Petrobras on $3.46 billion FPSO hull spree

Petrobras and its partners have signed contracts worth $3.46 billion with Brazil’s Engevix Engenharia S.A. They cover the construction of eight FPSO hulls at the Rio Grande Naval Hub, which is based

Seadrill orders two drillships at Samsung

The first two drillships are firm orders with deliveries from the South Korean shipbuilder set for the first and second quarter 2013.

Seadrill says the total project price per rig is estimated to be less than $600 million, which includes a turnkey contract with the yard, project management, drilling and handling tools, spares, capitalized interest and operations preparations.

In a regulatory filing, Samsung valued the contract for the first two ships at $1.08 billion.

The contract further includes a fixed price option, to be declared during the first quarter 2011, for further two drillships

The dual derrick drillships are of an improved design compared to the three previous drillships Seadrill has taken delivery of from Samsung, with further enhanced capacity related to water depth, technical capabilities as well as increased accommodation capacity.

The new dynamically positioned drillships will be capable of operations in water depths up to 12,000 feet with a hook load capability of 1,250 tons, suiting them for operations in challenging areas such as the Gulf of Mexico, Brazil and West Africa.

The drillships will be the first newbuilds to be outfitted with seven ram configuration of the BOP (Blow Out Preventer) stack.

Seadrill says its decision to add another two ultra-deepwater newbuilds to the existing fleet is based on the continued strength of the offshore drilling market, the return that these investments are expected to deliver and the financial flexibility generated by the company’s contract backlog.

Ordering new drillships is considered financial superior to other alternative investments.

Alf C Thorkildsen, Chief Executive Officer of Seadrill Management AS, says: “Our commitment to establish Seadrill as a leading drilling contractor through investing in new high specification offshore drilling units built by quality yards has been well received by our customers and investors. With the most modern drilling fleet in the world and a total contract backlog of $11.5 billion, we have created a solid platform for further growth and a continued high return to our shareholders. These orders confirm our positive view on the market outlook as well as our good experience with this design and the Samsung shipyard.”

DOI IG says White House changed drilling moratorium report

Ms. Browner is Assistant to the President for Energy and Climate Change. A Department of the Interior Inspector General’s report says changes to the executive summary of a “30 Day Report” that followed the Deepwater Horizon incident made it appear that a group of industry experts had “peer reviewed” and approved a recommendation that a drilling moratorium be imposed.The version of the report made available to the public says an unnamed member of Ms. Browner’s staff made the misleading changes.

Eight experts made it very public, and very clear that they did not support the moratorium. A number of Senators and House members asked the IG report.

You can read the IG report HERE

 

November 10, 2010

Tide power innovator seeks shipbuilder

Neptune, based in North Ferriby, East Yorkshire, England, has successful completed a series of rigorous in-water tests on the full-scale demonstrator of its Proteus NP1000 tidal stream power generator, it is now seeking a trade partner, which could be a shipyard or heavy engineering concern, who can demonstrate the capability to fabricate and build future production devices.

NEPTUNE PROTEUS IN WATER

Weighing more than 150 tonnes and 20 m in length with a beam of 14 m, the Proteus NP1000 consists of steel buoyancy hulls, a vertically mounted turbine with a 6 m x 6 m rotor, and computer controlled flow vanes within a venturi duct.

Despite its size, the floating pontoon design means that the Proteus is largely unobtrusive when deployed, with more than 80 per cent of its bulk always hidden from view under the water. This low environmental footprint has now been approved by the U.K. Department of Energy and Climate Change.

Test data indicate that when optimized for the tidal stream the Proteus NP1000 will be able generate at least 1,000 MWh/year. To put this into context the projected output would be enough to meet the energy needs of more than five hundred homes.

The recent tests included the powering-up and generation of electricity as proof of the commercial potential of the device’s power curve. Tow testing was carried out in three phases during August, September and October in Hull’s Albert Dock. The third set of experiments provided the final, critical, “proof of concept” hurdle and the device will now be prepared for commercial deployment in early 2011 at Sammy’s Point in the Humber.

Commented Nigel Petrie, Chairman, Neptune Renewable Energy Ltd (NREL): “We are delighted to have successfully come through the in-water testing phase for the Proteus Demonstrator which paves the way for the device to be commissioned shortly and installed, with the first electricity delivered in 2011. Having reached this key milestone, at Neptune we are now looking to identify a trade partner who is able to demonstrate that they have capability to work with us to manufacture and deliver future devices.”

Mr. Petrie said the company is also seeking equity providers to work with in order to help fund a series of arrays of the tidal stream power generators which are planned for the Humber in 2011 and 2012.

You can email Neptune at enquiries@neptunerenewableenergy.com

Bourbon reports increased offshore segment revenues

Paris-headquartered Bourbon reported today that third quarter revenues came to EUR 222.2 million, up 6.4 percent compared with the same period in 2009 (two percent at constant exchange rates).

Although bickering between Brazilian bureaucrats delayed import of some vessels for a Petrobras contract, activity in the Americas is expanding, accounting for 11 percent of revenues in the first nine months of the year, compared with 6.4 percent in the same period last year.

“In a market environment that continues to be difficult, Bourbon can today report third-quarter 2010 revenue growth of 6.4 percent,” said Chairman & CEO  de Chateauvieux. “This confirms the upturn in our offshore activity, announced previously and already in evidence in the second quarter. It also confirms our strategic choices and reflects our unique positioning on the market. Our clients are enthusiastic about the new Bourbon vessels which are proving to be more innovative, safer and capable of keeping their operating costs down.”

“Bourbon predicted a gradual recovery in the oil companies’ activity in the second half of 2010 and more substantial growth in 2011,” he contnued. “The activity of the third quarter confirms this trend.”

Bourbon says that in the first nine months of 2010, revenues for its offshore business segment totaled Euros 624.9 million euros, up 1.6 percent compared with the same period in the previous year. Revenues from Bourbon vessels were 8.4 percent higher thanks to the major expansion of the fleet in unfavorable market conditions. Revenues from chartered vessels were down by nearly 37 million euros. Activity on the American continent is expanding and Bourbon earned 11 percent of its revenues there in the first nine months of 2010, compared with 6.6 percent over the same period in 2009. As well as growth in activity in Mexico and Brazil, the buyout of 50 percent of Delba Maritima Navegacao at the end of 2009 also made a significant contribution.

Compared with the second quarter of 2010, revenues from Bourbon vessels increased by 4.1 percent despite a slight reduction in the fleet’s utilization rate, largely due to administrative difficulties encountered on importing the vessels to Brazil.

A delay in implementing the contracts for the eight Bourbon Liberty vessels and five crewboats chartered by Petrobras resulted from a disagreement between the Brazilian Ministries of Finance and Petroleum concerning exemptions from import duty for foreign vessels.

For the last seven quarters, Bourbon has been steadily reducing the number of vessels it charters in.

Compared with the third quarter of 2009, revenues from Subsea Services were up 13.1 percent totalling 45.4 million euros, largely due to better performance of owned vessels and the full effect of the IMR vessel commissioned at the beginning of 2010.

In the first nine months of 2010, revenues from Subsea Services were up 13.8 percent at 124.7 million euros compared with the same period of 2009, due to the Bourbon vessels’ improved performance (contract renewals at higher rates and a greater range of services) and the full effect of the IMR vessel that joined the fleet at the beginning of 2010.

Compared with the second quarter of 2010, revenues from Subsea Services were up 3.9 percent reflecting the significant improvement in Bourbon IMR vessels.

November 9, 2010

Boost for Maryland offshore wind

Governor Martin O’Malley and the Maryland Energy Administration yesterday joined BOEMRE to announce that the federal government has accepted the planning recommendations of the Maryland Offshore Wind Task Force and yesterday. Yesterday it issued both a Request for Interest (RFI) and a map of an offshore wind leasing area in federal waters adjacent to Maryland’s Atlantic Coast. Maryland is the second state in the U.S. to reach this point in the process.

“Today’s announcement marks another step forward for Maryland’s new economy,” said Governor Martin O’Malley. “By harnessing the outstanding wind resources off of Maryland’s coast, we can create thousands of green collar jobs, reduce harmful air pollution, and bring much needed, additional clean energy to Maryland.”

Governor O’Malley has made offshore wind a priority in Maryland’s efforts to generate 20 percent of its energy from renewable sources by 2022, citing the potential for job creation and the abundant wind resources available. A one gigawatt offshore wind farm off of the Maryland coast could create as many as 4,000 jobs in manufacturing and construction during the five year development period, with an additional 800 permanent jobs once the turbines are spinning.

Yesterday’s announcement follows nearly two years of planning. The Maryland Department of Natural Resources worked with the Maryland Energy Administration, the Maryland Offshore Wind Task Force, and other outside partners like the University of Maryland’s Center for Integrative and Environmental Research, to develop a comprehensive understanding of the various environmental and stakeholder concerns that would impact any proposed offshore wind development. The result was a draft marine spatial planning area that represented the collective input of federal, state, and local stakeholders and formed the basis for the map released by BOEMRE.

The western edge of the RFI area for proposed wind generation is located approximately 10 nautical miles from the Ocean City coast and the eastern edge is approximately 27 nautical miles from the Ocean City coast.

Maryland offshore wind advocates say the state’s proximity to planned wind farms in the Mid-Atlantic, as well as the deep water port and manufacturing infrastructure in Baltimore, position it to be a leader not only in offshore wind energy generation, but also in ongoing construction and maintenance.

This summer, Governor O’Malley and Delaware Governor Jack Markell wrote to President Obama proposing a federal-state partnership for the development of a power purchase agreement for offshore wind energy. The development of one gigawatt of wind energy in the mid-Atlantic region could lead to the creation of thousands of clean energy jobs.

Also this summer, Governor O’Malley formally entered Maryland into a formal partnership in the newly formed Atlantic Offshore Wind Consortium. The group, comprising states along the Atlantic coastline and the United States Department of the Interior, will work to coordinate regionally prominent issues surrounding the development of off shore wind along the Atlantic outer continental shelf.

“Thanks to Governor O’Malley’s leadership Maryland is exceptionally well positioned to become leader in the emerging offshore wind industry, which has the potential to create or secure thousands of jobs and keep Maryland Smart, Green, and Growing,” said Malcolm Woolf, Director of the Maryland Energy Administration.

Wave power project moves forward

The agreement covers development of OPT’s PowerBuoy technology for application in Japanese sea conditions.

OPT’s PowerBuoy wave generation system uses a “smart,” ocean-going buoy to capture and convert wave energy into low-cost, clean electricity. The rising and falling of the waves offshore causes the buoy to move freely up and down and the resultant mechanical stroking is converted via a power take-off to drive an electrical generator. The generated power is transmitted ashore via an underwater power cable.

A 10 MW OPT power station would occupy only approximately 30 acres (0.125 square kilometers) of ocean space.

Under this new contract, the two companies will work together to develop a new mooring system for OPT’s PowerBuoy, customized for wave power stations off the coast of Japan. The new system will undergo testing at MES’s wave tank facilities to verify the results of extensive computer modeling. OPT expects to receive 18 million yen (approximately $220,000) for its development efforts. Work under this agreement is expected to be performed over the next six months.

In October 2009, OPT and a consortium of MES, Idemitsu Kosan Co., and Japan Wind Development Co. signed a Memorandum of Understanding for the development of wave energy in Japan. OPT and members of the consortium have since worked with the Japanese government to increase recognition of wave power in Japanese energy policy.

The Japanese government has pledged to target a 25 percent cut in greenhouse gas emissions from 1990 levels by 2020 as part of its intentions to boost renewable energy sources to about 10 percent of primary energy supply by 2020. The Japanese government has specifically targeted wave energy as a component of this strategy.

Now OPT and MES intend to complete work on the mooring system and find a project site for an in-ocean trial of the PowerBuoy system.

OPT’s CEO, Charles F. Dunleavy, said: “We are very pleased to continue to build on our relationship with MES. This new agreement is consistent with OPT’s global strategy to form alliances with strategic partners in key markets. We believe working with MES will facilitate the realization of the great potential of wave power as a concentrated and predictable source of renewable energy for Japan.”

Ryoichi Jinkawa, Managing Director of the Business Development and Innovation Headquarters of MES, said: “We continue to be impressed with OPT’s technical strength and in-ocean experience. MES is very excited by the great business opportunity resulting from our relationship with OPT. We look forward to continuing to work with OPT in making our common vision of increasing the use of renewable energy a reality.

 

November 8, 2010

$2.1 million penalties in Gould pollution case

Galliano, La., headquartered Offshore Vessels LLC (OSV), formerly Edison Chouest Offshore Vessels LLC, was on Thursday sentenced in U.S. District Court in New Orleans to pay a criminal fine of $1,750,000 and remit a payment of $350,000 as community service to the National Marine Sanctuary Foundation. The community service funds are to be used to study polar water pollution and protection of vulnerable marine ecosystems in the Antarctic region. OSV also will serve a period of probation for three years, during which it will be required to operate under an Environmental Compliance Plan.

OSV pleaded guilty on July 22, 2010, to knowingly discharging waste oil from one of its vessels, in violation of the Act to Prevent Pollution from Ships (APPS).

“The criminal fine in this case will serve as a strong deterrent to all vessel companies, American and foreign, against deliberately violating the laws enacted to protect oceans,” said Ignacia S. Moreno, Assistant Attorney General of the Environment and Natural Resources Division of the Department of Justice. “The required payment will provide a means of studying polar water oil pollution and its impact on Antarctica’s fragile marine ecosystem.”

OSV owned and operated the R/V Laurence M. Gould (R/V Gould). The R/V Gould was a 2,966 gross ton American-flagged vessel that served as an ice-breaking research vessel for the National Science Foundation on research voyages to and from Antarctica. In its guilty plea earlier this year, OSV admitted that crew members knowingly discharged oily wastewater from the bilge tank of the R/V Gould overboard to the high seas, in violation of APPS. In doing so, they bypassed the ship’s oily-water separator, a pollution-control device. Regulations promulgated under APPS require that oily wastewater be discharged only after it has been sent through an oily water separator.

The case was investigated by the U.S. Coast Guard Criminal Investigative Service. The case is being prosecuted by Senior Trial Attorney Daniel Dooher of the Environment and Natural Resources Division of the Department of Justice and Assistant U.S. Attorney Dorothy Manning Taylor.

November 6, 2010

Dubai Drydocks launches jack-up

It is the second of two Service Jack units that the yard is building for Lysaker, Norway, headquartered Master Marine AS.

On completion next year, the vessel will commence a contract to install 88 wind turbines at the U.K.’s Shearingham Shoal field for Scira, a joint Statoil/Statkraft venture. The first vessel, Haven, was delivered from the Graha shipyard in June. It is now in southern Norway completing preparations for a three-year assignment as an accommodation unit at the Ekofisk field in the Norwegian sector of the North Sea.

Designed by Global Maritime, and classified by ABS, Nora is DP2 equipped and can jack-up in 80 m water depth. It has an open deck area of 2,500 sq. m and has accommodations for up to 260 people. It will be equipped with two pedestal cranes, each of 750 t capacity.

The vessel has a hull length of 110 m and breadth of 50 m It has four 130 m long legs and the spud can area of each leg is 180 sq.m.

November 6, 2010

Gene Taylor loses reelection bid

After 11 terms in the House, Rep. Gene Taylor has lost his bid to be re-elected to the Mississippi District 4 seat. His was one of a number of defeats that will reshape the membership of key Committees.

Republican Steven Palazzo defeated Taylor, a conservative Democrat, by 52 percent to 47 percent in unofficial results Tuesday night, the Sun Herald reported this morning.

Taylor lost his seat as part of a national trend that saw Democrats lose control of the House. His eleven terms brought with a seniority that placed him well to defend shipbuilding interests as Chairman of the key Seapower and Expeditionary Forces Subcommittee of the House Armed Services Committee. He is also Co-Chairman of the Congressional Shipbuilding Caucus.

Taylor is also a member of the Transportation and Infrastucture — another important panel that will look a lot different in the new Congress.

Not only will it be controlled by Republicans, but a lot of familiar Democratic faces will be missing – most noticeably Chairman James Oberstar (Minn.) who lost his re-election bid. Other Democrats on the committee who fell to Republican challengers include, besides Gene Taylor,Michael A. Arcuri (N.Y.), John A. Boccieri (Ohio), Christopher P. Carney (Pa.), John J. Hall (N.Y.), Phil Hare (Ill.), Steve Kagen (Wisc.), Betsy Markey (Colo.), Michael E. McMahon (N.Y.), Harry E. Mitchell (Ariz.), Solomon P. Ortiz (Texas), Thomas S.P. Perriello (Va.), Mark H. Schauer (Mich.), Harry Teague (N.M.) and Dina Titus (Nev.). Democrat Brian Baird of Washington did not run. His House seat was won by Republican Jaime Herrera.

The key Transportation subcommittee of interest to MarineLog readers is the Coast Guard and Maritime Transportation subcommittee. Rep. Oberstar was a member of the panel by virtue of his chairmanship of the parent committee. Other panel members who lost their reelection fight were its Vice Chairman, Michael McMahon and Gene Taylor and Steve Kagen,

Transportation Committee rank member John Mica (Fla.) won reelection as did Coast Guard subcommittee ranking member Frank LoBiondo (N.J.). While Rep. Mica is widely tipped to take over the Chairmanship of the Committee, Rep. LoBiondo will have enough seniority in the next Congress that he may well set his sights higher than the Coast Guard panel.

Elijah E. Cummings, Md, will presumably now move from the Chair of the Coast Guard panel to the ranking member slot. He leaves a legacy of giving the Coast Guard rather more oversight than some predessors did. It will be interesting to see if this “tough love” approach continues.

Nov. 5, 2010

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