The easy barrels are gone

Exploration is moving progressively to deeper waters and more distant locations than in times gone by. In response, the oil and gas industry is turning to floating production storage and offloading (FPSO) technology. Together with FSO (floating storage and offloading), FPSO holds the keys to future productivity, and Norwegian companies are in the thick of the competition.

Norwegian strength can often be found in tradition, combined with excellent modern technology and service. Fred Olsen Production is one of Norway’s most respected and solidly established floating production operators, coming from a group of companies known as the backbone of Norwegian shipping for over 150 years. With offices in Norway, United States, Singapore and several in Africa, the company is well positioned to operate their fleet of seven FPSO and FSO units on an international basis as the need arises.
 
Currently in a period of expansion, Fred Olsen Production is now setting its sights on Southeast Asia and South America. According to Chief Operating Officer Paal Hylin, “We see an ongoing growth of the FPSO and FSO activities worldwide, and our company is well positioned as a strong competitor in the future.”
 
Prosafe’s FPSO Polvo commenced operations at the Polvo field in Brazil for Devon in July 2007.
© Prosafe

The Global Perspective
StatoilHydro is a Fortune 500 company, and fully understands the importance of being on technology’s cutting edge. The company has numerous international projects involving FPSO technology, including the Nigerian Agbami field, developed with subsea wells tied back to an FPSO vessel. With a storage capacity of over two million barrels and an oil processing capacity of 250,000 barrels of oil per day, the Agbami FPSO is among the biggest of its kind in the world. This cooperative project with Chevron as the chief operator will begin production in 2008.
 
Nexus Floating Production, located in Singapore with its project office in Norway, recently entered into a turnkey contract with Samsung Heavy Industries for construction of a complete advanced FPSO. This FPSO will be operationally equipped to meet the most demanding operational situations, and is scheduled to be delivered in 2009. This FPSO will be joined by a second vessel, also ordered by Samsung, to be delivered in 2010.
 
Solid as a Rock
Prosafe ranks as the world’s leading owner and operator of semi-submersible accommodation/service rigs, and as a leading owner and operator of FPSOs. The company’s floating production division owns and operates seven vessels, and additionally, three tankers are being converted to FPSOs with production beginning in early 2009. Specializing in the supply, lease and operation of cost-effective vessels, Prosafe is widely known for its innovative turret mooring system designs and a solid proven track record.
 
Prosafe recently announced the extension of the FPSO Petróleo Nautipa contract until 2015 for operations at the Etame field offshore Gabon, West Africa. This is the latest in a series of successes for this global company, and as Karine Cosemans, Director of Communication for Prosafe indicates, “Oil and gas companies worldwide have understood that Prosafe delivers solid performance over the long run. This combined with in-house technology and innovative solutions give the company a very optimistic view of the future.”
 
Safety First
FPSO safety is a regulatory requirement taken very seriously by Norway’s Petroleum Safety Authority (PSA). This supervising body is mandated the authority by Norwegian Parliament to oversee, stipulate policy and evaluate, making certain that all companies, their facilities, their products, and activities maintain high standards of health, environment, safety and emergency preparedness.
 
According to PSA’s press spokesperson Inger Anda, safety can never be compromised, “Norwegian oil and gas companies have the ambition of leading the world in HSE. To continue improvements within this area, we need novel and creative thinking, and the PSA is working closely with the industry to continually move in the direction of the highest levels of health and safety.”
 
No Boundaries
Aker is a name known throughout the world for its ship-building prowess, and recently Aker Floating Production was awarded yet another large contract in India. This USD 100 million five-year contract will be managed by subsidiary Aker Borgestad Operations, and according to President Svein Olsen, “This contract marks the achievement of yet another milestone.” This agreement with the India-based Reliance Industries is in addition to an earlier USD 750 million contract between the companies for the chartering of the Aker Smart 1 FPSO.
 
Sevan Marine ASA specializes in building, owning and operating floating units for offshore applications. As of the autumn 2007, Sevan had one production unit, the FPSO SevanPiranema, in operation and has four other Sevan units contracted, including one drilling unit to begin drill operations in 2009. Considering that five Sevan platforms are currently contracted, in addition to four Sevan 300 floating, production and storage units (FPSOs), and one drilling unit, all based on the Sevan technology, the future looks bright for both the company and its customers.
 
Presently Sevan Marine is focusing on two application types for its cylinder platform, floating production and drilling. “We believe in a strong market for Sevan units in the years ahead. The industry is looking for cost-effective solutions that can optimize their production and drilling campaigns, and we would like to help them,” says Jan Erik Tveteraas, CEO of Sevan Marine ASA.
 
FPSO Sevan Piranema making its arrival at Salvador, Brazil. 
© Sevan Marine

Towards a Bright Future
Norwegian industry is noted for an innovative culture that produces ambitious new companies, and the FPSO sector is no exception. These include FPSOcean, established in 2005, and Kanfa, a company delivering EPC contracts to the offshore oil and gas industry, primarily to the global FPSO market.
 
Modern technology, good business sense and a strong emphasis on environmental awareness are the trademarks of the Norwegian oil and gas industry. Although the easy oil may be gone, that doesn’t deter the FPSO companies in Norway. They are prepared for your future. 

 

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