Search

Pan Malaysia Maintenance, Construction and Modification (PM-MCM) Contract 2018 – 2023 is a PETRONAS-led initiative in collaboration with Malaysian Oil & Gas Operators, which are also known as Petroleum Arrangement Contractors (PAC), aimed at cost optimization through the technical standardization of offshore Hook-up and Commissioning (HUC) and Topsides Major Maintenance (TMM) works. The initiative was participated by ten (10) Petroleum Arrangement Contractors (PACs) operating in Malaysia (redundant). The initiative competitiveness relied heavily on the number participating PACs in order to accumulate and integrate sufficient volume of work through sharing of their long-term offshore work plan over a period of 5 years with active contribution on lessons learned, best practices, and challenges. Leveraging on high volume of work per region will generate the economics of scale thus drive cost reduction. The technical standardization is achieved through the identification of minimum requirements for each work (HUC and TMM) by operators, and where applicable, common specifications are accordingly derived. This simplifies the requirements and accordingly reduces the number of specifications to be complied across the region, thus, effectively allows the HUC/TMM Contractors to competitively quote the best price for the services. Apart from the technical standardization and optimization above, the initiative is further supplemented through the standardization of the Contract Terms and Conditions among the PACs. However, landing to an agreement amongst the ten (10) established Oil & Gas Companies was crucial and considered as a major challenge, as each company had operated differently under their own set of Terms & Conditions. Despite this, consensus achieved towards standardization. In assisting the tender evaluation and aligning with PETRONAS’ effort towards Digitalization of its Busines Operation, digital tools were deployed. Online eAuction and digital bid price analyzer were extensively used to commercially evaluate and to identify best value for PETRONAS and PACs, respectively. In conclusion, the PM-MCM contract was successfully awarded with a significant cost reduction against the original estimated cost by approximately 40%. In comparison to previous contracts, Pan Malaysia MCM also recorded significant reduction in most of the unit rates of similar services rendered. Market feedbacks obtained by participating bidderss indicated that the standardization had indeed helped the participants to lower their prices. Pan Malaysia Maintenance, Construction and Modification Contract has brought forward industry players into one crucial objective of cost optimization. The collaboration between PETRONAS and PAC which resulting for greater impact and value to all players involved through productivity improvement and cost reduction.

The analysis of root causes of the latest Major Accidents in the Oil&Gas industry has shown that there is little correlation between having and religiously following an effective Occupational Health & Safety Management System and the assurance of Asset Integrity. While Asset Integrity may be considered as a well-established framework in offshore drilling and production operations, this is not yet the case for typical offshore construction operations. Saipem has developed an Asset Integrity Management Model, based on internationally recognized standards, aimed at controlling the risks related to Major Accident Hazards posed by the offshore operations in the company portfolio, including offshore construction. The model identifies the Safety Case as the key process to analyse Major Accident Scenarios. The Safety Case identifies barriers in place to prevent escalation to major events and, when failing to prevent, at least to mitigate final consequences. Barriers entail a mix of three main types of Safety Critical Elements: Equipment, Competences and Procedures. While the identification and assurance of Performance Standards of (Safety Critical) Equipment is systematic and supported by a consolidated approach, the same cannot always be said for Safety Critical Competences and Safety Critical Procedures, due to their "soft" nature. As for Equipment, where key parameters outline the expected performance (e.g. functionality, reliability/availability, vulnerability), for Safety Critical Competences and Safety Critical Procedures an equivalent set shall be established. Another major challenge is posed by setting meaningful and effective KPIs to monitor all key elements that contribute to building Asset Integrity. Examples are Performance Standards of Safety Critical Elements, Management of Change, Procurement & Design of Equipment, Document Management, Communication & Awareness. Asset Integrity lagging and leading indicators are available in the literature, especially for Process Safety, but in the field of offshore construction, this is not the case. Saipem is pioneering the implementation of an Asset Integrity approach onboard Offshore Construction Vessels, addressing in particular non-marine Safety Critical Equipment, Competences and Procedures.

The offshore installation market is presently undergoing great changes: new high-performance offshore installation vessels are being delivered while older ones are decommissioned. This paper investigates the current status of installation vessels worldwide, providing reliable and up-to-date information on the vessels effectively available and reporting about their technical capabilities (selected key features only). There are only a limited number of technical papers that investigate the status of the offshore installation vessels worldwide and discuss their capabilities providing a comprehensive picture of this evolving market. Focusing on the technical capabilities of the offshore installation vessels will benefit future projects in multiple ways: (a) to ensure that field development planning and the design of subsea equipment take into account what installation vessels can do in a given location, and to create components that are reasonably easier to handle and install, thus reducing installation costs; (b) to enable project teams to be more aware of what the installation vessels market is offering now and in the near future, in order to make a more informed decision on the vessels to be selected for a given project. The main technical contributions offered by this paper are: (a) the systematic gathering of information available, but dispersed, in the public domain; (b) the elaboration and critical discussion of the technical data collected and the identification of the current installation capabilities; and (c) the use of the numerical results obtained to identify opportunities to reduce installation costs. The information presented in this paper may not be completely new, but the way it is presented and discussed is original and novel.

ADMA-OPCO is the pioneering offshore Oil and Gas Producer in Abu Dhabi, UAE dating back to the 1950s. ADMA-OPCO operates more than 1500 km of sub sea pipeline network, built over the years as part of the progressive development in Umm Shaif and Zakum fields. ADMA-OPCO vision is to work effectively as one integrated team to produce hydrocarbons from offshore areas aspiring to excellence in all aspects of the business. This paper identifies ADMA-OPCO current key challenges being faced in and around existing developments, "Brownfields" considering the additional challenges imposed by the extensively busy oil & gas market.

Abstract There is a growing need for converting jack-up drilling rigs to Mobile Offshore Production Units for early production, long-term testing and as a low cost reusable alternative to platforms for short life marginal fields. Installing process equipment on drilling rigs offers a unique set of challenges. These include new loads imposed upon the rig, storage of hydrocarbon liquids. gas venting and flaring, location of and installation of equipment, safety considerations and installation of pipeline risers. The specific technical challenge of converting jack-up rigs for Mobile Offshore Production Units (MOPU) is discussed with example solutions from two projects, one installed in Venezuela and one off the West Coast of Africa. Introduction The design of process equipment to be installed on jack-up rigs presents unique problems that must be addressed at the early stages of a design project. Care must be exercised to ensure that process equipment is designed in such a way as to minimize structural modifications. Often rig geometry is such as to severely limit access by dockside cranes and this must be taken into account early in the design for construction planning. On the other hand, jack-up drilling rigs have several existing features that can be utilized to help create economical designs. Hull tanks can be utilized for hydrocarbon liquid storage with proper safety design, modifications and inspection. For gas venting and flaring, that portion of a leg extending above the rig deck can be utilized as part of a flare tower. Proper design of the vent scrubber can reduce the chances of flaming liquid carryover from the flare tip. Rig and personnel safety systems, after proper evaluation, can be retrofitted for fire and gas detection. Various methods of installing process equipment modules on the rig deck can be utilized depending upon the size of the modules, shape of the rig, location of the rig legs and the width of the drill slot. Depending upon the design of the rig legs, pipeline risers may be installed and supported inside the legs and may be able to be pre-installed during the rig modification work. These points are discussed below using examples from two MOPU projects recently completed by Paragon. One was for Dresser-Rand, which consisted of two MOPU compressor units installed in 100 feet of water in Venezuela's Lake Maracaibo, and the other was for United Meridian International Corporation (UMIC), which was installed in 230 feet of water offshore Africa's Ivory Coast. For both projects, Paragon was responsible for detailed engineering, construction management and overall project management. The organization for the construction management team for the Venezuelan conversions is described in Reference 1. Paragon had overall project management responsibility for the UMIC project including aiding in selection of the jack-up, detail design and supervising the activities of Zentech, Inc. Zentech provided hull structural design analysis, hull modifications' design and coordinated American Bureau of Shipping certification approval. P. 19

Abstract A computational method is described for calculating the detailed dynamics of fixed offshore platform cranes based on finite element techniques. The method can be used to calculate stresses in individual areas of the crane during the lift; the calculations are valid for any typical offshore fixed platform boom crane. Transient amplification factors are quoted. The dynamical behaviour of the crane is described including the effect of damping introduced into the boom hoist system and discussed with regard to the operation of crane safety systems. The main conclusion is that crane dynamic motion can delay recognition of an emergency situation and that the introduction of damping can considerably reduce the dynamics related problems and reduce the derating of the crane. Introduction The use of cranes offshore, including lifting from moving supply boats, has meant that dynamic effects have become a major problem involving greatly increased stresses on the crane as compared with normal land use. There are always transient increases in stresses above the static equilibrium values during any crane lift, but they can normally be kept manageably controlled by hauling the load in sufficiently slowly. Lifting offshore from a supply boat requires often that a lift must be made as fast as possible, to avoid danger to personnel and load on the boat deck and such snatched lifts involve the maximum line speed. Additionally, if a lift is misjudged the load may have considerable initial velocity downwards due to deck velocity and this again increases the transient stress amplification. Further, the crane may need to be used with its boom fully extended which increases the moment arm on the crane support system. Because transient amplification may be considered as increasing the apparent load seen by the crane the simplest approach to remove the problem has been to derate the crane, i.e., to reduce the maximum permissible load by a deration factor depending on the configuration of the crane and the sea-state in which the lifts are to be carried out. General formula have been quoted for deration factors, but they have typically been based on a single spring mass model of a crane. It is important to have more exact methods for calculating the detailed motions and stresses in different parts of a crane during a lift. Firstly, the simple models do not give correct deration factors; for example these vary for different parts of the crane. Additionally, there exist various crane safety monitoring systems which measure a variety of parameters on the crane during lifting such as lift-line tension and boom hoist tension or which monitor the crane hydraulics. To evaluate or intelligently design such systems it is necessary to have mathematical models which can predict the values of these parameters and their time dependent behaviour. Consequently, we have developed a computer simulation method based initially on a full and detailed finite element respresentation of a crane and its supporting system. From this, as a basis and for economy of computer time, an adequate but simpler mass and stiffness matrix model may be derived, and after calclation of time history response, these can be re-expanded to give detailed stress histories at any required location. The time calculation is carried out in two parts, before and after lift-off, so that any given prescribed deck motion can be dealt with, and the winding in of cables is fully represented by a set of equivalent forces. This method of calculation allows various features and systems additional to a normal crane configuration to be modeled, for example, sudden changes in stiffness of the hoist cable and damping etc. This facility has been used to discuss crane design.

Abstract This paper represents a general assessment of the primary factors driving the market for mobile offshore drilling rigs and the utility of those factors as choice variables for the offshore drilling program planner. Introduction The market for offshore rigs follows the dictates of classical economic analysis with buyer and seller each seeking to maximize profit subject to the constraints of the profit subject to the constraints of the marketplace. The operator will attempt to maximize profit from drilling operations by minimizing profit from drilling operations by minimizing rig costs while the contractor attempts to simultaneously manage fleet size, dayrates, and operating costs. Assuming contractor pricing behavior can be represented statistically and that operators can adjudge rig quality within limits, it should be possible to ascertain the relative importance of factors such as rig age, market utilization rates and increasing new rig costs on the profit maximization problem faced by the operator. The analysis which follows represents a general framework which may be useful to the operator seeking additional control of rig costs or a means of realistically planning for the cost of future programs. EVOLUTION OF THE OFFSHORE CONTRACT DRILLING INDUSTRY The origin of the offshore contract drilling industry actually postdates offshore drilling per se by several years. Initial attempts to per se by several years. Initial attempts to drill offshore were almost exclusively the domain of oil companies and it was not until the mid - 1950's that the drilling contractor began to assume the role of providing the equipment and manpower necessary to operate offshore. The reason the contract drilling industry was able to extend its traditional onshore role to the marine environment was simple. As with any industry which makes extensive use of contract services, the upstream petroleum industry recognized that through the use of contract rigs companies would minimize the possibility of maintaining (and paying for) either too much or too little offshore drilling capacity. Contractors, as an industry, were also able to offer economies of scale through rig fleets which were larger than those which would be employed by a given operator. Additionally, the drilling contractor could offer specialized labor and the ability to adapt immediately to a rapidly changing technology which has resulted in rigs able to drill in thousands of feet of water; a far cry from the shallow water prototypes of the early 1950's. Throughout its history the offshore contract drilling industry has enjoyed a close partnership with the operating companies with a partnership with the operating companies with a free flow of ideas and personnel across industry lines. By 1955 only 8 firms had come forward as participants in offshore contract drilling. participants in offshore contract drilling. In contrast, there were approximately 85 non-government entities with rig ownership as of September, 1980.

Abstract The basic requirements of marine vessels as stable working platforms in the North Sea has existed since commencement of exploratory drilling. This requirement has now expanded to include year round construction and maintenance for associated oil and gas producing platforms, and lately for emergency disaster and blowout control. During the development of the Occidental Petroleum Consortium's Piper and Claymoe fields, Petroleum Consortium's Piper and Claymoe fields, based on 56 vessel-months of construction support anchored adjacent to platforms, an on-going need was realized for a comprehensive marine vessel, outfitted to support these developments. The additional requirement of fire-fighting and disaster control resulted in the emergence of a uniquely designed semi-submersible multifunction support vessel (MSV). Occidental has now placed a keel-up order in a Japanese shipyard for 1979 delivery of this special unit. The specifications for the unit have been developed in conjunction with Redco Inc., and Earl and Wright, a subsidiary of Sedco Inc. The requirements for such a multifunction support vessel are unique to the individual operations to be carried out, and specifications include those necessary for dynamic positioning, fire-fighting cranage and a comprehensive saturation diving system. Development of these specifications resulted in a dynamically positioned column stabilized semi-submersible vessel equipped with the following unique features:Extensive on board maintenance facilities for support of platform production and maintenance operations:A dynamic positioning system suitable to D.P.on all sides of a burning platform in Beaufortstate 10 while effectively fire-fighting.Fire-fighting equipment to provide for fire control platform abandonment, and remote manipulation and removal of debris associated with such disasters.A sixteen man saturation diving system, featuring a tethered and manned Mobil Diving Unit.

Abstract Several years ago, Exxon instituted a survey of contracted mobile offshore drilling units to evaluate structural integrity and readiness to properly respond to marine emergencies that might arise offshore. Results showed structural integrity and marine readiness varied from rig to rig and prompted Exxon to implement an ongoing and more rigorous Marine Safety program throughout its offshore operations. This paper will briefly describe results of Exxon rig inspections and Exxon's on-going Marine Safety program. Work in progress by the American Petroleum program. Work in progress by the American Petroleum Institute (API) and the International Association of Drilling Contractors (IADC) to promote industrywide upgrading of the mobile drilling fleet will also be highlighted. Introduction During the past six years, the offshore drilling industry has experienced three major marine losses -the ALEXANDER KIELLAND, OCEAN RANGER, and GLOMAR JAVA SEA. ALEXANDER KIELLAND. The semisubmersible ALEX-ANDER KIELLAND was lost because of a structural failure. Results of the Official Norwegian Ministry of Local Government and Labour Inquiry indicated the initial structural failure occurred because of improper welding detail at a hydrophone - high stresses at this location propagated fatigue cracks which caused the member propagated fatigue cracks which caused the member to eventually fail during a storm. This first failure then led to the failure of other members and loss of the rig. One hundred and twenty-three men of the 212 on board were lost. OCEAN RANGER. The semisubmersible OCEAN RANGER was lost during a severe winter storm because of a stability problem. Results of Official Inquiries by the United States Coast Guard and the Canadian Royal Commission indicate the loss was due to a ballast control system failure. All 84 men on board were lost when personnel were unable to safely abandon the rig in heavy seas and cold weather following the ballast system breakdown. GLOMAR JAVA SEA. A recent United States National Transportation Safety Board report suggests the drillship GLOMAR JAVA SEA sank because of fractures in the hull caused by Typhoon LEX. The fractures allowed flooding of two tanks on the starboard side; the rig then lost stability and capsized. One lifeboat was launched, but it was never located. All 81 men on board were lost. Although the specific cause of each loss was different, these disasters had several factors in common: Rigs sank at night in severe weather All experienced high loss of life Emergency procedures and on board lifesaving systems were not effective. Exxon considers the first line of defense against a major marine disaster to be the structural integrity of the rig. However, in the event personnel must abandon the rig and helicopter support is not available, equipment and personnel training must be adequate to successfully abandon the rig. Surveys of rigs contracted to Exxon worldwide in areas such as Australia, Southeast Asia, Gulf of Mexico, Eastern Canada, and the North Sea indicated structural integrity and marine readiness varied from rig to rig. After careful evaluation of survey results, Exxon found it necessary to implement an ongoing marine safety program to assure both structural integrity and adequate emergency equipment and personnel training to successfully respond to emergencies. P. 379

Abstract The Pure Oil Co.'s initial installation in the Vermilion Block 39 Field operates a remote platform approximately 1–3/4 miles distant from a central platform. The remote platform contains three gas-condensate wells and their allied production equipment in conjunction with the require safety and aid to navigation equipment. The production equipment consists of low temperature extraction units with the gas and condensate being measured by orifice meters. Twenty-one temperature and pressure functions are continuously telemetered and recorded. Twelve additional temperature and pressure functions are telemetered on a selective basis and only indicated at the control platform. Twenty-three supervisory control points are provided for operational and safety requirements. A 6700-MC microwave system utilizing three channels for the telemetered and control functions and one voice communication channel provide the connecting link between the remote and control platform. Required power is supplied by diesel driven generators at each platform. This arrangement brought about a problem in frequency control and automatic synchronization of generators. Selection of equipment and its application was based upon a fundamental requirement of "fail safe" operation with the viewpoint of its application being expanded to encompass a much larger area of operation. It is believed that this installation will point the way toward means of reducing costs, increasing safety, and increasing efficiency in offshore gas-condensate production. Introduction The trend toward semi-attended or unattended production facilities in the oil industry has been gaining momentum during the past two or three years. Even prior to the present "recession," this trend was well established. The ever rising costs of lease production including supplies replacement parts, salaries, etc., caused the oil industry to seek some means of reducing these operating costs, and further aggravating the situation of increasing costs were decreasing profits.

This paper was prepared for the 41st Annual Fall Meeting of the Society of Petroleum Engineers of AIME, to be held in Dallas, Tex., Oct. 2–5, 1966. Permission to copy is restricted to an abstract of not more than 300 words. Illustrations may not be copied. The abstract should contain conspicuous acknowledgment of where and by whom the paper is presented. Publication elsewhere after publication in the JOURNAL OF PETROLEUM TECHNOLOGY or the SOCIETY OF PETROLEUM ENGINEERS JOURNAL is usually granted upon request to the Editor of the appropriate journal provided agreement to give proper credit is made. Discussion of this paper is invited. Three copies of any discussion should be sent to the Society of Petroleum Engineers office. Such discussion may be presented at the above meeting and, with the paper, may be considered for publication in one of the two SPE magazines. Abstract This paper presents the safety practices as applied by Gulf Oil Corporation to simultaneous drilling and producing operations in the Gulf of Mexico. Safety rules and regulations, both company and Coast Guard, are set forth and some detailed instructions are given as to the procedures to follow in particular situations. Personnel safety equipment and training, safety devices, safety practices and Hurricane Action Plans are explained. The use of special systems for control of small fires and the procedures for cheeking and maintaining this equipment has increased the confidence of the personnel engaged in offshore operations. Routine testing of equipment and daily practice drills have reduced the time to close a drilling well in from the 5 to 10 minutes required 10 years ago to an average of less than 1-1/2 minutes today. Another result of the safety practices employed has been the maintenance of near normal production rates while a drilling rig is in the process of drilling and completing a particular platform. The over-all result of the application of these safety practices has been the establishment and maintenance of high morale among all personnel involved in the exploitation of petroleum resources in the Gulf of Mexico. Introduction The application of good safety practices has been recognized for many years by operators and drilling contractors. The benefits derived from an effective safety program are large in terms of tangibles and intangible. The greatest intangible reward is better morale which is the most important single incentive that will keep a man returning to his job and performing to the best of his ability. Since the advent of large scale offshore operations in the late 1950's, one of the basic problems confronting a major company operating in the Gulf of Mexico has been the development of proper habits and training of men to safely drill wells while producing from the same platform.

This paper was prepared for the Second Annual European Meeting of the Society of Petroleum Engineers of AIME, to be held in London, England, April 2–3, 1973. Permission to copy is restricted to an abstract of not more than 300 words. Illustrations may not be copied. The abstract should contain conspicuous acknowledgment of where and by whom the paper is presented. Publication elsewhere after publication in the JOURNAL OF PETROLEUM TECHNOLOGY or the SOCIETY OF publication in the JOURNAL OF PETROLEUM TECHNOLOGY or the SOCIETY OF PETROLEUM ENGINEERS JOURNAL is usually granted upon request to the Editor PETROLEUM ENGINEERS JOURNAL is usually granted upon request to the Editor of the appropriate journal provided agreement to give proper credit is made. Discussion of this paper is invited. Three copies of any discussion should be sent to the Society of Petroleum Engineers office. Such discussion may be presented at the above meeting and, with the paper, may be considered for publication in one of the two SPE magazines. Abstract Site fabrication of production and processing facilities for offshore processing facilities for offshore or for very remote locations are often several times the cost of facilities constructed inland near industrial areas. The high costs result from inherently low manpower efficiency, the high cost of mobilizing manpower, skills, machinery and materials and the very frequent need for high priced stand-by equipment and services. Time requirements and costs are substantially reduced by pre-assembly and delivery of modules to the site where water transportation to the site is possible or where large skids or modules may be easily moved by sea and land. Complete production and processing plants are now being manufactured and tested mechanically and electrically in efficient factory environments where necessary components, skills and manpower are readily available. Engineering expertise has been developed and refined for positive module fit-up and for minimizing costly offshore construction and commissioning activities. Introduction Most offshore oil and gas production and processing platforms and some remote land and swamp locations represent the most expensive construction sites in existence. Costs are high for support structures for operating facilities in deep water where poor soil conditions prevail. Costs are directly related to horizontal space requirements and total weight loading of the support structures and bearing surfaces or for decks to hold the production equipment. After costs for the support structures and space requirements have been optimized, production and processing facilities themselves are still very costly. These high construction costs are directly related to the many facets of inherently inefficient mobilization and utilization of manpower in hostile environments and at remote locations.