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New DNV GL JIP to Deal With Risks in Sour Gas Fields

Koheila Molazemi

In the operation and development of a sour gas field, a key challenge is ensuring the process safety and integrity of the asset and, most importantly, the safety of the personnel working with high concentrations of hydrogen sulphide (H2S). To help the industry manage the risks throughout the project’s lifecycle, DNV GL has now initiated a Joint Industry Project (JIP). Operators are invited to join this JIP to obtain synergies through the development of guidelines on design, construction, operations and training. Several sour gas fields are under development or in operation in different parts of the world. The focus is now on the Middle East, as this region looks likely to meet its soaring domestic energy demand through its large reserves. However, sour gas is toxic, highly corrosive and explosive, so both the development and operation of these fields are associated with a high risk level relating to Health, Safety and the Environment (HSE), process safety and integrity. “Facing these risks, and given the inadequate existing standards and best practices for handling high H2S concentrations, DNV GL has now initiated a JIP to develop international standards and guidelines specific to sour gas fields,” says Koheila Molazemi, DNV GL’s Risk Management and Advisory Service Line Manager in the UAE.

Spirit Energy 76 Discovers New Gas Field

Unocal Corporation's Spirit Energy 76 unit said a wildcat exploration well in 240 ft. of water on its 100-percent owned Ship Shoal block 295 offshore Louisiana has discovered a significant new natural gas field with an ultimate discovery volume of as much as 130 billion cubic feet (bcf). Spirit Energy also said its net production reached 175,000 boepd at the end of 1999. The company expects continued production strength into 2000 due to increased development activities and exploration success

Iran Orders Six LNG Tankers from China

According to a May 30 report from, Iran has ordered six tankers worth $1.2b from China for exporting the liquefied natural gas (LNG) it produces in the country's gas fields. China recently backed a U.S.-proposed draft resolution for further UN sanctions against Iran but has stressed that sanctions should not harm "normal trade" between the two countries. (Source:

Saipem Wins Offshore Contract in Saudi Arabia

According to a report from Reuters, Italian oil services firm Saipem (SPMI.MI) won a contract for offshore work at Saudi Aramco's [SDABO.UL] non-associated gas fields feeding Wasit, Saudi Arabia's biggest gas plant, industry sources said on March 1. Saipem is controlled by oil company Eni (ENI.MI).   (Source: Reuters)

Drydocks World World’s Largest Turret

Turret Completion WEB.jpg

Drydocks World marked a milestone in completing the world’s largest turret mooring system. At almost 100 meters high, weighing over 11,000 tons and with a diameter of 26 meters, the turret is designed to ensure the Prelude floating liquefied natural gas (FLNG) facility can operate safely in the most extreme weather conditions. This innovative FLNG storage and production facility will be stationed by Shell at its Prelude gas field off the northwest coast of Australia

New Zealand Mulls CNG Imports

New Zealand energy companies are considering importing compressed natural gas to help make up a possible gas shortfall when the Maui field runs dry in 2010, as reported in the New Zealand Herald. As the Maui gas field, off the south coast of Taranaki, nears the end of its life, concern is mounting about how to make up the energy shortfall if no new gas fields are found. CNG would overcome several objections to one of the alternatives gaining traction - the importation of liquefied natural gas

ClassNK Releases Guidelines for CNG Carriers

Classification society ClassNK has released its Guidelines for Compressed Natural Gas (CNG) Carriers.   Global economic and population growth is bringing about increased energy production and consumption. In its latest forecast, CEDIGAZ, an international not-for-profit association dedicated to natural gas information, predicts that global natural gas demand will grow by 1.8 percent a year from 2013 to 2035 with the largest portion of this growth coming from Asia-Oceania and the

Akkas Gas Field Development Hit By Iraq Crisis- KOGAS

Development of Iraq's Akkas gas field has been delayed because of the latest crisis in the OPEC member nation, South Korea's energy ministry said on Sunday, quoting project owner Korea Gas Corp. An official at the state-run gas company who is familiar with the matter also told Reuters the delay began last week as those who worked on pipeline tasks near the battles had fled to safe areas. "If the civil war expands and the U.S

Shell, Statoil Announce Joint Energy Plan

Shell and Statoil announced a plan to use carbon dioxide to increase offshore oil recovery in the North Sea. Carbon dioxide (CO2) would be captured from power generation and pumped into an underground reservoir to enhance oil recovery, resulting in increased energy production with lower CO2 impact. The project was estimated to cost about $1.4 billion dollars. The project, due to be phased in between 2010 and 2012, comprises a gas-fired power plant and methanol production facility at

Power Below the Waves: ABB Subsea Transformers

Subsea Transformer Located in Åsgard Compressor Station: Schematic credit ABB

ABB has delivered subsea transformers for fields in the North & Norwegian seas & the Gulf of Mexico for operation at depths of up to 2,000 m. Subsea transformers are an ABB innovation. Deployed in extreme conditions in ultra-deepwater, these high-tech workhorses provide the power for heavy-duty equipment on the sea floor - enabling declining oil and gas fields to be more productive and making new deepwater fields accessible.

Semco Maritime Wins Order for Culzean Field

Photo: Semco Maritime

Semco Maritime, a global provider of communications solutions, telecoms systems integration services and collaborative applications to the offshore oil and gas industry, has won a multi-million dollar contract to deliver communications systems and infrastructure for the production platforms at the

An Introduction To Offshore Project CAPEX

Graph: Clarksons Research

 Two high-level indicators of vessel and structure demand in the offshore sector are energy prices and oil company exploration & production (E&P) spending, says Clarksons Research.   A third, slightly more specific indicator is estimated offshore project capital expenditure

NYK Buys Stake in EMAS Chiyoda Subsea

(Photo: EMAS Chiyoda Subsea Limited)

NYK has acquired a 25 percent share of EMAS Chiyoda Subsea Limited (ECS), based on an agreement signed on June 10 with Ezra Holdings Limited (Ezra) and the Chiyoda Corporation (Chiyoda).   ECS is a global player in the engineering, procurement, construction

First FLNG Production Facility Completes Testing

Photo: Wison Offshore & Marine

The first natural gas floating liquefaction unit (FLNG) has completed performance testing at the Wison Offshore & Marine yard in Nantong, China, marking the first time LNG has been produced onboard a floating facility.   The performance test was carried out in the presence of

The Hague to Arbitrate East Timor-Australia Maritime Dispute

The Permanent Court of Arbitration in the Hague will oversee a compulsory arbitration between East Timor and Australia on their maritime boundary, it said on Monday, rejecting Australian objections. East Timor asked for the process which could decide on which side of the border lies a large oil

Philippines' Offshore Oil Still in Doubt

Production of oil still in troubled waters after South China Sea ruling By Enrico Dela Cruz   The Philippines, eager to resume development of vital oil and gas reserves off its coast, will likely need to reach an accord with a Chinese government infuriated by last week's ruling that

Malaysian Yard in Troubled Waters

Pic: THHeavy Engineering Berhad

 Malaysian shipyard TH Heavy Engineering (THHE) has been served with three winding-up petitions over an alleged debt of around $9.52million in total, for the supply of equipment and work done on the Layang floating, production, storage and offloading (FPSO) vessel.  

Fire at Prelude LNG Construction Site in South Korea

Happier Times: In May 2013 the price per barrel of oil was more than $100 and Shell ha laid the keel for Prelude FLNG, the world’s first floating liquefied natural gas (FLNG) project. (Courtesy of  Royal Dutch Shell)

Shell said a small fire occurred at the construction site in South Korea for its huge floating Prelude liquefied natural gas (LNG) project, with work resuming immediately and an investigation underway.   The incident would not have an impact on the delivery schedule

Icebreaker Launched for Sovcomflot

On June 30, 2016 a new icebreaking supply vessel (IBSV) was launched for Sovcomflot as part of a long-term agreement with Sakhalin Energy.   Due to be delivered in the fourth quarter of 2016, this reinforced ice class vessel has deadweight of 3

Norwegian Unions Say 755 O&G Workers Could Strike

About 755 Norwegian workers on seven oil and gas fields could go on strike from Saturday, hitting output from western Europe's top producer, if a new wage deal is not agreed before a Friday deadline, trade unions said on Monday.   A final round of mandatory talks will be hosted by a state

NYK to Buy Into Emas Chiyoda

From left:  Shogo Shibuya, President & CEO of Chiyoda Corporation, Lionel Lee, Group CEO & Managing Director of Ezra and Tadaaki Naito, president of NYK. Photo by NYK Line.

 Japanese shipping giant Nippon Yusen Kabushiki Kaisha (NYK) has agreed to invest in EMAS Chiyoda, a subsea services joint venture between oilfield services firm Ezra Holdings Ltd and Chiyoda Corp.   NYK has reached an agreement with Ezra Holdings Limited (Ezra) and Chiyoda Corporation

BP, Eni Make Gas Discovery off Egyptian Coast

Energy majors BP and Eni on Thursday announced a significant natural gas discovery off the Egyptian coast.   The discovery is in the Baltim southwest exploration prospect in the East Nile Delta.   It is 10 km north of the Nooros gas field which was discovered in July last year and

No New Australian LNG Projects Doesn't Mean No New LNG

Conventional wisdom in the liquefied natural gas (LNG) sector is that no new projects will be built for several years, given the vast cost can't be reconciled with the current low prices.   This view has led some in the industry to predict that the market will flip back to a structural

Primeline Turns Against CNOOC

Photo: Primeline Energy Holdings Inc.

 Primeline Energy Holdings Inc. announces that it has sent a letter to China National Offshore Oil Corporation (CNOOC) and CNOOC China Limited (CCL) (together CNOOC Group) giving formal notice of its intention to commence arbitration proceedings against CNOOC Group under the provisions of the

India Seeks Stake in Iran LNG Terminal

Dharmendra Pradhan. Photo: Petroleum Ministry, India

 Indian Petroleum Minister Minister Dharmendra Pradhan says India has expressed interest in setting up an LNG terminal at Chahabar port in Iran to ship back home natural gas from Persian Gulf nation, reports PTI.   India is ready to invest $20 billion in the development of Iran’s

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