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Wednesday, September 19, 2018

Deepwater News

Oil Companies Make Few Bids in US Offshore Lease Auction

© flyingrussian / Adobe Stock

Oil companies bid on less than 1 percent of the parcels offered in a sweeping U.S. auction of Gulf of Mexico exploration leases on Wednesday, showing tepid interest in the region for the second time this year.Oil giant Exxon Mobil Corp was awarded 25 blocks, the largest of any company, followed by BP Plc with 19 high bids and Hess Corp and Equinor, which each had 16.Smaller companies, including Talos Energy Offshore, Houston Energy and W&T Offshore were among the top ten high bidders. In total, 23 companies bid in the U.S.

Signs of Recovery in the US Gulf of Mexico

© Theerapong / Adobe Stock

Today's U.S. auction of Gulf of Mexico exploration leases drew tepid response from oil companies, but marked notable progress for an industry still in a state of recovery.“While not a barn burner, Lease Sale 251 tops the previous Gulf sale in terms of increased participation, increased competition for offerings, and bid amounts,” said Randall Luthi, president of the National Ocean Industries Association (NOIA). “In addition, bidding activity demonstrates both continued interest in deepwater tracts and renewed interest in shallow water tracts.”Luthi continued…

Shipbuilding: “We had shipyard for dinner …”

Brothers and co-presidents Peter Duclos (left) and John Duclos flank sister Carol Hegarty, CFO. Photo: Greg Trauthwein

The Duclos family is iconic in boatbuilding circles, as the Somerset, Mass.-based Gladding-Hearn, Duclos Corporation, has built a strong heritage in the pilot boat and fast ferry sectors, and in total more than 425 vessels have been delivered since it was founded in 1955. Today a trio of second-generation siblings run the yard, brothers and co-presidents John and Peter Duclos with sister Carol Hegarty serving as CFO. Maritime Reporter & Engineering News visited the yard recently…

Ocean Installer Wins First Contract in China

Image: Ocean Installer

Ocean Installer has been awarded a contract for 3rd Party Verification and Engineering Support work for the Liuhua 29-1 Gas Field Development located in the South China Sea.The work scope encompasses 3rd party verification of detailed design and subsea construction engineering, as well as various other support functions to the client’s engineering team.This is the company’s first job in China, and Ocean Installer will conduct the work as a subcontractor to COOEC Subsea Technology Co.…

McDermott Wins Shell Contract for Gulf of Mexico

Image: McDermott

McDermott International announced a contract from Shell Exploration and Production Company, a subsidiary of Royal Dutch Shell (Shell) plc, for subsea umbilical and flowline installation at the Perdido development, located 230 miles south of Galveston, Texas, in the Gulf of Mexico."This award strengthens McDermott's relationship with Shell as we work together to safely and competitively deliver this next-generation deepwater energy project," said Richard Heo, McDermott's Senior Vice President for North, Central and South America.

Offshore Optimism is Cautiously on the Rise

file Image (CREDIT: Harvey Gulf)

Following the path of oil prices, consolidation also follows myriad financial crises. What happens next isn’t altogether clear, but the long, deep trough for offshore energy may finally be in our choppy wake.In mid 2017, financial turnaround and financial repairs specialist Alix Partners made a bold statement regarding the beleaguered Offshore Service Vessel (OSV) marketplace. In a July 2017 report, following an analysis of 44 participants in the business, the restructuring team wrote: “The industry faces grave financial pressure…

SBM Offshore Signs up with SolstadFarstad for Normand Installer

Normand Installer. Photo: SolstadFarstad ASA

Norwegian offshore shipping company Solstad Farstad has renewed its frame agreement with SBM Offshore for the charter of the construction support vessel (CSV) Normand Installer for 2019 and 2020.As per the agreement, the 2006-built construction vessel will work for at least 114 days in 2019 and 105 days by 2020.The shipbuilder Ulstein Verft built 123.6 m long Normand Installer is owned by Normand Installer SA (NISA), which is 50/50 owned by SBM Offshore and Solstad Farstad.The Normand Installer is a deepwater construction vessel and has been on a similar contracts with SBM.Lately…

GMP Terminal de France Contracts Kalmar for Capacity Expansion

Photo: Cargotec Finland Oy

Kalmar, part of Cargotec, has been awarded a contract to heighten four ZPMC ship-to-shore (STS) cranes operated by Generale de Manutention Portuaire (GMP), a joint venture between DP World and Terminal Link (CMA-CGM), located in the port of Le Havre.The order was booked in Cargotec's 2018 second quarter order intake, and the project is scheduled to commence in the 3rd quarter of 2018.Guy Sansone, Technical Director, GMP: "The decision to partner with Kalmar was placed mainly because of their proven track record and the technical expertise of their dedicated crane upgrades team.

Aqualis Offshore to Position Egina FPSO

(Photo: Aqualis Offshore)

Aqualis Offshore has been handed the position keeping role for installation of the floating production storage offloading unit (FPSO) at Total’s Egina field offshore Nigeria.EPCIC contractor for the $3.3 billion FPSO, Samsung Heavy Industries, has awarded the position keeping work to Aqualis Offshore. The newbuild Egina FPSO was towed from South Korea and arrived in Nigeria in late January for final integration of topside modules built in Lagos.The FPSO measures approximately…

Kongsberg's Operational Advisory Solution for Harsh Environment Semi-Submersible

Photo: Kongsberg Maritime

Odfjell Drilling has awarded Kongsberg Maritime the contract to deliver a real-time monitoring and advisory solution to provide operational safety and non-productive time (NPT) improvements for the 6th generation semi-submersible, Deepsea Stavanger. The contract is in specific relation to an upcoming offshore South Africa campaign awarded to Odfjell Drilling.Kongsberg Maritime’s integrated services and systems delivery for Deepsea Stavanger is designed to provide high operational safety and availability in deepwater harsh environments, strong currents and high waves.

Ultra-Deepwater Port Location Revealed at Shetland

Image: Lerwick Port Authority

Scottish Government identifies Dales Voe in Lerwick in Shetland  as “preferred site” for an "ultra deep water" decommissioning port after UK-wide feasibility study.Scotland’s supply chain could be set to win more large scale decommissioning projects, after Dales Voe in Shetland has been identified as the optimal location for an ultra-deep water port.The Lerwick location was selected following a UK-wide feasibility study, conducted by Ernst and Young, has as the optimal and most…

Electrification in a New Era for the O&G Industry

(File photo courtesy of BP)

With the recovery in oil prices, deepwater and ultradeep water oil and gas (O&G) projects are the focus of renewed interest. Project viability will come down to a continued focus on cost, but also productivity through high-performing assets. And electrification is set to drive a dramatic impact of these high-tech production facilities for more efficient operations.Following a prolonged downturn in prices, a flicker of life has returned to offshore production projects with oil recovering to around $70/barrel.

Gulf of Mexico Lease Sale to Test Response to Trump-era Regulations

(File photo: Shell)

A federal auction of exploration leases in the Gulf of Mexico next week will test energy companies' appetite for acreage after the Trump administration left royalty rates for deepwater parcels unchanged, bucking an industry call to lower them.The U.S. Gulf of Mexico has faced waning interest in recent years as competition stepped up from other basins globally, as well as from onshore shale basins and Mexico's waters in the Gulf.Oil companies had lobbied for lower royalty payments for deepwater acreage because of the projects' high cost and long lead time before production can begin.

Cantium Contracts Rowan Jack-up

 Image: Rowan Companies plc

Rowan Companies plc announced that the Rowan EXL III, an EXL Class high specification jack-up rig, has been awarded a six-month contract from Cantium in the U.S. Gulf of Mexico.The contract is expected to commence in early November 2018. The EXL III is currently under contract with Cantium in the U.S. Gulf of Mexico through mid to late August 2018. Rowan is a global provider of contract drilling services with a fleet of 27 mobile offshore drilling units, composed of 23 self-elevating jack-up rigs and four ultra-deepwater drillships.The Company's fleet operates worldwide…

Noble Chooses Kongsberg for Drillship Monitoring Package

Noble Bob Douglas (left) and Noble Tom Madden. Photo: Noble Corporation plc

Noble Corporation has contracted Kongsberg Maritime to deliver an advanced new real-time monitoring and advisory solution for the Noble Tom Madden drillship.The contract reflects a growing requirement for deep technology integration on drilling platforms and ships, where sharing vital data on board and ashore results in a state-of-the-art real-time monitoring and advisory solution that will provide significant benefits for operational safety while reducing non-productive time (NPT).The Gusto P10000 design Noble Tom Madden deepwater drillship will join Noble Corporation’s Noble Bob Douglas…

Shipyard in Focus: Conrad Shipyard

Oceangoing tug Kapena Jack Young built for Young Brothers Ltd in Honolulu conducts sea trials
south of Port Fourchon

Parker Conrad, a shipbuilding pioneer and a legend along the Gulf of Mexico coast and beyond, founded Conrad Shipyard in 1948. The company, headquartered in Morgan City, Louisiana, is now a public company with new generations of Conrad’s at the helm. “I grew up in the shipyard working side by side with my father,” said Johnny Conrad, President, Chairman and CEO explains. “I saw firsthand how he treated customers, and how his handshake was as good as a contract. Many of our current customers did business with Parker…

Transocean to Buy Ocean Rig in $2.7 Bln Deal

© Eugenio Roqueñi / MarineTraffic.com

Offshore oil driller Transocean Ltd said on Tuesday it would buy peer Ocean Rig UDW Inc in a $2.7 billion cash-and-stock deal, its second major acquisition this year as the company bets on a recovery in the offshore sector.The acquisition signals new optimism for offshore drillers, which were hit hard by the steep plunge in oil prices from 2014. Offshore projects, which are more costly than onshore work and take years to develop, became less attractive after oil prices fell to below $30 a barrel in 2016.Global crude prices have since recovered to above $70…

Maersk to Pursue Separate Listing of Maersk Drilling

Photo: Maersk Drilling

Danish shipping company A.P. Moller-Maersk has decided to pursue a demerger with its offshore drilling operation Maersk Drilling  via a separate listing of Maersk Drilling on Nasdaq Copenhagen in 2019.Maersk Drilling will become a stand-alone company next year as its parent company continues its exit from the oil and gas business.Having evaluated the different options available for Maersk Drilling, A.P. Moller – Maersk has concluded that listing Maersk Drilling as a standalone company presents the most optimal prospects for its shareholders…

ABS Issues Subsea Processing Advisory

Image: American Bureau of Shipping (ABS)

ABS has developed the Subsea Processing System (SPRS) Advisory that provides an overview of the SPRS and associated sub-systems that are currently available and addresses its technology maturity level.The advisory also describes the role of ABS as an independent classification society in the verification and validation of subsea processing technologies including new/unproven technologies through the ABS New Technology Qualification services.The advisory is the first in a series of publications planned by ABS over the next few years.

McDermott Pipelayer Set for Major Refit

(Image: Royal IHC)

The Netherlands based Royal IHC said it has been awarded a contract to modify McDermott International Inc.’s pipelay and construction vessel Amazon. The scope includes the delivery of an innovative and complete J-lay system to the Houston based company.IHC will be responsible for the overall management of the modification project, from the design through to the integration of the new equipment. It includes the construction and installation of the IHC-designed and patented J-lay system…

Harvey Gulf Announces New BoD

Shane Guidry, Harvey Gulf CEO

Harvey Gulf International Marine’s parent, HGIM Corp., has announced the appointment of a new Board of Directors to serve following the company’s emergence from Chapter 11 proceedings.The seven member Board includes two current members remaining on the Board and five new members, each with expertise in individual areas particularly suited to support the company’s operation and development and collectively, creating a leadership platform that will enable Harvey Gulf to adjust and thrive in an ever-changing market. Shane Guidry. Mr.

Kosmos Energy Acquired DGE for $1.23 Bln

(File photo courtesy of Deep Gulf Energy)

Kosmos Energy has agreed to acquire Deep Gulf Energy (DGE) from its private equity owner for $1.23 billion, according to a bourse filing on Monday, expanding the deepwater oil and gas firm's operations into the Gulf of Mexico.Dallas-based Kosmos, which currently operates in Africa and South America, will pay $925 million in cash and $300 million in Kosmos common stock to acquire DGE, with the transaction expected to close towards the end of the third quarter.Acquiring DGE's business will increase Kosmos' production by more than 50 percent to 70,000 barrels of oil equivalent per day (boed) from

Trafigura to Build U.S. Deep-Water Oil Port

Image: Trafigura

Swiss commodities trader Trafigura has applied to build a deep-water port in Corpus Christi, Texas, on the Gulf of Mexico, which will be able to load supertankers, reports FT.The report said that the plan would see the commodity house build an offshore deepwater port facility  with a view to accommodate very large crude carriers (VLCC) capable of carrying more than 2m barrels of crude. It requires approval from the US Department of Transportation’s maritime division.According to a Reuters report…

Maritime Reporter Magazine Cover Sep 2018 - Maritime Port & Ship Security

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