Carbon Capture & Storage: A New Lease of Life for Submarine Pipelines?
Since 2019, hydrogen and carbon capture and storage (CCS) have risen up the political agenda, globally, offering a route to decarbonization, as well as (more recently), increased energy security. Many are eying use of existing pipeline to make both happen. Elaine Maslin takes a look.Hydrogen production and CCS offers a more or less “green” decarbonization options for oil and gas companies, alongside carbon capture and storage (CCS), especially if existing offshore infrastructure could be reused to make it happen.
Oil&Gas Industry Records 1242 Contracts in Q1
The Oil and Gas industry reported 1242 contracts, of which 1178 were awarded contracts, said Quarterly Oil & Gas Industry Contracts Review.Europe, the Middle East and Africa (EMEA) region recorded the most contracts with 569 contracts, representing around 48% of the total awarded contracts in Q1 2019, followed by Americas region with 366 contracts, accounting for 31% of the total awarded contracts.Upstream sector reported 73% of the total awarded contracts, with 862 contracts. The midstream sector recorded 156 contracts…
Wintershall Appoints Helge Beuthan to Head ME
Germany's largest crude oil and natural gas producer Wintershall Holding has appointed Helge Beuthan as new general manager of its Middle East division in Abu Dhabi.Beuthan, the current vice president for global subsurface evaluation, would take over the duties of Uwe Salge in Abu Dhabi on February 1, said a press release from the wholly owned subsidiary of BASF.The previous General Manager will return to Wintershall in Kassel, where he will take over Beuthan's area of responsibility.Helge Beuthan has been with Wintershall since 1995 and brings with him extensive E&P experience from various positions…
Wintershall Gains 10% Stake in Ghasha Gas Project
The United Arab Emirates has awarded Wintershall Holding a 10 percent stake in the Ghasha ultra-sour gas mega project, the Abu Dhabi National Oil Co. (ADNOC) said on Monday.The deal builds on ADNOC's new integrated gas strategy aimed at unlocking value from Abu Dhabi's gas reserves as the country moves towards gas self-sufficiency, it said in a tweet.(Reporting by Maher Chmaytelli Writing by Maha El Dahan Editing by Louise Heavens)
Schlumberger Acquires Peak Well Systems
Schlumberger today announced the acquisition of Peak Well Systems (Peak), a leading specialist in the design and development of advanced downhole tools for flow control, well intervention and well integrity. The addition of Peak’s mechanical and remedial solutions for cased-hole well intervention strengthens the Schlumberger Production Services portfolio with a broader offering of mechanical services to its global customers. “In the past few years, Peak has developed a portfolio of flow control technologies that are recognized as some of the leading products in the industry largely due to their simplicity…
SapuraKencana Wins $ 113 mi Mexico Contract
SapuraKencana Petroleum Berhad's (“SapuraKencana”) wholly-owned subsidiary company, SapuraKencana Mexicana S.A.P.I. de C.V. ("SKM"), has been awarded a contract with a value of approximately [USD 113 million] (approximately [RM461 million], based on USD/MYR exchange rate of USD1: RM4.09). The contract is for the Procurement and Construction of a 36” X 18 KM Sour Gas Pipeline (KMZ – 76) from Platform E – KU – A2 to Platform CA – AJ – 1(J4) in Ciudad del Carmen, Campeche, Mexico by Pemex Exploración y Producción .
Saudi Aramco Awards Hasbah Gas Expansion Contract
State oil giant Saudi Aramco <IPO-ARMO.SE> has awarded a $1 billion-plus contract to India's Larsen & Toubro (L&T) and Singapore-based Emas AMC for the expansion of the offshore Hasbah sour gas field, industry sources said. Increasing its supply of gas is a top priority for Saudi Arabia. Many industrial firms have complained about a shortage crimping expansion plans, while the kingdom is trying to use more of the fuel for power generation and water desalination instead of burning crude oil, which it wants to export.
Shell Slashes CapEx Further after BG Deal
Shell cuts 2016 capex by 10 pct to $30 bln. Royal Dutch Shell reduced its 2016 spending plans on Wednesday by another 10 percent from the target set in February when it completed the acquisition of BG Group, and said it could cut further if needed. In its first results since the deal that transformed it into the world's top liquefied natural gas producer, Shell trimmed spending to $30 billion by cancelling projects such as the sour gas project in Abu Dhabi, and by slashing exploration costs. Europe's largest…
Wintershall to Set up E&P in Abu Dhabi
Abu Dhabi Ports, the developer, operator and manager of ports and Khalifa Industrial Zone (Kizad) in the Emirate, and Wintershall Middle East GmbH have signed a contract, which will see the latter setting up a facility at Mugharraq Port in the Western Region of Abu Dhabi. The facility will cater to the Shuwaihat sour gas and condensate field, expanding Abu Dhabi Ports’ existing services to the exploration and production sector in the Emirate. Under the contract, Abu Dhabi Ports will lease out a plot of land consisting of yard…
Shell pushes back investment decision on Canadian LNG project
British Columbia's ambitions to become North America's next major liquefied natural gas exporter took another hit on Thursday, as Royal Dutch Shell pushed back a final investment decision (FID) on its LNG Canada project to late 2016. The delay came as Europe's largest oil company reported its lowest annual income in over a decade and said it would take further steps to cut costs to cope with weak oil prices if needed. LNG Canada, located on British Columbia's rugged northern coastline, is one of the frontrunners in a now slowing race to build Canada's first LNG export terminal.
Chevron Hits First Gas with Chuandongbei
Chevron Corporation announced today that its fully-owned subsidiary Unocal East China Sea, Ltd. began natural gas production from the first stage of the Chuandongbei Project in southwest China. Chuandongbei is one of the largest onshore gas projects developed by an international oil company and a national oil company in China. "First gas for the Chuandongbei Project represents a significant milestone and highlights Chevron's leadership in the development of sour gas resources," said Jay Johnson, executive vice president, Upstream.
Shell Exits Abu Dhabi Gas Project
Royal Dutch Shell said on Monday it had decided to exit the multi-billion dollar plan to jointly develop the Bab sour gas field in Abu Dhabi, citing the downturn in the oil market. The Anglo-Dutch company said that "following a careful and thorough evaluation of technical challenges and costs" it will stop further joint work on the project with the Abu Dhabi National Oil Co. (ADNOC). Shell won in 2013 a tender that was valued at the time at $10 billion to develop over a 30-year venture the complex sour gas field that involves treating potentially deadly gasses.
PetroChina-Chevron Sour Gas Project Begins Production
PetroChina and Chevron began production at an onshore natural gas field in China's southwest at the end of 2015, PetroChina's parent said on Monday, after years of delays. The Luojiazhai field, whose 'A' well began operating on Dec. 30, has an annual production capacity of 3 billion cubic metres of gas, the state-controlled China National Petroleum Corporation said in a statement on its website. Luojiazhai is part of the $6.4 billion Chuanbeidong project, a tricky sour gas development in the Sichuan basin that contains a high level of hydrogen sulphide…
Petrofac Awarded Fadhili Contract
Petrofac announced it has been awarded a contract by Saudi Aramco to undertake the engineering, procurement and construction (EPC) of a sulphur recovery plant as part of their Fadhili gas program. Fadhili is a greenfield development located 30 kilometers west of the city of Jubail in the eastern province of Saudi Arabia. When completed, the gas plant will have a capacity for around 2,500 MMSCFD and will process sour gas from the Khursaniyah oil field and the Hasbah non-associated gas field. Petrofac's scope…
Kashagan Targets 2017 Oil Exports
Companies developing the giant Kashagan oil field in Kazakhstan plan to export 12-14 million tonnes of oil in 2017 after launching commercial output, the chief executive of Kazakh oil pipeline firm KazTransOil said on Wednesday. Operations at the field, expected to eventually reach production of 400,000 barrels per day of oil equivalent, started in September 2013 and were halted a month later due to gas leaks from the sour gas pipeline. They will restart after pipeline replacement. KazTransOil Chief Executive Kairgeldy Kabyldin told an oil and gas conference in Kazakhstan that Kashagan shareholders…
Iran to Offer 3 Gas Fields for Investment
Iran will offer three gas fields to foreign investors at a conference in London later this year, an Iranian official said on Wednesday. Development of North Pars, Golshan and Ferdowsi gas fields will be offered to investors at the upcoming London conference where Iran is due to unveil its new contract model, managing director of Pars Oil and Gas Company (POGC) said, according to Shana, the oil ministry's news agency. North Pars off-shore gas field covers an area of 25 square km and holds 57.1 trillion cubic metres of sour gas…
Foreign Firms Bid for Saudi Aramco's Fadhili Gas Project
Foreign engineering firms have submitted bids to build a gas plant in eastern Saudi Arabia for state oil giant Saudi Aramco at an estimated cost of $5 billion to $6 billion, industry sources said. Aramco's decision to move ahead with the project at Fadhili is a sign that Saudi Arabia continues to make big investments that it views as key to its economic future, despite slowing or shelving some less vital projects as the plunge in oil prices since last year hurts state finances. The new plant is to have a…
Kashagan Oil Production to Resume in 2017
Production from Kazakhstan's giant Kashagan oilfield is expected to resume in 2017, more than three years after being suspended due to a pipeline leak, stake holder Royal Dutch Shell said. Operations at the major field, expected to reach production of 300,000 barrels of oil equivalent, started in September 2013 and were halted a month later due to gas leaks from the sour gas pipeline. Italian oil service company Saipem said last month it had won a contract to lay the replacement pipelines at Kashagan worth around $1.8 billion. It said it planned to finish the work by the end of 2016.
DNV GL Launch Joint Industry Project
Sour service fluids from wells place significant demands on pipeline material, particularly in deeper water. This can present major technical and financial challenges for pipeline operators as the fluids can cause fractures and cracks which affect pipeline performance and reliability. DNV GL has now launched a joint industry project (JIP) to develop a methodology to evaluate fractures and cracks using a Single Edge Notched Tensile (SENT) test designed specifically for sour service environments. Eight participants are on board and the JIP is still open for new participants.
Shah Gas Project Online, to Reach Full Capacity
The United Arab Emirates' Shah gas project has started operations and is expected to reach full capacity by year end, the head of state-run Abu Dhabi National Oil Company (ADNOC) said on Monday. The multi-billion dollar, technically challenging project with U.S.-based Occidental Petroleum is meant to produce usable gas from Shah's high-sulphur field. "Successful commissioning of Shah gas project has started... We look forward to reaching full capacity this year," ADNOC Chief Executive Abdulla Nasser Al Suwaidi told an energy event in Abu Dhabi.
