The Inside Track on the Subsea Oil &

Transcription

1 The Inside Track on the Subsea Oil & Gas Industry Neil Douglas Managing Director, Viper Subsea

2 My Background Graduated from Bristol in 1984 in Electrical & Electronic Engineering Joined Marconi Avionics (Nailsea), intending to stay for 2 years (left after 23 years) In week 3 was sent to Costa Dorada for 3 months for site work Worked onshore and offshore for 5 years as a design engineer Graduated from Cranfield in 1990 with a Masters in Subsea Engineering Re-joined Marconi Avionics Took on a systems role Career Progression through to Project management Experienced three major acquisitions of the Company Ultimately became GE Oil & Gas Global Technical Director for Subsea Controls Left GE to establish Viper Subsea in 2007

3 Agenda What is the Subsea Oil & Gas Industry? The worldwide oil & gas supply challenge Why is it a technically challenging and interesting industry? Why is the future good? What type of engineers are needed? What are the opportunities? How do you get into the industry

4 The oil industry: library pictures = public perception?

5 Hydrocarbon Reservoir System Gas Cap Entrapment Migration Generation Oil Water Source Rock Seal Rock Reservoir Rock 120 F 350 F 24803

6 Offshore Development Systems

7 Traditional Development

8 Deviated Drilling to maximise reach

9 Traditional Field Expansion

10 Expansion using Subsea Well

11 Expansion using Multiple Subsea Wells

12 Why Bother with a Platform? A Typical Subsea Development

13 Atlantis concept

14 Atlantis size

15 FPSO West of Shetland

16 Typical Subsea Development Layout vetcogray

17 Subsea Horizontal Tree Subsea Control Module

18 Current Mobile Drilling Unit Day Rates Item Typical Cost 5 th generation Management 5,500 $/d Financial, amortization and profit 250, ,000 $/d Marine crew cost 38,000 $/d Drilling crew cost 26,000 $/d Maintenance including classification cost 21,500 $/d Catering 13,500 $/d Insurance 10,500 $/d Total day rate 365, ,000 us$/d High Repair Costs = Need for high reliability equipment

19 The Challenge Facing the Industry

20 World s Liquid Fuels Supply

21 Oil resources Gas to liquids Coal-to-liquids Biodiesel Cellulosic biomass Source: BP Statistical review; USGS, S.A. Holditch; Rand corporation Tar sands Ethanol New EOR Oil shale

22 Technology as a key enabler Arctic regions Mature areas Exploration technology New environments Reservoir management Subsea field development Heavy oil Gas chain technologies Environmental technologies Great depths 18

23 THE GOM : Deepwater Focus Areas Shelf <50m Shallow water <100m Deepwater <1000m Green Canyon Atwater Valley Ultra Deepwaters Alaminos Canyon Walker Ridge <3000m

24 Walker Ridge Area Challenges: Deep water (1,200 to 3,000 meters); Loop currents (Eddy s); Deep reservoirs (8,000 to 10,000 meters, sub salt); High pressure reservoirs : 15,000 psi to 25,000 psi (1,000 bar to 17,000 bar); High reservoir temperatures: up to 400 F (204 C) Low permeability reservoirs (down to 5mD); Low energy reservoirs (low GOR).

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26 The Arctic The Final Frontier Encompasses an area of some 26,000km 2, and is home to 18 oil & gas basins. US geological survey reckons it contains as much as 25% of the world s remaining hydrocarbon resource. However, there appears to be less oil and more gas than once thought. (75% to 85% gas) Resource volumes are estimated to total 233 billion boe, with a further 166 billion boe yet to find.

27 Arctic Issues Zero Discharge to NO Discharge Long-distance Oil Govt Regulations Fluids Management Transport Physical Environment Subzero water temperatures Extreme onshore conditions: cold Thermal Management Access Issues Separation of Oil, Gas & Water Operations Optimization Geographical Location Onshore midday night/ midnight sun Seasonal icepack threats People Management Access/travel Issues Structural Optimization Waste Management

28 Arctic Environment Ice Pressure Ridges Ice Floes Vessel Loading & Position Keeping

29 The Arctic Cold & Deep Working Environment

30 Subsea Power Systems Transformer Switch Cable Subsea VSD Motor Pump Wet-mate Connection Connector Grid

31 Subsea Power Systems MECON TM wet mate-able connector system, kv/500a/ 1500mWD rating Face of 3-pin plug

32 Oil and Gas is not just that

33 Renewables & Technology Re-Use Wind Solar Photovoltaic Solar Thermal Hydro Geothermal Energy Ocean Energy Tidal Energy Wave Energy Hydrogen and Fuel cells Biomass / Bio Fuels

34 Power from offshore wave generation to shore Wave Hub is a UK Government funded project via the Southwest Regional Development Agency(SWRDA) Image by Industrial Art Studio Ltd

35 Pushing subsea frontiers The industry offers great opportunities for engineers Electronics Electrical Communications Software Mechanical Civil Marine Environmental Chemical Materials Welding Naval Mathematics Project Management QHSE Robotics

36 The Future for Bristol Graduates Plenty of alternative industries and options Very few will be design engineers in 10 years You are the future managers and leaders of industry Find a niche it is healthy for your careers and finances

37 Where to start some examples The Oil Companies International Oil Companies: BP, Shell, Chevron, Total, Agip, ExxonMobil, ConocoPhillips National Oil Companies: Statoil (Norway), Saudi Aramco, Gazprom (Russia), Pemex (Mexico), Sonatrach (Algeria), INOC (Iraq), PetroChina, KPC (Kuwait), Petrobras (Brazil), Petronas (Malaysia) Independents: Burlington Resources, CNR, Dana Petroleum, Encana, Murphy Oil, Nexen, Tullow Oil, Talisman, Venture, Enterprise, Kerr-McGee, Parenco, Fairfield, Cairn Energy, Valient, Centrica The First Tier Vendors Cameron, Aker Solutions, FMC, GE Oil & Gas, Schlumberger, Technip, Halliburton, Baker Oil Tools, Weatherford, Technip, Oceaneering, Subsea7 Independent Engineering & Product Supply Companies Viper Subsea, Teledyne, Parker Hannifin, Expro, Siemens, JP Kenny, Prospect FS, Emerson, ABB

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