegates with LNG Newfoundland and Labrdor. To review the proposed project, take a look at this video or the one provided above. It is nothing short of Impressive and a project whose time has come.

Chris Sublicki

Keynote luncheon speaker Chris Sublicki highlighted the ESG values of Canadian energy and its importance in meeting global demand. His ideas and ability to look at the big picture and put things into perspective were not only acurate but inspiring. To hear more from Chris, check him out here.

The following day at the NOIA conference included discussions on collaboration in the new normal, as well as market opportunities and operational diversification. Noia members shared their personal experiences of working together during the pandemic and the successes achieved through cooperation. Another area of discussion was how best to leverage the considerable skills and experience of members in new markets.

Suncor Energy and Cenovus Energy

Suncor Energy and Cenovus Energy provided updates on their activities in the Newfoundland and Labrador offshore, including Suncor’s recent announcement about moving ahead with the Terra Nova asset life extension program. Another sign of positive things to come.

Equinor Canada

Torstein Hole, President of Equinor Canada, spoke to their plans for the Newfoundland and Labrador offshore, including the highly anticipated Bay du Nord project and plans for a related exploration program in 2022. This is good news for the province as expected oil finds will bring about a much needed flurry of economic prosperity.

Bethany Downer

The keynote lunch address on the second day of the conference was a dynamic event delivered by Newfoundland and Labrador’s Bethany Downer, Chief Communications Officer, Hubble Space and Director of Communications, STAR HARBOUR. Bethany discussed ways the oil and gas industry can leverage the space sector’s experience for sustainability and future prosperity.

Provincial Industry, Energy and Technology Minister Andrew Parsons

Provincial Industry, Energy and Technology Minister Andrew Parsons spoke during the final session and reaffirmed the province’s commitment to reenergizing and advancing Newfoundland and Labrador’s offshore oil & gas industry and announced $1M in funding for Noia and econext for a net zero project in the offshore oil and gas industry. As well, Memorial University President Dr. Vianne Timmons spoke to delegates about the role the university will play in the province’s economic recovery.

Shave For the Brave

The Noia Oil & Gas Conference 2021 concluded with the NL Energy Shave which saw members of the offshore oil and gas industry raise over $265,000 for Young Adult Cancer Canada (YACC), a national charity based in Newfoundland and Labrador that supports young adults living with cancer. Leading the NL Energy Shave, Mark Collett, COO of Crosbie, raised the largest amount in the history of YACC by shaving his head for this important cause. The conference supporth through NL Energy Shave provided incredible support. Find out more at Shave for the Brave.

Noia CEO, Charlene Johnson said, “After a difficult almost two years, the Noia Oil & Gas Conference 2021 was an important event that brought the industry back together to reenergize for the future. During the last two days we heard promising updates from offshore operators and those involved in the Newfoundland and Labrador offshore oil and gas industry supply and service sector. Information provided by operators about opportunities with the Terra Nova asset life extension project, exploration plans, and approaches to working with the supply and service sector was welcomed by delegates and all industry members. An ongoing theme at this year’s conference was collaboration and leveraging our experience to regain momentum and reach our full potential. I sincerely thank everyone, from our speakers and delegates to sponsors and volunteers, for working with us to make the Noia Oil & Gas Conference 2021 an overwhelming success.”

SPECIAL THANKS to NOIA and the staff – for all their work on this super conference!


Source and Pictures: NOIA, LNG Newfoundland and Labrador

“We’re very excited about acquiring North America’s premium, very large crude carrier (VLCC) capable, crude export terminal,” commented Al Monaco, President and Chief Executive Officer of Enbridge. “Over the last several years we’ve been building a strong position in the U.S. Gulf Coast through both natural gas and crude infrastructure. Our strategy is driven by the important role that low cost, sustainable North America energy supply will play in meeting growing global demand. With close proximity to world-class Permian reserves, and with cost effective and efficient export infrastructure, our new Enbridge Ingleside terminal will be critical to capitalizing on North America’s energy advantage. 

“This blue-chip platform aligns very well with our long-standing shareholder value proposition; strong commercial underpinnings that generate highly transparent and low risk cash flows, establishing a new platform for low capital intensity growth, and an attractive financial return, all while retaining a strong balance sheet and financing flexibility. 

“This investment is also a prime example of how we’re focused on being a differentiated service provider to our customers by lowering emissions across our systems. In line with that objective, we expect to develop solar power capacity at the terminal site, which will ensure it’s the most sustainable export facility in North America and support our company-wide goal of net zero by 2050,” said Monaco.

Central to the transaction, Enbridge will acquire a 100 percent operating interest in the Ingleside Energy Center (to be renamed the Enbridge Ingleside Energy Center (EIEC)), located near Corpus Christi, Texas – North America’s largest crude export terminal, which loaded 25 percent of all U.S. Gulf Coast crude exports in 2020.  This state-of-the-art terminal, built in 2018, comprises 15.6 million barrels of storage and 1.5 million barrels per day of export capacity.  

EIEC’s highly advantaged outer harbor location, with direct connection to low-cost, long-lived supply, combined with VLCC capability and rapid loading rates, position it as one of the most competitive export facilities globally.  EIEC is underpinned by 925 thousand barrels per day of long term take-or-pay vessel loading contracts and 15.3 million barrels of long-term storage contracts providing visibility to future cash flows. Its direct connection to globally competitive Permian and Eagle Ford basins will assure the sustainability of cash flows for many years to come.

Enbridge will also acquire a 20 percent interest in the 670-thousand-barrel per day Cactus II Pipeline, a 100 percent operating interest in the 300-thousand-barrel per day Viola pipeline, and a 100 percent operating interest in the 350-thousand-barrel Taft Terminal. Together with EIEC, these pipeline and storage assets provide a fully integrated light crude export platform.

The acquired assets are expected to be immediately and strongly accretive to distributable cash flow per share and earnings per share. In addition, ongoing EBITDA generation supports the Company’s dividend growth outlook and growing base of free cash flow, further strengthening its sector leading financial flexibility and preserving its $5-6 billion of annual self-funded investable financing capacity beginning in 2022. The transaction will be initially funded with existing liquidity and the Company anticipates that 2022 Debt to EBITDA will be at the lower end of its target range.

This investment also provides Enbridge with further organic growth potential supporting the Company’s post-2023 growth outlook.  EIEC permitted expansions of existing storage capacity to 21 million barrels and export capacity to 1.9 million barrels per day, provide opportunity to capitalize on increasing volumes and visibility to near-term low capital intensity growth.  In addition, Enbridge will hold a 50 percent interest in a brownfield St. James deep-water crude and refined products terminal development opportunity, which provides longer term growth potential.

EIEC has been recently constructed to industry-leading environmental standards designed to minimize its carbon emissions footprint.  Enbridge expects to further lower facility emissions through the application of up to 60 MW of solar power capabilities, leveraging over 500 acres of available land included within the terminal.  This renewable investment is expected to well exceed EIEC’s power requirements, allowing excess generation capacity to be contracted to local industrial and refining facilities while driving a robust return.  Longer term, there is the potential to develop additional low carbon energy infrastructure within the facility, including renewable fuels and carbon capture terminaling.

The transaction is expected to close in the fourth quarter of 2021, subject to customary regulatory approvals and closing conditions.  Moda’s Ingleside Management and key Moda marine terminal personnel will remain in place following closing of the transaction, ensuring continuity of operations and ongoing development activities.

About Enbridge Inc.

Enbridge Inc. is a leading North American energy infrastructure company. We safely and reliably deliver the energy people need and want to fuel quality of life. Our core businesses include Liquids Pipelines, which transports approximately 25 percent of the crude oil produced in North America; Gas Transmission and Midstream, which transports approximately 20 percent of the natural gas consumed in the U.S.; Gas Distribution and Storage, which serves approximately 3.8 million retail customers in Ontario and Quebec; and Renewable Power Generation, which generates approximately 1,766 MW of net renewable power in North America and Europe. The Company’s common shares trade on the Toronto and New York stock exchanges under the symbol ENB. For more information, visit www.enbridge.com.

Source(s) and Image(s): Endbridge Inc.

The Company will be upgrading 48,000 hydraulic horsepower from conventional diesel engines to the Tier 4 DGB engines, bringing Trican’s total Tier 4 fleet to 84,000 HHP. The Tier 4 DGB engine displaces 85% of diesel with clean burning natural gas, reducing CO2 and particulate matter emissions. Combined with Trican’s idle reduction technology, the fleet will lower overall fuel consumption and emissions, key components in Trican’s commitment to Environmental, Social and Governance initiatives. 

The Company is in advanced discussions with several customers on multi-year contracts that meet Trican’s required return metrics. These customers have made commitments to improve the sustainability of their operations and see the deployment of Tier 4 DGB powered hydraulic fracturing fleet as a critical part of their strategy to achieve their ESG goals. 

CAPITAL BUDGET UPDATE

The cost of the upgrade for the second low emissions fleet is expected to be approximately $28 million with $18 million in capital to be spent in 2021. Accordingly, the Company’s 2021 capital budget has been increased to $58 million. The remaining $10 million will be incurred in 2022 with deployment of the equipment anticipated in the spring of 2022. 

The Company anticipates that its capital program will be funded from cash on hand and free cash flow if required.

Milestone figure

“Our job at Eksfin is to promote Norwegian exports globally and boost the financial capacity of Norwegian industry. In the shipping space we are helping shipowners, shipyards and equipment sub-suppliers to finance an increasing number of vessels featuring alternative fuels or new technologies that reduce harmful emissions. We are now close to the milestone figure of NOK 10bn and will continue to pursue projects with a strong environmental profile reflecting the industry trend towards more sustainable operations,” said Eksfin CEO Ms. Tone Lunde Bakker.

The delivery from VARD Søviknes of ‘Le Commandant Charcot’ serves to highlight Eksfin’s decisive role in financing such projects. VARD won the PONANT contract thanks in part to Eksfin’s state-backed loan and risk guarantees. 

“I am very proud of Eksfin’s involvement in securing this project for one of Norway’s top maritime exporters. Our export financing package was important in influencing the shipowner’s choice amid fierce competition between shipbuilders in Finland, German and Norway”, said Ms. Lunde Bakker.

Marseille-based PONANT contributed a significant amount of the contract position from its own resources, with Eksfin providing the outstanding monies in cooperation with French banks. The Eksfin loan amounted to EUR 162.4m, with risk guarantees totalling an even higher EUR 182.7m.

“PONANT aims at proposing purposeful and sustainable luxury experience abord small ships. ‘Le Commandant Charcot’ is the latest and the most iconic member of our fleet with an ultra-luxurious vessel sailing in never-yet-cruised destinations with unique environmental features. Eksfin’s efficient assistance together with our lenders helped to make this extraordinary ship a reality,” said PONANT CFO Mr. Alexis Blavette.

One of a kind

Eksfin earlier contributed to the financing of six expedition cruise ships also built by VARD for PONANT, but this seventh ship is unique and, as the world’s first hybrid-electric, LNG-powered vessel with icebreaking capacity, the first ever of its type.

“The delivery of ‘Le Commandant Charcot’ and its superior environmental credentials reinforces Norway’s position as a leading producer of high-value, high-end vessels and technology. It is a great example of how we can work together with exporters and financial institutions to facilitate winning bids,” said Ms. Lunde Bakker. 

Environmentally-friendly technology

PONANT estimates that using LNG will reduce emissions of sulphur oxides (SOx), nitrogen oxides (NOx) and carbon dioxide (CO2) by 95%, 85% and 25%, respectively, compared to conventional cruise ships. ‘Le Commandant Charcot’ is also designed for optimal energy efficiency and minimal footprint using innovative systems engineered by VARD’s specialized business units. The ship’s comprehensive electrical solution features state-of-the-art battery technology from Norway’s Corvus Energy.

‘Clean Ship’ classification

PONANT will deploy the 245-passenger ship on polar cruises to the Arctic and Antarctica. Shipping activity in these highly remote areas is subject to strict regulation. In line with PONANT’s strong emphasis on environmental considerations across its activities, ‘Le Commandant Charcot’ has been certified by French classification society Bureau Veritas not only with PC2 polar ice class, but also with ‘Clean Ship’ and ‘Comfort Class’ status thanks to cutting-edge technologies that reduce not only environmental impact but also noise and vibration while ensuring the highest level of safety.

Facilitating polar research 

‘Le Commandant Charcot’ is also equipped with research facilities that will enable the scientific community to study and analyse water, air, ice and biological diversity at the extreme poles. It will access some of the world’s remotest spots including the Geographic North Pole (90 degrees north), Northeast Greenland National Park and the Svalbard archipelago in the Arctic and the Bellingshausen Sea, Peter I and Charcot Islands and the Larsen Ice Shelf in Antarctica. 

Blazing green trail

Other Norwegian companies made use of Eksfin’s financing for green ship projects including Hurtigruten for hybrid cruiseships; ferry operators Norled, Boreal and Fjord1 for diesel-electric, hydrogen-electric and fully electric ferries; Color Line for what is the world’s largest hybrid cruise-ferry; fishing company Cetus for onshore power connection; and tanker operator Altera Shuttle Tanker for LNG-powered tankers with volatile compound (VOC) emissions recovery.

Triple-A position

“Our new Eksfin structure makes it much easier and simpler for shipping customers and exporters to access advisory services and state-backed financing for complex projects. As a trusted partner with a streamlined approach and minimal red tape, our triple-A rated financial instruments available at competitive rates are invaluable in securing contracts in a demanding market. We’re also proud to be working with forward-leaning stakeholders spearheading the move towards greener shipping of the future,” said Ms. Lunde Bakker.

Norway’s Top Ten Exporters of Renewable Technology

About Eksfin

Export Finance Norway (Eksfin) is a governmental financial enterprise under the wing of Norway’s Ministry of Trade, Industry and Fisheries. Eksfin promotes Norwegian exports by supporting Norwegian companies, foreign buyers and their banks with a broad range of state-backed loans, guarantees and expert advisory services. Eksfin’s financial solutions represent a state-backed supplement to the private banking and finance market. Eksfin was established on 1 July 2021 through the merger of the Norwegian Export Credit Guarantee Agency (GIEK) and Export Credit Norway AS.

Source & Images: www.Eksfin.no
Photo: ©PONANT/Nicolas Dubreuil

The module is on barge at Stord and will be towed to the Johan Sverdrup field and lifted on board the riser platform by the heavy-lift vessel Sleipnir. This operation is expected to take two days. 

“For Aker Solutions, the module as of now represents the last large, physical delivery to Johan Sverdrup. We are proud to be one of the key contributors to this gigantic field development project. Johan Sverdrup has provided enormous ripple effects for the entire industry and will produce large values for the society for decades to come,” said Kjetel Digre, chief executive officer of Aker Solutions.

“Johan Sverdrup has been a successful project from beginning to end and is an excellent example of successful deliveries that have been both on time and to the specified quality. This is particularly impressive considering the pandemic that we have had during the project’s most hectic phase, with a strict infection control regime and periodically lack of manpower. As for the other Johan Sverdrup deliveries, we have had a very good cooperation with the client Equinor and key subcontractors,” said Sturla Magnus, executive vice president and head of Aker Solutions’ topside and facilities business.

The 5000-ton module consists of 11 sections. Engineering and procurement were carried out by Aker Solutions’ locations in Stavanger, Bergen, Fornebu, Mumbai and London. Fabrication was carried out by Aker Solutions’ partners in Poland, as well as at the yards in Stord and Egersund. Assembly, completion, and commissioning were carried out at the Stord yard.

Aker Solutions delivers integrated solutions, products and services to the global energy industry. We enable low-carbon oil and gas production and develop renewable solutions to meet future energy needs. By combining innovative digital solutions and predictable project execution we accelerate the transition to sustainable energy production. Aker Solutions employs approximately 14,000 people in more than 20 countries.

SOURCE & IMAGES: Aker Solutions

The Gas Exporting Countries Forum (GECF), the global platform of the leading gas producing countries, on Monday joined OPEC, non-OPEC, and a plethora of other international energy organisations to present a unified front on the advancement of natural gas as part of a balanced energy solution to achieve sustainable development goals.

The OPEC-hosted Ministerial Roundtable on Energy, Climate and Sustainable Development, where more than a dozen ministers were flanked by intergovernmental organisations such as GECF, APPO, AEC, AFREC, ARDA, IEF, and OAPEC, termed the gathering as coming at a “profound time in the momentum of the global climate effort”.

Addressing more than 100 delegates, HE Yury Sentyurin, Secretary General of the GECF, said that the 18-member consortium is fully committed to develop actions towards clean energy transitions in a balanced manner.

“As the largest energy organisations in the world, the onus is on us to address climate change in a balanced manner – an approach that enables us to deal with the climate threats whilst at the same time considers the immense requirement of nations to ensure their economic development and social progress,” said HE Sentyurin.

“The gas industry is embracing technology options that can further promote decarbonisation potential of natural gas, including carbon capture, utilisation and sequestration options and production of blue hydrogen and ammonia.”

He highlighted the steps taken by the GECF in recent years to support its Member Countries in the area of climate change, such as the GECF Environmental Knowledge and Solutions framework and the establishment of the GECF Gas Research Institute.

According to him, the decarbonisation efforts of the GECF Member Countries are already underway, mainly through critical projects implemented by national oil and gas companies, for example, projects to capture and store CO₂ in Qatar, Algeria and Norway.

In addition, two GECF Members Qatar and Nigeria, have recently updated their NDCs to enhance their commitments to reduce emissions, whilst countries such as Russia, Trinidad and Tobago, and the UAE have launched initiatives to foster hydrogen development. Russia, in particular, has announced a strategy to obtain an export capacity of as much as 2 million tonnes of hydrogen by 2035.

During the meeting, the GECF proposed a series of recommendations in order that the hydrocarbon industry can speak on international climate forums in unison:

• A multi-dimension approach should be the way forward to deal with the climate challenge in which the oil and gas industries form the bedrock of the solution

• Carbon border taxes will impact oil and gas exporters and industrial consumers. A cooperative framework would be ideal rather than the antagonising approach

• Climate solution pathways should be balanced along the multiple vectors impacted by energy, such as economics and social vectors

• Decarbonisation technologies should include oil and gas decarbonisation technologies.

“We shouldn’t write off hydrocarbons due to their abundance, affordability and impressive contribution to improving energy access and economic conditions. According to the latest projections by GECF Global Gas Outlook 2050, natural gas and oil will provide more than 50% of global energy demand by 2050.

“Thus, they will continue to be responsible for inclusive economic growth and sustainable development for decades to come. Specifically, natural gas is one of the global enablers for reducing emissions uninterruptedly and steadfastly by replacing carbon-intensive fuels and backing up intermittent renewables,” concluded HE Sentyurin.  

Several ministers and senior officials from GECF Member Countries also spoke at the event, including HE Mohamed Arkab, Minister of Energy and Mines, Algeria and Chairman of the Council of Minister of APPO, HE Tareck El Aissami, People’s Minister of Petroleum, Venezuela, HE Dr Amir Hossein Zamaninia, EB Member, Iran, HE Dr Diamantino Pedro Azevedo, Minister of Mineral Resources and Petroleum, Angola and President of the OPEC Conference, HE Suhail bin Mohammed Faraj Faris Al Mozrouei, Minister of Energy and Infrastructure, UAE, and HE Parviz Shahbazov, Minister of Energy, Azerbaijan. 

About Gas Exporting Countries Forum:

Gas Exporting Countries Forum (GECF) is an international governmental organisation currently comprising of 18 Member Countries – Algeria, Bolivia, Egypt, Equatorial Guinea, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, Venezuela, Angola, Azerbaijan, Iraq, Malaysia, Norway, Peru, and the United Arab Emirates, which together represent 70% of the proven gas reserves, 44% of its marketed production, 52% of pipeline, and 51% of LNG exports across the globe. It is headquartered in Doha, Qatar.

Being a foremost energy association, officially established in 2008, the GECF has recorded notable milestones in its evolution and remains committed to supporting its Member Countries in the pursuit of global energy security and meeting the world’s growing energy demand, while proving to be reliable suppliers of natural gas – a prominent contributor in the global pursuit towards net-zero emissions energy systems and attainment of the 2030 Sustainable Development Goals.

The Forum provides granular, scientifically-driven insights into the state of natural gas based on a diverse variety of instruments and deliverables, such as the Gas Research Institute, the Global Gas Model – now with elements of artificial intelligence and digital technologies, Global Gas Outlook 2050, Annual Short-Term Gas Market Report, Monthly Gas Market Report, Special Envoys on Data and Statistics, Data Exchange Mechanism, the Short-, Medium-, and Long-Term Gas Market Reviews, and Monthly, Quarterly, and Annual Statistical Bulletins.

GECF increasingly engages with UN subsidiaries UNFCCC, UNECE, UNESCO, as well as G20, ASEAN, BRICS, EEC, OPEC, OAPEC, APPO, IEF, IEA, IRENA, OLADE, IGU, other peers and regional entities, and maintains strategic multifaceted dialogue amongst natural gas producers and consumers.

SOURCE & IMAGES: www.gecf.org

As part of the conditional agreement, Cenovus, the operator, will complete a restart evaluation for the West White Rose project by mid 2022.

Should the project economics be robust enough to lead to a restart decision.
Suncor has agreed to increase its interest in the White Rose offshore field by 12.5% (from 27.5% to approximately 40%) in exchange for a cash payment by Cenovus to Suncor.

Suncor would assume capital commitments on the 12.5% additional interest on a go-forward basis only.

No significant capital spend is expected before 2023 and both companies will work together to increase the efficiency of this asset.

The White Rose asset joint venture owners are Cenovus (operator) and Suncor.

The West White Rose Project joint venture owners are Cenovus (operator), Suncor and Nalcor.

ABOUT WHITE ROSE

Offshore Newfoundland and Labrador, in the Jeanne d’Arc Basin, is home to the White Rose oil field, about 350 kilometres east of St. John’s.

On the eastern edge of the White Rose field are the North Amethyst, West White Rose and South White Rose extensions. All producing fields use the SeaRose floating production, storage and offloading (FPSO) vessel.

The West White Rose Project is being developed using a fixed wellhead platform.

In September 2020, a review of the West White Rose Project was announced. This followed the suspension of major construction activities in March due to the COVID-19 pandemic and the decision to reprioritize capital investment following the global economic downturn.

In the Flemish Pass Basin, Cenovus and and its partner have made discoveries at Mizzen, Harpoon, Bay du Nord and Baccalieu.

SOURCE AND IMAGES: Cenovus & Suncor

GlobalData’s report, ‘Global Refinery Hydrotreater Units Outlook to 2025 – Capacity and Capital Expenditure Outlook with Details of All Operating and Planned Hydrotreater Units’, reveals that China is likely to witness a total hydrotreater unit capacity additions of 1,816 thousand barrels per day (mbd) by 2025. Of this, 1,244 mbd of capacity would be from the new-build refineries while the rest of the capacity is from the expansion of the existing refineries.

Teja Pappoppula, Oil and Gas Analyst at GlobalData, comments: “The Luoyang refinery is one of the largest upcoming expansion project in China with 152 mbd of capacity expected to be added in 2021. Among the new-build refinery projects, the planned Yulong refinery in China is likely to add a hydrotreater capacity of 383 mbd in 2023. Shandong Yulong Petrochemical Ltd will be the operator of this cracking-type refinery.”

The planned Gulei refinery in the country is the second highest contributor with 202 mbd of capacity expected to become operational in 2022. It is located in Fujian constituency and is to be operated by Fujian Gulei Petrochemical Co Ltd.

The third highest contributor in the country is the planned Jieyang refinery which is likely to add a capacity of 182 mbd in 2022. Petrochina Pdvsa Guandong Petrochemical Co Ltd is expected to operate this coking-type refinery.

Source: GlobalData

Honeywell’s single-stage Ecofining process is a fast-to-market, capital efficient solution ideal for repurposing underutilized hydroprocessing units to produce higher yields of renewable diesel fuel than other single-stage technologies. The process produces Honeywell Green Diesel™ fuel, which is chemically identical to petroleum-based diesel and can be used as a drop-in replacement in vehicles with no engine modifications.

Depending on feedstock choice, renewable diesel also features up to an 80-percent lifecycle reduction in greenhouse gas emissions compared with conventional diesel. The U.S. Environmental Protection Agency’s Renewable Fuel Standard program requires all domestic oil refineries to blend renewable fuels into the diesel pool to reduce greenhouse gas emissions, which also expands our domestic fuel supply.

“If we decide to go forward with this project, UOP’s Ecofining technology will enable us to create value by repurposing an idle process unit to produce renewable diesel before competitors get their units online,” said Matt Lucey, President, PBF Energy. “This project would also maximize the benefits of Chalmette’s strategic Gulf Coast location with excellent water, rail, and truck access to domestic and global markets with the strongest demand for renewable diesel, enabling us to realize highest rates of return.”

“With current demand for renewable fuels especially strong domestically, PBF Energy is well positioned with its Chalmette facility to contribute to the growth of sustainable biofuels,” said Ben Owens, vice president and general manager, Honeywell Sustainable Technology Solutions. “Customers such as PBF Energy trust UOP to convert existing process units to renewable diesel and jet fuel production, so they can comply with more stringent regulations while saving costs and space for equipment.”

The new process uses a combination of catalysts in a single operating environment to remove oxygenates and other contaminants from the feedstock, and then isomerize the feed to improve its cold-flow properties. Due to its simplified design, single-stage Ecofining technology can be put into service quickly, with lower capital expense than other designs.

UOP and Eni SpA jointly developed the Ecofining process, which converts non-edible natural oils and animal fats to renewable diesel fuel. The Ecofining process produces diesel with a cetane value of 80, substantially higher than the 40-to-60 cetane diesel commonly used in diesel engines today. As a result, this higher-cetane diesel fuel can be blended with less expensive, low-cetane diesel to meet transportation fuel standards while providing better engine performance with fewer emissions.

The Ecofining process is used in most of the 100%-biofeed units producing renewable diesel — and all of the licensed renewable jet fuel production — in the world today. UOP currently has licensed 21 Ecofining units in nine countries around the globe, processing 12 different types of renewable feedstocks.

Based in North America, PBF Energy is one of the largest independent petroleum refiners and suppliers of unbranded transportation fuels, heating oils, lubricants, petrochemical feedstocks, and other petroleum products. The company has refining operations in California, Delaware, Louisiana, New Jersey and Ohio.

Honeywell UOP (www.uop.com) is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions (www.honeywellprocess.com), a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries.

Honeywell (www.honeywell.com) is a Fortune 100 technology company that delivers industry specific solutions that include aerospace products and services; control technologies for buildings and industry; and performance materials globally. Our technologies help everything from aircraft, buildings, manufacturing plants, supply chains, and workers become more connected to make our world smarter, safer, and more sustainable.  For more news and information on Honeywell, please visit www.honeywell.com/newsroom

Source: Honeywell, Finn Partners

According to GlobalData’s latest report, ‘Blockchain in Oil and Gas, 2021 Update – Thematic Research’, blockchain has come a long way in recent years, but it remains a nascent technology. It was not until 2017 that blockchain properly captured the attention of enterprises. Since then, companies have identified use cases focused on addressing actual problems to better understand the technology itself.

Ravindra Puranik, Oil & Gas Analyst at GlobalData, comments: “Blockchain as a service (BaaS) holds the key to driving mainstream adoption of blockchain technology. It allows companies to experiment with blockchain applications without being concerned about developing expensive in-house resources. Integrating blockchain into core technologies facilitates ease of use, making it a more attractive option for digital transformation efforts.”

Blockchain technology allows companies to track everyday workflows while eliminating the requirement of central recordkeeping. This could overhaul traditional workflow management in the oil and gas industry and drive operational efficiency and optimize costs. In anticipation of these benefits, several leading oil and gas companies, including ADNOC, BP, Eni, Equinor, Gazprom, Repsol, and Shell are developing blockchain platforms for their applications.

Ravindra adds: “Companies today are striving to reduce operational costs amid the demand uncertainty brought about by the COVID-19 pandemic and the likely shift towards low-carbon energy sources. In this scenario, blockchain could prove to be a boon for them. The technology has diverse applications in areas such as procurement and logistics, energy trading, and land and lease compliances among other things.”

Source: GlobalData

The latest report by the IHS Markit Oil Sands Dialogue finds that approximately 55% of crude oil and condensate demand in Canada in 2019 was served either by imports from the United States (600,000 b/d) or were sourced from domestic production routed through the United States and then back into the country (480,000 b/d), known as reexports.

“The necessities of geography and the varying demands of markets for different types of crude underpin a highly complex and interdependent oil logistics system between Canada and the United States,” said Celina Hwang, director, North American crude oil markets, IHS Markit. “Although this study highlights Canadian dependence on the United States for both supply and transportation, the relationship is truly symbiotic with both nations relying on one another to meet domestic demand each day.”

A major factor in the workings of the system is that 95% of Canadian production occurs onshore, inland and often in areas far from its main consuming areas in the more populous central regions of Ontario and Quebec, the report says. The type of oil demanded in different regions also plays a role. Refineries in the U.S. Midwest and U.S. Gulf Coast invested in heavy processing units take advantage of growing western Canadian heavy oil production, while refineries in Ontario and Quebec remained geared toward lighter crude grades.

“Although not well-recognized, the U.S. Gulf Coast refinery complex is only slightly farther away from western Canadian production than Ontario and Quebec, and it’s significantly larger and already configured to consume significant volumes of heavy sour crude,” said Hwang. “That presents an attractive solution for both sides.”

IHS Markit estimates that, overall, Canada’s long-distance transportation system—which includes pipeline, rail and marine transport—handled about 6.6 MMb/d of crude oil in 2019, approximately 2 MMb/d more than the country produced.

The report says that the demands on that transportation system are also set to increase in coming years. The recently released IHS Markit 10-year production forecast estimates that, despite short- and medium-term impacts from COVID-19, Canadian crude supply is still expected to grow by nearly 900,000 b/d from 2020 to 2030.

“Most of the anticipated growth in Canadian production is set to come from the ramp-up and optimization of existing projects,” said Kevin Birn, vice president and chief Canadian oil market analyst, IHS Markit. “That growth is coming, and transportation capacity is needed to keep pace. IHS Markit estimates that, by just 2025, total crude movements could increase by more than 650,000 barrels per day from pre-pandemic levels.”

Pipeline capacity could see the greatest increase to keep up with the added supply, followed by an increase in marine tanker traffic. However, delays in new pipeline projects could result in greater movements of crude-by-rail than currently anticipated, the report says.

Additionally, potential disruption to existing pipelines—such as attempts to shut down the Enbridge Line 5 pipeline that serves Detroit and surrounding areas of Michigan and Ohio, as well as Toronto and surrounding areas in Ontario and Quebec—could have significant implications.

“Differing views on the pace of energy transition have put the energy interdependency between Canada and the United States under some strain,” Birn says. “Any disruption of existing infrastructure could have significant implications for Canada, the broader North American system and energy security.”

Source: IHS Markit

The project is the second project delivered by Aker BP’s alliance for delivery of fixed platforms. The customer Aker BP and the main suppliers Aker Solutions and ABB have worked in a joint organization, thereby reducing a lot of time and costs compared to a traditional model where the customer and supplier have separate roles and responsibilities.

The Hod development has utilized the experience from the wellhead platform for the Valhall Flank West project, which was delivered in the summer of 2019. Valhall Flank West was the first wellhead platform delivered through the alliance. Upon delivery, this platform set a new standard for how complete a facility can be before installation on the field. Hod B, which is an approximate copy of Valhall Flank West, has given us opportunities to optimize our implementation model through reuse of personnel, facilities, and equipment. It has been delivered at considerably lower cost compared to Valhall Flank West.

“I am proud to state that in close cooperation with the alliance partners, we have reached all milestones and project objectives. Today, just 14 months after the first steel plates were cut, the topside is ready for transport to the field exactly as agreed. Together, we have developed new solutions and implemented a number of improvements for safety, productivity and reduced cost level in the project. This further increases our competitiveness, and makes us even more attractive to future clients,” said Sturla Magnus, executive vice president and head of Aker Solutions’ topside and facilities business.

The Alliance delivery includes design, procurement, fabrication, preparation for sea transport, as well as hook-up and assistance for completion on the field. The 2,000-metric-tons topside will be installed on the steel jacket delivered from Aker Solutions’ yard in June. The delivery has been executed without serious harm to people or the environment.

Upon signing on June 9, 2020, the contract had a value for Aker Solutions of just under NOK 1 billion. At its peak, around 550 people from Aker Solutions, the alliance and subcontractors have worked on the project. In addition, more than 50 of our apprentices have completed much of their vocational training on the Hod project.

“Through projects like Hod, we create value for ourselves, partners, alliance partners, owners, and Norwegian society. We also contribute to maintaining a world-leading supplier industry. It makes me particularly proud that through the Hod project Aker BP has contributed to the vocational training of 50 apprentices. The apprentices and the industry have a competence that is necessary for the Green Deal. I am impressed with the alliance team for another solid delivery. You demonstrate that the alliance model is the key to delivering profitable projects in a demanding market going forward,” said Karl Johnny Hersvik, chief executive officer of Aker BP.

Incorporated in 2018, Panthera is a subsidiary of Farfan & Mendes, A Crosbie Member Company, a joint venture between Guyana based Farfan & Mendes and St John’s based Crosbie. Panthera provides fabric maintenance and deck services to offshore energy companies and their suppliers and employs a local Guyanese workforce with world-class competence. Panthera has recently invested heavily in training in scaffolding, NDT, rope access, coating and blasting and, now with ICR, composite wrapping and weld-less flange repair and maintenance, bringing a comprehensive integrity and maintenance capability to the region.

With several recent huge offshore oil discoveries in Guyanese waters, the team is ready and able to meet contract demand. Phil Paterson, International Business Development Manager, ICR, said: “We have a long-standing partnership with Crosbie having worked with them for over 15 years so the link to Panthera naturally evolved.

We have recently trained Panthera offshore maintenance technicians in our Technowrap™ engineered composite solutions at our base in Houston. We are now operationally set up in-country with the skilled technicians having local access to our Technowrap™ composite materials and Quickflange™ tools, allowing for highly-skilled, quick mobilization to clients in the region.

“In addition, by pulling on other services within the ICR group, we are able to offer drone inspection work through our Sky Futures™ business unit as well as other maintenance, repair and production solutions. It is exciting to be part of this new and developing market and bring our integrity expertise to Guyana.” Andrew Dinsdale, Head of Operations at Farfan and Mendes added: “It is great to have ICR on board with us at such an exciting time here, in Guyana.

We have been actively building local technical capability and, with the addition of the training provided by ICR, our technicians are further able to offer cross skill sets whilst on projects.” ICR has an extensive global network with operational bases in the UK, Norway, Abu Dhabi, USA and Australia as well as partners in over 25 countries worldwide.

Columbia University’s Center on Global Energy Policy and the University of California, Davis Institute of Transportation Studies studied four scenarios to understand how COVID-19 and other political, economic, social and technological drivers may impact transportation activity and global oil demand. 

Forty-four leading energy and transportation experts developed the scenarios, which featured varying speeds of economic recovery, levels of government intervention in energy markets and endurance of mobility trends that started during pandemic lockdowns. 

In three of the four scenarios, global oil demand continued to grow through 2030. Only under the final scenario – in which the pandemic’s disruptive impact to the global economy and mobility combined with strong government intervention to accelerate alternative technologies – did oil demand decline after 2025.

The report‘s lead authors are Marianne Kah and Lew Fulton, with Amy Myers Jaffe, Mark Schwartz and Mark Finley contributing. Finley, a fellow in energy and global oil at Rice University’s Baker Institute for Public Policy.

“Among the changes that could create a lasting movement away from oil use is the sense of fragility COVID has created among populations in industrialized societies and the greater awareness of social and economic inequities worldwide,” according to the paper. “This new sense of vulnerability may be generating greater acceptance of government intervention into daily life, including policies that reduce greenhouse gas and air emissions. In this report’s scenarios, the biggest manifestation of these policy changes was in electrification of road transport fleets and the use of alternative fuels.”

Many climate-related policies were already in place around the world prior to COVID-19, and the pandemic has accelerated the adoption of additional measures, but these interventions may not achieve their goal of reducing oil demand, according to the report.

“The study finds that while great uncertainty remains about the speed and strength of the world’s recovery from COVID, the current state of government climate policies and technology innovation are unlikely to reduce global oil demand fast enough to help the world keep within a 1.5° C temperature rise along the net zero carbon trajectory,” the authors wrote. “Both government climate policies and technology innovation would need to move well beyond what was contemplated in this study’s scenarios. This should be a wake-up call for policymakers.”

Finley notes: “COVID and a rapid expansion of CO2-reduction pledges by governments and companies have created a cottage industy of analysts proclaiming the imminent decline in global oil demand. But these scenarios show just how much harder policymakers and technology will have to work to meet that aspiration.”

____________________________________________________

Founded in 1993, Rice University’s Baker Institute ranks as the No. 1 university-affiliated think tank in the world and the No. 1 energy think tank in the world. As a premier nonpartisan think tank, the institute conducts research on domestic and foreign policy issues with the goal of bridging the gap between the theory and practice of public policy. The institute’s strong track record of achievement reflects the work of its endowed fellows, Rice University faculty scholars and staff, coupled with its outreach to the Rice student body through fellow-taught classes — including a public policy course — and student leadership and internship programs. Learn more about the institute at www.bakerinstitute.org or on the institute’s blog, http://blog.bakerinstitute.org.

Located on a 300-acre forested campus in Houston, Rice University is consistently ranked among the nation’s top 20 universities by U.S. News & World Report. Rice has highly respected schools of Architecture, Business, Continuing Studies, Engineering, Humanities, Music, Natural Sciences and Social Sciences and is home to the Baker Institute for Public Policy. With 3,978 undergraduates and 3,192 graduate students, Rice’s undergraduate student-to-faculty ratio is just under 6-to-1. Its residential college system builds close-knit communities and lifelong friendships, just one reason why Rice is ranked No. 1 for lots of race/class interaction and No. 1 for quality of life by the Princeton Review. Rice is also rated as a best value among private universities by Kiplinger’s Personal Finance.

Chevron Corporation and Honeywell have announced the commissioning and start-up of the world’s first commercial-scale ISOALKY process unit that utilizes ionic liquids to produce alkylate. The ISOALKY™ technology represents a major innovation in alkylation technology.

First used in Chevron’s Salt Lake City refinery, the ISOALKY™ technology is designed to meet the refining industry’s needs for a cost-effective alternative to conventional liquid acid systems that offers process safety advantages. Using a non-aqueous liquid salt, or ionic liquid, the revolutionary new catalytic process is handled with standard personal protective equipment and produces a valuable high-octane blending component that helps lower the environmental impact of gasoline. Pioneered by Chevron U.S.A., Inc., a subsidiary of Chevron, and licensed to Honeywell UOP, the technology is offered to the entire industry under the ISOALKY™ brand name.

“The ISOALKY™ plant is an exciting achievement for Chevron and the Salt Lake Refinery, and it’s poised to be a game changer for the refining industry,” said Mike Coyle, president of Chevron Manufacturing. “We are proud of the talent and teamwork demonstrated by our people and Honeywell UOP to bring this project to fruition.”

“ISOALKY is a groundbreaking new technology for refiners, and a lower-risk and economical solution compared to conventional liquid acid technologies that produce alkylate,” said Bryan Glover, president and CEO of Honeywell UOP. “Ionic liquids have strong acid properties that enable them to produce alkylate without the volatility of conventional acids, allowing for simpler handling procedures. Together with Chevron, Honeywell UOP has commercialized a solution that meets the rising global demand for cleaner-burning fuels at a lower cost while simplifying complex handling requirements.”

ISOALKY™ technology can be used in new refineries as well as in existing facilities undergoing capital expansion or retrofit applications. ISOALKY™ technology has wider and improved feed flexibility relative to conventional alkylation technologies. Ionic liquids are regenerated on-site, eliminating the need for road or marine transportation for offsite regeneration and polymer byproduct handling. More information about ISOALKY™ technology can be found here.

Honeywell UOP (www.uop.com) is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions (www.honeywellprocess.com), a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries.

About Chevron

Chevron U.S.A. Inc. is a subsidiary of Chevron Corporation, one of the world’s leading integrated energy companies. Through its subsidiaries that conduct business worldwide, Chevron Corporation is involved in virtually every facet of the energy industry. Chevron explores for, produces and transports crude oil and natural gas; refines, markets and distributes transportation fuels and lubricants; manufactures and sells petrochemicals and additives; generates power; and develops and deploys technologies that enhance business value in every aspect of the company’s operations. Chevron is based in San Ramon, CA. More information about Chevron is available at www.chevron.com. 

About Honeywell

Honeywell (www.honeywell.com) is a Fortune 100 technology company that delivers industry specific solutions that include aerospace products and services; control technologies for buildings and industry; and performance materials globally. Their technologies help everything from aircraft, buildings, manufacturing plants, supply chains, and workers become more connected to make our world smarter, safer, and more sustainable.  For more news and information on Honeywell, please visit www.honeywell.com/newsroom.

Canada’s oil and gas industry is our golden egg, our treasure chest, and one of our top commodities.

Natural gas and oil are Canada’s top export commodities. Exports of crude oil, bitumen, natural gas and natural gas liquids generated more than $102 billion for Canada in 2019. Clearly, it is the foundation of our country.

With a diminishing industry at the hands of a few, we need immediate change. Change in the form of a greater vision and executable plans that are superior to anything on the table right now. Think bigger my people think bigger.

National petroleum use and export opportunities are essential to the foundation of being a strong nation and a global leader. Never forget that.

We need to advance to a global leadership position and utilize every single resource we have to get there. For us, in Canada, that means harnessing EVERY SINGLE ounce of potential out of the energy sector and squeezing ever single opportunity out of it. We are confused. We think doing that is bad for the environment. NOTHING could be further from the truth.

NORWAY meets carbon reduction targets WHILE THEY are a world leader in oil and gas. That’s where we should be.

If Canada adopted the same structure as Norway, where we owned our oil projects, executed a strong future, and put OUR INTERESTS first – we would win this game.

It’s up to every single one of us to understand what’s going on and to use our collective intelligence to CREATE a future like NORWAY or BETTER! Because Norway was strategic, they united all people, all parties, all visions. Today, NORWAY meets carbon reduction targets WHILE THEY are a world leader in oil. And are the worlds largest exporter of Salmon. That is precisely where we should be.

Oil companies all over the world invested in Norway and partnered with Norway. Now Norway has a trust fund at $1 Trillion – the largest in the world. 

That could be us. 

In fact, partnering, aligning and possibly joining Norway could the best thing we could do to be globally prosperous for the next 50 years. The resource base of both regions is remarkably similar in terms of offshore oil, aquaculture and way of life.

Why are we not there? Is it ignorance, lack of knowledge, politics, corruption, who gets what? Or is it simply that we can’t see the big picture and all it’s potential hazards if we lose our petroleum industry? Does it take an ENTREPRENEURIAL mind to step in?

What do you think?

Scientific-based, credible organizations predict that oil and gas are going to be around for the next 40 + years. That means oil and gas is THE BRIDGE to new energy, not the reason to eliminate it.

DON’T EVEN THINK about throwing it away. 

Canada’s hottest commodity is the foundation of our social system? The reason we have free medical care and good schools for our kids. Connect the dots. See it for what it is

Canada has clean oil and gas especially offshore NL where it’s light crude that is produced. Canada has some of the strongest environmental policies on the planet. 

Policies which have gone overboard with red tape and are now to our detriment. Think about it. If our policies create red tape, lag and deter investment then that is wrong on so many levels!

Tighter environmental protocols and raising taxes are not a solution, rather we have created ANOTHER PROBLEM. 

Anything less than being GLOBALLY advanced with oil and gas infrastructure is downright dumb.

Anything less than being the best place in the world to invest in energy is unacceptable. We get what we accept and tolerate.

Anything less than a laser-sharp focus on natural gas as a national saving grace is out of touch with reality and the predicted energy future.

We are headed for an economic downfall that is avoidable. 

Taking our money out of the bank and giving it to another country, so we don’t have to deal with carbon emission issues is insanity. We will always have carbon emission issues, even with renewable energy. We may have even more.

WE HAVE FORGOTTEN WHO WE ARE?

WE ARE THE GOVERNMENT; you and me. 

It’s time to stop blaming and complaining and do your ABSOLUTE EVERYTHING to fix it. Use technology to connect, to unite, and to find solutions. That’s what technology does. It makes life work!

Any politician, leader or organization of influence that doesn’t put our energy industry at the top of our priorities is ill-informed and ignorant to world oil demand for the next 40 years.

Anyone who doesn’t see innovation as the key to climate change is behind the times. You don’t get rid of the resource you make it cleaner with innovation and invention. Our global goal is to find new solutions that drive energy overall and reduce carbon. Put students on the energy challenges with tech and see what happens. We need the youth to solve the issues of the future and to work as ONE WORLD. 

If Covid-19 has taught us anything, it’s that we can adapt and transition online. We have new opportunities ahead. Huge opportunities. Working online could save the planet pollution problem. Reducing energy addiction and slowing down the movement of people is far more strategic than killing an industry that feeds the future. 

Oil and gas IS THE FUEL that will bring in the new energy. We aren’t getting there without petroleum for transport, construction, plastics, supply, infrastructure and the list is endless. Petroleum is in just about EVERYTHING. That’s precisely how it got to be the number one commodity on the planet.

It’s ignorant to think that oil and gas is a problem. It is a solution to our advancement. It is the heartbeat of our future, and it circulates wealth to the entire body of this country and indeed the world.

If there’s anything that will sink this country, it’s ill-informed environmental idealism. 

Think big my people, look into the future and see the big picture. 

And when you get there… tell me, what are your solutions?

REACH OUT: tinaolivero@theogm.com

“So many of our energy related challenges can be solved through existing infrastructure that simply needs to be reimagined and repurposed,” said Niel M. Rootare, founder and CEO of Silver Wolf Midstream. “Our vision is to find new ways to deliver critical resources from energy delivery to clean and sustainable water, in a way that enhances our environmental footprint and offers new commercially sound solutions to the market.”

With a career-focus on business development, Rootare has envisioned and built several successful energy-focused companies, bringing value to investors and services to consumers. Most recently, he served as the Vice President of Business Development at E2 Energy Services, LLC, a Dallas-based portfolio company of Tailwater Capital LLC providing midstream and energy service solutions to the natural gas industry. Previously, Rootare served as the Director for Midstream Business Development for DTE Midstream, a subsidiary of DTE Energy and the industry’s trusted natural gas storage, pipeline and gathering provider across the Midwest, Appalachia, Northeast and Ontario.

The company’s leadership team boasts more than 70 collective years of building, operating, growing and managing oil and gas assets. Anuj V. Patel serves as senior vice president of corporate strategy, planning and acquisitions. Patel has held similar roles at both DTE Energy and ExxonMobil.

Adam M. Tobia is senior vice president of operations, engineering and safety. He joins Silver Wolf Midstream with nearly 20 years of project management, design, operations and finance experiences, most recently for Williams, MarkWest and EQT.

Silver Wolf Midstream will build a portfolio of assets and projects that meet three main criteria:

1. Safety. Every potential infrastructure asset must demonstrate the ability to meet and maintain the highest industry safety standards.
2. Simplicity. Solutions that reduce logistics and limit costs to both customers and the supply chain.
3. Impact for both shareholders and the environment. Projects must support environmental and sustainable practices while maintaining cash-flow positive operations.

Silver Wolf Midstream has engaged Boustead Securities, LLC and Winston & Strawn, LLP for its first project which will offer solutions for propane demand throughout Michigan and the Great Lakes.

PREDICTED DEVASTATING LOSS

Over the next 10 years, the estimated loss to the province due to deferment and loss of oil and gas exploration and development projects could be substantial:

• $11 billion in provincial revenues impacting programs, infrastructure, education and health care throughout communities in Newfoundland and Labrador;
• $59 billion of total provincial GDP;
• 90,000 person-years of employment, resulting in significantly lower consumer spending in retail, restaurants, real estate, and other services; and
• The province’s best opportunity to be an international clean growth leader and oceans technology hub.

LOW CARBON ECONOMY

The world is moving towards a low carbon economy. Newfoundland and Labrador’s offshore oil and gas industry represents one of the lowest carbon per barrel footprints in the world. Greenhouse gas emissions can be further reduced by making immediate investments in the development of lower carbon fossil fuels. Reducing global emissions by providing the world with Newfoundland and Labrador oil to help supply increasing global energy demand is a valuable contribution to the fight against climate change.

Newfoundland and Labrador’s offshore oil and gas industry fully supports protecting the environment, reducing carbon emissions and working with governments to meet provincial, national, and international emissions reduction targets.

Through its commitment to lower carbon and clean technology, the offshore oil and gas industry will be a catalyst for clean growth innovation. The technologies developed will also accelerate the diversification of the province’s economy.

The Newfoundland and Labrador approach mirrors that of Norway, a global environmental leader, which has steadily increased oil and gas production since 2012 due to its government’s policy of stimulating exploration and development while simultaneously taking significant actions to move to a low carbon economy and developing new clean technologies that are being exported worldwide. Newfoundland and Labrador can lead Canada’s energy future and make Canada a global clean growth leader like Norway.

The importance of the oil industry to the economy of Newfoundland and Labrador cannot be overstated with an estimated 30 per cent of GDP, 13 per cent of labour compensation and 10 per cent of employment (over the 2010 to 2017 period). As of March 31, 2020 there were 6,390 people directly employed on NL offshore oil and gas development projects while thousands more were employed in supporting industries.

All Canadians are encouraged to join in this call for support for the offshore. To ask your Member of Parliament, and members of the federal cabinet, to support the offshore oil and gas industry, please visit: www.energycitizens.ca/noia.

Subsea technology has drastically improved in the last two decades in terms of functionality and reliability, with notable strides made in areas such as subsea processing, subsea storage, subsea-to-shore and power distribution. This has enabled upstream companies to expand the scale of their deepwater projects, says GlobalData, a leading data and analytics company.

GlobalData’s latest thematic report, ‘Subsea Technologies for Oil and Gas Offshore Exploration and Production (E&P)’, notes that advancements in subsea technology are paving the way for a more complete subsea system, controlled from onshore, providing cost and safety benefits. A notable example of this is Equinor’s Snøhvit Gas Project in the Barents Sea, which has a subsea production system that transports feed gas to an onshore liquefied natural gas (LNG) liquefaction terminal at Hammerfest, Norway. Presently, most of the subsea systems depend upon a topside platform for production capabilities, power source and control hub.

Ravindra Puranik, Oil and Gas Analyst at GlobalData, comments: “Over 400 offshore oil and gas fields are presently under development in different parts of the world. Although, over 60% of these fields are based in shallow waters, those located in deeper sections are attracting higher investments from oil and gas companies. In 2019, capital spend on deepwater and ultra-deepwater projects collectively accounted for approximately 55% of the total offshore spend. By 2024, the deeper sections would garner nearly two-thirds of the offshore spend. 

“The high investment in deepwater developments is largely attributed to the project complexities involved in bringing these fields online. Subsea production systems play a critical role in such projects from a technical and economic perspective. These systems facilitate in connecting a large number of wells together to maximize the output from the project to bring down the payback period.”

GlobalData identifies TechnipFMC, Subsea 7, Schlumberger, Saipem, DOF ASA, Oceaneering, McDermott, Aker Solutions, National Oilwell Varco, Halliburton and Baker Hughes among the leaders in the subsea section of the oil and gas industry.

Puranik concludes: “The COVID-19 pandemic, and the subsequent oil price crash, has affected project economics for many oil and gas fields. The impact is even more pronounced in the offshore sector, where operators are forced to defer several greenfield projects to manage their cash flows such as the Barossa Gas Project in Australia. New orders for subsea equipment are likely to slow down, while the execution of existing orders might also be delayed due to supply chain disruptions. However, subsea technology and services could find increased relevance in offshore projects that are likely to go ahead as they enable in lowering the costs.”

Information based on GlobalData’s report: ‘Subsea Technologies for Oil and Gas Offshore Exploration and Production (E&P)’

When we stop moving, we stop using energy at the level we did. On top of a dramatic decrease in oil and gas consumption, oil prices have drastically declined. As a result of these two factors, oil companies and contractors have laid off employees for 12-18 months who work offshore. For many employees, suppliers and oil companies, work is on hold for months and months. It is rough times. So now what?

Offshore Newfoundland, the industry that produced over $120 BILLION in revenue and nearly $50 BILLION in investments over the last three decades. And yet, our saving grace, our prominent employer, our foundation and security are evaporating right before our eyes. We better make some bold moves fast.

Isolation can teach us a lot. A Vietnam war veteran, who was held in captivity for decades, said, “I learned quickly that the restriction I felt while living in captivity, was not isolation; it was the limits of my mind. That’s how I survived. People who didn’t survive didn’t understand that.”

During this Covid-19 isolation time, his sentiments have stuck with me. If we are going to survive we better get out of isolation and into a mindset of possibility and opportunity.

I believe radical times call for extreme action, and this time is one of massive opportunity if we embrace it. I’m not talking about a slightly different version of the offshore industry. I’m not talking about waiting for the oil price market to recover. I’m not talking about hoping Covid-19 will go away. No, none of that is going to give us the offshore industry we deserve, let alone make it a stronger-than-ever version of itself. I’m talking about making an offshore market with radical changes in the system.

Just like any product or service we need to package it up and present it in such a way that people can’t resist it. We need to make a market.

Here’s one strategy that could work.

The Newfoundland Offshore Land Lottery.

We have over 650 PROVEN oil prospects offshore Newfoundland. Each prospect is identified as oil potential. History has proven that our seismic offshore Newfoundland yields good results. Each prospect offshore has the potential to be the next significant oil discovery. What if we gave away 20 or our 650+ land prospects to 20 lucky lotto winners?

In other words, 20 opportunities would become available to existing oil companies in the region and also to any other qualified global company who wanted to drill for oil offshore Newfoundland. Not only would it put all eyes on this province as a hot-bed to invest, but it would spud an oil bonanza!

Taking it even further, what if Canada became majority share holders in its oil projects as Norway did. Would that provide us with the possibility of a robust industry and owners ultimately financial gains that lead to the largest trust fund in the world, just like Norway? I believe the answer to that, is yes.

If we were smart, we would do this we would have oil finds. With oil discoveries, we could follow Norway and rather than spending all the revenue from oil discoveries, we could re-invest it so that things don’t get overinflated in the short-term, and we have a nest egg in the long term. A trust fund that keeps us debt-free and secures the future is precisely the goal to go after.

ENVISION IT:
The land lottery would go something like this:

OIL COMPANIES: ENTER TO WIN A PACKAGE DEAL OF OPPORTUNITY, OFFSHORE NEWFOUNDLAND

20 oil companies will become lotto winners of highly lucrative land offshore Newfoundland. They pick their land parcel. This land lotto is your once-in-a-lifetime opportunity to drill and discover oil, while the rest of the world is on hold. As a lucrative land winner you will have 7 global advantages:

1. Newfoundland is virtually Covid virus-free, which means with the right Covid-19 back-to-work protocols in place, the oil company could be drilling for oil here within the next 12 months. Utilizing the existing workforce, workers will not have to be brought in from other regions, keeping everyone safer.
2. Right now, as a lottery winner, there is a ONE TIME ONLY opportunity to get your offshore land parcel of their choice, saving the oil company millions upon millions of dollars as the project must be approved in a super-fast time frame for drilling and have partnership options with the province and Canada.
3. Through our land survey system, our land has been identified as a qualified lead for oil discovery. That means the oil company has an identified prospect for oil recovery and may strike oil. The chances are at least one in ten. The seismic is showing incredibly good results. This is proven to be the case as Equinor just discovered two deepwater plays. (Nov. 2020)
4. The Canadian federal government would have to guarantee 20 land lottery winners environmental approvals within 90 days, which means drilling plays are up and running in record time.
5. We have a stable government and country with strong leadership.
6. We have an established oil industry that is ready to support oil companies drilling.
7. Canada will partner with the oil companies offering tax incentives, operational and procedural expedition, and elevate the chances of success. Cutting taxes for the offshore oil and gas industry will reduce costs and stimulate investment in the sector. A one year tax holiday during the lottery would be ideal.
8. To be eligible the oil companies would have to commit to drilling within the 12 months of winning the offshore land lottery.

Being The Obvious Choice

For most oil and gas companies that are looking to get back on track with oil drilling, this option would be an obvious choice above ALL OTHER GLOBAL OPTIONS because of the cumulative benefits to get in the game.

Oil companies would be thinking, “Offshore Newfoundland, free open drilling, proven oil reserves, exceptional seismic, guaranteed environmental approval timelines, and one of the healthiest places in the world to operate, as far as Covid-19 is concerned, and a strong partner in Canada as an equity stakeholder. I like it!”

For Newfoundland and Canada the lottery would be a gold mine. 20 companies would drill offshore Newfoundland all within a year. Think about the level of business that would happen with 20 drilling plays happening here, simultaneously. Billions in expenditures would start to flow into the country.

The more we drill the more we will find oil. It is that simple. The chances of finding oil in a land lottery are incredibly high. So while the oil industry around the globe is virtually on hold, Offshore Newfoundland could overtake places like Guyana and could then positioned to become the next North Sea. It’s a win-win for all.

Now I don’t know about you, but I believe this is a really smart thing to do because:

• A land lottery would work.
• A land lottery would set our oil industry up to be the most lucrative resource rich place in the world.
• A land lottery would be the most progressive play we have ever experienced in this province and indeed Canada.
• It would mean royalties for Newfoundland and Canada for decades to come.
• It would mean unprecedented numbers of jobs.
• It would mean a dynamic and booming supply base and the provincial economy overall.
• It’s a solution to the most challenging time the world has known. In this lottery scenario, 20 companies win, so that everyone wins!

You have to ask yourself, are we going to keep ourselves in the constraints of business in the past?
Are we going to sit there and tweak this or that to create marginal gains? Are we going to play the safe card not believing we deserve to prosper?
Or are we going to blow the doors off of er?

The Land Lottery is the play. There is no time to hesitate. It would have to packaged right, delivered with alacrity and Canada would have to collaborate. We would have to act with precision. And most of all we have and remove our man-made-limitations,

Canada and Newfoundland need to get into equity positions in these projects. They need to put the money where the mouth is because if we don’t believe in our resources, who will?

Some would argue it’s too risky but this is not a Muskrat Falls level of risk. We have 30 years of history of proven oil and proven finds. We have Norway to see what’s possible. We have proven infrastructure to support our investment of taxpayers money. We understand that oil is the number one commodity on the planet and its demand rises as we progress. We know oil and gas are not going anywhere for the next 40 years. We know that oil and gas is THE KEY to bringing in renewables. We aren’t getting there without it.

This is a no brainer.

Long May Your Big Jib Draw!

Source & Graphics: Government of Newfoundland and Labrador

____________________________________________________________________________

For further discussions on the solutions
and vision for Newfoundland’s Offshore
oil industry please contact the author:
Ms. Tina Olivero:
Tinaolivero@theogm.com
709 770 0677

In Germany the DolWin5 Epsilon platform was designed to facilitate the transfer of 900 MW of electricity from three connected offshore wind farms in the North Sea 100 km off the German coast to the onshore grid.

In addition to a converter platform offshore, there is an onshore converter station located in Emden/Ost in Germany.

ABB has wind solutions. They will enable the reliability, safety and security of the energy transmission from DolWin5 Epsilon by providing a comprehensive system for IT infrastructure, OT^[i] security, plant-wide condition monitoring, SCADA^[ii] and remote access services to facilitate stable power transmission to the German national grid.

“This order enables ABB to leverage its expertise in remote, unmanned operations and advanced digital services with the shift to a more diversified energy mix,” said Per Erik Holsten, Managing Director,  ABB Norway. “With our intelligent project delivery experience, ABB is uniquely positioned to assure the safety, security and reliability of renewable assets worldwide. We look forward to supporting the delivery of clean, efficient power for Germany’s energy transition.”

The offshore wind industry may be integral to Europe’s energy system by as soon as 2030,^[iii] with Germany planning to generate 65 percent of electric power from renewable sources by 2030, including 20GW from offshore wind farms.^[iv]

The high risks associated with power disruptions, require effective energy management for offshore wind plants. ABB received the order from Aibel Keppel consortium ANS^[v] in Norway. Aibel/Keppel FELS consortium will design, construct, and build the High Voltage Direct Current transmission system.

TenneT is the European electricity transmission system operator providing power links to the offshore wind farms in the cluster. TenneT has activities in the Netherlands and in Germany, with more than 20 million people relying on the TenneT TSO GmbH electricity supply from offshore wind farms in the North Sea. Initial operations for DolWin5 (Epsilon) are due to commence in 2024.

ABB Industrial Automation ABB’s Industrial Automation business offers a broad range of products, systems and solutions for customers in the process and hybrid industries. These include industry-specific integrated automation, electrification and digital solutions, control technologies, software and lifecycle services, as well as measurement and analytics, marine and turbocharging offerings. ABB’s Industrial Automation business is #2 in the market globally. With deep domain knowledge, experience and expertise, ABB Industrial Automation helps customers increase their competitiveness, improve their return on investment and run safe, smart and sustainable operations. 

ABB (ABBN: SIX Swiss Ex) is a technology leader that is driving the digital transformation of industries. With a history of innovation spanning more than 130 years, ABB has four, customer-focused, globally leading businesses: Electrification, Industrial Automation, Motion, and Robotics & Discrete Automation, supported by the ABB Ability™ digital platform. ABB’s Power Grids business will be divested to Hitachi in 2020. ABB operates in more than 100 countries with about 144,000 employees.  www.abb.com 

^[i] Operational technology

^[ii] Supervisory Control And Data Acquisition (SCADA) is a computer-based system for gathering and analyzing real-time data to monitor and control equipment that deals with critical and time-sensitive materials or events. Data is gathered, processed and presented, often to issue warnings when conditions become hazardous by sounding alarms.

^[iii] WindEurope,  https://windeurope.org.

^[iv] The Federal Government (Germany), Climate Action Programme 2020, https://www.bundesregierung.de/breg-en/issues/climate-action/klimaschutzprogramm-2030-1674080.

^[v] Aibel Keppel consortium ANS is jointly owned by Aibel AS and Keppel FELS Limited.

Natural Gas could mean securing Canada’s energy supply and providing energy around the globe to much needed areas like Asia and India.

It is believed that we will still have gas and coal left by the time oil runs out in 2052. But if we increase gas production to fill the energy gap left by oil, then those reserves will only give us an additional eight years, taking us to 2060.

So we can say that the smartest thing we can do with oil and gas is use it to bridge us to new energy. Making LNG the priority is simply the best option to persue.

NATURAL GAS IS CLEANER

Natural gas releases up to 50% less CO2 than coal and 20-30% less than oil, when it is burned. So it’s a better fossil fuel than any other. Natural gas offers a significant contribution to improved local air quality and public health overall so it’ makes sense to develop it  as an energy solution.

NATURAL GAS OFFSHORE NEWFOUNDLAND

There are an estimated 200 trillion cubic feet of gas potential offshore Newfoundland, and it’s the provincial plan to have natural gas plays moving by 2030.

According to Minister of Natural Resources, Siobhan Coady, “The resource potential in our offshore is incredible. In just 9% of our offshore, we have a combined resource potential of 52.2 Bbbl oil and 199.6 Tcf gas. We have over 650 leads and prospects identified to date, eight new entrants in the past three years, and $4 billion in recent exploration work commitments. We will continue to position our province as an internationally preferred location for oil and gas exploration and development.”

Building on over 20 years of oil production success and an ongoing world-leading seismic program that has been shedding new insights on the nearly two dozen basins that surround the province, offshore Newfoundland and Labrador is poised for an exciting new round of exploration and development.

To date, offshore Newfoundland oil production has been oil, yet gas remains a strong possibility. Oil fields offshore Newfoundland have consistently been one, two, three, four, five, even six times bigger than original estimates. If gas follows suit, we could be in for highly prosperous times.

OPPORTUNE TIMES

Offshore Newfoundland currently has four world-class producing fields and two more about to come on stream. West White Rose and Equinor’s Bay du Nord, deepwater play, are forecasted to be producing wells within the next five years.

With 43 wells approved to drill and over 100 exploratory wells to be drilled over the next decade, things are bound to boom. The development of the Province of Newfoundland and Labrador’s ‘Way Forward’ plan has a strong commitment to natural gas development as a low carbon fuel solution. 

With the discovery of additional resources, market opportunities, and anticipated natural gas, the future looks bright. The provincial commitment is to advance initiatives to ensure industry readiness for gas commercialization, including regulation, development models, local supply opportunities, and labour requirements. As well, the focus of attracting global investment for commercial gas production is a priority.

THE FUTURE LOOKS GOOD

By 2030, the long-term priorities of commercial natural gas production are evident. The province will promote investment in new infrastructure, technology, and leverage expertise to pursue market opportunities for commercial gas production while fostering natural gas resource exploration and development opportunities.

Given that natural gas is a cleaner energy source and the gas offshore Newfoundland is virtually untapped, there are strong reasons to focus on it. Offshore Newfoundland, most of the gas can be conveniently found in less than 200 metres of water. The resource base can support a world-scale project, and theoretically, gas projects could yield 2 million tonnes per year. This offshore gas opportunity could quite easily come together if industry players collaborate, share information, and infrastructure to develop it.

Developing gas resources on the Grand Banks is in the best interest of world energy demand and would make a significant contribution to the fight against climate change. With large gas areas potentially unexplored, definite shipping advantages to Europe, and the world’s demand for cleaner, greener energy, gas is a logical and sustainable solution.  

We got gas! 

Source, Images, Video: Government of Newfoundland & Labrador, Department of Natural resources, CAPP

Canada’s production and delivery of oil products, natural gas and electricity contributes about $170 billion to Canada’s GDP. The energy industry is one of the most important contributors to Canada’s economy and provides the foundation for our health care, education, and other social services in the country. According to Natural Resources Canada:

• In 2018, Canada’s energy sector directly employed more than 269,000 people and indirectly supported over 550,500 jobs
• Canada’s energy sector accounts for over 11% of nominal Gross Domestic Product (GDP)
• Government revenues from energy were $14.1 billion in 2017
• More than $799 million was spent on energy research, development, and deployment by governments in 2017-18
• Canada is the sixth largest energy producer, the fifth largest net exporter, and the eighth largest consumer

OIL AND GAS WILL BRING IN RENEWABLE ENERGY

Renewable energy is also extremely important and it’s oil and gas that’s going to get us there. The new energy mix will see renewables rise as well as oil and gas production increases. Together they will make up our new energy future.

Based on energy demand, Canada’s Energy Future predicts that we will have increases in the production of crude oil and natural gas from 2018 to 2040. Crude oil production will grow by nearly 50%, to around seven million barrels per day. Natural gas will increase by over 30%, to over 20 billion cubic feet per day.

That translates to massive-opportunity for Canadians and it is the critical baseline of infrastructure needed for renewable energy success.

MORE DRILLING = MORE OIL DISCOVERY

The more oil wells drilled offshore Newfoundland, the higher the probability of finding oil. So the answer to Eastern Canada’s prosperity in terms of energy is simple: drill more! 

In the past, we have had the problem of not reaching our drilling potential because of extremely slow environmental approval processes; sometimes up to 10 times slower than other places in the world. When environmental assessment approvals take too long oil companies will decide to invest in other regions where they can go from oil exploration to discovery much faster; places like Guyana for example.

It’s not anybody’s fault that these processes were long and labourious. It came out of the strong demand for a safe and environmentally conscious way forward. Today we have the challenge of ensuring both faster exploration time frames and the highest environmental stewardship takes place. These are the tasks of the day and the challenge of the provincial and federal governments combined. 

ENVIRONMENTAL ASSESSMENT TO BE FASTER

Speeding up environmental approvals in Newfoundland and Labrador is the key to ensure drilling offshore Newfoundland meets its potential. That and having more skin in the game. For example, Canada could be more like Norway and be a primary investor in its oil and gas resources. Norway has had upwards of 60% equity shares in many of its North Sea projects which have also led to them becoming the strongest nation on earth with a $trillion+ trust fund. This fund is not only the foundation of the countries prosperity but it is the most powerful asset they have for bringing in renewable energy. They can afford to do so.

The good news is, environmental assessment protocol in Canada is about to change. To be globally competitive and environmentally responsible at the same time, Canada’s new approach will be more like other successful oil and gas offshore regions of the world. For example, Norway’s offshore drilling environmental assessment process usually takes an average of 90 days. In Australia, it’s about 110 days. Comparatively Offshore Newfoundland’s has been 900 + days. 

Offshore Newfoundland drilling assessment processes are being transformed from red tape and too many cooks in the kitchen to a more streamlined environmental assessment approach which is predicted to be less than a year. That’s huge! Not only will that make offshore Newfoundland globally attractive to oil companies to set up shop and drill here, but it will also most likely put us at the top of the list of places to invest ‘in the world’ given the nature of our stable economy and government infrastructure.

The old model offshore Newfoundland of taking 905 days for an exploration well to be approved, is thankfully dead and gone. Everyone recognizes it is simply not sustainable. We finally all agree! How refreshing.

Today, it’s clear that stakeholders in the oil and gas industry in eastern Canada are committed to speeding up environmental assessments so that oil companies will be far more excited to drill and explore in the region. That’s extremely good news for Offshore Newfoundland given that we currently have 43 exploration wells approved to drill offshore and with a new approval process we can most likely predict an offshore drilling boom in 2021-22.

With our offshore oil drilling-to-discovery ratio of 1 discovery to every 7 wells drilled, I predict the opportunities offshore Newfoundland will not only bring new oil discoveries but the attractive offshore opportunities will be a hotbed of activity where exploration and discovery numbers will double if not quadruple over the next decade.

A SUSTAINABLE NEW ENERGY FUTURE

Currently oil and gas are 25% of Newfoundland and Labrador’s overall GDP. It’s one of the most important assets in our bailiwick. With the new investment, exploration drilling, oil discoveries, and growth that number will rise and bring with it a lucrative future for our province and our kid’s futures. And most importantly it will address climate change with low impact operations and new energy regimes coming into play. This, in turn, will pave the way for a sustainable new energy future which the entire world needs.

CANADA’S ENERGY QUICK FACTS:

• Energy use per person in Canada declines over 15% by 2040.
• By 2040, the share of non-emitting electricity generation in Canada increases to 83% from 81%.
• Wind and solar forms nearly 10% of Canada’s electricity generation by 2040.
• From 2018 to 2040, crude oil production grows by nearly 50%, to around seven million barrels per day.
• The outlook is based on climate and energy policies that are currently in place or sufficiently detailed and are a key reason why the growth in Canadian fossil fuel use is limited.
• Natural gas production increases by about 30%, to over 20 billion cubic feet per day over the next 20 years.
• Natural gas and renewables will displace coal-fired generation in Alberta, Saskatchewan and Nova Scotia. Canada’s large base of hydro power will continue to produce electricity in British Columbia, Manitoba, Quebec and Newfoundland and Labrador.
• By 2040, total fossil fuel use grows less than 1% from current levels, but growth varies significantly across the different fuel types. Natural gas use, the least GHG-intensive fossil fuel, increases by 18%. Oil product use declines by 7%, while coal use declines by nearly 75%.

To listen to Charlene Johnson, NOIA’s CEO talk with CBC about oil exploration protocol offshore Newfoundland:

SOURCE: NOIA, Government of Canada, CER, Natural Resources Canada

$4 billion worth of exploration commitments for offshore Newfoundland are about to take place!

Jim Keating of Nalcor Energy describes the drilling potential as, “a bow wave of investment as eight oil companies, with 10 exploration plans, launch exploration campaigns offshore Newfoundland.”

Drilling Ratio’s for discovering oil is: seven exploration wells drilled for every oil discovery. Do the math.

Drilling will peak in the next two to three years as about 8 – 10 exploration wells start drilling. With luck on side, a discovery is eminent.

With West White Rose in the works, Bay du Nord right behind it and the next eight exploration drilling plays, eastern Canada’s oil and gas industry is preparing for the arrival of more drill rigs and a surge in the amount of supplies and services sector.

By 2021, ExxonMobil, Chevron, Equinor and CNOOC have committed to spend $1.7 billion in exploration plays.

By 2022, BP Canada, Navitas Petroleum, Nexen Energy and Husky have committed to spending $763 million.

By 2024, BHP, Equinor and Suncor, will spend $1.4 billion in exploration.

To date companies have spent $9 billion in exploration which translated into $160 billion in value for those working in the oil industry. If history repeats itself the current exploration plays and potential discovery could result in $50+ billion in industry value as there are probably two dozen prospects offshore that are the size of Hibernia or bigger.

2020 lays the foundation for oil exploration drilling and discovery. Nalcor predicts 52 billion barrels of oil, and just under 200 trillion cubic feet of natural gas.

If we are to avail of the opportunities ahead we must create a positive mindset, harness the opportunities RIGHT NOW, and ensure that we capitalize on the potential that is sitting in the palm of our hands.

This is our moment. This is our time. No amount of government bureaucracy or climate change concern should slow us down because oil and gas is the bridge to new energy. Without oil we aren’t getting to new energy. It’s that simple.

Nothing will be more expensive for Newfoundlanders and Canadians overall, than a missed opportunity!

In total, there is a combined resource potential of 52.2 billion barrels of oil and 199.6 trillion cubic feet of gas in just nine per cent of the province’s offshore. The assessment was conducted by Beicip-Franlab, a leading independent company in doing resource assessments globally. This puts Newfoundland offshore oil and gas potential on par with areas like the North Sea, Gulf of Mexico and the Middle East, however, exploration and discoveries must take place for those resources to materialize.

“Beicip-Franlab has carried out detailed interpretations of past and new data, well and seismic, in the Carson-Bonnition-Salar basins. The data integration approach applied was designed to rigorously assess uncertainty and risk, which allowed the generation of various probable alternative resource evaluation scenarios, confirming significant hydrocarbon potential in the area,” said Jean Burrus, CEO, Beicip-Franlab.

Jim Keating, Executive Vice President, Offshore Development, Nalcor Energy-Oil and Gas says, “We are applying rigorous exploration best practices and technical innovation to ensure we ultimately evaluate every area of our offshore for oil and gas resource potential. In addition to the 2D seismic collected over the area, we invested with Fugro in acquiring a high-resolution multibeam survey that identified a number of seep like features coming from the ocean floor. Subsequent coring of these anomalies confirmed hydrocarbon presence which is an important insight in this frontier basin due to the limited number of wells and no discoveries to date in the area.”

The government is taking a systematic, scientific approach to understand the province’s oil and gas resource potential. By leading the collection of new data in the early stages of the exploration cycle and providing extensive information about the offshore oil and gas resource potential, new areas for industry exploration and future resource development opportunities are being opened offshore.

The oil and gas industry plays an important role in the growth and development of Newfoundland and Labrador’s economy. Since 1997, the oil and gas industry has accounted for approximately 25 per cent of cumulative provincial GDP and as of June 2019 over 8,900 people were directly employed in construction and operations.

2019 South Eastern Newfoundland Region NL19-CFB01

Located 400 kilometres east-southeast of St. John’s, the 2019 license round will occur over the NL19-CFB01 sector. The sector lies in the central northern portion of the southeastern Newfoundland jurisdiction and includes the Carson-Bonnition and Salar basins.

On April 3, 2019, the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) announced the Call for Bids NL19-CFB01. The block definition includes nine parcels of land and a total of 2,270,472 hectares. These nine parcels are the focus of the 2019 Independent Resource Assessment.

Water depths range from 100 metres on the shelf to 3,500 metres in the southeastern deepwater region of the sector.

Interested parties have until 12:00 p.m. NST on November 6th, 2019 to submit bids for the parcels offered in Call for Bids NL19-CFB01. Further detailed information pertaining to this Call for Bids can be found at www.cnlopb.ca/exploration/issuance/#bids-active.

Siobhan Coady, Minister of Natural Resources for Newfoundland and Labrador says, “The purpose of embarking on this annual independent resource assessment is to broaden our understanding of the under-explored frontier basins and add to our geotechnical knowledge of the area. The resource potential in our offshore is incredible. We have over 650 leads and prospects identified to date, eight new entrants in the past three years, and $4 billion in recent exploration work commitments. We will continue to position the province as an internationally preferred location for oil and gas exploration and development – one that values safety and environmental responsibility and maximizes benefits to the people of the province.”

SOURCE: Nalcor, Government of Newfoundland and Labrador, CNLOPB

BHP grew to become a powerful and well-established entity and in 2001 a merger between Global Natural Resources company and Billiton (a South African mining company) formed BHP Billiton which was headquartered in Melbourne, Australia. Operations include; mining, metals and petroleum in its portfolio and global expansion was their mandate.

In recent years, BHP’s aggressive oil and gas focus brought them to Eastern Canada. Exploration Director Mike Faust is at the helm. Mike is an ambitious guy. Driven and goal-oriented, he doesn’t mince words.  He’s got one mission and that is to explore global oil and gas regions of the world and develop their petroleum resources.

The OGM had the opportunity to interview Mike Faust and get an inside look at BHP’s exploration plans for offshore Newfoundland.

The OGM:
How did you get involved in petroleum exploration plays?

MIKE:
I grew up in Iowa, USA and did a bachelors in Geology at the University of Iowa and then went on to do a masters in Geophysics at the University of Oklahoma. I worked in exploration at Conoco Phillips for 6 years in the Gulf of Mexico, South East Asia, South America, and West Africa. I ended up jumping ship to BHP in early 2010 and since 2012 I’ve been supervising and managing different exploration projects primarily in the Gulf of Mexico and Trinidad and Tobago. Now in my current role with BHP, I look after exploration licences around the world.

The OGM:
How does BHP choose one region over another when deciding to invest and explore?

Mike:
We are constantly looking at new areas to explore. The geology has to be there, so we’re looking for world-class source rock, big reservoir systems and big traps at a very high level. Having those 3 factors line up, are what we feel make it a good place to have exploration potential. 

We also consider how risky the country is for entry. We assess the state of the industry in that region. So there are a whole host of things to consider but naturally, the geology has to be the driver behind the area. The geology indicates Newfoundland as a high priority for BHP.

The OGM:
What factors put offshore Newfoundland ahead of other exploration regions? 

Mike:
Newfoundland ticks all those boxes. A lot of times you are forced to weigh one option against one another, but there were no real drawbacks offshore Newfoundland. What’s already been found is huge. There is a proven system of operations offshore. The fiscal terms were good. Canada is a great place to do business. So I think the synergy of all those things came together and were big factors for us in coming here.

We came in eyes wide open, we’ve been studying the area for a couple of years. We know that the operating environment offshore is challenging. We knew the regulatory process is quite long. We considered all the variables. Now we are focused on ensuring we meet all the exploration requirements and standards as we go ahead.

The OGM:
Do you have any ideas about what might shorten the regulatory process? 

Mike:
That’s always a hot topic. We’ve learned from the government that they are working on speeding things up. We are going to proceed with what we know are the rules now and we understand that as legislation changes, we will simply adhere to them. 

The OGM:
The BHP exploration licenses EL1157, EL1158 how did you pick those plays offshore Newfoundland?

Mike:
Nalcor’s work has been instrumental. The seismic work done by the province has supported our decision to explore here.  We realized that the Orphan Basin was under-explored and we think there’s a lot of opportunities there.

The OGM:
What is your development timeline and what can vendors be doing right now to prepare for opportunities with BHP?

Mike:
Right now we are seeking regulatory approval for drilling. That can take a couple of years. We also need to secure a rig. That is a big one. Contracting a rig and having some certainty around when we are getting our permits is key.  Those two things have to come together. We are eager to move things forward. We like the opportunity and we want to get after it!

We will be opening up an office in the next few months, so we’ll have people on the ground in St. John’s. We will be issuing expressions of interests when we have work coming up.

The OGM:
What do you have to say to the people of Newfoundland and Labrador?

Mike:
I’d really like people to know that we are excited to be here! We are committed to being transparent and listening to the community. We recognize that we aren’t going to come up here and do all the talking. We are looking for partnership and inclusion. 

As we look to consult with indigenous groups, community stakeholders and suppliers, we will want to hear feedback. We want to make sure that operations are transparent, fair, and everyone has a right to bid on the contracts that we award.

We are very excited about working alongside a world-class industry that’s already here. We realize it’s well established and we are the new kids on the block. We can learn an awful lot from you. 

BHP – PROJECT PROTOCOL – Links

BHP CANADA EXPLORATION DRILLING PROJECT (2019-2028) Environmental Assessment Project Description

Guidelines for the preparation of an environmental impact statement pursuant to the Canadian Environmental Assessment Act, 2012 – For the BHP Canada Exploration Drilling Project BHP Petroleum (New Ventures) Corporation


SOURCE: BHP, C-NLOPB

One has to wonder, why is this happening now when the oil industry has had a virtually flawless environmental record for the last 28 years?

History has shown us that when all hell breaks loose it’s usually because a better solution is requesting to come in. Perhaps it’s time for a plan that is inclusive of all stakeholders and has the big picture in mind.

The problem may be that we don’t really know who’s at the helm of decision making when it comes to our marine resources. Is it the C-NLOPB, Federal Minister of Natural Resources, Prime Minister, Provincial Minister of Natural Resources, The Atlantic Accord, The United Nations, Marine Protected Areas (MPA’s), The FFAW, SEA ….. you get the picture!

TOO MANY COOKS
Newfoundland and Labrador has world-class resources that require world-class solutions. But who is our resource master and where is our master plan?

Petroleum and the fishing industry are mainstays of the Newfoundland and Labrador economy. We succeed when both work in unison. One cannot dominate over the other. Pitting industries against each other is futile. It never works. The solutions come from leadership at the helm, ensuring that all industries thrive. That’s very simple to say BUT it’s not easy to do!

NORWAY HAS ANSWERS
Norway has successfully developed its marine industries harmoniously. As a result, they are now one of the wealthiest and most successful regions of the world. Offshore Newfoundland could follow suit. Why re-invent the wheel when we have a sister country with similar resources and infrastructure? Here is a Typology of Stakeholders and Guidelines for Engagement in Transdisciplinary, Participatory Processes in Norway. It is a guide we can learn from, adapt and implement offshore Newfoundland. Take a look!

THE CEAA COMMITTEE
The CEAA has enlisted key representatives from Atlantic Canada to be committee members overseeing the environmental assessment process offshore Newfoundland/NovaScotia.

Minister McKenna announced the appointment of Garth Bangay and Wes Foote as co-chairs of the Committee to carry out the regional assessment of Offshore Oil Gas Exploratory Drilling East of Newfoundland and Labrador. Gerald Anderson, Keith Storey and Maureen Murphy Rustad have been appointed as committee members.

Are these the individuals who ultimately determine if a Call for Nominations and Call for Land Sales are permitted in a protected fishing area? We aren’t quite sure as C-NLOPB and Canadian Governments of Natural Resources play a part as well.

THE MEETING OF THE MINDS
On Sept 5 2019, the Honourable Siobhan Coady, Minister of Natural Resources, hosted a meeting to discuss the protection of the Canada-Newfoundland and Labrador offshore environment. The meeting took place in St. John’s with representatives from the provincial Department of Natural Resources, the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) and Natural Resources Canada.

Minister Siobhan Coady said, “Our discussion was focused on reviewing the processes we currently have in place to prevent an oil spill from occurring. Protecting our offshore environment and the safety of our offshore workers are fundamental principles to everything we do. We will continue this vital dialogue and expect better of operators.” During the meeting, a detailed overview of environmental performance was provided to both governments by the C-NLOPB.

THE CANADA-NEWFOUNDLAND OFFSHORE PETROLEUM BOARD
The C-NLOPB has been requested to report back to federal and provincial representatives on a number of issues discussed during the event. Further meetings will be held to advance action items arising from the discussion. It will be interesting to find out if exploration licencing on fishing grounds was on the agenda to be resolved.

According to the C-NLOPB’s recent news release, the Call for Nominations are meant to assist in selecting parcels to be included in subsequent 2020 Call for Bids. They are not actual Calls for Bids. Here’s how it works:

TIMELINE
Nominations took place – September 2019
Call for Bids close – November 2020
Licence awarded – Early 2021

This is pending board approval and ratification by the federal and provincial governments.

In a news release September 5, 2019, the C-NLOPB said it has encouraged and engaged in efforts to promote successful communication and co-operation between the fishing and oil and gas sectors, recognizing both are economic cornerstones of Newfoundland and Labrador and the rest of Canada.

So where did things go off track when it comes to protected fishing areas in the Northeast Newfoundland Slope?

SEA
C-NLOPB takes direction from multistakeholder groups. The Eastern Newfoundland Strategic Environmental Assessment (SEA) had input into the decision to include The Eastern Newfoundland Sector NL04-EN which is the primary region of concern. Detailed information on the 2014 report produced by Amec is located online at the C-NLOPB website and can be found here.

The C-NLOPB’s SEA report came out in 2014. The Northeast Newfoundland Slope Closure was created three years later, in 2017. Could this be the issue?

WORLD WILDLIFE FUND (WWF)
WWF issued a recent press release, “The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) recent Call for Nominations in the Northeast Newfoundland Slope Closure infringes on a marine refuge counting towards Canada’s marine protection targets.”

This map shows the overlap in the protected area (green) and the proposed nominated area (grey). Source: WWF 

While Canada adopted minimum standards for marine protected areas, including the prohibition of all oil and gas activities, these standards do not apply to marine refuges, which are protected under the Fisheries Act.

WWF-Canada is calling for minimum standards for all sites considered “protected” in order to effectively protect marine biodiversity, including both marine protected areas and marine refuges.

The Government of Canada has said that if oil and gas leases are awarded within parts of their protected areas then they will stop counting them towards international protected area targets.

Parts of the Northeast Newfoundland Slope Closure, a site which fish harvesters voluntarily agreed to stop fishing in to protect important fish habitat, has had oil and gas leases awarded within it since its creation in 2017. That means that while the area remains off-limits to fishermen, it is open for oil and gas development. 

The Northeast Newfoundland Slope 

• Created in December 2017, the marine refuge is about 46,800 square kilometres, an area roughly the size of Denmark. 
• The refuge was created to protect slow-growing, fragile cold-water corals and sponges, which form important structures that provide essential habitat for young fish. 
• Bottom-contact fisheries were banned in the refuge to protect the corals and sponges.

WWF-Canada has called for increased regulatory oversight of the oil and gas industry, including improvements to financial and liability rules, risk assessment procedures, drilling and well-control rules as well as improved spill response capacity. It has asked that marine refuges be excluded from development by the oil and gas industry. 

Sigrid Kuehnemund, WWF-Canada’s vice president of ocean conservation, says:  “We ask that the C-NLOPB remove all marine refuges from any future nomination processes in order to safeguard these important ocean habitats.”

FFAW
Keith Sullivan, President of the Fish, Food and Allied Workers Union (FFAW) expresses concerns, “It’s not hard to understand why people who make their living fishing are concerned with the recent Call for Land Nominations. The land parcel that is going to be made available for oil companies to bid on is directly over some of the best fishing grounds in Newfoundland and Labrador. That will negatively impact our fishery in many ways.”

Keith Sullivan says, “Not only are we concerned about our fishery but once installations are in place there’s also the issue of 5-10 mile exclusion zones around the platforms and FPSO’s which eliminates lucrative real estate on the best fishing grounds for harvesters.”

PROACTIVE
The primary goal is to find ways for marine-related industries to not only coexist but to thrive offshore Newfoundland and Labrador. Successful considerations may include:

1. Ocean industries are inclusive of each other and therefore differing sectors require a transparent structure of governance for fisheries, petroleum, shipping, marine defence & security, marine transportation, and other related ocean industries.
2. New energy is also on the horizon. Offshore wind turbines are next. Are we ready?
3. Communication is open and transparent between all stakeholders. Technology is most likely the solution for shared governance.
4. Understand the full scope of the environmental impact from other places in the world who have had disruptions such as oil spills. For example, nearly $1 billion has been invested in scientific research covering the Deepwater Horizon accident and its consequences at the Gulf of Mexico Research Initiative.
5. Ensuring protected areas are uninterrupted by all marine industries. If they are interrupted, shut down not only the companies involved but all operations in that area until it’s rectified.
6. Extensive research on ocean life and industry impact. Proceed with research and science!
7. When environmental safety is as important as personal safety, we will have won.
8. Treat our offshore resource management just like a business. While all managers of the resource have input and recommendations, ultimately someone has to make a decision with the big picture in mind. ONE entity has to be fully informed and fully responsible for the final say.
9. Stop blaming and start participating. Get educated. Get involved and get every voice at the table. We all have a responsibility to act and collaborate…and therefore we are all stakeholders in our own success.

______________________________________________________________________________

This article was written and produced by Tina Olivero. If you would like your story told, content generated, or advertorials produced please contact: TinaOlivero@TheOGM.com

Indonesia and Malaysia will contribute around 80% of the Southeast Asia’s total crude production from eight planned and announced projects in 2025, according to GlobalData, a leading data and analytics company.

The company’s report: ‘H1 2019 Production and Capital Expenditure Outlook for Key Planned and Announced Upstream Projects in Southeast Asia – Indonesia and Malaysia Lead in Oil and Gas Production’ reveals that besides crude production, Indonesia and Malaysia will also contribute more than 70% of Southeast Asia’s total natural gas production from planned and announced projects in 2025.

Arpan Roychowdhury, Oil & Gas Analyst at GlobalData, comments: “The start of production of major crude oil projects such as Ande Ande Lumut and E6, and gas projects such as Abadi and Pegaga is set to drive oil and gas production in both Indonesia and Malaysia during the outlook period.”

In Southeast Asia, a total of 54 crude and natural gas projects are expected to start operations in six countries during 2019–2025. Among these, 25 represent the number of planned projects with identified development plans and 29 represent the number of early-stage announced projects that are undergoing conceptual studies and that are expected to get approved for development.

Among the countries, Indonesia accounts for highest number of upcoming crude and natural gas projects with 13 planned and 14 early-stage announced projects.

GlobalData identifies Malaysia as the second highest country with 18 upcoming projects – nine each are in the planned and announced stage. Vietnam follows with six upcoming projects, expected to come online by 2025. Cambodia, Thailand and Myanmar are the other countries in Southeast Asia with one upcoming project each.

About GlobalData

4,000 of the world’s largest companies, including over 70% of FTSE 100 and 60% of Fortune 100 companies, make more timely and better business decisions thanks to GlobalData’s unique data, expert analysis and innovative solutions, all in one platform. GlobalData’s mission is to help our clients decode the future to be more successful and innovative across a range of industries, including the healthcare, consumer, retail, technology, energy, financial and professional services sectors.

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Global technology leader ABB and Norwegian fast-growing oil and gas producer OKEA have signed a Memorandum of Understanding (MoU) agreement to support OKEA achieve substantial productivity gains using agile and dynamic business models.

The MoU reflects future potential for OKEA to leverage ABB’s global digital leadership and industry experience in sustaining lean and optimized operations for the future – with responsive new business models to maximize operational excellence, reduce time-to-value and support cost-effective field developments at a time of high technological change in offshore operations.

“We are pleased to express our joint efforts with ABB to further develop our collaboration through this MoU, which constitutes a framework for defining a strategic partnership related to digitalization initiatives,” said Dag Eggan, Senior Vice President of Business Performance, OKEA.

“ABB is, and will continue to be, a key partner for OKEA in realizing our ambition to operate Draugen until 2040.”

The MoU will support OKEA in their strategy to maintain an efficient organization and scale production by leveraging ABB’s expertise in autonomous operations, digital solutions and advanced services.

“With deep-domain expertise and more than 50 years experience supporting oil and gas operators worldwide, we are confident ABB will create tremendous value for OKEA with this strategic collaboration,” said Tor-Ove Lussand, Local Business Manager, Norway, Energy Industries, ABB.

“ABB Ability™ – our unified digital offering extending from device to edge to cloud – combined with innovative business models, will enable a direct link between the technology and services we deliver, and the value created for OKEA.”

OKEA

OKEA is a fast-growing oil and gas producer operating on the Norwegian Continental Shelf (NCS) aiming to bring undeveloped discoveries with less than 100 million boe in reserves into production. We are a trusted partner on a local, regional and national level with a clear ambition to create value for owners, employees and society as a whole. Our overall vision is to be the leading company on the NCS in terms of delivering safe and cost-effective field developments and operational excellence, while maintaining a competent organization with direct management engagement in all of our projects. OKEA was established in June 2015 and founded with capital contributions from the active E&P manager Seacrest Capital Group, and the four founding members of management. OKEA is listed on Oslo Stock Exchange under the ticker “OKEA”.

ABB Energy Industries

ABB is writing the future of safe and smart operations for industry, with ABB Ability™ delivering integrated and secure digital solutions that deliver value for customers with increasing autonomy, sustainability and optimized performance. ABB Energy Industries brings deep domain knowledge and technical expertise in energy and water, oil and gas, specialty chemicals and primary pharmaceutical industries. Building on our heritage, a spirit of collaboration and innovation inspires our digital leadership as we engineer and provide products, services and solutions that support our partners for success, both today and tomorrow as we look ahead to a new energy future.

ABB

(ABBN: SIX Swiss Ex) is a pioneering technology leader with a comprehensive offering for digital industries. With a history of innovation spanning more than 130 years, ABB is today a leader in digital industries with four customer-​focused, globally leading businesses: Electrification, Industrial Automation, Motion, and Robotics & Discrete Automation, supported by its common ABB Ability™ digital platform. ABB’s market leading Power Grids business will be divested to Hitachi in 2020. ABB operates in more than 100 countries with about 147,000 employees. 

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Garth Bangay

Mr. Bangay is now an environmental consultant in Halifax, Nova Scotia. He holds a Bachelor’s degree in Geography from the University of Toronto and has over 40 years of experience in bridging science with successful policy outcomes on such diverse subject areas as Great Lakes water quality, acid rain and persistent organic pollutants in the Arctic. He has also been directly responsible for projects such as the successful raising of the oil-laden barge, the Irving Whale from the Gulf of St. Lawrence and the clean-up of the Sydney Tar Ponds. He has during his career managed Environment Canada’s national water research institutes and the department’s diverse programs in the Atlantic Region. He has also effectively led Canada’s participation in a number of International initiatives including the first ever seven nation Circumpolar Agreement to protect the Arctic environment. This agreement also set a precedent for the engagement of northern Indigenous peoples. He co-championed the development and implementation of the Nova Scotia Sustainable Communities program, which involved 37 agencies and four levels of government and won the Institute of Public Administration of Canada’s Silver Medal for “Innovation in Horizontal Management in Government.”

Wes Foote

Mr. Foote is the former Assistant Deputy Minister (ADM) of Petroleum Development with the Government of Newfoundland and Labrador. Wes is an engineering professional consultant with over 30 years of experience in diverse engineering roles. In his ADM role with the provincial government, he was responsible for leading a team that provided technical expertise to allow the government to make informed decisions related to offshore and onshore oil and gas developments in the province as well as marketing the oil and gas potential/ prospectivity. Wes was recently appointed, by the Government of Newfoundland and Labrador, to the Canada-Newfoundland and Labrador Offshore Petroleum Board as a Board member.

Gerald Anderson

Mr. Anderson is well known throughout Newfoundland and across Canada for his work with Indigenous Peoples in the education sector. Born in L’Anse Aux Meadows, Newfoundland, Gerald is of Inuit ancestry and a beneficiary of the Labrador Inuit Land Claims Agreement. He held the Vice President position (Indigenous) with the University of the Arctic (UArctic) and is currently working a five day per month assignment as Director of Development and Engagement with the Marine Institute of Memorial University. He is also a Board member of Polar Knowledge Canada and an Ambassador with the Arctic Inspiration Prize. In 2014, Mr. Anderson was awarded an Indspire Award, described as the “highest honour the Indigenous community bestows upon its own achievers.” He joined the Fisheries and Marine Institute in 1987 and has worked for over 27 years in various roles with Indigenous groups in Newfoundland, Nunavut, and Nunavik, primarily focused on establishing fisheries and marine education and training programs. Mr. Anderson helped develop Fisheries Development Training plans for Nunavut, Nunatsiavut, Innu Nation, Federation of Newfoundland Indians, and the Labrador Métis Nation. He worked closely with the Miawpukek First Nation in Conne River to develop and deliver long-term fisheries and marine training program

Maureen Murphy Rustad

Ms. Murphy Rustad is the Managing Director of One Ocean, the liaison organization established in 2002, by and for the fishing and petroleum industries of Newfoundland and Labrador. She was born and raised in St. John’s and is the youngest of nine children. After completing her studies in Newfoundland and Ontario, she worked in London, England for two years in public relations before moving to France to continue her studies at the Université de Pau. She worked in France for several years but her interest in marine affairs drew her back to Canada to complete a Master’s degree in Marine Management. She worked as a consultant for Fisheries and Oceans Canada before joining One Ocean at the Fisheries and Marine Institute of Memorial University of Newfoundland in 2003 as a Research Analyst. Ms. Murphy Rustad was the Manager of Operations for One Ocean before her appointment as Managing Director in 2010.

Keith Storey

Mr. Storey received a Bachelor of Arts from the University of Leicester in the United Kingdom (1966), a Master of Arts from Simon Fraser (1969) and a Ph.D. from the University of Western Ontario (1977). He taught Geography at Memorial University from 1971 to 2009. He currently holds the position of Honorary Research Professor in Geography and serves as the Director of The Population Project, a research program funded through the Leslie Harris Centre of Regional Policy and Development at Memorial University. In recent years, much of his work has been in the oil and gas, mining, hydro and construction sectors in Newfoundland and Labrador, northern and western Canada, Western Australia and the Gulf of Mexico.

Source: CEAA & CNLOPB

Mud slop is the drilling waste produced from offshore oil exploration and production. Dealing with mud slops is one of the challenges of the oil and gas industry as this waste is not environmentally friendly. So what do we do with it?

“Mud slops,” by definition, are a mixture of spent drilling mud, recovered hydrocarbons, drill cuttings and flowback water in a complex and stable emulsion. This waste stream cannot be sold or easily disposed of and therefore has to be eliminated in the best way possible. Mud slops have historically been stored in pits or tanks without sustainable disposal solutions.

In the past, mud slops were a disruptive waste that had to be transported, stored, and transshipped, which ultimately was not a cheap or sustainable solution. The real solution for mud slops is to break the complex emulsion and recover re-useable hydrocarbons, minimize the solids generated for disposal, and treat the water using effective technology to eliminate environmental liabilities.

Mud slops processed off-island is more expensive so having a facility in Newfoundland makes good business sense. Design, construction, and commissioning of Pardy’s mud slops facility, provides an option for mud slops disposal right here in Donovans, Newfoundland. They are excited about the new facility. Steve Moores, General Manager at Pardy’s Waste Management, says, “We have constructed and commissioned a new mud slops processing facility to service the offshore oil producers and their suppliers. With the knowledge of our processing team led by Steve Wiseman, and the vision of our owner, Derek Pardy, we have been able to create a really innovative solution that the industry needs to manage waste generated from exploration and development. Pardy’s has successfully treated and disposed of 7.5 Million litres of mud slops so far. Our mud processing trials began back in October of 2018 and included the research of flow rates, chemical mixology, employee training, and competency, along with third-party sampling and analysis to support the project. As of late October 2018, we were averaging 120,000 to 140,000 liters of mud slops a day for a total process throughput of 7,562,566 liters.”

The Pardy’s mud slops facility is in a heated storage tank farm and allows for continuous operations, without shutting down for adverse weather conditions while maintaining operational control. The trial project generated 1,743,025 liters of recoverable oil and was sold as IFO (Industrial Fuel Oil). One major advantage of the facility is that it’s close to the activity, operates 24/7/365, and does not require the intermediate bulk storage of waste, which by many standards is a preferred option of waste management because it eliminates the liability associated with storage. It’s quite simple: waste in, treated water, recovered hydrocarbons and minimal secondary waste out.

Steve Wiseman says, “The process of mud slops phase separation allows us to totally separate the phases of emulsion and minimizes waste volume. We don’t add binding agents or sawdust to dry out our solids. Our goal is waste reduction. Conventionally, mud slops were mixed with sawdust to make them dry and sent off the island…. our business is based on finding solutions, not transferring them to someone else’s backyard!”

The current Pardy’s facility employs 65+ people, with seasoned oil and gas industry technical experience in excess of 85 combined years in waste processing to support the energy industry of the province.

Facts about Pardy’s Waste Management and Industrial Services Ltd.

Pardy’s Waste Management and Industrial Services Ltd. is owned and led by Derek Pardy. Derek is an accomplished businessperson who has never been afraid to take on complex problems, tight timelines, or big projects. Pardy’s has been in the industrial cleaning, waste processing, high-pressure service, and vacuum truck rental business since 1982. Our combined years of experience and diversity of human resources make us a premium service provider with the ability to use our equipment, people, and the broad resource base of suppliers and subcontractors to solve complex problems for our customers.

Pardy’s has constantly evolved and grown to provide a full suite of waste management services for their customers. Their current focus is ensuring that the oil and gas industry has sustainable solutions for industrial cleaning, bulk storage, and waste management.

ADVERTORIAL: WWW.Pardyswaste.com

The Indigenous-led, Alberta-based Iron Coalition is pleased with today’s announcement to approve, and ultimately move forward with Trans Mountain Pipeline (TMX) expansion project. As the only Indigenous group to be mandated by the Assembly of Treaty Chiefs (AoTC) to pursue this ownership stake, today’s decision means the continuation of Iron Coalition’s process to achieve ownership in the TMX, with government support.

“The pipeline is an incredible opportunity for Indigenous communities within our province to secure ownership in an important asset for Canada, and we are encouraged by the acknowledgement of possible Indigenous ownership,” said Iron Coalition co-chair, Chief Tony Alexis, Alexis Nakota Sioux Nation. “We are pleased by the Prime Minister’s commitment to get construction underway this season and look forward to meeting with the government to move this project forward.” In light of today’s announcement, Iron Coalition will continue to secure capital as the project nears completion. The business model as outlined by Iron Coalition states that 100 per cent of profits generated will be directed back to member communities. Formal letters have been sent welcoming all Indigenous communities in Alberta to join the organization, inclusive of all Métis and First Nations, and a number of communities have already committed to joining Iron Coalition.

For more information, visit www.ironcoalition.com and Iron Coalition’s social media channels on Twitter, Facebook and LinkedIn

Members of the Iron Coalition after their meeting with federal finance minister Bill Morneau in Edmonton. From left to right: Legal counsel Will Willier, Chief Tony Alexis with Alexis Nakota First Nation and Chief Calvin Bruneau with the Papaschase First Nation.

About Iron Coalition: Iron Coalition formed in 2019 as an Alberta-based Indigenous-driven organization with the sole purpose of achieving ownership in the Trans Mountain Pipeline (TMX). Represented by three Indigenous leaders, Iron Coalition is also guided by a working group of First Nation leaders, Métis presidents and community leaders with financial, legal, government and business acumen to provide direction on securing a successful purchase of the TMX project. Iron Coalition is community-focused; all profits generated by Iron Coalition will be directed back to each member community to bring lasting economic benefit to Métis and First Nations in Alberta.

Feature Photo: A aerial view of the Trans Mountain marine terminal in Burnaby, B.C., in May 2018. THE CANADIAN PRESS/Jonathan Hayward

BHP Group Limited has been successful in its bids to acquire a 100% participating interest in, and operatorship of, two exploration licences for blocks 8 and 12 in the offshore Orphan Basin in Eastern Canada.

Ms. Geraldine. A. Slattery has been President of Operations Petroleum at BHP Group Limited since March 18, 2019. Geraldine Slatter and the BHP team believe the successful bids are an exciting opportunity for BHP to explore for world-class conventional oil assets as an early mover in this prospective region.

This frontier opportunity has large oil resource potential which we identified through our Global Petroleum Endowment Study in 2016 and is in a low-risk country with competitive fiscal terms.

This opportunity delivers on BHP’s exploration focus in conventional petroleum and will leverage their global deep-water development and operational expertise.

BHP’s aggregate bid amount of US$625 million covers the drilling and seismic work required by the exploration work programs under the licence agreements over the six-year term. BHP’s minimum commitment under the licence agreements is for US$157 million.

BHP: Rig Required To Drill Orphan Basin

BHP Petroleum (New Ventures) Corporation (BHP) plans to undertake a drilling program in the Orphan Basin Region, offshore eastern Newfoundland and Labrador (Exploration licenses EL1157 and EL1158). It is anticipated that the initial campaign will consist of two wells, approximately twelve months apart. Subject to regulatory approval, drilling activity is anticipated to begin between July 2021 and July 2022. Accordingly, BHP seeks Expressions of Interests from interested contractors who can demonstrate the capability to deliver the following goods and services.

Supply To BHP

At BHP suppliers will become pre-qualified for a specific scope of work or service during the Request for Proposal (RFP) process (for work over $250k). BHP will be reviewing the local market to identify new suppliers. As a check and prior to issuing a RFP, BHP will be posting an Expressions of Interest (EOI) in NOIA’s daily e-newsletter, which is distributed to 600+ member companies. Newfoundland companies are encouraged to become NOIA members and review all EOIs to determine if they can provide the services.

By responding to the EOI, BHP will engage with the local company and may request information to determine competency in the area. If the company is found competent, they will be invited to participate in the RFP and the ­­­pre-qualification process for that good or service will begin. If the company is not found competent, feedback will be provided on the gaps assessed.

WHO IS BHP?

BHP is a world-leading resources company. BHP extracts and processes minerals and oil and gas, with more than 62,000 employees and contractors, primarily in Australia and the Americas. BHP products are sold worldwide, with sales and marketing led through Singapore and Houston, United States.

BHP global headquarters are in Melbourne, Australia with offices around the globe and have now expanded into Eastern Canada as an offshore exploration investor.

BHP operates under a Dual Listed Company structure with two parent companies (BHP Billiton Limited and BHP Billiton Plc) operated as if they were a single economic entity,  referred to as BHP.

BHP PETROLEUM UNIT

BHP Petroleum unit comprises conventional and unconventional oil and gas operations and includes exploration, development and production activities. BHP has a high-quality resource base concentrated in the United States and Australia. Core production operations consist of conventional assets located in the US Gulf of Mexico, Australia and Trinidad and Tobago and unconventional Onshore US assets. BHP produces crude oil and condensate, gas, and natural gas liquids (NGLs) that are sold on the international spot market or delivered domestically under contracts with varying terms, depending on the location of the asset.

SOURCE & GRAPHICS:  BHP

And we are off to the races! April 17, 2019, marked the first series of environmental approvals that signal the green light for further exploration and discovery offshore Newfoundland. That is extremely good news. Having been thoroughly assessed and deemed ‘fit’ to proceed, it is clear that these two recent approvals signify that oil exploration and production are not likely to cause adverse environmental effects offshore Newfoundland.

Many people fret about the time it takes for environmental assessments to take place, but they are a crucial component of the process of oil and gas exploration. They ensure that an oil project is safe and sound before proceeding. Consultations with the public, Indigenous Peoples, scientific evidence and a full assessment of greenhouse gas emissions all take place before a project proceeds.

42 WELLS TO BE DRILLED

The Honourable Seamus O’Regan, Minister of Indigenous Services, said, “All Newfoundlanders and Labradorians know how important offshore oil and gas is for the future of our province. These exploration projects provide excellent opportunities for jobs while providing operators with critical information regarding the potential of their offshore plays. The Government continues its commitment to protecting the environment while growing the economy, creating secure jobs for our country’s middle class.”

These environmental approvals are significant because it means the operators responsible for finding oil will be drilling a combined 42 wells offshore over the next ten years. Given that the finding ratio of exploration wells to oil recovery is approximately 1 in 7, the probability of discovering oil is exceptionally high from these two drilling scenarios. Could we double our oil and gas industry with these two initiatives?

Bets are on yes!

APPROVAL #1

Equinor Canada Ltd. (Equinor) is proposing to conduct an exploration drilling project within offshore exploration licenses located in the Flemish Pass Basin, a minimum of 460 kilometers east of St. John’s, Newfoundland and Labrador. The proposed Flemish Pass Exploration Drilling Project would take place between 2019 and 2027, during which Equinor could drill up to 24 offshore wells (up to six per exploration licence) to determine the presence, nature, and quantities of the potential hydrocarbon resource in exploration licences 1139, 1140, 1141, and 1142

APPROVAL #2

ExxonMobil Canada Ltd. (ExxonMobil) is proposing to conduct an exploration drilling project within offshore exploration licences located in the Jeanne d’Arc Basin and the Flemish Pass Basin, a minimum of 265 kilometres east of St. John’s, Newfoundland and Labrador. The proposed Eastern Newfoundland Offshore Exploration Drilling Project would take place between 2019 and 2029, during which ExxonMobil could to drill up to 18 offshore wells (up to six per exploration licence) to determine the presence, nature, and quantities of the potential hydrocarbon resource in exploration licences 1134, 1135 and 1137.

Both projects are subject to approximately 90 legally-binding conditions the proponents must fulfill. These conditions will reduce or eliminate the potential effects of the projects on the environment. For example, the proponents will be required to mitigate and monitor potential effects on marine habitat, including those related to the treatment of waste discharges, reduce supply vessel speed when marine mammals are observed nearby, verify underwater noise levels, and conduct a survey to identify and avoid corals or sponges at each well site.

Clearly, these new exploration wells hold the opportunity for oil suppliers and contractors over the next five to seven years!

Source: NALCOR, NOIA

Understanding this dilemma Waterford Energy Services set out in 2016 to invest in the development of a solution utilizing Artificial Intelligence to help address this significant industry problem. A team of data scientists and software development experts were hired to form Waterford’s Data Science Team. After several years of development, the result is a new software tool called “LessLer”. LessLer allows individuals to quickly access unstructured documentation in a mentored environment to solve their problems, answer their questions and ensure that past lessons are indeed learned, not lost.

With industry changes in staff demographics, forced retirement, layoffs, and a transient workforce, we now have a new era of business from which to work. Teams with lower experience levels have to plan and execute highly complex projects while doing it on time and on budget without harm to the environment. These teams must educate themselves on past practices and processes as a fundamental stepping stone in their success.

Blair MacDougall, President of Waterford Energy Services says, “With the recent downturn in the industry, key personnel have left at an alarming rate taking their tribal knowledge with them. Most of this knowledge is documented in massive amounts of unstructured data which, in our opinion, is too difficult to utilize effectively. It gets lost on shared drives, lost when staff leave, too difficult to access, and so on. We are curbing the tribal knowledge loss by providing a tool that ingests all of that documentation and presents it to the tech-savvy, yet less experienced teams that appear to be more prevalent today.” MacDougall continues, “We’ve also listened to our customers who want the ability to have Subject Matter Experts and mentorship functionality within the LessLer platform.”

Lessler is software under development in Waterford’s offices that is a step change in how unstructured data is utilized in the industry. It is a software tool that organizes virtually all documents and transforms it into actionable knowledge. Mike Cullymore, Senior Software Specialist with Waterford Energy Services, says, “Think about all the data we acquire in a day, let alone a year. It’s massive intellectual property that drives a company forward. LessLer is designed to harness the company’s history in the form of emails, documents, reports, equipment manuals, product specifications and incident reports.”

As a mentoring tool, Lessler also permits oversight by subject matter experts, or other stakeholders such as regulatory agencies and service companies. This enhances the learning experience of users and ensures that key decisions using LessLer are peer reviewed.

Lessler is intuitive using data visualization techniques to create a vibrant user experience. Data Scientist Mateus Pereira, a native of Brazil, applies his specialist skills in data visualization and ranking initiatives. He says, “LessLer presents data in a rich graphical interface that simplifies the user experience to find answers to complex problems. The user experience is currently being perfected so unwanted responses can be rejected and acceptable responses promoted, allowing LessLer to learn from the user.”

Overseeing the overall construction of LessLer is Lead Data Scientist Elham Etemad, PhD. Her focus is the integration of two main components: A.I. and Mateus Pereira’s data visualization. LessLer uses natural language processing (NLP) techniques to find candidate documents for solving the user’s problem. This component consists of query processing and document retrieval modules. The query processing module applies query correction and suggestion to help the users in improving their questions’ precision. The document retrieval module finds the most relevant documents and sort them based on their textual similarities with the question and feedback from users.

What is known for certain is that the world is changing and it’s changing quickly. Within Exploration and Production companies, there are unprecedented amounts of documentation that is highly under-utilized. Companies who will lead the industry are those that adapt, learn, and implement tools to use their data effectively, creating value through effective decision making. The next generation of energy workers are in need of better ways to unlock their historical data to ensure high risk decisions are informed decisions and LessLer is being developed to do just that.

Waterford Energy Services Inc.- LessLer Team Developers: (From Left to Right) Blair MacDougall (President), Manav Sharma (Data Scientist), Raghav Gupta (Developer), Navkaran Kumar (Developer), Elham Etemad, PhD (Sr. Data Scientist), Mateus Pereira (Data Scientist), Kalene Hines (Project Engineer), Mike Cullymore (Sr. Software Specialist).

To learn more about LessLer and arrange a demo, contact: Mike Cullymore (mike@wesi.ca). FINAL

The development of White Rose and its subsequent fields has been the work and vision of Husky Energy (68% partner owner) and its partners Suncor (26%) and Nalcor (5%). White Rose partners have seen nothing but gains from the White Rose project as it has provided oil producing returns from a number of fields in 2005, 2010, and 2015, with much more to come.

The original White Rose field was developed using subsea technology, consisting of three drill centres tied back to a Floating, Production, Storage, and Offloading (FPSO) vessel. The initial development of the White Rose project utilized a 21-well system that was tied back to the FPSO, meaning oil was pumped up to the seabed surface to drill centers on the ocean floor. From there oil then flowed up through a subsea production system of flow lines that were tied back or connected to the vessel. Since the initial oil production success, three field extensions have produced oil. North Amethyst was the first subsea tieback that started producing oil in May 2010. The South White Rose subsea tieback achieved first oil in June 2015. Both projects produce oil and deliver it back to the SeaRose FPSO.

West White Rose

The West White Rose project will access further resources to the west of the field, using a fixed drilling rig tied back to the existing SeaRose FPSO. That platform is a mega world-class initiative and is being constructed in Argentia, Newfoundland right now. First oil is expected in 2022.

The concrete gravity base and topsides of the platform will combine to become the first of its kind offshore Newfoundland – a super platform. It is an innovative technological concept that requires ingenious precision and brain power to construct it and bring it to its resting place at the West White Rose field.

This state-of-the-art platform was chosen because it has improved drilling efficiency, reduced weather downtime, lower operating costs and greater resource recovery potential. It is an island in the sea.

The platform has an overall height of 145 meters and a total weight of 210,100 tonnes. It will take more than 7.5 million person-hours for engineering and construction and will require approximately 800 workers at Argentia during peak construction.

WEST WHITE ROSE PROJECT UPDATE

As of May 2019, work continued to progress on all fronts of the West White Rose platform including on the Topsides at Ingleside, Texas and locally on the Living Quarters module in Marystown and the Concrete Gravity Structure (CGS) in Argentia.

Husky Energy has a strong safety and quality record across all its sites, largely attributable to their dedicated workforce.

In Argentia, they spent the first part of the year working on the interior of the CGS where rebar was placed and conductor guides installed.

Concrete works began in April 2019, with the lower dome concrete pour, the upper ring concrete pour, and the first of three quadrant slips planned for 2019.

The three quadrant slipforms won’t make the CGS any higher. These are the perimeter quadrants and will be slipped to the same height of 46 metres. Each of the slips can take up to 40 days.

The upper ring beam, the circle at the top of the CGS, involved approximately 330 cubic metres of concrete. The lower dome is approximately 1200 cubic metres, and the northwest quadrant slip is approximately 8700 cubic metres of concrete.

First steel was cut on the Living Quarters in October 2017 and the project is now about 54 percent complete.

Contracts for the lifeboat stations, helideck and flare boom will be awarded this year.

In February 2019, Husky announced a change in the tow out and installation schedule, moving it from summer 2021 to summer 2022. This decision was made following one of the regular risk reviews. While Husky considered accelerating work to maintain the 2021 weather window, it would have resulted in substantial cost escalation without guarantee of success.

First oil is still projected in 2022. Find out more here: wwrp.huskyenergy.com Source/Photos: Husky Energy WEST WHITE ROSE 22 TheOGM.

Along the saw-tooth like navigation profile the glider collects different physical and biochemical parameters through its attached sensors.

The glider is regularly monitored by the onshore-based pilot each time it surfaces, to remotely download data and update the mission.

Key Benefits

• Large scale surveys (weeks to months of endurance without a surface vessel)
• Continuous, “in situ” & multi-parameter measurement
• Dissolved chemical compound sensing
• Near real time data transmission & mission management
• Autonomous & very cost effective survey
• No environmental footprint / low HSE risk

Offer

ALSEAMAR  provides turnkey services from data acquisition to delivery of full data analysis & reports using its powerful autonomous SEA EXPLORER underwater gliders.

The ALSEAMAR offer includes:

• Mobilization of SEA EXPLORER gliders
  • Mission planning
  • Glider preparation & testing
  • Glider deployment
• Glider survey
  • 24/7 Piloting during the mission
  • Real-time data provision and processing
  • Daily reporting
• Demobilization of SEA EXPLORER gliders
  • Glider recovery
• Analysis & Report processing
  • Quality control
  • Post mission Processing
  • Data analysis
  • Delivery of data and final report

Piloting services: for SEAEXPLORER glider owners, ALSEAMAR proposes piloting services with its experienced team of pilots supporting 24/7 mission management during glider surveys.

Collected data

• Salinity, Temperature, Pressure
• Dissolved oxygen
• Chlorophyll
• Turbidity
• CDOM
• Hydrocarbons
• Methane
• Acoustic recordings

The Havila Harmony, a DP2, 93 meter long, multi-purpose support vessel, operated by Reach SubSea, will serve as the topside support vessel for citizen explorers, researchers, content experts, and crew throughout the 2019 Titanic Survey Expedition. The monumental survey led by OceanGate Expeditions, is a rare opportunity that combines exploration travel with scientific research to give private citizens, known as mission specialists, a chance to work alongside a team of experts to document and digitally preserve the historic maritime site.

“The Havila Harmony is a state-of-the-art vessel operated by an experienced team with extensive knowledge in offshore and subsea operations,” commented Stockton Rush, OceanGate CEO and Founder. “Not only is the vessel ideally suited to serve the scientific and operational objectives of the mission, but it will also play a critical role in our ability to deliver an exceptional experience to our mission specialists, researchers and expedition crew.” Reach Subsea has a long history of providing quality solutions for deep-sea research and the offshore oil industry.

My heart melted as I wondered who he was.

Who was his family?
Did he have food?
Was he mentally unwell?
What happened to him?

I never found out because he may as well have been on the moon and me on the bus headed in the opposite direction.

The whole scene struck me, and I was hit in the heart with the question, are we doing enough?

ARE WE DOING ENOUGH?

I was restless on the Bus. The rain kept pelting down, and I was a ways away from my hotel. Rather than wait on the traffic and pelting rain to clear, which could have been another hour, I decided to get off at the very first stop and take shelter there. It was the Hotel Derek by the Houston Galleria area, and it was the perfect place of refuge from the manic weather conditions.

A bunch of other people had the same idea. We all piled into the hotel and saddled up to the bar for a drink and some grub. We got to know each other grumbling about the bus and how we weren’t going to stay on it for another minute, let alone another hour!

As serendipity would have it, God if you will, I was fortunate enough to sit next to two great guys from Ebensburg, Pennsylvania, who had also been at the Offshore Technology Conference that as I was attending.

Cambria County Association for the Blind and Handicapped (CCABH)

The coincidence of our meeting was the instant answer to my question, are we doing enough?  Well, these guys are.

Exhibiting at the Offshore Technology Conference, Chris Oldham and Paul Martin sell oil and gas supplies to industry and in doing so their organization, in turn, supports services to more than 500 persons with disabilities. Wow!

Working for the Cambria County Association for the Blind and Handicapped (CCABH) these guys get to work in a culture that supports the vision, rehabilitation, and employment services to persons with disabilities living in Cambria County, Pennsylvania. At the same time, they manufacture a wide variety of high-quality hooks, hangers, and innovative CAB products for oil and gas customers worldwide. These are the true heroes of our time!

It’s perfect. The supply base for the oil and gas industry is one of the largest in the world. Creating companies and organizations that support inclusion, diversity, people with special abilities, and those with disadvantages, is just about as perfect as it gets.

I thought about all the purchasing that happens in the oil and gas industry worldwide, and I imagined a world where companies got preference on bids if they supported the less fortunate. I wondered would this model eliminate the epidemic of homelessness in North America and could it help the man who stole my heart under the bridge an hour ago.

We can all learn from CAB products. We can all do good and be an incredible contribution to our people in creative ways. I’m inspired to follow suit!

A huge downpour turned into a twist of fate. Was our meeting coincidence or perfect timing? I’m not sure but my father passed away four years ago, and one of his great sayings was, “this is all a part of life’s rich pattern.” I have it tattoed on my arm now. Thanks, CAB, I think I know a little bit better now, what my dad meant.

To learn more about CAB visit them at www.cabproducts.com

SOURCE AND IMAGES: CAB

We live in a knowledge-based economy; A place where innovation and digitalization are taking over every aspect of life on earth. It’s a playground for inventors, visionaries and energy pioneers.

These are exciting times because we are creating energy solutions that were not even a dream let alone a reality, just ten short years ago.  It’s a new and sustainable underwater world! Here’s what’s about to come…

ABB Subsea Factory

TRUE PIONEERS IMAGINE WHAT “CAN BE”

Having visited the Offshore Technology Conference in Houston, I had the privilege of meeting with and interviewing some of the greatest minds of our time; Pioneering souls who are changing the oil and gas landscape with everything from unmanned rigs, to electrical substations supporting oil and gas production, on the seafloor. Extremely impressive was the work of ABB on subsea power and automation systems that expand oil and gas operations capacity, extend the lifespan of an oil field and reduce costs for oil and gas fields.

They call is subsea to market, where the future of oil and gas is in the entire processing plant under water. In other words, production, separation and storage of oil and gas happens sight unseen, below the surface. It’s mind-boggling.

Check out the subsea power distribution station video:

THE SUBSEA FACTORY

Distributing electricity in water is almost unthinkable, yet it has been done in such a way that it will revolutionize the way we work and live.  Seven years in the making, ABB, has turned a vision into reality. Svein Vatland, Vice President Subsea Technology Program has made it his life’s work to enable a power distribution station to work on the bottom of the sea. He says, “This technology allows operators to move into deeper waters and enable a cost efficient way of developing these fields, at depths of up to 3000 meters.”

Subsea oil and gas exploration is done in an extremely harsh environment. New technology that goes beyond today’s current capabilities is required. The target of a five-year Joint Industry Project (JIP) being led by ABB and the Norwegian oil company Equinor, was to develop the technology required to seamlessly power tomorrow’s underwater facilities. Together with their partners, ABB and partners have investment of over $100 million dollars to develop this new-age energy generating system. Imagine over 100 MW of power distributed on the ocean floor supporting oil and gas production. That is the future.  A future that has subsea facilities operating on the ocean floor providing electricity to the drilling process, directly at the point of seafloor operations.  A future that means smaller FPSO’s, subsea tieback efficiency, a self monitoring and self testing system with more efficient oil and gas production overall.

Beginning in late-2013, ABB has been developing electrical equipment that can reliably provide power, (equivalent to what is needed to power a small city), subsea at depths down to 3,000 meters over distances up to 600 km, and then to distribute the power to multiple users.

Svein Vatland, Vice President of Subsea Technology Program at ABB

ABB has become a leading supplier of electrification solutions that operate with little to no maintenance in a highly corrosive ocean environment. Their solution they have engineered is appropriately called the Subsea Power Station and  it reminds you of something out of a sci-fi movie, except it’s not on another planet, it’s under the sea.

What does it take to build a power station at sea? You only have to think about the diverse range of challenges that a power station submerged in water has. Imagine a fully functional underwater facility transmitting 100 MW of power up to 600 km’s away from the shore, at depths of 3000 meters, on the ocean floor. It’s the pie in the sky dream that has become a reality!

The brilliant minds of ABB had to engineer solutions that addressed challenges like:
Building a safe system that works underwater
Underwater control systems
Overcoming water/electricity challenges
Mechanical considerations
The possibility of leaks and breaks
Underwater extreme pressures
Tides and water temperatures
Water depths
Component maintenance
Operating efficiencies
and so much more.

The ABB team did not waver from the task, they pioneered with a solutions mindset, and that’s what brings dreams into reality.

ABB technology built to distribute electricity on the ocean floor.

THE GAME CHANGER

It takes a tribe to build new power systems on the ocean floor. Seven years of planning, poking, prodding, and testing has been the work of the ABB subsea team, to get this right. And it’s finally here.

From the initial ABB subsea installation in the 1970s to a full subsea station utilized for oil and gas production, it is an uncustomary truth that has arrived right on time.

This work is similar to sending a satellite up in space. Both work in conditions that once the technology is installed, fixing anything is very difficult. This ABB system, will be free of people working and servicing it. It will be fully automated. The premise is safety and efficiency whereby oil platform workers will be relocated to shore-based control rooms reducing risk at sea.

Underwater oil production seems like a pipedream for the wild minds of fools but it’s actually steeped in very sound energy generation and oil production principals. Underwater operations;
increase safety
greatly reduces operational costs
reduces the energy needed to recover oil
reduces or eliminates marine pollution
simplifies decommissioning
boosts oil production with increased flow rates
provides services closer to the reservoir
minimizes capital and operating expenditures
improves oil and gas recovery rates
creates the environment to explore longer, deeper and in colder fields
provides a predictive model of operations for peak, reliable performance

ABB Drive being submerged underwater

While the technical challenges of this initiative have been beyond imaginable, the payoff will be huge for oil companies of the future. Svein Vatland, Vice President of Subsea Technology Program at ABB and his team have had the privilege of creating the unthinkable and making it real. This project is the bridge to a new energy future. It’s sustainable, and it’s a dream come true.

Where will these subsea factories be placed around the world?  Svein Vatland says, “We are now analizing where our systems will be best utilized. This is a global game and we are looking at all the the various deep water sites around the world that this system will support.”

The ultimate goal is to have a self controlled, fully autonomous system that has no human interaction at all. That’s the future to come…

It’s clear, subsea factories will change the way we live and work. It’s the possibility of underwater distribution of energy that’s not unsightly to our landscapes, but instead silently and efficiently tucked away on the seafloor creating the energy we need on the surface of the earth.  Given that our planet is 70% submerged under water, the new energy producing ‘water world’ is a game changer for us all.

SOURCE AND PICTURES: ABB, EQUINOR

It is anticipated that the initial campaign will consist of two wells, approximately twelve months apart. Subject to regulatory approval, drilling activity is anticipated to begin between July 2021 and July 2022. Accordingly, BHP seeks Expressions of Interests from interested contractors who can demonstrate the capability to deliver the following goods and services.

BHP: The Company

Steve Pastor, BHP President Operations Petroleum said the successful bids offshore Newfoundland are an exciting opportunity for BHP to explore for world-class conventional oil assets as an early mover in this prospective region. He envisions, “This frontier opportunity has large oil resource potential which we identified through our Global Petroleum Endowment Study in 2016 and is in a low-risk country, with competitive fiscal terms. This opportunity delivers on our exploration focus in conventional petroleum and will leverage our global deep-water development and operational expertise.”

Canada Newfoundland and Labrador Offshore Petroleum Board announced that BHP has been successful in its bids to acquire a 100% participating interest in, and operatorship of, two exploration licences for blocks 8 and 12 in the offshore Orphan Basin in Eastern Canada. BHP’s aggregate bid amount of US$625 million covers the drilling and seismic work required by the exploration work programs under the licence agreements over the six-year term. BHP’s minimum commitment under the licence agreements is for US$157 million.

BHP’s initial planned capital expenditure on the exploration work programs for blocks 8 and 12 is US$140 million up to FY2021, and is within BHP’s current exploration budget.

WHO IS BHP?

BHP is a world-leading resources company. BHP extracts and processes minerals and oil and gas, with more than 62,000 employees and contractors, primarily in Australia and the Americas. BHP products are sold worldwide, with sales and marketing led through Singapore and Houston, United States.

BHP global headquarters are in Melbourne, Australia with offices around the globe and have now expanded into Eastern Canada as an offshore exploration investor.

BHP operates under a Dual Listed Company structure with two parent companies (BHP Billiton Limited and BHP Billiton Plc) operated as if they were a single economic entity,  referred to as BHP.

BHP PETROLEUM UNIT

BHP Petroleum unit comprises conventional and unconventional oil and gas operations,
and includes exploration, development and production activities.

RIG REQUIRED:
Goods and Service Description: Provision of Mobile Drilling Unit (Rig)

Provision of harsh environment dynamically positioned mobile drilling unit (Rig) to operate offshore Newfoundland in the Orphan Basin.  Drilling two (2) exploration wells of approximately 100 days duration separated by a non-operational period of approximately 12 months.

Minimum Requirements and Capabilities for Scope of Work

Minimum capabilities of the rig are as follows:

1. Currently holding/ability to obtain a Canadian Certificate of Fitness (CoF) for year-round operations.
2. Pre-existing or commitment to establish adequately staffed Canada based office for the duration of the campaign (including planning).
3. Harsh environment capable of operating offshore Newfoundland.
4. Safety case meeting IADC guidelines.
5. In class. No special or periodic surveys planned within the contract period or 6 months thereafter.
6. DP3 Dynamic positioning system.
7. Water depth capability 2500 m (~ 8500 ft)
8. Drilling Depth capability 8000 m (~ 25000 ft)
9. Ability to accommodate 130 POB.
10. Helideck rated for Rated for S92, S61-N, EH101 and Super Puma, compliant with CAP 437
11. Hookload of 6700 Kn (~ 1500 klbs)
12. Minimum of 3 x 51701 kPa (7500 psi) rated mud pumps
13. Liquid weighted mud 800 m3 (5000 bbls) minimum
14. 5,000 tons minimum variable deck load
15. Sufficient deck space to accommodate cuttings dryer package and centrifuge simultaneously
16. Commitment to local employment and use of local suppliers that are properly qualified for any upcoming work

EOI Submission Requirements

The contractor shall provide the equipment, personnel, ground base support, and any and all provisions necessary to efficiently provide goods or perform services for the duration of the campaigns. Interested and qualified contractors shall provide the following submission details.

1. Contractors full company profile along with incorporation documentation.
2. Information respecting the Contractor’s qualification as a Canadian and/or as a Newfoundland and Labrador corporation in respect of benefits commitments as noted below.
3. Brief corporate resume of the goods and services that you can provide from the listing above which should include the following:a. Proposed organization structure, including names of managers and key personnel who would be providing the service including phone, e-mail and experience with the relevant scope.b. Include references from past and/or existing clients who have contracted you to provide materials and/or services that you are proposing to provide. You shall include the name of the client, year of the duration of the services, description of services, the value of the services/goods and contact details.c. Identify any joint venture, agency or subcontract arrangements and give the identity of the proposed subcontracting party.d. Audited financial statements for the past three (3) calendar years (2016, 2017, and 2018). Such information will be kept confidential by BHP and will be used for the sole purpose of the EOI evaluation process.e. Listing of litigation or arbitration resulting from contracts completed or ongoing under its execution over the last five (5) years.f. Summary of experience with Benefits Plans under the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act and the Canada Newfoundland and Labrador Offshore Petroleum Board processes.

   g. Summary of experience with the environmental assessment processes under Canadian Environmental Assessment Agency 2012 and Canada Newfoundland and Labrador Offshore Petroleum Board processes.

Submission details of suitably qualified contractors that can provide, meet or exceed the requirements stated above are to be sent to Mark Dahlin, Category Management Specialist at mark.dahlin@bhp.com, by 9:00am CDT of the 16th of May 2019.

General Requirements

Contractors must be qualified to conduct the work outlined in the Scope of Work and must be able to demonstrate previous experience and the delivery of such services. In addition, contractors will be required to register in BHP’s Global Contracting Management System to receive and participate in an upcoming Request for Proposal (RFP) and the successful contractor must comply with the terms and conditions which will be included in the RFP or Purchase Order.

Benefits Commitment

BHP is committed to providing processes and procedures to ensure businesses, manufacturers, consultants, contractors and service companies in Canada, and in particular in Newfoundland and Labrador, are given “full and fair opportunity to participate on a competitive basis” to provide good and services to the project, consistent with the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act and with Canada-Newfoundland and Labrador Exploration Benefits Plan Guidelines, where applicable.

Contractors of BHP must comply with the requirements of the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act, and Canada-Newfoundland and Labrador Exploration Benefits Plan Guidelines, as applicable in the Scope of Work, in providing residents of Newfoundland and Labrador first consideration in the provision of employment and training opportunities ,that are consistent with the Canadian Charter of Rights and Freedoms, and in the selection of subcontractors whenever possible in connection with supplying goods and services as listed in this Scope of Work. BHP’s Exploration Benefits Plan is subject to regulatory approval.

Health, Environment & Safety

BHP is committed to providing a safe, healthy and environmentally sound workplace for its employees, contractors, subcontractors and the communities in which we operate. Contractors must have a Health, Environmental, Safety (HES) and quality management system which meets, at a minimum, the requirements of BHP. BHP’s HSE requirements and procedures can be found at the following link: https://www.bhp.com/info/supplying-to-bhp.

Interested Contractors may be considered in an RFP process, which is subject to BHP receiving final regulatory and management approval to proceed.  For this reason, the request for this EOI is subject to change or cancellation at any time.  Under no circumstance is BHP under any obligation to proceed with an RFP or to award any contract with respect to this request for EOI or a RFP.   All expenses incurred by the Contractor relating to this request for EOI shall be the Contractor’s sole responsibility.

SOURCE: NOIA, BHP

THE OGM will be attending OTC this year and if your company would like to profile products, processes or people in The OGM magazine, please contact TinaOlivero@TheOGM.com to set up a meeting at OTC.  +1 709 770-0677.  Currently, The OGM has .5 million readers and viewers around the globe. WWW.TheOGM.com.

MEET UP

The Offshore Technology Conference (OTC) is where energy professionals meet to exchange ideas and opinions to advance scientific and technical knowledge for offshore resources and environmental matters.

Celebrating 50 years since 1969, OTC’s flagship conference is held annually at NRG Park (formerly Reliant Park) in Houston. OTC has expanded technically and globally with the Arctic Technology Conference, OTC Brasil, and OTC Asia.

OTC is sponsored by 13 industry organizations and societies, who work cooperatively to develop the technical program. OTC also has endorsing and supporting organizations.

WANT TO ATTEND?

WHERE: NRG Park Houston, Texas, USA
WHEN: 6–9 May 2019
WHO ATTENDS: Engineers, technicians, executives, operators, scientists, and managers from more than 100 countries and all fields in the offshore energy sector. FREQUENCY: Annual
FOUNDING DATE: 1969 2018

PRELIMINARY STATISTICS:

Exhibiting Companies: 2,000+ representing 40+ countries (including divisions and subsidiaries) and 23 international pavilions
Exhibit net square feet: 500,000+ sq. ft., including outdoor exhibits
Attendance: 60,000+ attendees representing 100+ countries (includes exhibit personnel)
Technical Presentations: 350+ technical presentations, 22 topical breakfast and luncheons, and 11-panel sessions
Media Coverage: 300+ journalists from around the world
2018 Final Statistics: Attendance: 61,300+ representing 100+ countries (includes exhibit personnel)
Economic Impact: Since 1969, OTC has made a USD 3 Billion economic impact in Houston
ORGANIZER: Offshore Technology Conference 10777 Westheimer Road, Suite 1075, Houston, Texas 77042
Telephone: +1.972.952.9494; Facsimile: +1.713.779.4216 Email: meetings@otcnet.org
Website: 2019.otcnet.org

GEOLOG was founded in Italy in 1982 to provide mud logging services to AGIP on geothermal, oil and gas wells. From its early years, GEOLOG´s strong technological and R&D culture led to the development of a number of innovative solutions and highly technological patents in the mud logging arena. The Italian crisis of 1994, during which the company moved abroad, opening bases in Tunisia, Congo and Venezuela, servicing AGIP’s international operations, acted as a catalyst for the company’s international expansion. Current management acquired the company in 2001 and has been able to develop its innovative solutions and technological patents into commercial products and services, thereby significantly growing the customer base across not only international oil companies but also across national oil companies worldwide. Whilst retaining its R&D

Over thirty-five years of field experience and production facilities in Milan, Italy, in 2016 the company reorganized its corporate structure under GEOLOG Surface Logging DMCC, based in Dubai, UAE. Under current management, GEOLOG has consistently grown organically by delivering value, expanding its operations from its established footholds in Europe, North and West Africa and Central America and by opening new bases in the Middle and Far East, South America, the North Sea, USA and Australasia. Today, GEOLOG remains privately owned and has grown to become one of the largest international independent surface companies in the world offering a full spectrum of services from Surface Logging to Drilling Solutions, as well as Laboratory studies and R&D partnerships.

GEOLOG’s experience covers over 8,000 wells globally and includes national and international oil companies across multiple continents. Our services are in demand with traditional oil & gas operators and extend to small and large integrated service providers. Our services have been performed both onshore and offshore for:
• Exploration Wells
• Development Wells
• Geothermal Wells
• Unconventional Reservoirs
• Extended Reach Drilling
• Narrow Mud Weight Windows
• Underbalanced-Managed Pressure Drilling

H2S MAPPING

Acid gas contamination of hydrocarbon resources is a growing issue, an increasing number of new discoveries being affected by the presence of non-hydrocarbon gases. Although today very sour hydrocarbons may be economically produced, the cost involved can heavily affect profitability. H2S is one of the most frequent contaminant gasses occurring in reservoirs, and its distribution mapping can greatly help in optimising completion and, more importantly, in reducing development costs.

Detection of H2S is no easy task: as an acid gas it readily dissolves in alkaline water-based mud but, it is also removed by scavengers purposely added to any type of mud to prevent the uncontrolled release of H2S at surface.  Inorganic scavengers (zinc and iron complexes), have a long history of use and will easily release H2S captured in the well after acid treatment, these are now replaced by organic scavengers, such as triazine, which have an irreversible reaction with H2S.  Existing methods of detecting H2S as free gas, and via acid decomposition of sulfides formed with inorganic scavengers, will not work with organic scavengers and as such, detection of H2S distribution along the well profile is becoming increasingly problematic.

A new method based on detecting H2S within the pore structure of cuttings has been successfully tested and applied. The concept behind this method is that gases contained within the rock’s pore network are not fully released from cuttings at the surface and that a residual part of them can be freed and detected if the cuttings are ground in a sealed vessel, destroying the rock and pores. The methodology is quite simple:  cuttings are placed in a sealed container and ground to a defined size. The gas released by pore destruction and trapped within the container is swept from the container by a carrier gas and introduced into a micro GC with TCD detector for analysis. Analytical GC turnaround time is 90 seconds and the full process (sample preparation, grinding and GC analysis) takes 15 minutes when performed at the well site.  The permeability of the cuttings samples plays a key role in the  preservation of H2S within the cuttings, however, acquired experience shows that only in the case of very high permeability rocks is gas is not preserved at all. To validate the results, natural hydrocarbon gas (C1-C5) analysis is performed in a similar way, the presence of this natural gas confirming the existence of pores with residual gas and further validating the reliability of H2S mapping. The measured abundance of H2S can be considered as a relative indication, obviously affected by permeability values, however, these data can be usefully used to map H2S occurrence in the reservoir. 

Some believe oil and gas will be the primary source of energy for another 50 years and nothing will be more effective at meeting world oil demand.

Others believe we should eliminate oil and gas for other cleaner sustainable fuel sources.  Some think that the smartest thing we can do with oil and gas is use it to bridge us to a new energy future.

DIFFERING OPINIONS ARE AN OPPORTUNITY IN THE MAKING

The thing about differing perspectives is that they all have merit, and rather than wasting time, fighting over disagreements, how about coming together and merging commonalities in the interest of a solid plan to move forward?

What if we turned concerns into opportunities. Use opposition as a path to solutions. Create differences as a place to build new structures of unity. Sound a little too altruistic?

Merging perspectives will most probably be the fastest, most economical way to create a new energy sustainable world. Think about it. The path to solving climate change.  The highest level of good for a sustainable new energy future.  The place where globalization happens on a new energy scale.  That’s a conversation worth having.

WE HAVE COME A LONG WAY BABY

It’s the oil and gas industry that has catapulted us into the industrial era and modernized our world. The industrial era gave way to the new digital economy we live in today. All come with progress and a price.

It’s easy to see that with every advance of humankind, there is an opposing negative impact as well.  While cars are one of our most significant advances, people still die in car accidents every day, and the environmental impact of vehicles is unprecedented. But we don’t stop driving our cars; we progress and mitigate risk. That’s also true of the oil and gas industry. We don’t stop oil and gas production; we continue while we mitigate risks and utilize it to bring in new energy like wind, solar, geothermal and more.

Oil and gas are the foundation of our world. It’s the most sought-after commodity on the planet because it is in everything we have and do. From the phone in your hand to the gas in your car, to the clothes on your back. The petroleum industry saturates everything.

OIL COMPANIES WILL BRING IN NEW ENERGY

As an energy nation, our focus has to be on a safe environment and people.  The oil and gas industry in Canada is already extremely good at that. Canadian oil companies and their subcontractors are among the top environmental and safety stewards in the world. That is a fact.

What’s troubling about oil industry rhetoric is that it’s most often out of context, over-reactive and irresponsible. For example, we have insurance to protect us from car accidents. We need to have that same level of knowledge, understanding, and acceptance of the oil and gas industry and its operations and limitations. Otherwise, we are working against ourselves, trying to eliminate that which sustains us and our current way of life.

Canada’s the world’s 3rd largest producer of oil. Because of oil and gas, we have enjoyed prosperous economic conditions and oil and gas has been the foundation of Canada’s economy.

What happens to our entire economic system if we take that down? Have we thought it all through? The world won’t work without oil and gas. Canada won’t work without oil and gas.

You only have to look at the last 32 months in Canada to see the results of the oil price collapse. 40,000 + job layoffs meant a socioeconomic impact that was unprecedented and staggering.

People need purpose and focus in life, and the oil and gas industry, directly and indirectly, has been a strong foundation for many Canadians. We don’t want to lose that foundation and end up with extreme socioeconomic impacts that affect each of us right here at home. Impacts like cuts in education, health, and other social programs. Socioeconomic impacts like a rise in addiction, spousal abuse, suicide, and mental illness, all of which we have seen on the rise in the last year or so across Canada, especially in oil and gas regions.

What’s Canada worth without oil?

How can we even think about getting to new energy without oil? The reality is, there is no new energy without the support of oil and gas.

Wind turbines are made of petroleum products. Trucks used to transport and erect a wind turbine use gas.  The wind can’t blow 24-7, so you need another energy substitute when the wind doesn’t blow. That can be a petroleum fuel. Get the picture?

When Bob Dylan said, “The answer my friend is blowing in the wind,” he was right. New energy is where we need to go, and lo and behold, it’s oil and gas that is going to get us there.

Like it or not, life’s comforts always come with some setbacks.  Sometimes environmental and in extreme cases, just like car accidents, sadly the loss of life.
Environmental accidents and loss of life will also occur in new energy regimes as well. Let’s drop the finger pointing and be pro-active with an all-inclusive new energy mix. One that unites differing perspectives and solves the challenges of the day.

Now that’s what I call a conscious sustainable mindset!

One major discovery, that’s all it will take to set Newfoundland Offshore on fire!  According to the Canadian Environmental Assessment Agency, there are six drilling project summaries submitted by five operators offshore Newfoundland.  That translates a possible 80 + proposed drilling programs for the lucrative region.

Drilling exploration will take place in the Orphan Basin by BP, in the Jeanne D’Arc Basin by Husky Energy, in the Flemish Pass Basin by Nexen and also by Equinor, and in the Carsin Basin and Flemish Pass Basin by Exxon Mobil.

Given Newfoundland’s drilling success ratio of one in five (some say one in ten), the probability is high that we will have a major discovery in the coming years. This would then be the catalyst for other finds and the possibility of Offshore Newfoundland taking off as the North Sea has.

Many conditions and variables need to happen in order for the stars to align and discoveries to be made; however, the probability is high, the right players are all at the drill bit and the conditions are perfect for a drilling bonanza that just might make Offshore Newfoundland one of the top places in the world to invest and develop. Get ready!

We are in lucrative times. Could the oil and gas industry, offshore Newfoundland, double in the next ten years?

WHAT IF NEWFOUNDLAND WAS MORE LIKE NORWAY

In Norway, state-owned oil projects often have upwards of 60% ownership in their oil and gas projects. This model of investment in the energy industry has served them well. Norway is now sitting pretty with the largest nest egg in the world; A sovereign wealth fund with over US$1 trillion in assets, including 1.3% of global stocks and shares. In May 2018 Norway’s fund was worth about $195,000 per Norwegian citizen. It also holds portfolios of real estate and fixed-income investments. Newfoundland should do precisely that.

The trillion-dollar Government Pension Fund that Norway has created, pushes for more transparency and focuses on doing the right thing. It shuns individual companies and entire sectors like tobacco peddlers, and nuclear weapons makers because it’s the right thing to do. They operate from a higher good. They can afford to. That is a smart oil and gas strategy and societal formula. One we can all aspire to!

Newfoundland, through Nalcor Energy, has marginal ownership in producing oil projects, ranging from 4.9% to 10% equity shares. This model promotes jobs and short-term needs but loses on the long term investment growth and security model, that Norway has been so successful in achieving.

Oil and gas production in the Norwegian Continental Shelf comes from 107 identified fields with 85 fields currently in production. Comparatively, Offshore Newfoundland has four oil-producing fields. It’s time to catch up!

This year and the next Newfoundland will have upwards of six aggressive drilling players offshore, with an estimated 80+ wells to be drilled. Not only is our drilling/find ratio high, at one in five wells, but we also have unprecedented exploration happening like never before. One significant find and we are on a fast track to future projects and the same opportunities as that of the North Sea.

But before we go any further, we need to be oil asset owners and managers.  Canada should be smart enough to realize that oil and gas is the catalyst to new energy both from a monetary and infrastructure perspective.

Clearly, the smartest thing we can do with oil and gas is own our projects and use oil and gas to build new sustainable energy infrastructure. Oil and gas is the foundation of new energy coming on stream and given world demand it’s not going to be one energy source or the other; it’s going to be an energy mix of resources for the next 40-50 years. Those are the facts.

It’s time for Canada to invest in our offshore projects and create investment successes like that of Norway. Why not? We have a proven infrastructure, the perfect investment climate, and unprecedented world-class opportunity offshore Newfoundland.

If Canada doesn’t get the perspective right when it comes to oil and gas, perhaps it would be right for Newfoundland to join Norway.  In a time of globalization, aligning with the world’s energy giant and masterful investment strategist just might be the ultimate solution for our kids here in Newfoundland and Labrador. Having said all that, it looks like the next 2 to 5 years will see the most prolific growth in the industry to date, offshore Newfoundland.

I often wonder what would happen if Newfoundland left Canada and joined Norway.  I imagine a different future. Aligning with the Norwegian model of developing our oil and gas, fishery and tourism sectors would allow Newfoundland to flourish as Norway has.

That idea would entirely change Newfoundland history!
It’s a thought!

Source: CEAA, NOIA, CNLOPB

As a full line manufacturer of honing tools, abrasive nylon brushes, deburring brushes, automotive brushes, power brushes, twisted-in-wire brushes and the Flex-Hone® Tool, they stand ready to assist clients in finding the best solution for finishing needs.

BRM can help with finishing and deburring. The Flex-Hone® tool, also known as ball hones or the ball cylinder hone, is great for deburring, edge blending and surface finishing, while the tube brushes and other twisted-in-wire brushes are the perfect solutions for cleaning soot and carbon deposits from pipes and other metal components.

BRM: Large Diameter Flex-Hone

APPLICATION IN THE OIL AND GAS INDUSTRY

In the oil and gas industry things break down. Industry challenges include: failing to perform ongoing maintenance on equipment can have severe consequences including reducing equipment service life, causing unplanned shutdowns and degrading performance.  Ongoing maintenance is required to remove rust, corrosion and other accumulated material from the inside diameter (ID) of valves, pumps, piping, diesel engines, motors, natural gas compressors, flow meters and other large bore equipment.  Often, this maintenance work is performed in the field under harsh conditions. 

Large diameter Flex-Hone tools are the ideal solution because they can be run with virtually any rotating spindle, are self-centring, self-aligning to the bore and self-compensating for wear.

The Flex-Hone tool is a resilient, flexible honing tool with a soft cutting action that provides a superior surface finish with a non-direction or crosshatched pattern. Whether it’s deburring a hole or blending an edge, removing corrosion or machining marks, using the tool results in increased product performance and longer product life. The Flex-Hone is designed for a variety of automotive, hydraulic, pneumatic and industrial applications in standard sizes as large as 36.”

Nigeria accounts for more than 34% of the proposed capital expenditure (capex) on planned and announced crude and natural gas projects in the sub-Saharan Africa over the period 2018–2025, according to GlobalData, a leading data and analytics company.

The company’s report: ‘H2 2018 Production and Capital Expenditure Outlook for Key Planned Upstream Projects in Sub-Saharan Africa – Royal Dutch Shell Dominates Production and Capex Outlook’ reveals that Nigeria leads in the sub-Saharan Africa with a capex of US$59bn on 28 planned and announced projects during the 2018–2025 forecast period. Of the total count, 8 are planned and 20 are announced projects.

Soorya Tejomoortula, Oil and Gas Analyst at GlobalData, comments: “Nigeria is investing heavily in new oil and gas projects to further boost its oil and gas production. Majority of production from these projects is for exports, generating significant revenues for the country.”

In total, 67 crude and natural gas projects are expected to start operations in the sub-Saharan Africa during the forecast period. Among these, 16 are planned projects with identified development plans, and 51 are early-stage announced projects that are undergoing conceptual studies and that are expected to get approved for development.

GlobalData identifies Angola as the second highest country in the sub-Saharan Africa with five upcoming projects, which are expected to come online by 2025.

Among operators, Shell Petroleum Development Company of Nigeria Ltd leads with the highest operatorship of four upcoming projects in the sub-Saharan Africa during the forecast period – three announced and one planned – all being conventional gas projects. Sonangol P&P occupies second place with operatorship of three upcoming oil projects.

Key projects in the sub-Saharan Africa are expected to contribute about 1.1 million barrels of oil equivalent per day and around 9.4 billion cubic feet per day of global gas production in 2025. The region is expected to spend proposed capex of US$20.3bn to bring the planned projects online and US$154.6bn on key announced projects during the forecast period.

Royal Dutch Shell Plc, Exxon Mobil, Nigerian National Petroleum Corporation, Eni SpA, and Sonangol EP are the key players in terms of highest capex spending on the major planned and announced projects in sub-Saharan Africa. These companies are expected to collectively spend about US$64bn on planned and announced projects during the outlook period.

To gain access to our latest press releases: GlobalData Media Centre

About GlobalData

4,000 of the world’s largest companies, including over 70% of FTSE 100 and 60% of Fortune 100 companies, make more timely and better business decisions thanks to GlobalData’s unique data, expert analysis and innovative solutions, all in one platform. GlobalData’s mission is to help our clients decode the future to be more successful and innovative across a range of industries, including the healthcare, consumer, retail, technology, energy, financial and professional services sectors.

Source & Graphics: provided by Soorya Tejomoortula, Oil and Gas Analyst at GlobalData

^{In Norway, state-owned oil projects often have upwards of 60% ownership in their oil and gas projects. This model of investment in the energy industry has served them well. Norway is now sitting pretty with the largest nest egg in the world; A sovereign wealth fund with over US$1 trillion in assets, including 1.3% of global stocks and shares. In May 2018 Norway’s fund was worth about $195,000 per Norwegian citizen. It also holds portfolios of real estate and fixed-income investments. Newfoundland should do precisely that.}

^{The trillion-dollar Government Pension Fund that Norway has created, pushes for more transparency and focuses on doing the right thing. It shuns individual companies and entire sectors like tobacco peddlers, and nuclear weapons makers because it’s the right thing to do. They operate from a higher good. They can afford to. That is a smart oil and gas strategy and societal formula. One we can all aspire to!}

^{Newfoundland, through Nalcor Energy, has marginal ownership in producing oil projects, ranging from 4.9% to 10% equity shares. This model promotes jobs and short-term needs but loses on the long term investment growth and security model, that Norway has been so successful in achieving.}

^{Oil and gas production in the Norwegian Continental Shelf comes from 107 identified fields with 85 fields currently in production. Comparatively, Offshore Newfoundland has four oil-producing fields. It’s time to catch up!}

^{This year and the next Newfoundland will have upwards of six aggressive drilling players offshore, with an estimated 80+ wells to be drilled. Not only is our drilling/find ratio high, at one in five wells, but we also have unprecedented exploration happening like never before. One significant find and we are on a fast track to future projects and the same opportunities as that of the North Sea.}

^{But before we go any further, we need to be oil asset owners and managers.  Canada should be smart enough to realize that oil and gas is the catalyst to new energy both from a monetary and infrastructure perspective.} 

^{Clearly, the smartest thing we can do with oil and gas is own our projects and use oil and gas to build new sustainable energy infrastructure. Oil and gas is the foundation of new energy coming on stream and given world demand it’s not going to be one energy source or the other; it’s going to be an energy mix of resources for the next 40-50 years. Those are the facts.}

^{It’s time for Canada to invest in our offshore projects and create investment successes like that of Norway. Why not? We have a proven infrastructure, the perfect investment climate, and unprecedented world-class opportunity offshore Newfoundland.}

^{If Canada doesn’t get the perspective right when it comes to oil and gas, perhaps it would be right for Newfoundland to join Norway.  In a time of globalization, aligning with the world’s energy giant and masterful investment strategist just might be the ultimate solution for our kids here in Newfoundland and Labrador. Having said all that, it looks like the next 2 to 5 years will see the most prolific growth in the industry to date, offshore Newfoundland.}

^{I often wonder what would happen if Newfoundland left Canada and joined Norway.  I imagine a different future. Aligning with the Norwegian model of developing our oil and gas, fishery and tourism sectors would allow Newfoundland to flourish as Norway’s has.}

^{That idea would entirely change Newfoundland history.}

The federal and provincial governments are currently engaged in a review of the Atlantic Accord and Noia calls upon the Prime Minister to respect the impact the Accord in allowing the industry to flourish and ensure legislated benefits remain protected and enhanced in any potential revisions to the Accord.

The Newfoundland and Labrador offshore oil and gas industry has provided tremendous benefits to the province, due to the Atlantic Accord which recognizes the province’s right to jointly manage and receive benefits from offshore resources.

Specifically, Section 2 of the Atlantic Accord ensures that Newfoundland and Labrador be the “principal beneficiary” of the offshore and Section 51 requires that Newfoundland and Labrador companies have “full and fair opportunity” to participate in the offshore supply and service industry. These agreed upon rights must be upheld and built upon, during the current review.

Noia’s economic impact study demonstrates the profound value of the offshore oil and gas industry to the province and the country. ImagineThePotential.ca highlights that the oil industry is by far the most significant contributor to the Newfoundland and Labrador economy and forecasts future potential benefits of over $100 billion in royalties and taxes to the provincial government by 2045.

Game-changing revenue such as this, along with the numerous other economic benefits highlighted in the study, exemplify why the Atlantic Accord is so crucial to Newfoundland and Labrador and the entire country.

The Newfoundland and Labrador oil industry is well-positioned to assist the Government of Canada in achieving their greenhouse gas reduction goals as our light sweet crude is 30 per cent below the global average for carbon dioxide emissions at extraction. As well, our industry is attracting foreign direct investment, another objective of the federal government. In just the last three years, eight new exploration and production companies have entered the Newfoundland and Labrador market.

The Newfoundland and Labrador offshore oil and gas industry is a nation builder which must be recognized during the Atlantic Accord review process.

Noia members request that the tenets of the Accord which have been so instrumental in fostering an offshore industry for Canada be respected and any revisions enhance the outcomes for Newfoundlanders and Labradorians.

Enhancements to the Accord should further allow for local companies to participate in the burgeoning industry and increase their presence and expertise. Supported by legislation and regulations which ensure the industry is globally competitive, there is no reason why the Newfoundland and Labrador industry cannot reach its potential.

The Husky Energy plan to recover the flowline connector and plug the flowline at the South White Rose Extension has been accepted by the C-NLOPB and other federal agencies, who were engaged by the C-NLOPB for their expertise. The C-NLOPB has now issued an Operational Authorization to carry out this activity.   This work is a priority for Husky and the regulator and is important to restoring integrity to the SWRX flowline area and reducing the potential for environmental impact. Husky Energy intends to carry out these activities at the earliest opportunity.

Husky Energy has worked closely with the C-NLOPB and regulatory agencies including Canadian Coast Guard, Environment and Climate Change Canada and the Canadian Wildlife Service to complete detailed planning, and are confident the necessary equipment, expertise and mitigations are in place to carry out the work safely and in an environmentally responsible manner.  These include design, fabrication and testing of plugs to mechanically seal the ends of the flowline, development of a recovery process and procedure, risk assessments, tabletop exercises, and development of a wildlife response plan.

A project-specific spill response plan has been designed to ensure that we can manage any potential volume of residual oil.

The plan incorporates mitigations including:

• Pre-deployment of spill response equipment
• On-site representation and direction from spill response contractor Eastern Canada Response Corporation (ECRC)
• Aerial surveillance
• Work with potential environmental impact restricted to daylight hours
• Wildlife observation plan includes “hold” points in the event of marine mammals or large numbers of seabirds in the immediate area
• Dedicated wildlife observers on two vessels

In addition, all Husky-contracted vessels supporting the response are equipped with Rutter’s Sigma 6 spill detector radar.

The recovery and plugging operation is weather sensitive and will require a 48-hour window with specific requirements around sea states and visibility. These conditions may take some time to present, and we don’t have an immediate weather window for this work.

Leak testing of Central Drill Centre

Husky Energy has worked diligently with certifying authority to ensure the SeaRose FPSO and associated equipment is ready to safely operate the Central Drill Centre (CDC). They have been in constant communication with the C-NLOPB with our progress and they are satisfied with the plans and approach.

The Central Drill Centre (CDC) is isolated from other production flowlines and drill centres at the White Rose field.  The flowlines have been displaced with seawater and flowline integrity proven by leak testing. These results have been verified with our certifying authority, DNV-GL, and shared with the C-NLOPB. The restart sequence will begin with hot-oiling which involves taking hydrocarbons from on board the SeaRose and circulating them through the CDC flowlines to warm up the lines. This procedure has been verified by Husky’s certifying authority.

Once flowlines reach the required temperature, Husky will bring the first production well online. This well will take several days to ramp up and stabilize at normal flow rates. Additional wells will be brought online in a planned sequence.

In support of this activity, inspections were previously completed and verified on the SeaRose hull, topsides and mooring system.  They have completed additional risk assessments, reviewed start-up procedures, updated our adverse weather guidelines and completed a Pre-Start Up Safety Review (PSSR).

Husky is committed to taking the time to bring the field on safely and in accordance with our values of operating safely and protecting the environment.

SOURCE & GRAPHICS: Husky Energy

Gas detectors provide a reliable, highly responsive way to assess and monitor oxygen, flammability, and toxicity levels. When equipped with the necessary site-specific sensors the presence of gases can be quickly identified, ultimately keeping your workers safe during routine work duties, confined space entry or rescue operations. Gas detectors should support; continuous readings of gas hazards, fully visible and audible alarms, tracking capabilities, wireless connectivity to an attendant, supervisor or a central office, complete with full data logging and recording.  Wireless monitoring capabilities can be integrated with your risk management, predictive analytics forecasting, and facility monitoring systems for centralized real-time data access and alarm warnings.

GAS DETECTION AND DIGITALIZATION

Gas detection is now state-of-the-art. Digitalization has allowed for a total safety solution for hazardous environments, protecting the lives of workers wherever they’re at risk. Gas detection also turns safety into a strategic advantage – by reducing costs, increasing operational uptime, and driving productivity. Advances in technology have allowed for head-to-toe personal protective equipment; fixed and portable gas detectors, as well as software, sensors, and other connected technologies for real-time safety monitoring, analytics, and safety administration.

Real-time Alerts in the palm of your hand

Today’s technology has advanced so much that alerts for an SOS, man down, trips or falls, gas detection and missed check in with GPS locators is all available and systems are so efficient they alert offsite and onsite first responders through 24/7 real-time communication and monitoring systems. EnviroMed has a suite of solutions for oil and gas companies, fire safety organizations, and other industrial sectors that have gas event or lone worker considerations. That makes things a lot safer, and safety managers can sleep at night knowing that risks have been mitigated and people will go home safe every day.

GAS DETECTION CONSIDERATIONS

Ensuring unseen hazards are identified and mitigated is the goal of making gas detectors one of the primary foundations of best safety practices on the worksite.

Have you identified places where potential gas leaks may happen?
Do you know when and how a lack of Oxygen will affect your safety?
Do explosion hazard zones exist at your worksite?
Are there areas where toxic gas accumulations can occur?
Has your workplace been assessed to ensure all the unseen hazards are mitigated?
Are you equipped with qualified professionals to identify hazards that ensure you have the right equipment on hand to guarantee everyone will go home safe at the end of the day?
These are the questions of the industrial world today.

OIL AND GAS APPLICATIONS

• Acid production
• Confined space entry
• Data-logging/industrial hygiene – workplace exposures
• Emission testing
• Fixed point
• Hydrocarbon production
• Inert gas blanketing
• PPM hydrocarbon leak detection
• Shutdown and turnaround
• Speciality chemical production
• Valve and flange checkpoints

TYPICAL GAS HAZARDS IN THE OIL AND GAS INDUSTRY

• Acetone
• Acetylene
• Ammonia
• Benzene
• Bromine
• Carbon monoxide
• Carbon Dioxide
• Chloride
• Chlorine
• Chlorine dioxide
• Chloromethane
• Ethylene
• Ethylene oxide
• Hydrochloric acid
• Hydrogen sulphide
• Methylene
• Methyl ethyl ketone
• Nitric acid
• Nitrogen Dioxide
• Phosphine
• Propane
• Propylene
• Sulphur dioxide
• Sulphuric acid
• Toluene
• Volatile organic compounds
• Xylene
• Combustible Gases
• Oxygen deficiency/enrichment

Invisible Gases are a part of the oil and gas industry – EnivroMed’s job is to manage and Eliminate those risks!

Invisible dangers present themselves in unsuspecting places which is why EnviroMed Detection Services of Paradise, Newfoundland has spent the last three decades developing safety systems for invisible dangers at work. Lee Parmiter, CEO of EnviroMed says, “We supply gas detectors because they support the unseen risks on the job. Harsh and rigorous conditions on job sites can affect gas detection and sensors, so we promote a method of bump testing confirmed with regular calibrations and a qualified team that ensures safety is always number one.”

Part of having a reliable gas detection solution for your company is working with qualified professionals in gas detection. Tony Fowler, Field Service Technician CTech with EnviroMed Detection Services says, “When it comes to fixed gas detection systems, they are meant to operate and detect gases 24/7 and to give people peace of mind that they are working in a safe environment. Most of these systems operate so seamlessly that people tend to forget they are even there and sometimes overlook the essential maintenance aspect. As with regular smoke detectors in your home, you may see lights on it, but you should test it and/or replace it on a set schedule to ensure it works when you most need it too. The same goes for fixed gas detection systems in the workplace. You want to know it is protecting you and will work when you need it too and that involves having the required service and maintenance completed as recommended by the manufacturer. Nearly all gas detection systems today are recommended, required, or legislated to be assessed a minimum of every 6 to 12 months.”

EnviroMed will assess work settings, test for gas detector inaccuracies and ensure systems are in place and working at optimal levels. Greg Bourden, PTech Service Technician with EnviroMed, says, “Bump Testing – It is a simple test that could save a life! The safest course of action is to expose the sensors to a concentration of target gas that is capable of initiating a low alarm condition before each day’s use. Even a manual Bump Test is very simple and takes only a few seconds to accomplish. Just apply a known concentration of calibration gas that is capable of activating the audible and visual alarms. The only thing worse than a portable safety gas detector that doesn’t work is a portable safety gas detector that you DON’T KNOW doesn’t work!”

Lee says, “There are so many different ways that harmful gasses can contaminate the air or displace Oxygen on a job site or work setting. This makes gas detection a primary ‘safety first’ consideration in any safety plan as lives are at stake from this Invisible Danger! The cost of not having the right gas detection equipment and not ensuring it’s operating properly could lead to the loss of life, injured workers and a company reputation disaster. Not being prepared is not an option and industry stakeholders have responded and mandated gas detection throughout most industrial work settings.”

Greg Bourden, PTech Service Technician with EnviroMed – bump testing.

Lee says, “We are committed to working with our clients to keep their safety record perfect. We offer a highly qualified team that can assess, monitor, advise, bump test, calibrate and commission so that alarm and controls equipment monitoring the unseen dangers of workplace settings are fully equipped, operational and working successfully. It’s quite simple, we take care of the invisible dangers, and you keep your people safe!”

To Learn more about the 10 Workplace Safety Topics for Meetings to Bookmark Click Here

___________________________________________________________________________

GAS DETECTOR SPECIAL OF THE MONTH

DOWNLOAD THIS PDF FOR THIS MONTH’S SPECIAL
Now, for a limited time, the Honeywell BW™ Clip4 is available at the exceptionally low list price of $595.00 CAD. Take advantage of this offer until March 15, 2019.

ENVIROMED DETECTION SERVICES

EnviroMed Detection Services, 145 McNamara Drive Paradise, NL A1L 0A7 CANADA
Call us now: (Tel) 709-368-9000 | (Toll Free) 1-800-561-0043 | (Fax) 709-368-1256
For more information go to:  EnviroMed.ca and to place requests please contact Brenda: br@enviromed.ca

SOURCE & GRAPHICS:  EnviroMed, Honeywell

This is the go-to-meeting point for game changers, disruptors and innovators to showcase, AI, machine learning, VR, drones, wearables and other new technologies.

This conference is the fifth of the Data-Driven Drilling & Production Conferences and a perfect milestone to add perspective to our exploration of the next step in digital data – production optimization. The time is ripe for major transformative changes in drilling and production.

New applications driven by advanced data digitalization are popping up all over the upstream oil and gas industry.

The oilfield and all the stakeholders will benefit from integrated solutions that transform operations and deliver tangible business value.

True transformations will bring real-time visualization, wearables, and other techniques for human/machine driving improved decision making, greater efficiencies, reduced risk, and reduced pollution.

Exciting developments are occurring in upstream, in supply chains, smart drilling, life-cycle management, cloud storage, proactive maintenance, and production optimization.

WHAT ARE THE CHALLENGES?

■■ Optimizing a multitude of potential ways to develop digital data-driven applications

■■ Obtaining buy-in from stakeholders

■■ Solving the digital divide between tech-savvy and field experience in a mobile workforce

■■ Building decision-making based on quality sets of the right data

■■ Addressing security concerns and legal issues

■■ Developing open standards Digital data is changing the way we think about information, how knowledge can be leveraged using data analytics, machine interfaces, and other creative applications.

Stakeholders – stockholders, workers, customers, and vendors – have a vested interest in better understanding the potential benefits (and risk) involved, and how these new technologies will impact their investments, jobs, and lives. The challenge becomes capturing field experience and engineering experience fora unified workforce aided by visualization, wearables, and other outputs from data digitization that can be readily applied to oilfield situations.

Decisions are only as good as the data behind the decision making. The challenge is to create quality data sets measuring the right information. Cybersecurity continues to be a challenge for everyone and everything.

JOIN THE DATA DRIVERS OF 2019

WHAT YOU WILL DISCOVER …

Minimize Downtime, Enhance Safety and Deliver Digital Transformation:

• Data collection, management and integration: Hear from the leaders in data management and how they are driving efficiency gains across operational units by improving data availability, utility and visualization.
• Data analytics and predictive maintenance: Wield new automated and integrated systems to dramatically reduce downtime and OPEX at scale

• E&P automation and control systems: Witness real-time support technology, measurement and downhole edge capability innovation to improve well placement accuracy and minimize personnel exposure.
• Change management: Refine your operating model, optimize your business processes and learn about the latest enhancements to the human-machine interface.
• Data driven drilling optimization: Get the low-down on drilling automation, robotics, technology, the skills and culture required to adopt digital technologies and much more on our day-long drilling track! 

IN CONJUNCTION WITH DDDP 2019, 11-12 JUNE, HOUSTON 3

Open standards will lead the way to redefining access to data and the ease at which different groups can benefit from the vast data collection underway.

Upstream operations in drilling and production are on the brink of disruptive change with bigger, better data, improved decision making, and potentially the largest use of blockchain outside the financial sector.

Exciting developments are being spotted in the upstream arena as digital transformations become more visible everywhere.

These are all topics that will lead the agenda at the exciting DDDP 2019 in Houston, Texas on 11-12 June 2019.

JOIN THE DATA DRIVERS OF 2019

REGISTER OR FIND OUT MORE HERE:  https://www.upstreamintel.com/data

PODCAST
LISTEN TO THE FULL COMMENTARY HERE! Simply press this link and press play.

The solution to climate change is not eliminating cars and the solution to oil spills is not eliminating oil production or pipelines.

Oil is the foundation of our world. It’s the most sought-after commodity on the planet because it is in everything we have and do. From the phone in your hand to the gas in your car, the petroleum industry saturates everything.

So to say that oil spills are bad, oil companies are greedy, and that’s why oil spills happen in Canada, is just wrong. 

What’s true is that oil is a necessary foundation of our lifestyles just as cars are and we need to be continually improving with our resources. There will be times when accidents happen. It’s more about what we do with those accidents, rather than believing that they should never happen at all.

ACCIDENTS HAPPEN

As an energy nation, our focus has to be in a safe environment and people and to mitigate risk and reduce accidents where ever possible.  The oil and gas industry in Canada is already extremely good at that. Canadian oil companies and their subcontractors are among the top environmental and safety Stewarts in the world. That is a fact.

What’s troubling about oil industry rhetoric is that it’s most often out of context, over-reactive and irresponsible. For example, we accept that we are going to have cars and a certain number of accidents in cars. We even have insurance to protect us from that reality. We also need that same level of knowledge, understanding, and acceptance of the oil and gas industry and its operations and limitations. Otherwise, we are merely working against ourselves, trying to eliminate that which sustains us and our current way of life.

Canada’s the world’s 3rd largest producer of oil. Because of oil and gas, we have enjoyed prosperous economic conditions and it is the foundation of Canada’s economy. What happens to our entire economic system if we take that down? Have we thought it all through? The world won’t work without oil and gas. Canada won’t work without oil and gas.

You only have to look at the last 24 months in Canada to see the results of the oil price collapse. 40,000 + job layoffs meant a socioeconomic impact that was unprecedented and staggering.  People need purpose and focus in life and the oil and gas industry, directly and indirectly, has been a strong foundation for many Canadians in this light.

We don’t want to lose that foundation and end up with extreme socioeconomic impacts that affect each of us right here at home. Impacts like a rise in addiction, spousal abuse, suicide, and mental illness, all of which we have seen on the rise in the last year or so across Canada especially in oil and gas regions.

A WORLD WITHOUT OIL

Many of the protestors of pipelines across Canada haven’t thought it fully through. What’s Canada worth without oil?  How does oil and gas support our healthcare, our infrastructure, our progress? How can we even think about getting to new energy without oil? The reality is, there is no new energy without the support of oil and gas.

THE NEW ENERGY MIX

Wind turbines are made of petroleum products. Trucks used to transport and erect a wind turbine use gas.  The wind can’t blow 24-7, so you need another energy substitute when the wind doesn’t blow. That can be a petroleum fuel. Get the picture?

When Bob Dylan said, “The answer my friend is blowing in the wind,” he was right. New energy is where we need to go, and low and behold, its oil and gas that is going to get us there.

OIL AND GAS IS THE BRIDGE TO NEW ENERGY

Let’s talk about the reality of oil and gas and how the smartest thing we can do with it, is to use it to bridge us to new energy models that will provide a sustainable future. And as we build that future, we’ll need to supply world oil demand and simultaneously bring in solutions like solar, wind and other forms of energy into the mix with petroleum products.

Are we always going to do it perfectly? No. Are we constantly improving? Yes. Is oil and gas production always safe and incident free? No.

The goal is not perfection the goal is to be as safe as possible and mitigate risk where ever possible. Will there be oil spills? Yes. Like it or not, life’s comforts always come with some setbacks.  Sometimes environmental and in extreme cases, just like car accidents, sadly the loss of life.

We are human; we make mistakes. Oil spills will occur under oil demand and oil and gas production.  Oil education needs to be understood at an entirely different level because what we see in the mainstream finger-pointing media about oil spills, is neither accurate nor helpful.

OIL SPILLS WILL HAPPEN

Given that oil is our number one commodity on the planet we need to calculate into the production equation that oil spills will happen. From there, our next consideration is how to prevent a spill from reaching the shore, reduce its impact on marine life, and speed up the degradation of any unrecovered oil.  All of that can prove even more difficult if the weather conditions are hazardous at the time of the spill. 

Offshore Newfoundland conditions are often the harshest and most extreme in the world. And yet we build islands in the sea and progress at a level of ‘genius’ in spite of all of that. To do so requires recognition and a standing ovation in my view, not a finger pointing blame game that sounds something like, ”money hungry oil companies don’t care.”  Nothing could be further than the truth.

HUSKY ENERGY OIL SPILL

If there’s a car accident in extreme weather, we don’t poo poo all over the car driver and the accident itself. We have compassion and understanding and try to mitigate that risk in the future. That’s the responsible thing to do. And that’s what we also need to do when it comes to oil spills in our own backyard. In the most recent oil spill which happened offshore Newfoundland in November of this year, conditions were extreme, and it’s a learning opportunity for us all.

Husky Energy does not in any way want to dismiss or downplay the significance of the oil spill.  Any spill is a concern to the company, and they have done their best to ensure that such things don’t happen in their operations again.  

Husky Energy takes full responsibility for the oil spill and has put appropriate measures in place to try and ensure they don’t happen again. Trevor Pritchard is the Senior Vice President of Husky Energy for the Atlantic region. He is responsible for overseeing operations and explains the recent oil spill that took place 350 kilometres offshore from the SeaRose FPSO, The spill caused 250,000 litres of crude to spill into the sea marking it as the largest offshore oil spill in eastern Canada. The root cause of the incident happened with the FPSO Flowline connectors. “Currently Husky doesn’t know if the flowline connector failed as designed or failed at below operating conditions. We are continuing to develop a plan to recover the flowline connector and have it analyzed.”

Detailed Overview Map of Oil Spill Response

OIL SPILL RESPONSE

Husky Energy reported, “As soon as oil was observed by our standby vessel, we activated our Oil Spill Response Plan and deployed tracker buoys from the supply vessel and the SeaRose FPSO. The incident happened while warm crude from the SeaRose was being circulated through the subsea network to warm up the flowlines before restarting production.”

Husky Energy has remorse and is building improvement models to correct this in the future, “We are deeply sorry for the incident and are committed to learning from it and putting measures in place to ensure it does not happen again. We have identified, and are already taking steps to address, areas for process improvement especially around the areas of:

Troubleshooting; Non-standard or infrequent conditions; and Adverse weather and challenging conditions.

We are working on improving how we identify and manage non-standard or infrequent operating conditions.

We are also revising our Adverse Weather Policy to add more formality around the process of restarting production.

We have implemented enhanced oversight on critical activities to raise the awareness of potential risks and to provide team back up.”

Flow Line Connector in question

OIL IS NATURALLY OCCURRING AT SEA

As much as one half of the oil that enters coastal environments comes from natural seeps of oil and natural gas, so the question to ask is if oil seeps are naturally occurring why do we worry so much about oil spills?

The answer to that lies in the amount of oil, in and the nature of oil and the rate of oil spilt, which will then either disintegrate naturally or create harm to the environment.

Oil seeps are often found in places where oil and gas extraction takes place as well. As a result, many surface slicks caused by seeps are often wrongfully attributed to oil releases from oil and gas platforms. Not in the case of the recent Husky Energy spill, however, we need to keep an eye on that and consider it when drilling offshore.

Oil seeps tend to happen in clusters around the world in places like California and the Gulf of Mexico but are still relatively unstudied when it comes to their impact and importance in the overall ecosystem. Organisms and wildlife around these regions adapt to the seeps and can even feed off of them.

In locations where oil seeps are found, oil flows slowly up through cracks in the seabed. Lighter oil compounds that escape into the ocean will rise to the surface and evaporate or become they are taken off by ocean currents. Heavier oils rest on the seafloor and collect over hundreds or thousands of years. 

Oil seeps from the ocean floor can be a source of nutrition in deep-sea areas where light is scarce, and unique species needs oil as a source of food. It’s important to note though that the material flowing from seeps is often heavily biodegraded by microbial action and can be handled by the ocean’s ecosystem. It’s non-intrusive and non-disruptive.

In contrast, the production of oil resulting in an oil spill often results in high-volume oil sheens in places that have never experienced significant exposure to oil and the ecosystem will find it intrusive and damages will occur.

This illustration shows the route traveled by oil leaving the subseafloor reservoir as it travels through the water column to the surface and ultimately sinks and falls out in a plume shape onto the seafloor where it remains in the sediment. (llustration by Jack Cook, Woods Hole Oceanographic Institution)

SEAROSE OIL: ENVIRONMENT & WILDLIFE IMPACT

If this were a car accident we’d say, he was lucky and walked away from the accident with a few scrapes and bruises. That’s also the case with this oil spill, overall the environmental impact of the SeaRose oil spill was minimal and could have been a lot worse.

Pritchard and the Husky team takes this situation very seriously, “Any amount of oil is of concern to us, and we will investigate fully to understand how this happened and to put measures in place to prevent a recurrence. We are conducting our own investigation into the incident, and are cooperating fully with the C-NLOPB in its investigation. We are working with the C-NLOPB, our certifying authority, and federal agencies including the Canadian Coast Guard, Canadian Wildlife Service and Environment and Climate Change Canada to ensure that appropriate oversight and mitigations are identified and in place prior to starting the recovery and plugging process.”

Pritchard says, “Concerning impact on wildlife, we observed 18 oiled seabirds. Of six recovered and brought to St. John’s for treatment, two murres have been successfully released back into the wild. During the response, we conducted on water an aerial surveillance for affected wildlife and worked closely with the Canadian Wildlife Service (CWS) and other federal agencies to develop and conduct searches. A total of 26 search grids were completed, each 9km x 9km in size.”

OIL SPILL

The oil that was released offshore Newfoundland is considered medium weight, which is lighter than water and would have migrated to the surface quickly. A certain amount of it would have evaporated, reducing the volume of oil on the sea surface.

Given the wind and sea states at the time, waves would have broken up the oil on the surface into small drops which would have dispersed into the water column. No oil sheens have been observed since November 18, 2018, and there’s a reason for that. With the extreme weather conditions that occurred and 8.4-meter waves thrashing around, the oil on the surface was allowed to dissipate rapidly.

In this case, one could say that oil and water did mix and thankfully the results of this oil spill were minimal all things considered.

What the oil and gas industry really needs is for the public to be educated about the industry and its positive impact on our nation. We need to applaud the work of progress and ensure that when accidents like oil spills do happen, we learn from them and move forward.

Canadians need to work together to collaboratively elevate this nation.  Oil and gas is the foundation for our future and it is the gateway to a new energy sustainable future.

PODCAST
LISTEN TO THE FULL COMMENTARY HERE! Simply press this link and press play.

The solution to climate change is not eliminating cars and the solution to oil spills is not eliminating oil production or pipelines.

Oil is the foundation of our world. It’s the most sought-after commodity on the planet because it is in everything we have and do. From the phone in your hand to the gas in your car, the petroleum industry saturates everything.

So to say that oil spills are bad, oil companies are greedy, and that’s why oil spills happen in Canada, is just wrong. 

What’s true is that oil is a necessary foundation of our lifestyles just as cars are and we need to be continually improving with our resources. There will be times when accidents happen. It’s more about what we do with those accidents, rather than believing that they should never happen at all.

ACCIDENTS HAPPEN

As an energy nation, our focus has to be in a safe environment and people and to mitigate risk and reduce accidents where ever possible.  The oil and gas industry in Canada is already extremely good at that. Canadian oil companies and their subcontractors are among the top environmental and safety Stewarts in the world. That is a fact.

What’s troubling about oil industry rhetoric is that it’s most often out of context, over-reactive and irresponsible. For example, we accept that we are going to have cars and a certain number of accidents in cars. We even have insurance to protect us from that reality. We also need that same level of knowledge, understanding, and acceptance of the oil and gas industry and its operations and limitations. Otherwise, we are merely working against ourselves, trying to eliminate that which sustains us and our current way of life.

Canada’s the world’s 3rd largest producer of oil. Because of oil and gas, we have enjoyed prosperous economic conditions and it is the foundation of Canada’s economy. What happens to our entire economic system if we take that down? Have we thought it all through? The world won’t work without oil and gas. Canada won’t work without oil and gas.

You only have to look at the last 24 months in Canada to see the results of the oil price collapse. 40,000 + job layoffs meant a socioeconomic impact that was unprecedented and staggering.  People need purpose and focus in life and the oil and gas industry, directly and indirectly, has been a strong foundation for many Canadians in this light.

We don’t want to lose that foundation and end up with extreme socioeconomic impacts that affect each of us right here at home. Impacts like a rise in addiction, spousal abuse, suicide, and mental illness, all of which we have seen on the rise in the last year or so across Canada especially in oil and gas regions.

A WORLD WITHOUT OIL

Many of the protestors of pipelines across Canada haven’t thought it fully through. What’s Canada worth without oil?  How does oil and gas support our healthcare, our infrastructure, our progress? How can we even think about getting to new energy without oil? The reality is, there is no new energy without the support of oil and gas.

THE NEW ENERGY MIX

Wind turbines are made of petroleum products. Trucks used to transport and erect a wind turbine use gas.  The wind can’t blow 24-7, so you need another energy substitute when the wind doesn’t blow. That can be a petroleum fuel. Get the picture?

When Bob Dylan said, “The answer my friend is blowing in the wind,” he was right. New energy is where we need to go, and low and behold, its oil and gas that is going to get us there.

OIL AND GAS IS THE BRIDGE TO NEW ENERGY

Let’s talk about the reality of oil and gas and how the smartest thing we can do with it, is to use it to bridge us to new energy models that will provide a sustainable future. And as we build that future, we’ll need to supply world oil demand and simultaneously bring in solutions like solar, wind and other forms of energy into the mix with petroleum products.

Are we always going to do it perfectly? No. Are we constantly improving? Yes. Is oil and gas production always safe and incident free? No.

The goal is not perfection the goal is to be as safe as possible and mitigate risk where ever possible. Will there be oil spills? Yes. Like it or not, life’s comforts always come with some setbacks.  Sometimes environmental and in extreme cases, just like car accidents, sadly the loss of life.

We are human; we make mistakes. Oil spills will occur under oil demand and oil and gas production.  Oil education needs to be understood at an entirely different level because what we see in the mainstream finger-pointing media about oil spills, is neither accurate nor helpful.

OIL SPILLS WILL HAPPEN

Given that oil is our number one commodity on the planet we need to calculate into the production equation that oil spills will happen. From there, our next consideration is how to prevent a spill from reaching the shore, reduce its impact on marine life, and speed up the degradation of any unrecovered oil.  All of that can prove even more difficult if the weather conditions are hazardous at the time of the spill. 

Offshore Newfoundland conditions are often the harshest and most extreme in the world. And yet we build islands in the sea and progress at a level of ‘genius’ in spite of all of that. To do so requires recognition and a standing ovation in my view, not a finger pointing blame game that sounds something like, ”money hungry oil companies don’t care.”  Nothing could be further than the truth.

HUSKY ENERGY OIL SPILL

If there’s a car accident in extreme weather, we don’t poo poo all over the car driver and the accident itself. We have compassion and understanding and try to mitigate that risk in the future. That’s the responsible thing to do. And that’s what we also need to do when it comes to oil spills in our own backyard. In the most recent oil spill which happened offshore Newfoundland in November of this year, conditions were extreme, and it’s a learning opportunity for us all.

Husky Energy does not in any way want to dismiss or downplay the significance of the oil spill.  Any spill is a concern to the company, and they have done their best to ensure that such things don’t happen in their operations again.  

Husky Energy takes full responsibility for the oil spill and has put appropriate measures in place to try and ensure they don’t happen again. Trevor Pritchard is the Senior Vice President of Husky Energy for the Atlantic region. He is responsible for overseeing operations and explains the recent oil spill that took place 350 kilometres offshore from the SeaRose FPSO, The spill caused 250,000 litres of crude to spill into the sea marking it as the largest offshore oil spill in eastern Canada. The root cause of the incident happened with the FPSO Flowline connectors. “Currently Husky doesn’t know if the flowline connector failed as designed or failed at below operating conditions. We are continuing to develop a plan to recover the flowline connector and have it analyzed.”

Detailed Overview Map of Oil Spill Response

OIL SPILL RESPONSE

Husky Energy reported, “As soon as oil was observed by our standby vessel, we activated our Oil Spill Response Plan and deployed tracker buoys from the supply vessel and the SeaRose FPSO. The incident happened while warm crude from the SeaRose was being circulated through the subsea network to warm up the flowlines before restarting production.”

Husky Energy has remorse and is building improvement models to correct this in the future, “We are deeply sorry for the incident and are committed to learning from it and putting measures in place to ensure it does not happen again. We have identified, and are already taking steps to address, areas for process improvement especially around the areas of:

Troubleshooting; Non-standard or infrequent conditions; and Adverse weather and challenging conditions.

We are working on improving how we identify and manage non-standard or infrequent operating conditions.

We are also revising our Adverse Weather Policy to add more formality around the process of restarting production.

We have implemented enhanced oversight on critical activities to raise the awareness of potential risks and to provide team back up.”

Flow Line Connector in question

OIL IS NATURALLY OCCURRING AT SEA

As much as one half of the oil that enters coastal environments comes from natural seeps of oil and natural gas, so the question to ask is if oil seeps are naturally occurring why do we worry so much about oil spills?

The answer to that lies in the amount of oil, in and the nature of oil and the rate of oil spilt, which will then either disintegrate naturally or create harm to the environment.

Oil seeps are often found in places where oil and gas extraction takes place as well. As a result, many surface slicks caused by seeps are often wrongfully attributed to oil releases from oil and gas platforms. Not in the case of the recent Husky Energy spill, however, we need to keep an eye on that and consider it when drilling offshore.

Oil seeps tend to happen in clusters around the world in places like California and the Gulf of Mexico but are still relatively unstudied when it comes to their impact and importance in the overall ecosystem. Organisms and wildlife around these regions adapt to the seeps and can even feed off of them.

In locations where oil seeps are found, oil flows slowly up through cracks in the seabed. Lighter oil compounds that escape into the ocean will rise to the surface and evaporate or become they are taken off by ocean currents. Heavier oils rest on the seafloor and collect over hundreds or thousands of years. 

Oil seeps from the ocean floor can be a source of nutrition in deep-sea areas where light is scarce, and unique species needs oil as a source of food. It’s important to note though that the material flowing from seeps is often heavily biodegraded by microbial action and can be handled by the ocean’s ecosystem. It’s non-intrusive and non-disruptive.

In contrast, the production of oil resulting in an oil spill often results in high-volume oil sheens in places that have never experienced significant exposure to oil and the ecosystem will find it intrusive and damages will occur.

This illustration shows the route traveled by oil leaving the subseafloor reservoir as it travels through the water column to the surface and ultimately sinks and falls out in a plume shape onto the seafloor where it remains in the sediment. (llustration by Jack Cook, Woods Hole Oceanographic Institution)

SEAROSE OIL: ENVIRONMENT & WILDLIFE IMPACT

If this were a car accident we’d say, he was lucky and walked away from the accident with a few scrapes and bruises. That’s also the case with this oil spill, overall the environmental impact of the SeaRose oil spill was minimal and could have been a lot worse.

Pritchard and the Husky team takes this situation very seriously, “Any amount of oil is of concern to us, and we will investigate fully to understand how this happened and to put measures in place to prevent a recurrence. We are conducting our own investigation into the incident, and are cooperating fully with the C-NLOPB in its investigation. We are working with the C-NLOPB, our certifying authority, and federal agencies including the Canadian Coast Guard, Canadian Wildlife Service and Environment and Climate Change Canada to ensure that appropriate oversight and mitigations are identified and in place prior to starting the recovery and plugging process.”

Pritchard says, “Concerning impact on wildlife, we observed 18 oiled seabirds. Of six recovered and brought to St. John’s for treatment, two murres have been successfully released back into the wild. During the response, we conducted on water an aerial surveillance for affected wildlife and worked closely with the Canadian Wildlife Service (CWS) and other federal agencies to develop and conduct searches. A total of 26 search grids were completed, each 9km x 9km in size.”

OIL SPILL

The oil that was released offshore Newfoundland is considered medium weight, which is lighter than water and would have migrated to the surface quickly. A certain amount of it would have evaporated, reducing the volume of oil on the sea surface.

Given the wind and sea states at the time, waves would have broken up the oil on the surface into small drops which would have dispersed into the water column. No oil sheens have been observed since November 18, 2018, and there’s a reason for that. With the extreme weather conditions that occurred and 8.4-meter waves thrashing around, the oil on the surface was allowed to dissipate rapidly.

In this case, one could say that oil and water did mix and thankfully the results of this oil spill were minimal all things considered.

What the oil and gas industry really needs is for the public to be educated about the industry and its positive impact on our nation. We need to applaud the work of progress and ensure that when accidents like oil spills do happen, we learn from them and move forward.

Canadians need to work together to collaboratively elevate this nation.  Oil and gas is the foundation for our future and it is the gateway to a new energy sustainable future.

_______

MORE ABOUT OFFSHORE NEWFOUNDLAND

Source and Graphics: Husky Energy, OEA Consulting, Woods Hole Oceanographic Institution

Total is ready to start its exploration campaign on the Guyane Maritime license, located 150 kilometres off the French Guyana coast, in the days following the arrival of the drilling ship on site, as authorized by the prefectoral decree dated October 22, 2018.

Conscious of the questions that this campaign could raise, Total wishes to highlight that it is a responsible company that conducts operations while constantly seeking to minimize the environmental risk and is determined to act with transparency. As such, Total commits to the following:

Total obviously does not conduct drilling operations in coral reefs

The closest reef identified is located 30 kilometers from the drilling point and is not coral. According to the scientists who carried out a 50-day oceanographic survey on-site in 2017, including those from the Paris National Museum of Natural History, it is a discontinuous rocky plateau, on the edge of the continental shelf, presenting scattered biological communities where hundreds of samples have been taken for study (see photos). This plateau is located 30 kilometers from the drilling point and at 100 meters water depth (compared to 2,000 meters water depth at the drilling area, see maps).

Total will carry out its drilling campaign with transparency

Practically, this means that Total will report on the progress of its work throughout the drilling process, as part of the Committee for Monitoring and Consultation. This Commission, led by the authorities, includes approximately 50 economic and social actors.

This approach follows public meetings that Total held in 2017 at its own initiative in several Guyanese towns. The Group has also made available to the general public the full file of its exploration project, including the Environmental Impact assessment, recognized for its quality by the Environmental Authority.

Total invites NGOs, who wish to do so, to visit its installations to understand the precautionary measures taken on its drilling rig and to create an opportunity for reasoned dialogue.

Total stresses that there are 200 people on board its drilling ship and the five support vessels around it. Their safety is the absolute priority. As such, a safety perimeter forbids navigation of all unauthorized watercraft within 500 meters of the well, in compliance with current legislation.

About the Guyane Maritime license

The Guyane Maritime license is an existing exploration license, awarded in 2001. Its extension was requested in March 2016 and granted on September 14, 2017, in accordance with the legislation on hydrocarbons dated December 30, 2017

Located 150 kilometres off the coast and mostly deepwater, the license covers 24,000 square kilometres beyond the Guyanese continental shelf. The drilling area is located in the central part of the license, at 2,000 meters water depth.

Total’s objective on the Guyane Maritime license is to drill one last exploration well, following the five formerly drilled between 2011 and 2013 in order to conclude definitively whether an exploitation phase is relevant.

About Total

Total is a major energy player, which produces and markets fuels, natural gas and low-carbon electricity. Our 100,000 employees are committed to better energy that is safer, more affordable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.

Total contacts: total.com

Robert Glenn Richey, Jr., Ph.D. is a Harbert Eminent Scholar in Supply Chain Management. Having followed international oil and gas distribution for two decades, he branched out to teach supply chain management, distribution, and import-export on six continents including the oil and gas-rich regions in the Middle East, North Africa, South America, the Gulf of Mexico, and Scandinavia.

Interviewing Richey has been an interesting mission for The OGM as Richey answers some of today’s pressing questions about the price of oil. He predicts an oil price upturn and here’s why!

“Over the last four weeks of November, while oil prices and energy stocks have plunged, at the same time, insider buying in energy companies jumped. That’s a great indicator that oil prices have hit bottom and are on the way up. OPEC cuts and the increased consumption of energy over the holiday season will only push the price of oil higher.”

What are the current oil price factors?

Richey’s wholistic oil perspective describes what he believes are the top oil price factors.  He says, “At the highest level, the primary factor impacting oil price, is, of course, supply and demand and market sentiment. Market sentiment relates to both investor sentiment and consumer sentiment. Supply and Demand are dynamically complex and heavily influenced by sentiment and government intervention. But I would summarize it this way:

• World economic growth and oil demand
• Seasonal usage
• Supply Disruption. For example a supply chain inefficiency such as a trucking crisis, natural disaster, hurricane, or man-made disasters like Iraq
• Industry-based production agreements for supply management (OPEC)
• Interventionism in free markets (Canada and perhaps the USA)

Globally, what’s happening with oil price?

OPEC

OPEC has a heavy hand in determining global prices since they still account for 60% of the petroleum traded internationally. Despite two years of attempts to control costs and lower breakeven points, the major OPEC players need cash. We tend to think of these economies as being similar to our own, but that isn’t the case. When the monarchy stops paying for things, the people get upset and soon the King is out of a job.  Salman has a number of internal issues (as well as a significant international issue) to manage, and he still funds his government largely through oil and gas. He even uses Oil and Gas revenue to import sand to the dessert for construction purposes! He needs to be heavily in the black. When financial analysts report the Saudi breakeven price, always expect that price to ignore much of the country’s future (and perhaps hidden) domestic policy.

OPEC likes to float policy and price changes to the media to test the water for where production might land.  It seems that once again, consumers and the media were caught off guard, but I don’t believe the sky is falling. Short-term estimates suggest Brent around 72-75$ in early 2019 and WTI around $65-$68(USD). 

Derek Leith at EY suggests a 2019 price near $70. US shale producers are pencilling in $55-$60-a-barrel prices for their 2019 budgets. Deloitte thinks the Saudis will back off the 500000 bbl reduction.

RUSSIA

Russia is a different story as Putin sees O&G (largely gas) as an opportunity to expand his influence and recent events show how serious he is about that expansion, especially towards the EU.

QATAR

Qatar has declared to leave the OPEC group. This is a small hit for the collective in terms of revenue, but a big blemish when it comes to keeping the group cohesive. As the power players construct more policy in isolation, expect smaller economies with healthier corporations and lower breakeven points to create turmoil.

IRAN

Iran is an unknown variable. Pending relationship problems with the West, who knows what will happen here!

USA

US production is stepping back from the “drill baby drill” 2017 run towards $54/bbl. President Trump pushed heavily for increased production but seems to be stepping back from that original move. It may be that his team recognizes the impact oil company success has on our North American economies. Lower gas prices help manufacturing, transportation, and the customer at the pump, but the profitability of O&G companies impacts the nation’s economic status. Since the Trump administration views the economy as its main calling, expect O&G companies to be provided the opportunity to improve top-line revenue. This is also related to Canada’s direct call for reduced production.

ALBERTA, CANADA

Alberta has increasingly become a cornerstone of the new North American oil and gas economy. The region has contributed substantially to our increasing oil and gas independence. OPEC production cuts will only make this region more important, and production from the region stands to reduce some of the price volatility in North America if the market is allowed to adjust. I fully understand the concerns Suncor Energy Inc., Husky Energy Inc., and Imperial Oil have with future government-mandated production cuts in Alberta and Canada. That type of move is more traditional to state-owned companies, resources, and nations that don’t subscribe to free market-based economies.

When you are encouraged by the market to increase capacity, and then you are told by your government that you will not be using that capacity – business strategy breaks down, and oil prices climb.

Rather than cut production, perhaps the Canadian government should push companies like Cenovus and CNR to become more efficient making them more price competitive and extending that savings to the local customer.

OFFSHORE NEWFOUNDLAND CANADA

If the Hibernia type mega oil field is what industry expects, it could be a huge economic gain for Canada similar to the deep water success of Norway in terms of production and innovation.

However, if the government insists on manipulating the market, don’t expect exploration bids to continue at a lucrative pace. Exploration is one of the most expensive parts of the oil and gas business and in a world where fracking is cheap, interventionism could have a negative impact on the future of the Canadian natural resource exploration and expansion.

What is the ideal oil price for global economic prosperity and why?

That’s a great question, and the answer is a balance.  Truthfully, if anyone could pinpoint the answer to this question, he or she would be one of the most important people in the world right now. Ten out of the last eleven US recessions have been correlated with economic downturns preceded by oil price hikes. Major price fluctuations interfere with consumer’s spending and business strategies. We need stability, and that is why our countries have pushed for energy independence, but complexities in global supply make oil prices volatile and difficult to predict.

What’s going to happen with new energy plays?

We should all be looking for new sources of energy and have goals of improving environmental conditions and our general quality of life.  However, I honestly believe we aren’t there yet. For alternative sources to make a real impact, there will have to be a Schumpeterian shock.

While our politicians and green parties fight the environmental fight, the consumer keeps on trucking via oil and gas. This is why the projections continue to show growth well into the middle of the 21st century. Unless the customer is forced to change, oil and gas consumption will continue to grow.

Consumer behaviour experts seem to think that providing premier parking spots for electric cars and minor tax advantages for solar will dramatically change behaviour.  I’m here to tell you, that is like trying to melt the Columbia Ice-field with a hairdryer.

My research shows that even the most environmentally oriented customer will “morally disengage” from alternative forms when they incur new costs. Liberal-leaning college students like electric cars for environmental reasons, but as a group refuses to spend more on alternative transport.  They don’t even want to spend more on recycled commodities (e.g., paper). Only extreme changes in policy and major world events will change this behaviour.

Consider the fact that 17 countries have now proposed some form of ban on non-electric vehicle sales with start dates from 2020 to 2050, yet the worldwide consumption projections continue to grow.

For environmental adjustment to take place, it must be global. For instance, in Alabama, we ship dirty coal to Colombia in exchange for clean burning coal. It is a 4-hour flight to Colombia from here, so that’s not doing a lot to help the environment of the Americas, but it does comply with our national environmental policy. It isn’t a solution that works. Again, we aren’t there yet. Nevertheless, emission reduction is a major environmental issue and political platform, so expect the electric and alternative options to become more of an issue past 2050.

What’s the long-term vision for oil price and production?

If you watch the nightly news, you might expect that we will all be driving electric cars soon. That isn’t what the US energy information administration is forecasting. They report that the 2747 billion light vehicle miles recorded in 2016 will reach 3302 billion miles by 2050.  The growth trend is steady. Only domestic shipping shows a 1% mileage decrease heading towards 2050, which I find highly unlikely as we continue to UBERize urban freight delivery. We are probably trading modes of transportation and consuming more oil and gas in the process.

The long-term vision is efficiency, innovation, and exploration of alternative sources. The reality is that fossil fuels remain highly sought after and will continue to be one of our most important resources.

OGM INTERVIEW

This interview with Robert Richey is brought to you by The OGM.
Robert Glenn RICHEY, Jr., Ph.D.
Harbert Eminent Scholar in Supply Chain Management
Harbert College of Business @ Auburn University
446 Lowder Hall: 405 West Magnolia Ave., Auburn, AL 36849
Text/Mobile: 205-310-5973

The collaboration focuses on the creation of software applications and joint service offerings including the development of industrial digital twins that will drive efficiency throughout the entire plant lifecycle. In addition, the companies will further develop specific offerings for the oil and gas sector based on Siemens’ Comos engineering platform. These solutions will help customers to reduce engineering and operational cost and enable improved decision making.

The agreement builds on a long-standing, successful relationship between both companies by combining individual strengths and promoting joint offerings.

Aker Solutions will bring in its domain expertise and sector-specific digital offerings in field development, asset performance and integrity, while Siemens will provide a wide range of digital offerings for the process industries – ranging from automation equipment to software applications for engineering and simulation.

“We are excited to strengthen our existing relationship with Siemens”, said Dean Watson, Aker Solutions’ chief operating officer. “By working together to develop and deploy advanced digital solutions, we will allow our customers to liberate data and solve important engineering challenges. Within the energy industry – and beyond – digital twin solutions are providing increased insight which in turn enables better performance, maintenance and investment decisions. We look forward to working with a trusted partner like Siemens to further enhance these offerings”.

Eckard Eberle, CEO Process Automation Business Unit, at Siemens added “With this collaboration we are combining Aker Solutions’ strong knowledge in upstream oil and gas projects as well as its domain-specific digitalization offerings with Siemens’ extensive knowledge in the field of electrification, automation and digitalization. Customers across a broad range of industries, including the oil and gas industry will benefit from an enhanced joint offering that will increase their productivity, efficiency and flexibility.”

About Aker Solutions

Aker Solutions helps the world meet its energy needs. We engineer the products, systems and services required to unlock energy. Our goal is to maximize recovery and efficiency of oil and gas assets, while using our expertise to develop the sustainable solutions of the future. Aker Solutions employs approximately 14,000 people in more than 20 countries.

Visit akersolutions.com

About Siemens

Siemens AG (Berlin and Munich) is a global technology powerhouse that has stood for engineering excellence, innovation, quality, reliability and internationality for more than 170 years. The company is active around the globe, focusing on the areas of electrification, automation and digitalization. One of the largest producers of energy-efficient, resource-saving technologies, Siemens is a leading supplier of efficient power generation and power transmission solutions and a pioneer in infrastructure solutions as well as automation, drive and software solutions for industry. With its publicly listed subsidiary Siemens Healthineers AG, the company is also a leading provider of medical imaging equipment – such as computed tomography and magnetic resonance imaging systems – and a leader in laboratory diagnostics as well as clinical IT. In fiscal 2018, which ended on September 30, 2018, Siemens generated revenue of €83.0 billion and net income of €6.1 billion. At the end of September 2018, the company had around 379,000 employees worldwide.

The latest entrant to the offshore scene in Newfoundland is BHP Petroleum division. Steve Pastor, BHP President Operations Petroleum said the successful bids offshore Newfoundland are an exciting opportunity for BHP to explore for world-class conventional oil assets as an early mover in this prospective region. He envisions, “This frontier opportunity has large oil resource potential which we identified through our Global Petroleum Endowment Study in 2016 and is in a low-risk country, with competitive fiscal terms. This opportunity delivers on our exploration focus in conventional petroleum and will leverage our global deep-water development and operational expertise.”

BHP’s aggregate bid amount of US$625 million covers the drilling and seismic work required by the exploration work programs under the licence agreements over the six-year term. BHP’s minimum commitment under the licence agreements is for US$157 million.

These very clear infographics provided by OEA consulting provide an insightful look at the potential of the region.  It is predicted that with new exploration wells, oil discovery is imminent. Ramping up in 2019, 2020 is expected to be a record-breaking year for activity offshore.

QUICK LOOK:  INFOGRAPHICS BY OEA CONSULTING

China LPG Imports to Rebound

Liquefied Petroleum Gas (LPG) imports from China is predicted to rebound in 2019 after dismal growth of a little over 20,000 b/d in 2018, according to ESAI Energy’s newly published Global LPG Outlook.
LPG is a type of fuel consisting of hydrocarbon gases in liquid form.

A new wave of PDH investment will reignite Chinese demand. In a market flush with new supply, exporters will count on an uptick in Chinese demand to stave off a global glut.
Propane dehydrogenation (PDH) is a process step in the production of propylene from propane. PDH is vital to the petrochemical industry: propylene is the second most important starting product in the petrochemical industry after ethylene.

After a lull in Chinese Propane dehydrogenation investment, a new round of projects will breathe life into Liquefied Petroleum Gas demand growth next year, according to ESAI Energy.

In the past 18 months, there were only two small additions to Chinese PDH capacity totalling 215 thousand MT of propylene, which has a negligible impact on propane use.

ESAI Energy expects China, which currently has 5.9 million tons of PDH capacity, to bring online another 2.2 million tons between now and the end of 2019.

“China’s annual growth stumbled to less than 60,000 b/d in 2018 from an average 165,000 b/d in the previous four years,” explains ESAI Energy Head of Global NGLs Andrew Reed. “Unless Chinese demand picks up in 2019, global growth will decelerate considerably. In an environment of robust supply, that would result in a tremendous glut. However, we believe Chinese growth will get back to 100,000 b/d next year.”

Who is ESIA:

ESAI Energy helps individuals, companies and governments anticipate rapidly changing energy markets. Our analysts bring educational, experiential and linguistic diversity to an integrated market analysis and forecasting methodology that has delivered value to hundreds of clients for 30 years.

Located 260 kilometers off the coast of Luanda, on Block 32, in water depth of around 2,000 meters, Kaombo is the biggest offshore development in Angola.

The first FPSO, Kaombo Norte, came on stream in July 2018, with a production capacity of 115,000 bopd. The start-up of the second FPSO of similar capacity, Kaombo Sul, is expected next year. The overall production will reach an estimated 230,000 bopd at peak and the associated gas will be exported to the Angola LNG plant.

A total of 59 wells will be connected to the two FPSOs, both of which are converted Very Large Crude Carriers, through one of the world’s largest subsea networks. Together, they will develop the resources of six different fields (Gengibre, Gindungo, Caril, Canela, Mostarda and Louro) over an area of 800 square kilometers in the central and southern part of the block.

Total operates Block 32 with a 30% participating interest, along with Sonangol P&P (30%), Sonangol Sinopec International 32 Limited (20%), Esso Exploration & Production Angola (Overseas) Limited (15%) and Galp Energia Overseas Block 32 B.V. (5%).

Total in Angola

Present in Angola since 1953, Total is the country’s leading oil operator. Total’s production averaged 229,000 barrels of oil equivalent per day in 2017 from Blocks 17, 14 and 0, as well as Angola LNG.

In addition to the Kaombo project on Block 32, Total also operates Block 17 (with a 40% interest) where investment decisions were taken on the Zinia 2, CLOV 2 and Dalia 3 projects. Press Release

Sonangol is the concessionaire for Block 17. The other partners are affiliates of Equinor (23.33%), Exxon Mobil (20%) and BP (16.67%).

Block 17 covers nearly 4,000 km2 located from 150 to 270 kilometers off the coast of Angola. This acreage has become the stage for a unique industrial adventure, with developments that have set global benchmarks for the industry. Total operates four FPSOs on Block 17: Girassol, Dalia, Pazflor and CLOV.

Total is also a partner in Blocks 14 (20%), 14K (36.75%) and 0 (10%), as well as Angola LNG (13.6%).

Last May, the Group signed a risk service agreement with Sonangol for the deepwater Block 48 exploration license, which Total will operate.

On that same occasion, both companies also signed a framework agreement to create a joint venture to develop a network of service stations in Angola, including petroleum product logistics and supply.

Angolan State Minister for Economic and Social Development, Manuel Nunes Junior, the Chairman and CEO of Total, Patrick Pouyanné, and the Chairman of the Board of Directors of Sonangol, Carlos Saturnino, inaugurated the Kaombo project.

CEO of Total, Patrick Pouyanne and Angolan President Joao Lourenço.

The Angolan State Minister for Economic and Social Development, Manuel Nunes Junior, the Chairman and CEO of Total, Patrick Pouyanné, and the Chairman of the Board of Directors of Sonangol, Carlos Saturnino, inaugurated the Kaombo project, located deep offshore on Block 32, 260 kilometers off the coast of Luanda.

“As Angola’s principal oil partner, Total is proud to inaugurate such a major deep offshore project as Kaombo, which started up production in July and marked a new milestone of our history in the country,” stated Patrick Pouyanné, Chairman and CEO of Total. “I would like to recognize the leadership shown by the Angolan President, João Lourenço, and the joint efforts of the authorities, Sonangol and the industry to enhance contractual framework, which is an essential step towards developing new projects. The sanction of these new projects today demonstrates Total’s ongoing commitment to Angola and to the continued development of oil and gas resources in the country.”

Country Progress with Total

 Total also announced the continuation of its development program in the country, following on from the launch of the Zinia 2 project in May. The Group, along with its partners, has notably taken two investment decisions on Block 17, located deep offshore 150 kilometers off the coast of Angola, to develop satellite fields that will be tied back to existing infrastructures and will quickly bring additional production.

– The CLOV phase 2 project, which requires the drilling of 7 additional wells, with first oil expected in 2020 and a production plateau of 40,000 barrels of oil per day (bopd).

– The Dalia phase 3 project, which requires the drilling of 6 additional wells, with first oil expected in 2021 and a production plateau of 30,000 bopd.

Zinia 2, CLOV 2 and Dalia 3 will develop 150 million barrels of additional resources to maintain the Block 17 production plateau above 400,000 bopd until 2023, and further extend the profitability of this prolific block, with over 2.6 billion barrels already produced.

57 of the world’s 100 largest oil and gas firms are using, or have plans to use predictive analytics.
How will predictive analytics transform oil and gas?
Are we ready?

A new industry report produced by Lloyd’s Register (LR) – reveals the pace, development and adoption of predictive analytics in the oil and gas sector. The report brings in to focus how different companies are using predictive analytics and to what extent companies are transforming their own technology and data capabilities to predict a better performing and sustainable future between operators, service providers and technology makers.

Industry executives and other experts interviewed for this report have identified several fields of predictive and other advanced analytics application – and the industries where they are being used – that hold potential for oil and gas. The report indicates adoption is a reality now.

Key findings of Lloyds predictive analytics report :

• 57 of the world’s 100 largest oil and gas firms are using, or have plans to use predictive analytics.

Proving return on investment (ROI) to management may take time, but is feasible Companies using predictive analytics in unconventional wells have often been able to tie its use to demonstrable gains in improved drilling accuracy, efficiency or cost savings. Doing the same for predictive use in maintenance and safety is less straightforward when avoidance of incidents or downtime are the main benefits. Efficiencies from these can be quantified, however, and 2–3 more years of running and validating algorithms and accumulating databased evidence should help many firms to demonstrate returns they have difficulty proving today. Predictive analytics is delivering benefits today Based on publicly available evidence, 57 of the world’s 100 largest oil and gas firms are using, or have plans to use, predictive analytics. Over half of these companies (34) report that their use of such tools has had a positive impact of varying degrees. Within the top 100, evidence of predictive adoption and use is most extensive upstream, in oil-field equipment and services, exploration and production. It is the largest firms in terms of revenue and market capitalisation (mainly integrated oil and gas companies) that appear to have advanced furthest with the technology.

• 34 of these 57 companies are using or have plans to use predictive analytics

Fields of application are widening beyond reservoir performance Several large oil and gas companies have put predictive analytics to good use upstream, earning returns from improved performance of unconventional wells. Maintenance, safety and production control are newer areas of adoption. Companies are exploring future uses of predictive tools in combination with emerging technology capabilities such as machine vision4 and behavioural analytics. Use cases in other industries may hold potential in oil and gas Industry firms are scanning the health, aerospace, financial services and other industries for examples of predictive analytics use in equipment diagnostics, prognostics and maintenance, pricing and risk management. Other relevant use cases include machine vision in the automotive, sport and healthcare industries; behavioural models in the retail and financial services industries; and enhanced route optimisation used by transport and logistics firms. Data quality issues hamper predictive analytics use, but these can be surmounted Data quality and availability are viewed as the chief impediments to the use of predictive analytics in the industry. Oil and gas companies collect masses of data, but often can only access a small portion of it.

Standardising disparate sources of data can also be difficult. Experts say, however, that data quality need not be perfect, and that workarounds are possible. Using advanced data science, for example, companies can filter data to overcome quality problems.

New data sources are gradually becoming available Accessing the external data and expertise needed to make predictive analytics work requires oil and gas firms to widen the scope of their interaction. For example, the world’s technology giants support open platforms for developing algorithms, as well as data lakes and cloud platforms that provide great analytics power. Some executives interviewed for this study say their firms are benefiting from access to data and expertise on such platforms.

• Companies using predictive analytics are benefiting by:

– $325,000 per rig using machine learning to predict drill-bit locations
– saving costs of $7 million on gas pipelines in the eastern US through predicting failures

• Research proves predictive analytics are being tested and applied in:

– machine learning to improve safety improvement capabilities
– in unconventional wells to change management attitude
– behavioural modelling to reduce the frequency of safety incidents
– exploring fully automated drilling platforms
– automated analysis of subsurface data
– designing the ‘rig of the future’.

• Respondents believe Artificial Intelligence (AI) is unlikely to be applied beyond niche applications for another three (3) years.

The research sought the insights and opinions of leaders across the sector, such as: Eric Abecassis, CIO, Schlumberger, Stephen Ashley Manager, Digital Transformation Solution Centre, Oil & Gas Technology Centre, Willem van Asperen Director, applied artificial intelligence, PA Consulting Group, Richard Barclay Manager, Advanced analytics, ConocoPhillips, Margery Connor Leader, Data science capability and Technology, Chevron, Daniel Jeavons General manager – data science, Shell, Michael Jones Senior director of strategy and M&A, Halliburton Digital Solutions, Adam Judelson Founder and CEO, Cognotient, Neil Kavanagh Chief science & technology manager, Woodside Petroleum, Narayan Laksham Founder and CEO, 4casting Systems, Joel Meltzner CEO and president, i4 Insight, and Morten Møller Pedersen Deputy asset manager, Maersk Drilling.

“This report makes clear that the oil and gas industry still has much to do to lay a solid foundation for using predictive technologies effectively,” says Nial McCollam, Chief Technology Officer of LR. “Companies will do this by solving data quality and standardisation issues, and establishing the external relationships that will give them access to the large volumes of data they need.”

Making the most of data requires more than advanced analytics tools and skilled data scientists. The report reinforces the fundamental need to successfully collect and transmit data to help with better decision making. McCollam says: “Recent advances in data analytics technologies – predictive analytics in particular – and networked sensors offer companies the opportunity to greatly widen and systematize the scope of their forecasting to include operational processes up and down the value chain.”

Adoption: a myth or a reality?

Contributors to the report highlight the critical areas for predictive analytics including demand forecasting, oil and gas trading, spare parts inventory management, transport route optimisation, process control and facility management.

“The Technology Radar report finds that many of the industry’s largest companies are actively developing predictive capabilities using internal and external resources,” says McCollam. “At least one-third of the top 100 industry players by size are generating a beneficial impact from using this technology. Sure, there is a long way to go, but adoption and new ways of thinking and working is becoming a reality.”

By using large volumes of historic seismic and production data, existing and new sensors, and powerful algorithms, companies have unlocked insights not previously available to them, which has boosted efficiency and productivity, reduced downtime, and earned them demonstrable returns along the way. Unconventional wells, mainly in North America, have been the biggest early beneficiaries of predictive analytics to date.

What does the future hold?

Predictive analytics are now coming to bear in asset maintenance – human and equipment. McCollam says: “Foreseeing and preventing events that lead to injury, loss of life or environmental damage is a key part of predictive analytics – and even more so in driving efficiencies and enhancing performance.”

“The ability to predict erosion and lifespans of equipment such as drills, pumps and other rig equipment promises considerable savings. And we are also seeing companies begin to experiment with predictive analytics in behavioural modelling to help identify symptoms of unsafe human behaviour, and predicting when certain behaviour traits are likely to create high-risk situations.”

“Along with our clients and partners, we believe that the use of predictive analytics can lead to both improved performance and enhanced safety and better risk management. Encouragingly, the findings of this special edition of the LR Technology Radar show that this potential is beginning to convert into reality.

The report highlights how the experience of predictive analytics used in consumer markets can provide better insights into how more accurate predictions are generated when multiple sets of data from different sources are layered up.

“Distilling these lessons can only help oil and gas companies to adapt using cases perfected elsewhere, and inspire us to develop innovative ones of our own. However, the report also highlights that governments, regulators and industry leaders have a critical part to play by fostering environments in which oil and gas companies can share data with confidence, and without fear that the data that is shared will be turned against them from an environmental performance or safety perspective.”

This is the fourth year LR has conducted its award-winning Technology Radar research. Whilst earlier editions have focused on macro energy insights of the oil and gas sector and low carbon power generation, this time around, the research concentrates on predictive analytics in oil and gas, with a focus on operation performance, safety, technology, analytics design, machine learning, human behaviour, policy, safety, public appetite and acceptance.

The 2018 Technology Radar Oil & Gas report is published as of November 12, 2018.
Go to www.lr.org/predictiveanalytics to download the 2018 Technology Radar Oil & Gas report and findings.

About Lloyd’s Register (LR)

Started out in 1760 as a marine classification society. Today, one of the world’s leading providers of professional services for engineering and technology – improving safety and increasing the performance of critical infrastructures for clients in over 75 countries worldwide. The profits generated fund the Lloyd’s Register Foundation, a charity which supports science and engineering-related research, education and public engagement around everything they do. All of this helps us stand by the purpose that drives their purpose of Working together for a safer world.

In a world of increasing complexity – overloaded with data and opinion – we know that our clients need more than technology to succeed. They need an experienced hand. A partner to listen, cut through the noise and focus on what really matters to them and their customers. Our engineers and technical experts are dedicated to assurance. That means a commitment to embracing new technology, and a deep-rooted desire to drive better performance. So we consider our customers’ needs with diligence and empathy, then use our expertise and over 250 years’ experience to deliver the smart solution for everyone.

After all, there are some things technology can’t replace.

About the Technology Radar series

Global research, sector insights and in-country reports and industry surveys form part of the Technology Radar series managed by the energy business of LR. The reports combine LR’s expert knowledge with third-party insights, to provide data-driven findings on the role of innovation, technology, safety and sustainability in the current and future energy industry.

Our role at LR is to ensure that we provide that independent viewpoint help government, energy producers, manufacturers, regulators and policymakers to the energy industry extract energy safely, and to deliver energy sustainably, with minimal risk to people and to the environment, and in socially responsible ways. We recognise that true value can be created by nurturing stakeholder relationships, based on trust and understanding.

LR is addressing the industry’s most significant technology and sustainability challenges by interacting and working with energy stakeholders on an ongoing basis. Through interviews with senior industry practitioners and surveys of energy professionals, the Technology Radar series provides a compelling insight into the latest industry thinking, trends and insights.

Source: Lloyd’s Register for graphics and content

Steve Pastor, BHP President Operations Petroleum said the successful bids offshore Newfoundland are an exciting opportunity for BHP to explore for world-class conventional oil assets as an early mover in this prospective region. He envisions, “This frontier opportunity has large oil resource potential which we identified through our Global Petroleum Endowment Study in 2016 and is in a low-risk country, with competitive fiscal terms. This opportunity delivers on our exploration focus in conventional petroleum and will leverage our global deep-water development and operational expertise.”

WHO IS BHP?

BHP is a world-leading resources company. BHP extracts and processes minerals and oil and gas, with more than 62,000 employees and contractors, primarily in Australia and the Americas. BHP products are sold worldwide, with sales and marketing led through Singapore and Houston, United States.

BHP global headquarters are in Melbourne, Australia with offices around the globe and have now expanded into Eastern Canada as an offshore exploration investor.

BHP operates under a Dual Listed Company structure with two parent companies (BHP Billiton Limited and BHP Billiton Plc) operated as if they were a single economic entity,  referred to as BHP.

BHP PETROLEUM UNIT

BHP Petroleum unit comprises conventional and unconventional oil and gas operations,
and includes exploration, development and production activities.

BHP has a high-quality resource base concentrated in the United States and Australia.
Core production operations consist of conventional assets located in the US Gulf of Mexico,
Australia and Trinidad and Tobago and unconventional Onshore US assets.

BHP produces crude oil and condensate, gas and natural gas liquids (NGLs) that are sold
on the international spot market or delivered domestically under contracts with varying
terms, depending on the location of the asset.

BHP OPERATING ASSETS

Gulf of Mexico, United States

BHP operates two fields in the Gulf of Mexico – Shenzi (44 per cent interest) and
Neptune (35 per cent interest).

They hold non-operating interests in two other fields –Atlantis (44 per cent interest),
and Mad Dog (23.9 per cent interest).

All of BHP’s producing fields are located between 155 and 210 kilometres offshore
from the US state of Louisiana.

Onshore US, United States

BHP holds more than 580,000 net acres in three prolific US shale areas –
Eagle Ford, Permian and Haynesville – where they produce oil, condensate, gas and NGLs.

The Black Hawk area of Eagle Ford and the Permian area are two of their largest
liquids-focused field developments.

Bass Strait, Australia

In 1965, BHP along with our 50-50 joint venture partner and operator, Esso Australia
(a subsidiary of ExxonMobil), through the Gippsland Basin joint venture,
participated in the original discovery of hydrocarbons.

They have produced oil and gas from the Bass Strait over the past 40 years.

The Bass Strait operations are located between 25 and 80 kilometres off the southeastern
the coast of Australia recently, the Kipper gas field under the Kipper Unit Joint Venture
(also operated by Esso Australia) has brought online additional gas and liquids
production that is processed via the existing Gippsland Basin Joint Venture facilities.

North West Shelf, Australia

BHP is a joint venture participant in the North West Shelf Project, located
approximately 125 kilometres northwest of Dampier in Western Australia.

Pyrenees, Australia

BHP operates six oil fields in the Pyrenees which are located offshore approximately
23 kilometres northwest of Northwest Cape, Western Australia. They had an effective
62 per cent interest in the fields as at 30 June 2016, based on inception-to-date
production from two permits in which they have interests of 71.43 per cent
and 40 per cent, respectively.

Macedon, Australia

We are the operator of Macedon (71.43 per cent interest), an offshore gas field
located approximately 75 kilometres west of Onslow, Western Australia and an
onshore gas processing facility, located approximately 17 kilometres southwest of Onslow.

Minerva, Australia

BHP are the operator of Minerva (90 per cent interest), a gas field located
1 kilometres south-southwest of Port Campbell in western Victoria. The operation
consists of two subsea wells, with gas piped onshore to a processing plant.

BHP PRODUCTION OPERATIONS

Trinidad and Tobago

BHP operates the Greater Angostura field (45 per cent interest in the production sharing contract),
an integrated oil and gas development located offshore 40 kilometres east of Trinidad.

Algeria

BHP Algerian operations comprise an effective 29.5 per cent interest in the ROD Integrated
Development, which consists of six satellite oil fields that pump oil back to a
dedicated processing train.

United Kingdom

BHP holds a 16 per cent non-operating interest in the Bruce oil and gas field in the North Sea
and a 31.83 per cent non-operating interest in the Keith oil and gas field, a subsea tie-back.
Operatorship of the Keith field was transferred to BP on 31 July 2015.

BHP LEADERSHIP

BHP President of Petroleum Operations is Steve Pastor.
Watch Steve’s comments on investment and value in the oil and gas sector.

BHP, Petroleum Operations President: Steve Pastor

BHP THE NEW PLAYER OFFSHORE NEWFOUNDLAND

Record bids for exploration licenses offshore have been received as a result of the most recent calls for bids 2018, in the Eastern Newfoundland Region and Jeanne d’Arc Regions, both located in the Canada-Newfoundland and Labrador Offshore Area. In total, there was a record cumulative total of $1.38 billion in bids and a record single bid of $621 million from BHP Billiton Petroleum in the Eastern Newfoundland region.

In less than 7 per cent of the province’s offshore, there is a combined resource potential of 49.2 billion barrels of oil and 193.8 trillion cubic feet of gas. There have been eight new entrants in the past two years and $3.9 billion in recent exploration work commitments.

BHP was successful in its bids to acquire a 100% participating interest in, and operatorship of, two exploration licences for blocks 8 and 12 in the offshore Orphan Basin in Eastern Canada.

Steve Pastor, BHP President Operations Petroleum, said the successful bids are an exciting opportunity for BHP to explore for world-class conventional oil assets as an early mover in this prospective region. “This frontier opportunity has large oil resource potential which we identified through our Global Petroleum Endowment Study in 2016 and is in a low-risk country, with competitive fiscal terms,” Mr Pastor said. “This opportunity delivers on our exploration focus in conventional petroleum and will leverage our global deep-water development and operational expertise.”

BHP’s aggregate bid amount of US$625 million covers the drilling and seismic work required by the exploration work programs under the licence agreements over the six-year term. BHP’s minimum commitment under the licence agreements is for US$157 million.

Should BHP decide to progress the exploration program beyond this initial phase, a decision in relation to further capital expenditure to drill the first appraisal well is expected to be made in FY2022.

BHP’s initial planned capital expenditure on the exploration work programs for blocks 8 and 12 is US$140 million up to FY2021 and is within BHP’s current exploration budget.

Subject to satisfaction of conditions outlined by the Canada Newfoundland and Labrador Offshore Petroleum Board, it is anticipated that the licence agreements would be issued in December 2018 and would be effective in January 2019.

BHP was successful in its bids to acquire a 100% participating interest in, and operatorship of, two exploration licences for blocks 8 and 12 in the offshore Orphan Basin in Eastern Canada.

Sources, Text, Graphics, Images:
The Government of Newfoundland and Labrador
BHP.com
ondemand.ceraweek.com

Record bids for exploration licenses offshore have been received as a result of the most recent calls for bids in the Eastern Newfoundland Region and Jeanne d’Arc Regions, both located in the Canada-Newfoundland and Labrador Offshore Area.

In total, there was a record cumulative total of $1.38 billion in bids and a record single bid of $621 million from BHP Billiton Petroleum in the Eastern Newfoundland region.

In less than 7 per cent of the province’s offshore, there is a combined resource potential of 49.2 billion barrels of oil and 193.8 trillion cubic feet of gas.

There have been eight new entrants in the past two years and $3.9 billion in recent exploration work commitments.

The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) announced the results of Call for Bids NL18-CFB01 (Exploration Licences, Eastern Newfoundland Region), Call for Bids NL18-CFB02 (Exploration Licence, Jeanne d’Arc Region) and Call for Bids NL18-CFB03 (Production Licence, Jeanne d’Arc Region). The results include a record cumulative successful bid amount of $1,386,273,936 and a record single successful bid amount of $621,021,200.

Exploration Licences

For Call for Bids NL18-CFB01 (Exploration Licences, Eastern Newfoundland Region) and Call for Bids NL18-CFB02 (Exploration Licence, Jeanne d’Arc Region), the sole criterion for selecting a winning bid is the total amount the bidder commits to spend on exploration of the parcel during Period I (the first period of a nine-year licence). The minimum acceptable bid for each parcel is $10,000,000 in work commitments.

Call for Bids NL18-CFB01 (Exploration Licences, Eastern Newfoundland Region)

Call for Bids NL18-CFB01 (Exploration Licences, Eastern Newfoundland Region) offered 16 parcels totalling 3,941,046 hectares.

Call for Bids NL18-CFB02 (Exploration Licence, Jeanne d’Arc Region)

Call for Bids NL18-CFB02 (Exploration Licence, Jeanne d’Arc Region) offered one parcel totalling
142,448 hectares.

Production Licence

No bids were received for Call for Bids NL18-CFB03 (Production Licence, Jeanne d’Arc Region).

Subject to bidders satisfying the requirements specified in Call for Bids NL18-CFB01 and NL18-CFB02 and upon receiving Ministerial approvals, the Board will issue the new exploration licences in January 2019.

These Calls for Bids parcels are included in the 2014 Eastern Newfoundland Strategic Environmental Assessment (SEA). The SEA examines the environmental effects which may be associated with a plan, program or policy proposal and allows for the incorporation of environmental considerations at the earliest stages of program planning. SEA involves a broader-scale environmental assessment (EA) that considers the larger ecological setting and consultation with a wide array of stakeholders. The Board is discussing with the Government of Canada and the Government of Newfoundland and Labrador potential new approaches to environmental assessments, details of which will be released as they become available.

Assessments of regional and/or site-specific issues will be completed before any work can begin within the licence area. The timing, spatial extent, and nature of proposed oil and gas activities, in addition to mitigations already prescribed by legislation, will determine the level of additional restriction or mitigation that may be required. Any additional measures would be determined during the project-specific environmental assessment and/or other regulatory approval processes.

Offshore safety and environmental protection are paramount in all Board decisions. No physical activity may occur on these licences without an operations authorization. The C-NLOPB will not approve any offshore petroleum-related activity until an Operator demonstrates that it has met all legislative and regulatory requirements and has reduced risks to levels that are as low as reasonably practicable.

Any parties interested in receiving email notifications on Scheduled Land Tenure related announcements can contact Shannon Bulger at sbulger@cnlopb.ca.

Source: CNLOPB and Government of Newfoundland and Labrador

Gas alert, gas alert! Those are words you hope you never hear. Hazards left unchecked put people in danger. Your best chain of defence against unimaginable outcomes and explosions is to ensure that gas detection and monitoring is well thought out and executed in your organization.

Are you prepared?

Poisonous gas puts people at risk. Are you prepared?

WHO USES GAS DETECTORS?

At an industrial facility, on oil rigs, in manufacturing facilities, processing units, and throughout the firefighting sector, gas detection has become common place as a foundation of safety! And with good reason, our team’s safety depends on a working environment gas monitoring is a priority and sensors that alert you to the presence of gas leaks are readily available. 

Gas detection and monitoring devices can be found in industrial plants, refineries, manufacturing plants, fumigation facilities, paper pulp mills, aircraft and shipbuilding facilities, hazmat operations, waste-water treatment facilities, vehicles manufacturers, distilleries, indoor air testing and even in our homes.  Applications are varied and wide.

PORTABLE GAS DETECTORS

Portable detectors are used to monitor the atmosphere around workers on the job and are either hand-held or worn on clothing or on a belt/harness for convenience sake. These gas detectors transmit warnings via audible and visible signals, such as alarms and flashing lights, when dangerous levels of gas vapours are detected and they may be monitored at another location especially in the case of remote gas monitoring.

FIXED GAS DETECTORS

Fixed type gas detectors may be used for detection of one or more gas types and are generally mounted near the process area of a plant or control room, or an area to be protected, such as a residential bedroom. Industrial sensors are usually installed on fixed type mild steel structure and a cable connects the detectors to a SCADA system for continuous monitoring.

HOW DO GAS DETECTORS WORK?

Gas detection equipment is used to detect a gas leak or other emissions and can interface with a control system so a process can be automatically shut down. A gas detector can sound an alarm to operators in the area where the leak is occurring, giving workers the opportunity to leave safely. There are many gases that can be harmful and it’s your job to understand those hazards and mitigate them if you play a role in your companies safety regime.

HOW DO GAS DETECTORS WORK?

Gas leak detection is the process of identifying potentially hazardous gas leaks by sensors and alarms that alert people when a dangerous gas has been detected. Exposure to toxic gases can also occur in operations such as painting, fumigation, fuel filling, construction, excavation of contaminated soils, landfill operations, entering confined spaces, so it is important to ensure the right type of gas detectors are used with the right application.

WHAT ARE THE DIFFERENT TYPES OF GAS DETECTORS?

Common sensors include combustible gas sensors, photoionization detectors, infrared point sensors, ultrasonic sensors, electrochemical gas sensors, and semiconductor sensors. More recently, infrared imaging sensors have come into use.

CEO, Lee Parmiter of EnviroMed Detection Services in St. John’s, Newfoundland says, “At the end of the day, we want to ensure people to come home safe to their families. Gas monitoring is essential, and gas leaks must be detected so that hazardous environments are eliminated.  Gas detectors can be used to detect combustible, flammable and toxic gases, and oxygen depletion so they are essential in the infrastructure of most industrial companies and any business really that has processing facilities.”

WHAT IS GAS LEAK DETECTION ALL ABOUT?

Gas leak detection is the process of identifying potentially hazardous gas leaks by sensors. These sensors usually employ an audible alarm to alert people when a dangerous gas has been detected.  Today technology is so advanced that systems not only alert to a gas leak but also alert incidences and failures in systems.  We have vastly advanced the gas detection world with the advancement of new tracking and monitoring devices.

Gas leak detection is essential in your facility.

HOW TO SELECT YOUR GAS DETECTOR

How to select the gas detector primarily depends on your operation, and it’s functions. You will want to consider what systems will ensure the safety of workers and help your company save time and money.

Lee Parimeter says, “There are several models with constantly evolving technologies are available on the market. It is therefore essential to understand the available features and options to make an informed decision.  Understanding the systems that are out there and ensuring your system is right for your facility is key.”

SELECTING THE RIGHT SYSTEM
5 KEY POINTS FOR GAS DETECTION & MONITORING THAT YOU MUST KNOW

According to Don Galman of Honeywell Analytics, selecting the right gas detection considers the following, “There are many gas detection products on the market that might appear to be the same, but a closer inspection of specification, functionality, and features reveals major differences in what products can do and the potential value they can offer. Similarly, individual applications are also unique in their respective designs, needs and processes undertaken.

1. DO A RISK ASSESSMENT

Before beginning to consider gas detection equipment, a risk assessment needs to be conducted. Any company employing staff should conduct risk assessments to identify potential hazards, and these can include potential gas, vapour or Oxygen deficiency risks. If gas hazards are identified, gas detection is applicable as a risk reduction method.

2. IDENTIFY YOUR PRIME OBJECTIVE

Depending on the processes being undertaken and the gases being detected, remote or off-site alarm notification plus event data logging/reporting may also be required for Health and Safety management records. Another factor impacting on the need for enhanced reporting functions might be regulatory compliance or a condition of insurance.

3. ASK THE RIGHT QUESTIONS

Having identified the primary objective, the suitable equipment is selected by asking a number of key questions. These fall into three broad categories:

• The gases to be detected and where they may come from

• The location and environmental conditions where detection is to take place

• The ease of use for operators and routine servicing personnel

Identify the gases to be detected and where they may come from

The risk assessment should identify the gases to be detected; however, experienced gas detection equipment manufacturers and their approved distributors are often able to help in this process, based on their experience of similar applications. However, it is important to remember that it is the end user’s responsibility to identify all potential hazards.

It is also essential to identify the potential source of a gas release as this helps determine the number and location of detectors required for a fixed gas detection system.

4. CONSIDER THE ENVIRONMENT

The performance, accuracy, and reliability of any gas detection equipment will be affected by the environmental conditions it is subjected to. Temperature, humidity and pressure levels at the location all have a direct bearing on the type of equipment that should be selected. Additional factors such as potential variations resulting from a production process itself, diurnal/nocturnal fluctuations and seasonal changes may also affect the type of device which is suitable.

5. UNDERSTAND THE PRODUCT

The next area of consideration relates to additional product functionality. Aspects like wiring configuration are important, especially when retrofitting into an existing application. If the apparatus is being integrated into a separate safety system, certain communication protocols may also be required such as HART®, Lonworks or Modbus®.

Consideration will also need to be given regarding the requirement for local displays on transmitter units, and local configuration of the unit and gas displays may also be a useful addition.

MEASURE EASE OF USE AND MAINTAINABILITY

Routine maintenance is another important consideration. Some gases and vapours can be detected with a number of different sensing technologies, e.g., Hydrocarbon gases with catalytic beads or Non-dispersive Infrared NDIR. Catalytic beads do not provide fail-to-safety operation and therefore can require a high frequency of routine maintenance; however, NDIR based solutions tend to have a higher initial purchase price but may require less routine maintenance. In-house resource to undertake such routine maintenance needs to be identified, and in the absence of such a resource, budgeting for third-party maintenance is an important factor in selecting the right equipment.”

ENVIROMED DETECTION SYSTEMS

EnviroMed Detection Services, located in St. John’s Newfoundland has been serving the industrial based businesses in the region for 30 + years. EnivroMed is a safety/environmental instrumentation company specializing in the sale, installation, and servicing of life-saving detection instrumentation. As an ISO 9001:2008-certified, a full-service laboratory, EnviroMed offers repairs, N.I.S.T. traceable calibrations, maintenance, service and training on most of the equipment it provides today.

In addition to its specialization in gas detection equipment, EnviroMed also sells, rents and leases a wide variety of products in the areas of Gas Detectors, Water, Soil & Noise Monitors, Ambient Air, Indoor Air Quality, Meteorology, and other specialty areas related to safety/environmental instrumentation.

EnviroMed’s expertise and instrumentation inventory assist in providing an additional three-month labor warranty on most equipment purchased, refurbished, or calibrated at its facility. All installations, stationary or portable, must meet our quality assurance/quality control program, verified by a preventative maintenance schedule. Working closely with our clients, EnviroMed continues meeting today’s environmental challenges while understanding industry’s regional and economic requirements.

CEO, Lee Parmiter says, “The complexities of choosing, installing and maintaining gas detectors can be overwhelming. That’s why we’ve created a full-service detection and monitoring company that ensures we support our customers in the best possible way.  We work every day to ensure that people onsite, in confined spaces and requiring a high level of protection, get what they need.

The Blackline G7 Gas Detection Safety Monitor reports back to your head monitoring office. The Blackline G7 is state-of-the-art technology and is Ideal for remote location monitoring.

DON’T FEEL UP TO THE JOB OF SELECTING YOUR GAS DETECTOR?

For many people not directly involved in the gas detection and monitoring sector of their industry, the whole process can be overwhelming. Lee Parmiter says, “EnviroMed Detection Systems, with their gas detection consulting specialization, take the headache out of assessing and implementing your safety worksite systems. Are you bump testing? Did everything calibrate and is it up to date? Know who’s safe and not safe on site? Does your team know how your systems work and are they compliant right now, in the field today? Can I locate a person in the field in real time if something goes wrong? These are the safety questions that EnviroMed will take care of you.”

With the EnviroMed locally serviced and supported wireless real-time monitoring system, sensor deterioration and other unit shortfalls are relayed in real-time through the customer’s choice of media and with an established protocol to its operators and supervisors for appropriate recall and the avoidance of false alarms creating unnecessary downtime expense in operations.  Lee says, Our products are new state-of-the-art systems that are fit for the times, for example, EnviroMed G7 Gas Detection Tracking and Monitoring System covers all the bases of your situation. In my 35+ years of using, servicing and promoting safety in gas detection applications, this system hits a ‘grand slam home run’!

For more information go to www.EnviroMed.ca

YES, I WOULD LIKE A FREE CONSULT WITH ENVIROMED ABOUT MY GAS DETECTION AND MONITORING SYSTEM

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This beautiful art piece painted by local Newfoundland artist and offshore worker, Sailor Danny is perfect for offices, boardrooms, conference centres, man caves, and in special places within your home.

OWN THE ORIGINAL

Available for sale as an original, this mammoth painting is 48 x 48 inches – Perfect for art collectors.  Price $2,000.

LIMITED PRINT EDITIONS

This painting also comes in limited canvas prints and is the PERFECT gift for anyone directly or indirectly involved in the oil and gas industry.  Capturing a piece of history, making time stand still, this piece of art is a keeper!

Oil Rig Workers 48 x 48 inch Canvas by Sailor Danny – Painted Live at the Atlantic Canada Petroleum Show in St. John’s, Newfoundland – June, 2018.

Oil Rig Workers Limited Print Canvas

Print Size 24 x 24 inch canvas
Price $200

SHIPPING

Shipping somewhere?  A print usually costs about $15  however, shipping costs vary depending on where they are shipped.
Inside St. John’s this canvas is available for pickup only!

ACT NOW: Shipping takes 2 weeks after it’s printed and paid!

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Sailor Danny’s Art: Other paintings

Danny and his artwork!

Paintings by Sailor Danny

Caricature Art by Sailor Danny

Yes by’e – Carnation Evaporated Milk with Vitamin D added! That’s cause we don’t have a whole lot of sun!

The absolute most important factor that will ensure the long-term success of the economy of Newfoundland and Labrador is developing the oil and gas industry. Every economic indicator to date has confirmed that.

Our ability to attract oil companies to explore, drill and produce oil and gas offshore is the key. Just like every business that has a product to sell, it’s a marketing strategy first and a successful sales initiative second.

We Build Castles In The Sea

Newfoundlanders are powerful sea-faring people. For the last 20 + years, we have built castles in the sea that have drilled below the seabed to extract petroleum which lies in rock formations. Given our climate, sea conditions, harsh environment and offshore challenges, we can readily say that our work to date has been done by the minds of genius!

OPPORTUNITY:  4 Key indicators

1

Investors, oil companies, industry leaders and decision-makers, all over the world need to know that Newfoundland and Labrador has a track record of unprecedented success with 4 world-class, oil-producing, mega-projects.

2

Newfoundland also has one of the strongest and most skilled platform building and operating workforces, in the world.

3

Offshore Newfoundland is one of the most lucrative places in the world to invest.

4

With a Canadian energy strategy, we have the power to be owners and explorers of our own projects as well.

So how do we do let the world know about the opportunities? How do we invest in our own platforms and oil projects and be “entrepreneurial” minded as a province and a people?
These are the questions that shape the opportunities of today.

We build castles in the sea.  From gravity base to topsides, we advance world-class, $billion oil mega-projects!

If I was the leadership responsible for economic development offshore, I’d hire Target Marketing. That visionary company took everything that was amazing about the province and put Newfoundland and Labrador on the world map with unprecedented marketing campaigns for tourism. We should do the same for oil and gas.

We need to jump, scream, holler and sing from the rooftops about the truth! The truth that the annual global survey of petroleum-sector executives released by the Fraser Institute says that Newfoundland and Labrador is top-ranked as the fourth most attractive jurisdiction in the world – to invest in.

Ranked #4 – In the world!

The solution for the offshore industry is clear. Unite with the federal government and ensure that what happened in Norway would also happen to Canada. Imagine having our own investment fund worth over a $trillion because of the strategic development of our oil and gas industry.  That is a “Canadian” initiative and it is possible.

We need to be out-thinking, out-smarting, out-performing other oil regions of the world. We can do that by putting aside political differences and uniting as one people, one province, one country, with one agenda! The UK did it! The United Arab Emirates did it.  Norway did it.  In fact, the Norway Oil Fund, established in 1990, invested surplus revenues of the Norwegian petroleum sector with phenomenal success.  To date it has over US$1 trillion in assets, including 1.3% of global stocks and shares, making it the world’s largest sovereign wealth fund. Canada weigh in!

Acting right now will ensure we avail of the 5-year window that we now have to take the lead. With the advancement of technology and new energy regimes, it really is, now or never.

The more we explore for oil, the more oil we will find. Canada could be a world leader in country-owned oil projects!

Powerhouse Platform of Resource Potential

Thanks to the seismic work of Nalcor, through its proprietary Nalcor Exploration Strategy System (NESS), we have a very clear understanding of our resource potential offshore. NESS is a culmination of information from multiple sources, studies and reports that have been united on an interactive map enabling users to display, filter and analyze a vast array of data and information in one location. It’s a powerhouse platform full of resource potential.  There are many stories to share within that system, with over 650 leads, prospects and new basin areas. How we frame those stories will be the foundation for who we attract to the region.

NESS

Nalcor Exploration Opportunities

Offshore Newfoundland and Labrador are considered one of the best frontier regions in the world today with over 20 basins, significant new basin areas, and now over 650 leads and prospects defined as a result of ongoing seismic work. But what’s it all worth if we don’t have a lineup of explorers ready to drill? I think it’s time to take the bull by the horns!

The North Sea, for example, has over 2000 + wells drilled for exploration and as a result, they are one of the most lucrative oil and gas regions of the world. Comparatively offshore Newfoundland has less than 200 exploration wells drilled to date. We must explore to increase the probability of finding oil. We have a 4:1 exploration to find ratio and therefore our number one goal is to drill and explore more and therefore find more oil producing wells.

Right now we have a handful of rigs offshore Newfoundland. Comparatively, there are about 184 offshore rigs in the North Sea and the Gulf of Mexico (United States) 175 rigs. It’s time to think big, really big, and up our game!

We have world-class oil reserves, a world-class workforce and a top investment climate.  We have unprecedented opportunities and potential. We are open for business and globally advanced in the energy sector. We are ready to go.  What more do we want….. Jam on it?

Sources:  Government of Newfoundland and Labrador, Nalcor Energy, Frazer Institute, The OGM
__________________________________________________________________________

ONLINE: Your job is to teach your clients how to do business with you!

THE DIGITAL ECONOMY

We build content that is thought-provoking, elevating and has powerful reader value!

Building your business in the new digital world will include product and services advancement through the content economy! We can help you with that, just reach out!

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Recent good news came with ExxonMobil Canada’s award of the Seadrill  rig contract. At least one well will be drilled offshore Newfoundland next year.  The Seadrill West Aquarius rig will drill one well for ExxonMobil Canada, with the oil company having multiple options to further extend the contract. The contract is expected to be approximately $24 million and exploration start is expected between May and July of 2019.

The company says additional wells may be drilled under the agreement and they are continuing to work with regulators for all the necessary approvals.

SEADRILL

From shallow to ultra-deep water, in both harsh and benign environments, we are setting the standard in offshore drilling. Seadrill safely unlocks oil and gas resources for customers, helping them to deliver energy around the world. Seadrill Limited owns 35 drilling rigs and manages 18 rigs on behalf of Seadrill Partners, Seamex and Northern Drilling. 

Drilling efficiencies through digitalization is the future. See Video

Discover how a Deep Sea Offshore Drilling Rig Works.

Dr. Ciaran O’Shea, a co-founder of AOMS, has acted as the Director of Occupational Health and Medicine providing Governance for all medical operations while his wife and owner, Laura O’Shea, overseeing day to day operations until their son Liam took over the day to day operations. Dr. O’Shea said, “We are proud of the clients that we have in this region and are honoured that they continue to seek our services and advice. We work hard with our clients every day to maintain our title as a Best in Class in Oil and Gas service provider.”

Having safe, healthy workers is key to any oil and gas company or contractor, and therefore the treatment of offshore workers medically has to be thorough and diverse. The vision for AOMS is to provide medical solutions that embrace a full range of physiotherapy and occupational services utilizing state-of-the-art equipment and advanced therapies.

Liam O’Shea, Chief Executive Officer of AOMS, explains their offerings, “We have an established network of designated physicians across the island of Newfoundland and in Labrador, and in other provinces throughout Canada, as well as abroad. AOMS physicians perform pre-employment medicals and independent medical assessments on behalf of our oil and gas clients. We are extremely excited about the expansion of our business to include our new Rehabilitation Suite. Our services now include outpatient physiotherapy services and occupational rehabilitation services. We feel that the introduction of physiotherapy and occupational rehabilitation services in collaboration with the occupational physician management will greatly enhance the currently available models in the Province. Our model will also serve the public, and the Occupational physician will collaborate with the treating GP whenever possible to engage all primary health care providers and get the patient back to work/full fitness expeditiously and safely. The true collaboration between occupational physician, third party care practitioners and treating GP’s should be the model from our perspective here at AOMS. Finally, AOMS also will be offering tele-health solutions to any individuals that are in remote environments or rural areas across the island, but this is a conversation that our Physio and Occ Rehab clinic team will have with you!”

Rehabilitation Clinic
Treatment of Orthopaedic conditions including: Low Back Pain, neck pain, whiplash, post-surgical rehabilitation, osteoarthritis, sciatica, tennis elbow, sport-related injury, overuse injury, plantar fasciitis, jumpers knee, Achilles tendonitis, general strength, and conditioning programs.

New Clinic Services & Equipment
Occupational Rehabilitation:
AOMS is now offering a full suite of Occupational Rehabilitation services including Functional Capacity Evaluations, Targeted Functional Evaluations, Work Site Occupational Rehabilitation, Work Station Reviews, Adjudication Assessments, Physical Demands Analysis, and the Progressive Goal Attainment Program for the treatment of pain-related disability.

Specialized Equipment:

TDX spinal mechanical traction: a specialized mechanical traction device offering the latest technology in spinal traction to assist with back pain, herniated discs, spinal movement disorders and other disorders of the spine.

Shockwave Therapy:
AOMS has acquired a Shockwave Medical Device from Shockwave Canada that has been shown through peer-reviewed scientific studies to improve clinical outcomes for the following conditions significantly: Achilles tendonitis, tendonitis of the elbow, wrist, and hand, plantar fasciitis, patella tendonitis, rotator cuff tendonitis, calcific tendonitis of the shoulder and frozen shoulder. Clinical improvements typically seen in shockwave treatment include decreased recovery time, reduced pain, decreased movement loss, decreased the lost time from employment and sporting activities and decreased time delay for return to full function. Tendonitis, one of the common on-the-job complaints.

More information on AOMS services

Wavefront Technology Solutions Inc., the global leader in the advancement of dynamic fluid injection technology for oil and gas well stimulation and Improved/Enhanced oil (“IOR/EOR”) recovery is pleased to announce the Company, through its local distributor, has commenced the previously announced Powerwave well stimulation campaign in India.

The 10-well stimulation campaign involving both water injecting and oil producing wells has an approximate value of US $258,000. A post-Powerwave stimulation injection test completed on the first water injection well indicated that the water injection rate exceeded previous stimulation outcomes which utilized other methods but the same chemical formulations. An additional four wells have been modeled and operationally programmed to be completed. Mobilization of equipment for a second Powerwave-driven acid stimulation is on-going.

“We are happy to have started the Powerwave program in India and are very pleased with initial results on the water injection well,” said Wavefront President and CEO, Brett Davidson. “We continue to receive international interest for Wavefront’s leading edge Powerwave custom stimulation approach and believe the Company will be adding to its growing roster of distributors in key oil-producing regions in the near term.”

View video here:

About Wavefront

Wavefront is a technology-based world leader in fluid injection technology for improved/enhanced oil recovery and groundwater restoration. Wavefront publicly trades on the TSX Venture Exchange under the symbol WEE and on the OTCQX under the symbol WFTSF. The Company’s website is www.onthewavefront.com.

In a collaborative effort, designed to improve vital protection of offshore assets, the Oil & Gas Technology Centre (OGTC) in Aberdeen, UK is successfully conducting trials of an advanced anti-corrosion coating on two North Sea offshore platforms.

The mission of the OGTC, which is jointly funded by the UK, Scottish, and Aberdeen governments, is to establish a culture of innovation that will consolidate Aberdeen’s and North-East Scotland’s position as a global hub for oil and gas technology and innovation.

The challenge, however, is that the UK’s North Sea is one of the most brutal climates in the world.  Often ice cold and windswept, the rigs in the North Sea face a constant corrosive onslaught of waves and salt spray. 

Traditional coatings simply cannot withstand the environment.  The cost of maintenance on a rig can be up to 100 times as expensive as land based maintenance because crews and supplies often have to be helicoptered out to the site, so when coatings fail it costs the asset owner enormous amounts of money.

After extensive research, OGTC identified a spray applied inorganic coating called EonCoat, from the Raleigh, North Carolina-based company of the same name, as a method of delivering long term protection for the offshore assets.  The anti-corrosive coating represents a new category of tough, Chemically Bonded Phosphate Ceramics (CBPCs) that can stop corrosion, ease application, and reduce offshore platform production downtime even in humid, storm or monsoon susceptible conditions.

OGTC worked with EonCoat’s UK distributor and applicator, SPi Performance Coatings, to implement two trial programs.  With OGTC’s vision and sponsorship, SPi applied EonCoat to a Total E&P platform and a Nexen platform, each of which is located on the UK continental shelf in the North Sea.

Total is a global integrated energy producer and provider, and a leading international oil and gas company, with operations in more than 130 countries.

Nexen, a wholly-owned subsidiary of CNOOC Limited, is an upstream oil and gas company responsibly developing energy resources in the UK North Sea, offshore West Africa, the United States and Western Canada.

Total E&P Trial

SPi applicators, along with EonCoat material and equipment, were helicoptered to Total’s Elgin ‘A’ Wellhead platform on December 17, 2017.  The coating was applied to areas of the platform’s lower deck that were suffering from severe corrosion, and a topcoat was added for aesthetics. 

Surface preparation for the trial was carried out by Muehlhan, a global provider of surface protection and industrial services with operations in shipping, oil and gas, renewables, and industry/infrastructure segments.

In the trial area, the existing coating system was completely removed from structural steel tubulars and flat plate.  The structure was power washed and degreased to remove contaminants.  All tubulars were blasted to SA2.5, and flat plate mechanically prepped to ST3. 

While rust rashing was visible on areas prior to spray application of the anti-corrosion coating, this was deemed acceptable due to its unique properties.  It can be applied to a damp substrate with rust rashing/flash rusting, and high salt levels do not degrade the coating, which reduces surface preparation requirements. 

The coating can cure in a single coat 15 minutes after application, depending on climatic conditions, which expedites completion, compared to traditional coatings, which require extensive drying time between coats.

In contrast to traditional coatings, which only form a physical barrier to corrosion until breached, EonCoat chemically bonds with bare substrate surfaces, providing an iron magnesium phosphate layer that prevents steel corrosion.  This process provides a very thin layer (about 2 microns) of permanent protection. 

A second layer – a tough ceramic outer shell – provides further protection, and also acts as a reservoir to re-phosphate the steel if needed.  This ensures the alloy layer remains intact, and allows it to “self heal” if it is ever breached by mechanical damage.

During this ongoing trial, testing has been done via cross cuts of about 6-8 inches in length down to the substrate to provide evidence of EonCoat’s self-healing properties.

Nexen Trial

After the early success of the Total E&P trial, a second offshore trial is now being conducted.  SPi applicators, as well as EonCoat material and equipment, were helicoptered to Nexen’s ‘Buzzard’ platform on June 18, 2018. 

After Stork, a Fluor company and global provider of integrated operations, maintenance, modification and asset integrity solutions, assisted with fabric maintenance and surface preparation, SPi applied the anti-corrosion coating to platform areas suffering from severe corrosion. 

While results from this second trial are still under consideration, they look extremely promising. 

“As oil and gas E&P companies look to combat offshore asset corrosion, extend safe production and reduce the need for costly maintenance and downtime, we look forward to working with OGTC, Total, Nexen, Muehlhan, Stork and other platform owner/operators in the North Sea,” concludes Merrick Alpert, President of EonCoat.

For more information, call 754-222-4919; visit www.eoncoat.com; or write to EonCoat, LLC at 551 Pylon Drive, Unit D, Raleigh, NC 27606.

Bay du Nord – The next big oil project offshore Newfoundland

It’s more good news for the oil and gas industry of Newfoundland and Labrador today. Hibernia, Terra Nova, was White Rose,  and Hebron are all producing oil. The West White Rose Extension is currently under construction.  Now the “sixth significant find” has arrived and will produce oil offshore Newfoundland, Bay du Nord.

Equinor Canada has taken a significant first step to advance the Bay du Nord prospect in the Flemish Pass Basin. They have given the notice to proceed officially. The green light was given to the Bay du Nord project today,  where Premier Ball was joined at the announcement by the Honourable Siobhan Coady, Minister of Natural Resources, Unni Fjaer, Vice President, Offshore Newfoundland, Equinor Canada, and Trevor Pritchard, Senior Vice President, Atlantic Region, Husky Energy, to finalize a framework agreement for the development of the Bay du Nord Project.

Unni Fjaer, Vice President, Offshore Newfoundland, Equinor Canada said, “This marks an important milestone to progress a successful development at the Bay du Nord discovery. This framework agreement provides important clarity and stability as Equinor and our partner Husky Energy work to move this project toward a sanction decision in the coming years. We also welcome our new equity partner, the province’s energy company, to the project. Equinor’s purpose – to turn natural resources into energy for people and progress for society – means we use our competence and technology to provide energy to a growing population in a safe and responsible way, and the Bay du Nord project presents an opportunity to achieve this offshore Newfoundland and Labrador.”

Unni Fjaer, Vice President, Offshore Newfoundland, Equinor Canada

With reserves of nearly 300 million barrels of oil, Bay du Nord is the first remote, deepwater project in the province’s offshore (500 kilometres from shore and approximately 1,200 metres deep). It opens a new basin – the Flemish Pass and is the first project to be negotiated under Newfoundland and Labrador’s generic oil royalty regulations.

Bay du Nord is a unique opportunity to generate significant value and increase the capacity and global competitiveness of the Newfoundland and Labrador oil and gas supply chain.

Bay Du Nord Benefits

The project has many benefits for the people of Newfoundland and Labrador, including:

• More than $14 billion in economic activity (in 2017 dollars);
• In-province employment of 22.3 million person hours over the life of the project (approximately 11,000 person years);
• Estimated $3.5 billion in government revenues;
• Expected in-province fabrication of 5,000 metric tonnes;
• Focus on subsea engineering and new fabrication capabilities;
• A minimum $75 million in research and development, and education and training expenditures over 10 years to position Newfoundland and Labrador as a deepwater centre of excellence; and
• Equity stake of 10 per cent.

The Bay du Nord Project aligns with Advance 2030 – The Way Forward on Oil and Gas, which was developed to position Newfoundland and Labrador as a globally preferred location for oil and gas development. The Way Forward outlines all actions the Provincial Government is taking to achieve a strong, diversified province with a high standard of living, and can be viewed at thewayforward.gov.nl.ca.

Premier Dwight Ball said, “Today marks the global recognition of Newfoundland and Labrador as a preferred location for deepwater production. Equinor and Husky’s commitment and investment in this project highlights the attractiveness of our industry and the potential that exists within this province in our offshore. This government is dedicated to bringing economic activity to our doorstep and the Bay du Nord Project will provide significant benefits including new employment opportunities over the life of the project. With today’s announcement, we take our first step into the new frontier, we mark a new era of deep-water exploration as well as the opening of a new basin – the Flemish Pass. The future of our offshore begins today.”

“The announcement of a framework agreement for the development of the Bay du Nord Project opens the next basin, establishes a deepwater field and will drive subsea development. It is an important step in achieving Advance 2030 – The Way Forward in Oil and Gas which is driven by an innovative, sustainable, local industry that is globally competitive, environmentally responsible, and maximizes benefits to the people of the province”, said Honourable Siobhan Coady, Minister of Natural Resources.

The welcome announcement included the plans of the Government of Newfoundland to join forces with EQUINOR (formerly Statoil) and become a 10% equity stakeholders in the project.  Bay de Nord as it will mean more equity for the province in royalties, profit shares, and tax gains.  The government of Newfoundland and Labrador predicts a return of a whopping $3.5 billion over the life of the project.

The $6.8 billion to develop the Bay du Nord project means more jobs for the province and more contractors for major and subcontractors to the project. $3.4 billion of the spending is expected to take place in Newfoundland over the course of the project during the development phase, and as a result in-province employment of 22.3 million person hours over the life of the project will occur. (approximately 11,000 person years); an additional 500 jobs increased in the offshore Newfoundland oil patch, during operations phase of the project.

What is an FPSO?

A floating production storage and offloading (FPSO) unit is a floating vessel used by the offshore oil and gas industry for the production and processing of hydrocarbons, and for the storage of oil. A FPSO vessel is designed to receive hydrocarbons produced by itself or from nearby platforms or subsea template, process them, and store oil until it can be offloaded onto a tanker or, less frequently, transported through a pipeline. FPSOs are preferred in frontier offshore regions as they are easy to install, and do not require a local pipeline infrastructure to export oil. FPSOs can be a conversion of an oil tanker or can be a vessel built specially for the application. A vessel used only to store oil (without processing it) is referred to as a floating storage and offloading (FSO) vessel.  (Wikipedia)

Sources: Equinor, Government of Newfoundland and Labrador, Wikipedia

ConocoPhillips (NYSE: COP) recently provided an update on its operating plan for Alaska, focusing on the company’s long history of creating value in the state and an ongoing commitment to invest in low cost of supply opportunities.

Over the past few years, the company’s Alaska business has undergone a significant transformation, driven by a more competitive fiscal framework, cost reductions, technological advancements and an exploration renaissance.

Highlights include:

• An outlook for continued investment and growth from investments in legacy assets and development of exploration success;

• Captured net resource of 2.0 billion barrels of oil equivalent (BBOE) of less than $40 per barrel cost of supply resource in legacy assets;

• Captured 0.5 – 1.1 BBOE of additional gross discovered resource associated with the exploration program in Alaska since 2016, with 75 percent of the play still undrilled; and

• Strong realizations driven by premium ANS-priced oil.

The company’s legacy asset base consists of a non-operated interest in the Prudhoe Bay Field, an operated interest in the Kuparuk Field and an operated interest in the Alpine Field/Western North Slope assets. In 2018, the company acquired additional interest in the Alpine Field/Western North Slope assets and announced it has entered into an agreement to acquire additional interest in the Kuparuk Field (which is subject to regulatory and other approvals). On a pro-forma basis including the recent transactions, the company estimates 2018 production from its legacy assets would be approximately 225 thousand barrels of oil equivalent per day (MBOED).

Since 2016, ConocoPhillips has undertaken a significant and successful exploration program in Alaska. Based on the exploration results to date, the company believes it has captured 0.5 – 1.1 BBOE of gross discovered resource, with 75 percent of its prospective exploration acreage still to be drilled. The cost of supply of the new resource is estimated to be less than $40 per barrel. The company has a 100 percent working interest in this resource.

In the Greater Willow Area, the company now estimates its 2016-2018 exploration and appraisal campaign has discovered 400-750 MMBOE of gross resource, with undrilled resource upside. The company believes this resource estimate is sufficient to justify developing the area with a stand-alone hub. Preliminarily, the company estimates first oil can be achieved by 2024-2025 for approximately $2-3 billion spent over the course of four to five years after final investment decision. Once first oil is achieved, the company anticipates ramping quickly to full production. Thereafter, the company estimates that an additional $2-3 billion of cumulative drilling capital will be executed over multiple years to maintain production at this facility. Efforts are underway to analyze and evaluate results from the 2018 appraisal season in order to advance development planning and future appraisal needs.

In addition to exploration in the Greater Willow Area, the 2018 exploration campaign included the drilling, coring and flow testing of the Putu and Stony Hill wells in the Narwhal trend south of Alpine. Additional appraisal is required for both discoveries, but current discovered resource is estimated to be between 100 and 350 MMBOE gross. The company also has a 100 percent working interest in this resource.

The company expects another active exploration and appraisal season in 2019.

“We believe that the company’s Alaska plan aligns with our disciplined, returns-focused strategy, supports Alaska’s economy and creates significant value for shareholders,” said Ryan Lance, chairman and chief executive officer. “Alaska provides competitive investment opportunities and will generate profitable growth from diversified investments with significant exploration upside. We are proud of the value we create for the State of Alaska through the revenues we generate, the jobs we create and the community investments we make. Our shareholders realize the advantages of ANS-priced oil, competitive cash and earnings margins from our operations and our years of expertise and sound stewardship. We plan to continue to strive to safely unlock the energy potential of this world-class oil province for years to come and play an active role in Alaska’s economic future.”

More information on the company’s Alaska outlook is available through an investor presentation on the ConocoPhillips Investor Relations site, www.conocophillips.com/investor.

About ConocoPhillips

ConocoPhillips is the world’s largest independent E&P company based on production and proved reserves. Headquartered in Houston, Texas, ConocoPhillips had operations and activities in 17 countries, $71 billion of total assets, and approximately 11,200 employees as of March 31, 2018. Production excluding Libya averaged 1,224 MBOED for the three months ended March 31, 2018, and proved reserves were 5.0 billion BOE as of Dec. 31, 2017.
For more information, go to www.conocophillips.com.

I thought a lot about that and realized that discontent comes from the disparity between where we are and where we can be. It’s that uncomfortable edge that has an annoying call that just won’t quit. There’s a reason for it. When it comes to Newfoundland’s offshore oil exploration and production rate, there is that same level of discontent. A disparity between where we are and where we could be.

Most other oil nations of the world have far surpassed our drilling success in the same amount of time.  Places like Norway and Abu Dhabi are booming and have their own investment funds which will secure their future. It took a national mindset with state-owned oil companies to get there. Underdeveloped countries like Guyana are setting out at a record pace. Check out Guyana

What’s stopping us?

Back in 1992 when John Crosbie, Cabot Martin, and other esteemed business community members, took the bull by the horns they invited the federal government to invest in our first offshore oil project, Hibernia. The federal government became a critical partner to ensure the project went ahead. That one move alone, ultimately became the catalyst for our offshore industry as it exists today. Government driven, that was entrepreneurial minded. We need more of that.

The Hibernia oil platform looked like it was never going to happen in the early 1990s when project stakeholder, Gulf,  pulled out of the project. At the time, the Canadian government had already offered $2.7 billion in loan guarantees and grants and then went on to further take an equity stake in the project. It proved to be an undeniably profitable move. The government still owns its stake in the Hibernia project and has done so for twenty years. In 2017, the government garnished $75 million in profit. The overall project picture is positive for the nation with $1.8-billion in dividends garnished since oil started flowing in 1997 which is an average of about $100-million a year. Investing in further offshore projects simply makes good business sense.

Fast forward to today. While I’m really proud of our four world-class oil-producing projects, I am also discontent with the disparity between our resource potential and our resource output. I’ve seen other oil regions of the world far surpass our drilling and finding ratio’s offshore. Not because we don’t have oil. We do. We are 1.5 times the size of the North Sea. And by all indicators have just as much oil, or more.

Newfoundland could have been as lucrative as the North Sea.  So why aren’t we?  Some say it’s political. Others say it’s regulatory issues.  Some say it’s the cost of labour and unions. Everyone has an opinion as to why we aren’t there yet. But where do those opinions get us? They get us a whole pile of reasons and justifications as to  “why not” and don’t really advance us. What we really need is the team that will make it happen regardless of the challenges.  The answer to our success is having people make it happen. Those who are willing to go beyond the status quo, like John Crosbie did, all those years ago, and make the “damn thing” happen. Get the job done.

That’s the attitude and leadership we need to drive exploration and drilling offshore. We need to get the federal and provincial government to step in like we did so many years ago and built our own oil exploration programs. Offering seismic data for other companies to become stronger, profitable and global in our region is one thing. Exploring and producing ourselves is another. We could be the “owners” of our own drill bits. And friggin’ well, why not?

Oil exploration is the key to oil industry growth in the region.

Oil Potential: The difference between a ‘have’ and ‘have-not’ province.

We have accumulated 60 years of data offshore, identified 650 leads and prospects and analyzed 112 offshore wells. All that data is available on the Nalcor Ness system designed to inform, educate and attract investors. Lets use that important information and invest in ourselves.

We have 20+ basins offshore Newfoundland and Labrador with very strong oil indicators. We could be so much further ahead. The conversation that it’s still “early days” doesn’t feel so good when we look at the North Sea having drilled 6000 + wells in about the same amount of time. Compared to the North Sea, offshore Newfoundland is 1.5 times bigger and we have drilled less than 200 wells offshore Newfoundland. 

With 20 + basins, does it mean that we could potentially be 20 times the offshore industry we have now? I feel it right down to my fog-filled bones; the answer is yes. Imagine 20 oil-producing basins with 3 or 4 oil projects producing in each one. An industry 20 times that of what it is today. Now that’s a game worth playing.

In this part of the world, we build castles in the sea. Giant concrete castles that bring oil to the surface. The greatest technological advances in the world happened here. The greatest minds are here. We don’t need the transfer of technology from other regions any longer. We are the technology.

With all that potential the only difference between being a “have” and a “have not” province is the decision and leadership to do so.  Shag the deficit, lets rise above all that and be profitable as a province and a nation, with energy.

Offshore Newfoundland: Nalcor Energy has identified 20+ basins. Graphic: Nalcor Energy

Invest in ourselves

Why are we waiting for other companies to invest offshore Newfoundland when we should be putting much more skin in the game and further investing in ourselves. That’s what entrepreneurs do; they take a huge, massive leap of faith and jump. That’s what the Feds did with Hibernia, and it worked to the tune of $billions in royalties for Canada and Newfoundland. That’s what Danny Williams was doing when he was in office creating equity for the province in our own projects. Thanks to the foresight of the Mulrooney government all those years ago, that initial federal investment paid off in spades. All indicators suggest that when it comes to oil and gas, investing in ourselves works. Newfoundland and Labrador has enjoyed yearly royalty returns of as much as $2.8 billion from the offshore oil industry. Imagine what that figure could be if we owned majority shares in our projects. All indicators point to one thing “do it yourself”.

That’s what Norway did with Statoil (STATE OIL). Today, it is a national oil company of stellar, record performance. Statoil was formed by the 2007 merger of Statoil with the oil and gas division of Norsk Hydro. As of 2017, the Government of Norway is the largest shareholder with 67% of the shares, while the rest is public stock. The ownership interest is managed by the Norwegian Ministry of Petroleum and Energy. Newly named Equinor, Statoil has evolved with a new brand and identity that embraces the new energy era. “The world is changing, and so is Statoil. The biggest transition our modern-day energy systems have ever seen is underway, and we aim to be at the forefront of this development. Our strategy remains firm. The name Equinor reflects ongoing changes and supports the always safe, high value and low carbon strategy we outlined last year,” says chair of the board in Statoil, Jon Erik Reinhardsen.

We can wait for the oil price to be right, we can wait for other companies to explore but it’s slow going bye’s. Slow as molasses, and it costs us our potential and global advantage. When I think about the 40,000+ Canadians who lost their jobs because of the oil price drop, you quickly realize that we have not secured our own future in Canada. We have not created a scenario of success regardless of market trends and outside influences. Provincially, we have not created the “no fail” solution for our offshore industry. Why haven’t we, when clearly the best insurance we have, is in developing our own resources ‘with’ our own resources?

Focus on what ‘can’ be done

We know that we have 25.5 billion barrels of oil and 20.6 trillion cubic feet of gas potential. Let’s get the stuff out of the seabed now because there is no promise of tomorrow. Let’s find that oil and double, triple or quadruple our current discoveries. We need to be like pirates going for the gold. Driven beyond driven. Not only does it take the tremendous seismic work that Nalcor did, to make oil and gas happen at the rate it should, but it also takes us having the guts to put our money where our mouth is and invest in ourselves, explore for oil ourselves, find oil ourselves. Forget fighting over Muskrat Falls project overruns. Focus on what ‘can be done’. It’s the fastest route to success.

Five years is the window of opportunity that we have for oil and gas exploration and infrastructure development before things dramatically change. Things like world oil demand in developing countries, world oil markets changing, pipeline access and security, established shipping lanes to market, global trade alliances, developing oil nations, the emergence of new energy and exponential technological advances will all impact our ability to succeed with oil and gas. We have five years to become the ‘owners of our destiny’. I’m afraid the 2030 plan may be a little too late.

Oil exploration and production have a lot of moving variables. We have to be strategic and laser sharp focused like the oil companies and get in there and make it happen. You have to ask yourself, are we going to act and be globally competitive and overcome oil market variables or are we going to sit around fighting with each other about policies and procedures and environmental agendas of nay-sayers. Do we have time for that?

We need to be a ‘hotbed’ of oil discoveries in this regions because success breeds success. We could have the entire world’s eyes on us as we show the world how to succeed with our resources. That’s exactly what Norway did with oil and gas and their fishery. That’s what Silicone Valley did with Technology. That’s what Dubai did with real estate. It’s a business play, and we can be in that game.

If we are not leaders, we will be followers

If we are not leaders, we will be followers, and we will feel the “direct impact of being a follower” and all the angst and loss that comes with it. Money loss, taxes loss, medical system loss, lifestyle loss, job loss, pension security loss, health, and wellbeing loss. We already saw it happen with the oil price drop and it wasn’t pretty. Imagine if we lose our oil foothold globally as the number three oil resource-rich nation in the world. We won’t be talking about oil environmental policy then, because we’ll be busy fighting for a job to pay the rent.

It seems like the federal focus is on new energy which is great and will provide us with a sustainable future. But people who work in the energy business know that new energy won’t happen without oil and gas. Oil and gas is the bridge to new energy. You can’t have one without the other. Oil and gas is the foundation of everything else we do. Oil is the one resource that makes every other industry work. Think of transport. Think plastics. 

With an idealistic view, as honorable as it may have seemed at the time, Masdar City in Abu Dhabi, had the vision of a zero-free carbon city until they realized it wasn’t possible without oil and gas. Let global experiences be our teacher.

The entrepreneurial mindset

When I started The OGM magazine six years before we had any oil in this province, I had no resources, no money, and no experience. But I created something from nothing. All guts as they say. No major credit to me because I’m not the only one. The majority of businesses in Newfoundland and Labrador are small to medium-sized companies who all did the exact same thing. We, as Newfoundlanders are bullish for business. We are hearty people, full of guts and determination. We had to be, we came from the fishery. That level of stamina and our “make it happen” attitude is our greatest resource.

I am now 55 years of age and have lived my life through the eyes of the oil and gas industry. I am informed and experienced enough to know that we aren’t even close to where we could be as an oil and gas nation and as a new energy provider. I want to be proactive and secure our future and the future of our companies and families. This is the place where the new energy mix arises. Where oil and gas will remain the leader in energy consumption overall. It is a time of exponential technological advancement. It is a time to strategically make it happen. It’s now or never.  It’s bull by the horns.

Sources, Graphics and Pictures:
ExxonMobil, Equinor, Nalcor Energy, Masdar, Government of Newfoundland and Labrador

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Husky is the first to bring this CGS technology to Newfoundland and Labrador. The platform is a fixed drilling rig, which will produce oil and tie it back to the existing SeaRose FPSO. The benefits of this technology include; improved drilling efficiency, reduced weather downtime which is important in harsh conditions, lower operating costs and greater resource recover.

Total project cost to first oil is $3.2 billion and total project costs over the life of the project are $5.2 billion. Much of this project cost will be spent with local and Canadian companies who are successful bidders on the work. Procurement opportunities for West White Rose can be found at HuskyEnergy.com. Significant financial benefits will come to the province including project royalties and corporate income tax.

The total platform height is 241 metres and the total CGS weight equals 210,100 tonnes. The Argentia Graving Dock where it is being built was completed in May of 2015 and is approximately 25 meters deep. This allows the CGS to be constructed completely in the dry dock. The total in-province person-hours is expected to be approximately 10 million. The project requires between 700 and 800 workers at the Argentia site during the peak construction phase.

More than 18 million person-hours will be utilized for the wellhead platform operations, creating approximately 250 new platform jobs as well as indirect employment for approximately 1,500 people. Extension of life of the field for the SeaRose FPSO will result in more than 11 million person-hours of additional work and continued employment for the crew of the SeaRose.

Project construction for West White Rose continues to advance at three main sites: Marystown, and Argentia, Newfoundland and Ingleside, Texas. First steel for the Topsides was cut in April 2018. The living quarters are progressing in Marystown currently.

In Argentia, supporting infrastructure has been installed such as piping infrastructure, the concrete batch plant, offices and more. Test pours have been completed and we will start pouring concrete later this year.

There are currently about 300 workers on the Argentia site and this is expected to peak at 700-800 workers over the summer of 2018.

Like many of the White Rose oil discoveries, this project will be a prosperous success for Husky Energy and it’s partners, the people of Newfoundland and Labrador as well as Canada. It’s a winner. Congratulations!

People who work on our offshore projects say that it’s a ‘dream come true’ and the highlight of their career because to be an engineer working on one of the greatest projects on the planet, is truly a privilege. These guys build castles in the sea.

When it comes to the world of oil discoveries and lucrative surrounding regions, White Rose is best-in-show. Its original predicted size is minuscule compared to what the full area potential is now showing decades later. That has been the trend for offshore Newfoundland. Every discovery has been a world-class project, a mega-find and always much bigger than originally thought. Because of this trend, these mega-projects have attracted some of the greatest companies to invest here and some of the greatest minds on the planet to come and work on them.

WHITE ROSE

The life of White Rose has been fascinating. First, it was White Rose the original field which was discovered in 1984 with the N-22 exploratory well. Following the initial discovery, eight additional wells were drilled to define the structure which revealed 230 million barrels of recoverable oil. The first satellite field discovered was the South White Rose Extension. It was followed by West White Rose (2006) and North Amethyst (2006). All three of these fields have since been brought online, or are in progress. Fast forward a few years, and we have the A-78 discovery at Northwest White Rose (2017) and the A-24 discovery (2018) about 10km north of the SeaRose. Evaluation of both of these new opportunities is continuing.

As seen in the schematic, West White Rose, A-24 and A-78 discovery wells are relatively close to the ‘original’ White Rose field. The SeaRose FPSO (floating production, storage and offloading vessel) is located and produces oil from the original White Rose field.

The West White Rose oil field will produce oil with an entirely different method. Alternatively to an FPSO, it was found cost-effective to produce oil in this field with a concrete base structure (CBS). An island out at sea this giant castle will be made of a mammoth concrete base as the foundation of the platform with a mini town on top (the topsides). The platform will draw oil from below the seabed and bring it up the platform where it will then be shipped to sell on global markets.

The West White Rose concrete platform is currently being constructed at the Port of Argentia, in Placentia, Newfoundland. To give you an indication of the scale of the concrete gravity structure, it will take over two years to build, thousands of people will be employed on the project and its construction costs alone are over $3 billion.

THE LASTEST DISCOVERY: A-24

The A24 well was spud on March 8, 2018, using the mobile offshore drilling unit (MODU), the Henry Goodrich. It was spud in a water depth of 126 meters. Husky Energy has spent the last two months drilling and testing the well. The well encountered approximately 85m of oil-bearing sandstones.

While it is a major oil discovery, the latest A-24 oil find is still in the evaluation phase. Husky Energy plans further delineation of A-24 and the North White Rose to get a better understanding of the broader opportunity in both of those findings. Results will be forthcoming as the company knows the full scope and scale of both of these lucrative opportunities.

Bets are on this project being highly successful, providing a very strong shareholder return of Husky Energy, a massive contribution to the economy of Newfoundland and the rest of Canada as well as providing much-needed work for contractors and suppliers.

We are thankful to Husky Energy for taking the risk and exploring in the region, and we are more than pleased that they are reaping its rewards. As a province and a country, we should be spudding some of our own wells given the track record of success in the region. State-owned companies, like Norway (Statoil), and Abu Dhabi (ADNOC). They did it right. They have the ticket to a sustainable future.