Marine Link
Thursday, January 18, 2018

Shell News

Shell Announces Plan for Penguins Filed Redevelopment

Photo: Sevan Marine ASA

Shell announced the final investment decision for the Penguins field redevelopment project in the U.K. sector, which includes the construction of a new-build Sevan Marine designed cylindrical floating production, storage and offloading (FPSO) vessel. The Penguins field is in 165 metres of water, approximately 150 miles north east of the Shetland Islands. Discovered in 1974, the field was first developed in 2002 and is a joint venture between Shell (50 percent and operator) and ExxonMobil (50 percent).

SBM Offshore Hands over FPSO Turritella to Shell

Turritella (Photo: Shell)

SBM Offshore said it has completed the transaction related to the sale of floating production storage and offloading (FPSO) vessel Turritella to Shell E and P Offshore Services B.V.   Shell exercised an option to purchase the FPSO from SBM Offshore in summer 2017.    The Turritella FPSO is contracted for the Stones deepwater development in the Gulf of Mexico, which began production in 2016.   The vessel has a daily production capacity of approximately 60,000 barrels of oil and 15 million cubic feet of natural gas.

Oil Heist Uncovered at Shell's Biggest Refinery

File Image (CREDIT: AdobeStock / (c) Leeylutung)

Police say 17 arrested in connection with oil theft; 11 charged; Shell expects "short delay" in operations due to case. Eleven men were charged in a Singapore court on Tuesday in connection with a large-scale oil theft at Shell's biggest refinery, while police said they were investigating six other men arrested in a weekend raid. Police in the island-state said on Tuesday they had detained 17 men, whose ages ranged from 30 to 63, and seized millions of dollars in cash and a small tanker during their investigations into theft at the Pulau Bukom industrial site…

Petrobras: Fire Contained on Platform in Lula Field

File photo: P-66 FPSO sailing to its final destination (Courtesy Petrobras)

Brazil's state-controlled oil company Petróleo Brasileiro said on Tuesday a fire at a platform in the Santos Basin was contained and did not cause injuries or environmental damage.   Production there remains halted until safety tests can be completed, the company said. The fire was discovered early on Tuesday on a floating production storage and offloading (FPSO) unit in the Lula Field. The unit is operated by Petrobras in consortium with Royal Dutch Shell and Petrogal .   Reporting by Marta Nogueira

Kuwait Signs LNG Import Deal With Shell

Photo: Shell

Kuwait Petroleum Corp. (KPC) has signed a 15-year liquefied natural gas import deal with Royal Dutch Shell Plc to help the oil exporting nation meet growing domestic energy demand. A report in Bloomberg said that the sales purchasing agreement with Shell International Trading Middle East Ltd. will start in 2020. The contract will cover 2 million to 3 million metric tons of LNG a year. The volumes delivered under the contract will be used to fire up KPC’s power stations. A press…

Nordic American Tankers Signs TC with Cepsa

Photo: Nordic American Tankers

Nordic American Tankers has announced that it entered into an one-year term charter with the major Spanish oil company Cepsa for a ship. The company says  is the 2004 built Nordic Castor is expected to be delivered on the time charter in late February for a contract of up to 15 months. "She is expected to be delivered on the time charter late February, subject to a satisfactory inspection in next discharge port. The fact that NAT has only one million barrel suezmax ships allows us to achieve economies of scale. The agreed rate secures a good cash flow," said a company statement.

Shell & Hyundai Open S. Korea Base Oil Plant

S. Korea plant opening: Photo Shell Lubrication

A joint venture company formed by Shell and Hyundai Oilbank, has inaugurated a new base oil manufacturing plant in Daesan, South Korea. The plant has the capacity to produce approximately 13,000 barrels per day or 650 kilotonnes of API Group II base oils per year. (Base oils are the key component of finished lubricants, making up on average of 60-80% of the end product). Mark Gainsborough, Executive Vice President for Shell Lubricants, said: “As the demand for higher quality lubricants is on the rise in Asia…

Shell Launches New Trunk Piston Engine Oils

Marcus Schaerer, Shell Marine Global Marketing Manager (Photo: Shell)

Shell Marine has unveiled its next generation Shell Argina and Shell Gadinia trunk piston oils for the medium-speed engine market. As owners face pressures to shift toward cleaner fuels that address emissions regulations, Shell said demand for distillates and low-sulphur heavy fuel oil will only increase as shipping approaches a global fuel sulphur content cap of 0.5 percent, imposed by IMO from 2020. Already, dual-fuel engines are taking an increasing share of the medium speed market.

Shell Charter Named Asprella

A new 10,000-dwt product carrier specially built with a shallow draft was built at the Frisian Shipyard, Welgelegen in the Netherlands, and named Asprella. The double-hulled vessel, leased from Pritchard Gordon Tankers Ltd. and chartered by Shell, is purpose built for shallow draft trade, and will be employed by Shell for trade on South American Rivers for Shell's activities based in the Caribbean. "Asprella will enable Shell to continue developing its strenght in the niche product market for specailist vessels, thereby adding value to the bottom line," said Jeff Jarman, Shipping Portfolio Manager for Shell Trading, as quoted in the April edition of Shell's house magazine. Asprella was named by Elisabeth De Cuba, wife of John De Cuba, who was, until recently, G.M.

NCS Survey Wins Shell Rig Position Deal

NCS Survey, an Acteon company, won a rig positioning contract by Shell. The contract covers Shell’s four entities in Europe; Shell UK Ltd, Nederlandse Aardolie Maatschappij BV, A/S Norske Shell and Shell E&P Ireland Ltd. The contract is for three years with two one-year extension options. This is the second time that NCS Survey has been awarded such a contract by Shell, first one being in December 2006 less than 18 months after the company was incorporated. Andy Gray, NCS Survey president, said, “We are delighted that Shell has selected NCS Survey to provide the positioning services on board its rigs for the next few years.

EPA Fines Shell for Clean Air Act Permit Violations during Offshore Oil Exploration in Alaska

The U.S. Environmental Protection Agency announced settlements with Shell Gulf of Mexico, Inc. and Shell Offshore, Inc. for violations of their Clean Air Act permits for arctic oil and gas exploration drilling in the Chukchi and Beaufort Seas, off the North Slope of Alaska. Based on EPA’s inspections and Shell’s excess emission reports, EPA documented numerous air permit violations for Shell’s Discoverer and Kulluk drill ship fleets, during the approximately two months the vessels operated during the 2012 drilling season. Shell has agreed to pay a $710,000 penalty for violations of the Discoverer air permit and a $390,000 penalty for violations of the Kulluk air permit. EPA issued the Clean Air Act Outer Continental Shelf permits for Shell’s operations in early 2012.

More Operators Relying on Oil Condition Monitoring -Shell

Photo: Shell

As of April 2016, Shell Marine Products (SMP) has analyzed more than 50,000 cylinder drain oils samples via its Shell Rapid Lubricants Analysis (RLA) oil condition monitoring service. By identifying potential oil or equipment issues before they become critical, many shipping companies use Shell RLA as part of their planned maintenance regime. Shell RLA helps to deliver greater equipment reliability and reduced downtime. Shell said this service has grown rapidly in recent years…

Organizational Changes at Shell

and Production Africa Limited (SEPA) and Shell Nigeria Exploration and Production Company Limited (SNEPCO) (together hereinafter referred to as "Shell") announced the intent to improve efficiency and reduce costs, taking advantage of synergies between companies and eliminating duplication, under a project called 'One Shell'. Under One Shell, there will, for example, be one Production organization, one Development organization, one Projects organization, in addition to the sharing of support services. SEPA, SPDC and SNEPCO will continue to discharge all of their respective corporate and contractual obligations as fully functioning separate legal entities. Management of the business affairs of the companies will remain vested in their respective Boards.

Qatargas to Supply LNG to Shell

Photo: Qatargas Operating Company Limited

Qatargas and Shell have signed a memorandum of understanding (MOU) that will lead to the two companies jointly researching liquefied natural gas (LNG) logistics. Through this joint logistics research collaboration, Qatargas and Shell aim to develop new ways to optimize supply chains to deliver to LNG global markets. The research will be conducted at the Qatar Shell Research & Technology Centre at the Qatar Science & Technology Park. The MOU was signed by Faisal Al Suwaidi, Chairman and Chief Executive Officer of Qatargas Operating Company…

iSURVEY Bags rig positioning, surveying contract with Shell

Andrew McMurtrie, managing director Photo iSURVEY

iSURVEY has secured a non exclusive call-off contract with Shell UK Ltd, Shell NAM, Norske Shell and Shell E&P Ireland for the provision of rig positioning and surveying services. With an effective date of 1 January 2017, the three year contract, which has the option of up to two, one year extensions, will see iSURVEY provide non exclusive rig and surface positioning services, subsurface positioning and dimensional control and platform surveys to Shell’s mobile offshore drilling units.

NOIA Congratulates Shell

“Today we congratulate Shell on the completion of a successful and historic drilling season offshore Alaska. This is an important achievement for Shell, for the offshore industry and for the nation. Shell conducted the first drilling we’ve seen in offshore Alaska in decades; and in two sites simultaneously. With all the necessary permits in hand, Shell drilled preparatory wells in both the Beaufort and Chukchi Seas safely and responsibly. Shell’s perseverance and success in the region should be encouraging to our entire industry.

Shell Pay a Million to Settle Arctic EPA Violations

Kulluk drill rig: Photo courtesy of USCG

The U.S. Environmental Protection Agency has announced settlements with Shell Gulf of Mexico Inc. and Shell Offshore Inc. concerning numerous air permit violations by Shell's 'Discoverer' and 'Kulluk' drill ships during the 2012 Arctic drilling season. On September 5, 2013, EPA settled with Shell for violations of their Clean Air Act outer Continental Shelf permits for arctic oil and gas exploration drilling in the Chukchi and Beaufort Seas, off the North Slope of Alaska. Based on EPA's inspections and Shell's excess emission reports…

Shell Developing U.S. LNG Fueling Network

Shell and TravelCenters of America LLC (TA) to develop network of (LNG) fueling centers for road users; alongside that Shell is developing a marine bunkering infrastructure. Shell has been working to develop the LNG for Transport market globally. Last year, they announced their intention to collaborate with TA  and the finalization of that agreement is a major step toward making LNG fuels a reality for the U.S. heavy duty road customers. Shell has also announced that it will invest in two small-scale LNG production units that form the basis of two new LNG transport corridors in the Great Lakes and Gulf Coast regions that will provide LNG to marine and heavy duty road customers. This brings the total to three planned Shell LNG production units dedicated to transport in North America.

Subsea Umbilical Frame Agreement

Aker Solutions has signed a frame agreement with Shell Norway and Shell U.K. Limited for the supply of subsea umbilicals. The contract is awarded for one year with an option to extend it an additional 12 months. The award means that Aker Solutions will be the preferred supplier of steel tube umbilicals for projects in the North Sea that are managed by Shell's Norwegian and UK operations. Aker Solutions has held similar frame agreements with Shell UK since 2001. "We have delivered several well-functioning umbilical systems to Shell already. We are therefore in a position where we can look at re-using previous solutions. This can both reduce risk and speed up delivery time…

Eni Buys out Shell's Stake in Evans Shoal Gas Field

Photo: ENI

Italy's Eni announces the purchase of a 32.5% stake in the Evans Shoal gas field in the Timor Sea, Australia. The field is located offshore in the NT/P48 exploration permit in the north Bonaparte Basin, around 300km northwest of Darwin, where there is an existing LNG plant precinct. The undeveloped Evans Shoal field, discovered in 1998, holds expected gas in place of up to 7 trillion cubic feet. In late October 2011, Eni reached an agreement with Australian based company Santos Ltd to purchase its 40% equity share.

Shell Gets APD for limited Arctic Drilling

Bureau of Safety and Environmental Enforcement (BSEE) personnel conducted inspections of Shell Oil Co. marine vessels Noble Discoverer and the semi-submersible drilling unit Transocean Polar Pioneer in Dutch Harbor, Alaska

After extensive review and under a robust array of safety requirements, Bureau of Safety and Environmental Enforcement (BSEE) Director Brian Salerno today announced that Shell has received conditional approval of two Applications for Permits to Drill (APD) to conduct limited exploratory drilling activities in the Chukchi Sea offshore Alaska. Specifically, the APDs limit Shell to drilling only the top sections of wells and prohibit Shell from drilling into oil-bearing zones. Shell currently is not permitted to drill into oil-bearing zones because…

Shell Ready for ECA Challenges

Photo: Shell

Since the implementation of Emission Control Areas (ECAs) on January 1, 2015, ships entering waters in the Baltic Sea; the North Sea; the North American ECA, including most of the U.S. and Canadian coast, as well as the French overseas collectivities of St. Pierre and Miquelon; and the U.S. Caribbean ECA, including Puerto Rico and the US Virgin Islands Sea had to use fuels with up to 0.1% sulphur content. Shell Marine Products (SMP) was the first to introduce a complete line of ECA-approved marine lubricants in September 2014.

Shell Launches Breakthrough Engine Oil

Shell scientists developed Shell Alexia S4 based on their unique 20 year understanding of oil stress –the factors which degrade lubricants. Its unique combination of additives makes it more resistant to these stresses.

Shell today launched Shell Alexia S4, its most innovative marine engine oil in a generation. Unlike conventional cylinder oils, it can be used across a wide range of vessel and engine types, fuel specifications, loads and climates– from the Antarctic to the Amazon to the Suez Canal. This means vessels no longer need to carry multiple oils. Shell Alexia S4 also works effectively at any vessel speed, including slow and ultra slow– especially important to modern ships that have to vary speeds to reduce fuel consumption and meet strict timetables.

Maritime Reporter Magazine Cover Dec 2017 - The Great Ships of 2017

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