Oil & Gas Projects: March 2014

Shell UK Ltd
has awarded Technip a contract to provide the FEED for the onshore elements of the Peterhead gas carbon capture and storage (CCS) demonstration project in Aberdeenshire, Scotland. The scope includes a grassroots carbon capture and compression plant and modifications to an existing combined cycle gas turbine power plant. Technip's operating centre in Milton Keynes, which executed a pre-FEED study for the Peterhead CCS project about 18 months ago, will execute the FEED for this next phase.

Shell UK E&P is holding a decommissioning networking lunch focused on the Brent Project on 15 April, Hardwick Hall Hotel, North East England. The event will feature a presentation from Austin Hand, general manager decommissioning & restoration who will give and update on the project.  Decommissioning of the Brent field is one of the largest decommissioning projects in the North Sea: comprising four platform topsides, three concrete substructures, one steel jacket, 154 wells tom plug and abandon and 36 pipelines.

Magma Global which has expanded its production at its base in Portsmouth, UK, to meet demand for carbon/polymer pipes in the oil & gas industry. Existing technologies and materials struggle to cope in these new, harsh operating environments, as they are often limited due to fatigue failure and corrosion, according to Magma.

ConocoPhillips has placed a £600k order with Amarinth for the design and manufacture API 610 OH2 separator recirculation pumps for the Britannia-operated Alder platform in the North Sea. The pumps, which have to fit into the existing Alder structure, are for high pressure duties on the platform separator recirculation process where the suction pressure can fluctuate between 1 and 60 bar.  (Read more)

Energy production technology services company Proserv has extended its subsea manufacturing capabilities with the acquisition of the entire share capital of UK-based KRG Industries from majority shareholder Torishima Pump Mfg. Co. Ltd of  Japan. KRG provides precision engineering services including machining, welding, inspection and testing to oil & gas OEMs, oilfield service companies and defence contractors.

Gazprom Energy on 5 Feb announced a new commercial partnership with Tata Chemicals Europe to support production at the business’ combined heat and power (CHP) plant in Cheshire.
The deal will see the business energy firm supply natural gas to the chemical company’s existing CHP facility in Northwich in addition to buying back excess electricity generated by the plant.

CNOOC expects first oil from the Golden Eagle development in the UK North Sea, in which it holds a 36.5% stake and acts as the operator, in late 2014. Once fully commissioned, Golden Eagle is expected to reach a peak daily production of up to 70,000boe, CNOOC said 20 Jan.


Foster Wheeler has been awarded the pre-front-end engineering design and the FEED contract by Kuwait National Petroleum Co.for a new onshore LNG import and regasification terminal to be built in Kuwait. The new terminal will have a design send-out capacity of around 1,500m standard cubic feet per day (MMscf/d) of gas, with four full-containment LNG storage tanks, each of 180,000 cubic meters.

BP has awarded Jacobs Engineering Group a contract for process and infrastructure work on the greenfield Khazzan project in Oman. The deal covers engineering, procurement and construction management services in relation to about $2bn of gas gathering and water pipelines, wellhead production facilities and export pipelines for the development of the southern sector of Block 61.


UK companies have an opportunity to attend a closed workshop to present innovative technologies to specialist investors in the oil and gas sector in Norway. Companies, entrepreneurs and inventors interested in presenting at this event will be required to submit an application form describing the technology and its potential. The response deadline is 31 March, with more details available from UKTI - external link.


Statoil has awarded Emerson a $2.7m contract to supply an integrated condition and performance monitoring system for the Gina Krog oil and gas platform in the Norwegian North Sea. The system will enable onshore monitoring of pumps, compressors and other mechanical equipment; delivering predictive diagnostics and equipment health alerts with software to aggregate asset data and link to an SAP Enterprise Asset Management system. The solution also includes WirelessHART infrastructure.

CB&I on 19 Feb  announced a $370m contract award on Kuwait National Petroleum Co.'s clean fuels project at the Mina Abdullah I refinery in Kuwait. CB&I is part of a JV led by Petrofac Int. Ltd, along with Samsung Engineering Co. Ltd. that will execute the Mina Abdullah I refinery project. CB&I's scope includes engineering and procurement for two atmospheric residue desulfurisation units, previously licensed by Chevron Lummus Global, a JV between CB&I and Chevron. The project is part of KNPC's plans to upgrade the two refineries and raise daily production to 800k bpsd from the current 736k bpsd.

Statoil Petroleum AS has engaged Foster Wheeler to carry out a study for the Snøhvit improvement project 2 at Melkøya, 450km north of the Arctic Circle in Norway. The goal is to define long-term solutions to achieve the Snøhvit partnership’s objectives of increasing the operating performance of the LNG facility and increasing the capacity and feed gas flexibility of the plant, FWsaid 17 Feb. This concept study is for completion by Q3/14.

In Indiana, Emerson Process Management has completed a process automation project, as part of a major BP upgrade of its refinery in Whiting - the group's largest refinery in the US. As main automation contractor, Emerson provided technologies and services that helped enable the Chicago-area refinery to modernise its facility to process advantaged crude supplies. Read more

The Arctic countries together rank as the top seven most attractive mining destinations in the world, according to UKTI - citing the findings of Fraser Institute global mining survey,  Led by  Finland, Sweden, Canada, Norway and Greenland, the region offers major opportunities to UK businesses across different products and services. These, say UKTI, include exploration and mining, construction and infrastructure, financial and professional services, and equipment and machinery. Read more

In Texas, Phillips 66 is to invest $3bn in its Sweeny fractionator one and Freeport LPG export terminal. The Sweeny unit in Old Ocean, close to the company’s Sweeny Refinery, will supply natural gas liquids (NGL) products to the petchem industry and heating markets. The 100k bpd NGL fractionator is to startup Q3/15. The Freeport terminal at the company’s existing marine terminal in Freeport, will have an initial export capacity of 4.4m barrels/month and is to start mid-2016.