Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Tomas who wrote (27532)	11/29/2003 11:17:43 PM
From: Tomas	Respond to of 206184

Battle stations in fight for deep Upstream, November 28 The offshore industry has now drilled in water as deep as 3000 metres, and is producing in beyond 2000 metres -- reaching 2200 metres at Canyon Express in the Gulf of Mexico. The battle between floating production concepts is as hot as ever. Out of the four main platform types for deep water, popular wisdom has it that tension-leg platforms will be hard pushed to go much beyond 1500 metres, though this view is not held by everyone. The French group centred around the Institut Francais du Petrole and Doris reckons that the carbon fibre tethers it has evolved could allow TLPs to go economically to 3000 metres, carrying a topside load of 25,000 tonnes. Spars are still trying to break out of the US Gulf, where some of them have experienced unexpected motions, induced by the phenomenon of vortex-induced vibration (VIV) in currents. Even in the Gulf, spars have a continuing fight on their hands, with lively opposition from semi-submersibles, along with a trio of TLP companies which are by no means dead, and the longer-term possibility of monohull floating production, storage and offloading vessels entering the market. The semi-submersible people appear to be showing particular optimism at present, buoyed by showcase victories over spars on such projects as BP's Thunder Horse and Atlantis in the Gulf of Mexico. It was clear at last week's Deep Offshore Technology conference in Marseille that they feel semisubs are approaching the holy grail of being accepted in milder environments as a support for dry trees, not just subsea completions. And in any case they question whether the much-vaunted advantage of dry trees offered by spars offsets that concept's disadvantages of not being able to take on topsides until the hull has reached final location. Semisub guru Richard d'Souza of Halliburton KBR points to comparative studies by his company showing that although both semisubs and spars are feasible in 3000 metres of water, the capital cost of a semisub is at least 45% lower than for a spar at that depth. Both KBR subsidiary GVA and Aker Kvaerner have new semisub production concepts to hand. Meanwhile, the FPSO people hold a comfortingly large proportion of the floating production territory and continue to hone their designs and economics. The conclusions of studies for a generic hull for Angolan waters have just been aired publicly for the first time by participants Sonangol, Doris and Pride. Also just into the public domain are the latest encouraging findings on the feasibility of FPSOs stationed by dynamic positioning thrusters instead of mooring lines. This has emerged from the joint industry project led by Spain's Izar and Houston's Sofec. But the platforms themselves are part of a wider spectrum of deep-water initiatives and problems to be cracked. Informed opinion has it that the main technology gaps at present are connected with risers, flowlines and pipelines. High on the list of concerns is VIV motions, reckons John Sheets, head of the multi-company Deepstar initiative. "The oil companies' business is at risk otherwise," he says. Also topping the agenda is the perennial subject of flow assurance. One wide-ranging concern for many in the business is the significant reduction occurring in technology funding. Sheets certainly reckons industry may be spending too little, "yet issues are increasing, not reducing". He adds: "Mergers mean fewer players and budget cutting. Deepstar membership has gone from a peak of 23 oil companies to 10 at present. And contractor industry consolidation is similar." However, Sheets, who is stepping down as Deepstar director in January, notes that his own company, ChevronTexaco, has increased its budget in this area. The industry will have to do everything in its power to find the necessary funds if it is to carry on chipping away effectively at the ultra deep-water barrier.