Shell Offshore News

This week Esgian’s Week 50 Rig Analytics Market Roundup notes developments in the semisub sector including that Shell has decided to exercise its option on Stena Don in the North Sea but not on Deepsea Bollsta in Namibia. Meanwhile, a new contract for the Transocean Barents will see it operate in the Black Sea, and jackup Shelf Drilling Perseverance will move to Vietnam.ContractsShelf Drilling has secured a contract award for the 400ft Shelf Drilling Perseverance jackup rig with PetroVietnam Domestic Exploration Production Operating Company Limited (PVEP POC).

An offshore wind hub is coming to the site of the former Avondale Shipyard in Louisiana as the region ramps up to service the growing renewable energy industry in the U.S. Gulf of Mexico.New Orleans-based Gulf Wind Technology (GWT) announced Monday it is collaborating with energy supermajor Shell to establish a research, training and technology demonstration program at GWT’s facility within the Avondale Global Gateway in Jefferson Parish.The news comes after the Biden administration…

Offshore engineering and construction company McDermott said Monday it had completed a liquefied natural gas (LNG) construction study  for Shell, "identifying tangible reduction pathways toward net-zero construction emissions."The results of this study provide a strategic framework for reducing greenhouse gas (GHG) emissions in LNG facilities during the project execution phase, McDermott said."Operators continue to seek actionable plans to advance their commitments to net-zero emissions by 2050…

Offshore installation firm McDermott said Monday that its upgraded Amazon vessel was coming to the Gulf of Mexico to support a subsea contract for the Whale Development in Alaminos Canyon.Oil major Shell in July reached a final investment decision for its Whale deepwater field development. Discovered in 2017, Whale will feature a semi-submersible production host in more than 8,600 feet (2621 meters) of water with 15 oil-producing wells.McDermott will provide engineering, procurement…

Offshore drilling contractor Noble Corporation has sent a force majeure notice to its client Shell over the Noble Globetrotter II drillship contract after the rig was damaged earlier this week in the U.S. Gulf of Mexico in severe weather during Hurricane Ida. The 2013-built ultra-deepwater drillship has a contract with Shell lasting until early September 2023 at a flexible day rate of at least $275,000.U.S. Coast Guard said Wednesday that the drillship, located 80 nautical miles south, southeast of Grand Isle, La., in the Gulf of Mexico, had sustained damage and that a plan was being developed to bring the vessel into port for repairs.Around 140 crew members were on board when the storm hit, Reuters reported earlier this week, citing USCG petty officer Carlos Galarza said.Noble Corp.

Sembcorp Marine Rigs & Floaters Pte. Ltd. has won a contract from Shell Offshore Inc. to build and integrate the topside and hull of a Floating Production Unit (FPU) for the Whale field in the Gulf of Mexico.The agreement precedes a final investment decision (FID) for the full Whale project, expected to be made next year by Shell. It paves the way for the Whale FPU to move ahead and take advantage of synergies from the ongoing Shell Vito FPU, currently under construction at Sembcorp Marine’s Tuas Boulevard Yard, the builder said.

Project Manager to Temporarily Lead Alaska Operations. Cook Inlet Tug & Barge (CITB), an independently managed subsidiary of Foss Maritime Company, announced that Foss project manager Amber Thomas has been selected as interim Business Operations Manager for Anchorage. Beginning January 2, Thomas will serve as the central point person for administrative and commercial operations, leading all shoreside activities in Anchorage and Seward. Thomas will take on the temporary position while the search continues for a new president to replace former CITB head Ben Stevens.

Oil major Royal Dutch Shell said its U.S. unit had made one of its biggest oil discoveries in the past decade in the Whale deepwater well in the U.S. Gulf of Mexico. The Whale is operated by Shell and co-owned by U.S. oil giant Chevron Corp. "Evaluation of the discovery was ongoing, and appraisal drilling is underway to further delineate the discovery and define development options," Shell Offshore Inc said in a statement without giving figures. Shell has three Gulf of Mexico deepwater projects under construction -- Appomattox, Kaikias and Coulomb Phase 2. It has added more than one billion barrels of oil equivalent (boe) resources in the last decade in the Gulf of Mexico.

Three offshore oil workers filed a lawsuit against units of Royal Dutch Shell and Enbridge, seeking $1 million in damages for injuries they allegedly received during a Nov. 8 fire on a U.S. Gulf of Mexico production platform. The suit, filed in Galveston County court in Texas on Dec. 5, claims safety lapses on Shell's Enchilada platform caused severe injuries to the three. The complaint seeks more than $1 million in damages from Shell International Exploration and Production, Shell Offshore…

Sembcorp Marine announced that its wholly-owned subsidiary Sembcorp Marine Rigs & Floaters has signed a Letter of Intent (LOI) with Shell Offshore for the construction of the hull and topside as well as the integration of the Vito floating production unit (FPU). If the project moves forward, the Vito FPU will be a new facility located in the Mississippi Canyon, approximately 150 miles south of New Orleans, Louisiana, USA, in water depth of 4,050 ft. Comprising a single topside module supported by a 4-column semisubmersible floating hull, the Vito FPU is designed with a throughput capacity of 100,000 bpd of oil and 100 MMSCFD of gas. Final contract award will be dependent upon Shell and its partners sanctioning the project.

The Bureau of Safety and Environmental Enforcement is continuing its investigation of the oil release from Shell Offshore Inc.’s Glider Field on May 12. The Glider Field, located approximately 97 miles south of Port Fourchon, LA, includes subsea wells and the field’s production flows to the Brutus Platform. BSEE Gulf of Mexico Regional Director Lars Herbst formally established an Investigative Panel May 16. The seven-member panel is comprised of BSEE engineers, inspectors, and investigators. The panel will conduct a thorough investigation of the incident in order to identify the causes and any contributing issues that led to the release.

Shell Offshore Inc. today marked the delivery of the third liquefied natural gas (LNG) powered offshore supply vessel (OSV) in Port Fourchon, La. The new vessel, Harvey Liberty, chartered from specialist company Harvey Gulf International Marine, will join sister ships, Harvey Energy and Harvey Power, and support Shell’s deepwater operations in the Gulf of Mexico. “This is an important milestone for Shell and Harvey Gulf,” said Tahir Faruqui, Shell’s General Manager LNG North America.

The Turritella joint venture led by SBM Offshore has completed the project financing of FPSO Turritella for a total of $800 million. Project financing was secured by a consortium of 12 international banks with an average cost of debt of 3.5 percent over the 10 year post-completion maturity. FPSO Turritella is owned and operated by a joint venture owned by affiliated companies of SBM Offshore (55 percent), Mitsubishi Corporation (30 percent) and Nippon Yusen Kabushiki Kaisha (15 percent). The vessel is a typical Generation 2 design with a processing capacity of up to 60,000 barrels of oil per day and 15 mmscf/d of gas treatment and export.

COSCO Shipping    Company    Limited    (COSCOL)    signed    a contract with  Shell    Offshore    Inc.    on    6    July    2015,    for the transportation    of the Appomattox    semi-submersible offshore platform    hull    from    South    Korea    to Ingleside,    Texas. This    contract    was    awarded    as    part    of    an Enterprise frame agreement    between Shell and COSCOL.    Shell’s    41,165    metric    ton    hull    will    be    transported on COSCOL’s    new-building    98,000    deadweight    ton    vessel “Guang    Hua    Kou”.        The    “Guang    Hua Kou”    is    currently under    construction    at    the    COMEC    shipyard    in Guangzhou,    China    and    expected    to    be  delivered    in to service    late 2016.

NYK has made the decision to invest jointly with the Mitsubishi Corporation (MC) in the chartering, operation, and maintenance of a floating production, storage, and offloading (FPSO) vessel* in the Stones project, an ultra-deep-sea field in the Gulf of Mexico 2,900 meters below the surface and approximately 320 kilometers off the shore of the U.S. state of Louisiana. The Stones project is owned and operated by Shell Offshore Inc., a group of Royal Dutch Shell plc., and NYK and MC have entered a consortium with SBM Offshore, which has been entrusted by Shell Offshore Inc. to lead the FPSO operation. NYK currently participates in three FPSO businesses in waters off Brazil, and the consortium-owned FPSO used in this project (FPSO Turritella) will be the fourth FPSO venture for NYK.

SBM Offshore has entered an agreement with Mitsubishi Corporation (MC) and Nippon Yusen Kabushiki Kaisha (NYK Line) for the acquisition of a stake in the joint venture companies incorporated for the purpose of owning and operating Floating Production Storage and Offloading (FPSO) Turritella, the company announced today. Mitsubishi Corporation (30 percent interest) and NYK Line (15 percent interest) have acquired a 45 percent combined stake in the joint venture companies. SBM Offshore…

Oceaneering International, Inc. has entered into a two-year, multiservice vessel charter agreement with Shell Offshore Inc. for use of the Ocean Alliance in the U.S. Gulf of Mexico (GOM) commencing January 1, 2015. The Ocean Alliance is a U.S. flagged vessel built in 2010 with an overall length of approximately 309 feet (94 meters), a Class 2 dynamic positioning system, accommodations for 69 personnel, a helideck, a 150-ton active heave compensated crane and a working moonpool.

Noble Drilling (U.S.) LLC was charged with environmental and maritime crimes for operating the drill ship Noble Discoverer and the drilling unit Kulluk in violation of federal law in Alaska in 2012, the Department of Justice announced. Under the terms of a plea agreement filed in federal court today, Noble will plead guilty to eight felony offenses, pay $12.2 million dollars in fines and community service payments, implement a comprehensive Environmental Compliance Plan, and will be placed on probation for four years. In addition, Noble’s parent corporation, Noble Corporation plc, headquartered in London, England, will implement an Environmental…

Both of Shell's offshore drill rigs used during last year's oil exploration season to be transported to Asian shipyards for inspection and repair. The decision suggests the Kulluk and the Noble Discoverer -- Shell's only drilling rigs for the Arctic -- need major work and calls into further question whether Shell will be able to resume drilling in the Chukchi and Beaufort seas this year. Two federal investigations are under way into Shell's Alaska operations, reports the 'Anchorage Daily News'. With both of its Arctic rigs in need of repair, Shell hasn't made any decision on drilling this year. It must have two rigs at the ready, with one serving as a backup to drill a relief well in case of a blowout.

Louisiana Gulf Coast Oil Exposition (LAGCOE) appointed its 2013 officers, according to LAGCOE Executive Director Angela Cring. Kirby Arceneaux has been named 2013 LAGCOE Chairman. Since 2001, Arceneaux has been an active contributor to the success of LAGCOE, serving continuously in leadership roles on Public Relations, Exhibit Judges and Executive Committees as well as serving on the Board of Directors. Arceneaux is Chairman of Environmental Drilling Solutions, LLC, a solids control/waste management firm based in Lafayette, La., with operations in many of the shale plays across North America. Prior to this, Arceneaux was President of Wellbore Energy Solutions…

Chet Morrison Contractors hired industry veteran Metin Gezer as Vice President of Land Construction Services. Gezer is one of several recent leadership additions who will provide support and infrastructure to foster the growth of the company’s construction services for both onshore and marine environments. Gezer brings over 25 years of planning and operations experience in the oil and gas industry, both domestically and internationally, and has a background in midstream, refining, petro-chemicals, pipelines, industrial gases and specialty chemicals.

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…

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.