Equipment availability is a major concern, operators agree
Offshore staff
HOUSTON -- Equipment availability is chief among major concerns in the industry today, according to a panel of operators at the Offshore Technology Conference in Houston.
You have to book large installation vessels years in advance for deepwater projects, which requires keeping to a schedule, Chevron explained. The company cited the Tahiti installation campaign as an example, which it says can be done by only three vessels in the worldwide fleet. Heerema's Balder is installing the spar.
Chevron added that work to tie-in its semisubmersible Blind Faith is expected to restart next week, with production anticipated to begin in the second half of the year, pending weather conditions.
Shell's panel representative agreed that dealing with shortage of capacity and keeping to a project schedule are critical. Shell is operator of the Perdido project, which will use Heerema's Thialf for topsides installation next year. First production is expected by the end of 2009.
Chevron is establishing long-term relationships with contractors and suppliers to mitigate equipment delivery delays while maintaining access to necessary drilling and development assets, the company said. For example, the company has booked a number of Transocean's deepwater drilling rigs for long-term commitments.
The panel also discussed risings costs as a major concern. Chevron cited the development of the St. Malo and Jack discoveries as an example. About 60% of the total cost to develop these discoveries is around drilling and completion, the company said. On the production side, the company worked extensively with Technip on the design of a drilling and production spar for the project, but noted that a subsea tieback to hub (spar) scenario is more feasible.
05/07/2008
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