SPECIAL REPORT

2023 Energy
Transformation
Strategies
Offshore energy
industry's meticulous
methods for a
sustainable future
ILLUSTRATION 270028419 © MYKHAILO POLENOK | DREAMSTIME.COM
 2023 ENERGY TRANSFORMATION STRATEGIES: Top
TopicTactics

PHOTO 265253524 © AZMAN MOHAMAD | DREAMSTIME.COM

Execs share their offshore oil and gas
methods for a sustainable future
Industry leaders reveal their main energy increase productivity and at the same time reduce emissions.
In the Gulf of Mexico, Hess used digital twins—a virtual model
transformation strategies currently designed to accurately reflect a physical platform—to enable
being implemented offshore process equipment condition monitoring and extend reliabili-
ty on key topsides equipment. From subsea to satellite, we are
COMPILED BY ARIANA HURTADO, Editor and Director of Special Reports enhancing environmental surveillance by testing and imple-
menting cutting-edge monitoring solutions including a 3D scan
and model of facilities to improve accurate identification of
Gerbert Schoonman
fugitive emissions; working with satellite and aerial providers
Senior Vice President, Production, Hess Corp. to monitor for environmental impact; and leveraging data con-

“W
e are focused on building a sustainable enterprise that textualization using emission data to minimize impact on the
helps meet the world’s growing energy needs in a environment and reduce emissions.”
safe, environmentally responsi-
ble, socially sensitive and profit-
Jean Paul Prates
able way. Offshore, across drilling
and completions, subsurface and President, Petrobras

“P
operations, we are leveraging data etrobras is committed to a transition to a low-carbon global
analytics, automation, machine economy, and it aims to provide society with affordable
learning and ar tificial intelli- energy through safe, efficient, low-cost operations, with lower
gence to make faster, better and emissions. To this end, we have implemented pioneering solu-
COURTESY HESS

data-driven decisions, and drive tions, adopted management indicators and been developing new
operational improvements. We are technology to ensure oil and gas is produced with low emissions.
also using new technologies to Some of our main solutions include initiatives to reduce gas

48 OFFSHORE www.offshore-mag.com |  MARCH/APRIL 2023

 flaring; carbon capture, utilization
Bob Abendschein
and storage; methane detection
systems; all-electric systems (elec- Executive Vice President
trification for offshore platforms); and COO, Talos Energy

“T
gas recovery systems; energy effi- alos provides our customers

COURTESY TALOS ENERGY

ciency measures and projects to safe, reliable and responsible
COURTESY PETROBRAS

reduce emissions from refineries. energy by supplying oil and gas

Our Strategic Plan (2023-2027) con-
tinues to focus on value generation
and aims to increase the number of
projects on reducing carbon emis-
sions. US$3.7 billion on projects to help with the decarbon-
ization of operations (scopes 1 and 2) are planned, as well as
US$600 million toward the BioRefino Program. Petrobras will
be installing the first plant in the country dedicated entirely to
the production of 100% renewable diesel and aviation biokero-
sene (BioQAV), as well as other products with a lower carbon
footprint, in Cubatão [São Paulo, Brazil]. The company will be
using its technical capabilities to make a decisive contribution
to reducing greenhouse-gas emissions in the country.”
Adam Sheikh
Vice President of Decommissioning and
Energy Transition, Repsol Sinopec
from offshore basins in the Gulf of
Mexico, which ranks as one of the
lowest greenhouse-gas [GHG] emis-
sions intensity by global resource
type. Our infrastructure acquisition strategy and operated asset
base provide the scale necessary to employ measures to reduce
emissions cost-effectively and facilitate lower-cost subsea tie-
back investments with a lower emissions profile than construct-
ing a new platform. This strategy should further reduce our future
GHG emissions intensity. We are simultaneously applying our core
skill sets to develop large-scale decarbonization projects to per-
manently store industrial emissions (CO2) along the Gulf Coast
region to mitigate the potential effects of climate change. Our
Bayou Bend CCS project is the only offshore carbon sequestra-
tion lease in the United States, which was awarded by the State
of Texas General Land Office.”

“I
Tony Cudmore
t’s an exciting time to be part
of the energy sector. Repsol Executive Vice President Strategy and
Sinopec has been on a transfor- Climate, Woodside Energy

“I
mative journey over the past five n 2022 Woodside Energy under-
years. We’re now at a turning point took drone surveys on our oper-
COURTESY REPSOL SINOPEC

as the industry faces increasing ated floating production storage

energy challenges. Our aim is to and offloading facilities and off-
COURTESY WOODSIDE ENERGY

consistently deliver results against shore platforms in Western Aus-

our corporate strategy, which is tralia and the US Gulf of Mexico.
focused on three strategic themes: The use of innovative drone-based
safe and sustainable operations technology is intended to enhance
from our producing assets; efficient decommissioning and emis- location and quantification of
sions reduction; and driving our operations towards net zero. We key methane emission sources,
will focus on maximizing value from our assets whilst prioritizing enabling the prioritization of miti-
safe, sustainable oil and gas production. We aim to be the ‘best gation projects in our asset decarbonization plans. Woodside’s
in class’ for efficient decommissioning in the North Sea and sup- methane emissions were less than 0.1% of our production by
port the energy transition toward net zero. We are also explor- volume in 2021, already well below the Oil and Gas Climate Ini-
ing the opportunity to develop a green hydrogen production tiative (OGCI) 2025 methane intensity target of below 0.2%. In
and export facility in Scotland on the island of Flotta in Orkney. September 2022 we were also the first Australasian company
If successful, hydrogen produced from the Flotta Hydrogen Hub to sign the OGCI’s Aiming for Zero Methane Emissions Initiative,
has the potential to contribute to both Scotland and the UK’s committing to strive to reach near-zero methane emissions from
low-carbon ambitions.” our operated assets by 2030.” ●

MARCH/APRIL 2023 |  www.offshore-mag.com OFFSHORE 49

 2023 ENERGY TRANSFORMATION STRATEGIES: UK report
Offshore renewables and the UK oil
and gas industry’s energy transition
Challenges and solutions facing the offshore sector
ALIREZA MAHERI and EDDY WIFA, Centre for Energy Transition, University of Aberdeen
T
he energy transition or the move to net-zero, which essentially
seeks to balance the twin issues of energy security and cli-
mate change, is without a doubt very challenging for a variety of
reasons. The situation is further complicated by market forces,
energy crises and other geopolitical issues. Perhaps such diffi-
culty was the inspiration behind the recent cabinet reshuffle and
the creation of the Department for Energy Security and Net-Zero.
While the oil and gas industry has made and continues to make
meaningful contributions to the global energy mix, offshore wind
energy and other renewable energy sources are expected to bal-
ance the energy dilemma and indeed the trilemma. Significant
progress has been made in the deployment of offshore wind
energy in particular, though challenges remain. This article pro-
vides some insights into technical and regulatory barriers to find-
ing solutions.
The transition from offshore oil and gas to green energy also
includes the decarbonization of late-life operations using renew-
able resources and then repurposing offshore assets to produce
green energy or energy carrier products, such as hydrogen and
ammonia. The challenge is to develop a transition scenario that
leads to an optimum timeline for integration and then expansion
of renewables. It is in this sense that offshore wind is considered.
The UK has significant offshore wind and wave resources, allow-
ing it to take advantage of the opportunities for transition from off-
shore oil and gas to offshore renewable energy. As a result of recent
50 OFFSHORE
PHOTO 26092590 © IAN DYBALL | DREAMSTIME.COM
technological advancements and investments, offshore wind has
achieved significant cost reductions with a levelized cost of energy
(LCOE) competitive with fossil fuels.
However, transition from offshore oil and gas to offshore renew-
able energy faces other challenges besides cost competitiveness,
such as intermittency associated with renewable resources,
hence, unreliability of the power supply. This leads to broader
energy security concerns, particularly if renewables are used as
the main source of energy.
Other challenges include integration to the current grid infra-
structures due to limited grid capacity as well as grid insta-
bility caused by the integration of large-scale intermittent
renewable power.
Energy storage systems
Resolving the above challenges would require integrating large-
scale energy storage systems, either in the form of storage hubs
or distributed and decentralized storage systems. This is a solution
that can address the reliability and energy security challenge. Bat-
teries and hydrogen as an energy carrier are the most promising
storage technologies. Hydrogen can be stored in large quantities,
hence benefits from economies of scale. Compared to batteries,
however, hydrogen has a much lower roundtrip efficiency, and there
are technological challenges in distribution and storage in large
quantities. Battery is a rapid-ramp technology that can address the
www.offshore-mag.com |  MARCH/APRIL 2023
grid stability challenge. Hydrogen has the potential to address the
grid capacity challenge.
For instance, only 40% of the planned ScotWind offshore wind
capacity is considered in the national grid’s design. A large-scale
hydrogen production site powered by ScotWind paves the way for
full utilization of offshore wind energy with minimal investment in
the current grid infrastructure. Rapid-ramp storage (e.g., battery)
or production technologies can improve grid stability by scaling
load up or down in a timely manner.
Other offshore renewable energy sources are equally viable.
Compared to offshore wind, wave and tidal energy resources are
more predictable. Once integrated into the whole energy system
in large scales, grid stability issues are less relevant and the whole
energy system can be balanced with smaller utility scale energy
storage. On the other hand, these technologies are less mature and
have a higher LCOE. Therefore, significant investment is needed to
make them as cost effective as offshore wind.

Policy and regulations

From a governance and regulatory perspective, there are a vari-
ety of issues that must be considered as the industry seeks to
scale and maximize offshore wind energy resources, from marine
planning and ecological governance issues that seek to avoid
conflict with multiple sea users to transition issues that seek to
balance the benefits and burdens of transition. While government
and stakeholders are aware of these challenges—as seen in the
recently released Scottish Energy Transition Strategy and Just
Transition Plan, the offshore oil and gas workers remain less sati-
sifed as there are implementation challenges that may adverse-
ly affect them.
If offshore wind energy is expected to be the panacea to the
energy trilemma, then the industry must consider the challeng-
es of skills shortage and the impact on worker safety. In this last
regard, recent incidents have demonstrated the need for a recon-
sideration of the safety regime for offshore wind energy; research
at the Aberdeen University Centre for Energy Law suggests that
a safety case, analogous to that used in industries like offshore
oil and gas, would be appropriate.
Without a doubt, there is a growing realization that the energy
transition is nothing like flicking a switch and is indeed more
complicated than many expected. The situation is not made
any easier by the global energy crisis, the lingering effects of
the COVID-19 pandemic and other geopolitical issues. In the
UK, there is a lack of synergy and consistency in the govern-
ment’s approach, particularly between Westminster and Holy-
rood. Nevertheless, between scarce resources and political
will, one can only remain optimistic. ●

Alireza Maheri is a reader at the School of Engineering at University of Aberdeen,

with a research focus on the energy transition.
Eddy Wifa is an energy law lecturer at the School of Law, University of Aberdeen, with
particular research interest in offshore energy risk regulation and governance.

MARCH/APRIL 2023 |  www.offshore-mag.com OFFSHORE 51

2304OFF_Asme Uh CrawfishBoil_12v.indd 1 2/27/23 1:40 PM
 2023 ENERGY TRANSFORMATION STRATEGIES: Executive Insights
E&P company puts
heavy focus on CCS
Neptune Energy executive details
its CO2 storage plans
ARIANA HURTADO, Editor and Director of Special Reports
I
nternational independent E&P company Neptune Energy start-
ed the year off strong with multiple announcements on its CO2
storage initiatives.
Neptune and partner Horisont Energi entered into an option
agreement in early January on the location of an onshore ter-
minal for the Errai carbon capture and storage (CCS) project in
Norway. Neptune has a 40% owner share in the Errai project. The
receiving terminal for intermediate onshore storage of CO2 will
be located in Gismarvik on the west coast of Norway. From here,
Neptune said carbon would be transported through pipeline to
the North Sea, where it would be injected and permanently stored
in an offshore reservoir. Errai is the first commercial CO2 storage
project in Norway.
“Together with Horisont Energi, Neptune submitted an applica-
tion for the storage licence in December last year,” Odin Estensen,
managing director for Neptune Energy in UK & Norway, told
Offshore. “It is expected that the Norwe-
gian Ministry for Petroleum and Energy
will award licences before summer.
We are confident that we have a good
application, but there are other compet-
itors for this licence so we take nothing
for granted. Meanwhile, we are matur-
ing the concept by running a number of
studies with onshore and offshore con-
tractor partners.”
Moreover, Horisont and Neptune
signed a memorandum of understand-
ing with E.ON in late February with the
aim to develop a European CCS value Odin Estensen
chain. The agreement covers several
areas such as project financing, funding and the development
of a complete value chain for CO2 handling. If Horisont and Nep-
tune’s application for CO2 storage for the Errai project is awarded,
the intention is that this will be the first joint project.
Shortly after that company update, Neptune and CapeOme-
ga announced NoordKaap, a project concept for a cross-bor-
der CO2 storage solution for industrial emitters across Europe.
According to Neptune, NoordKaap would involve transporting
52 OFFSHORE
CO2 via vessels suitable for directly injecting the CO 2 at off-
shore locations and for terminal offloading. In addition, RWE has
signed a letter of intent with CapeOmega and Neptune to assess
the possibility to ship green CO2 from their biomass Eemshav-
en facility for offshore storage in the Dutch North Sea. Noord-
Kaap will examine the potential for a network-based approach to
CCS via marine transport, and it would provide access
to CO2 subsurface storage sites offshore the Nether-
lands and Norway. NoordKaap is scheduled to be oper-
ational in 2028.
On Feb. 28, Sval and Neptune made an announce-
ment regarding an application for a CO2 storage license
in the Norwegian North Sea. Securing the license would
enable the companies to proceed with the Trudvang proj-
ect, which has the potential to store up to 9 MMtonnes
of CO2e per year equal to about 20% of Norway’s total
annual emissions. The Trudvang project comprises cap-
ture of CO2 by multiple industrial emitters in Northern
Europe and the UK, shipping of liquid CO2 from export
terminals to an onshore receiving terminal in the south-
west of Norway, and transport via a purpose-built pipe-
line to the Trudvang location for injection and permanent storage.
The Trudvang storage license is located in the Norwegian North
Sea about 200 km from the coast.
Furthermore, Neptune and its partners are currently develop-
ing the L10 CCS project in the Netherlands, which could store
up to 5 mt of carbon per year in the first phase of development.
Neptune also is pursuing CCS storage and appraisal licences in
the UK and in Norway.
www.offshore-mag.com |  MARCH/APRIL 2023
 “Our strategy is to build a competitive CO2
storage portfolio in the North Sea by 2030,”
Estensen said. “The L10 CCS project in the
Netherlands is the most mature, but we
have also applied for new storage acreage
in the UK CCS licensing round. In Norway
we hope to mature at least two more stor-
age applications by the end of 2023.”
Decarbonization strategies
“Neptune’s integrated energy hub strategy
provides an opportunity to drive offshore
decarbonization by extending the life of off-
In late 2022, the shore assets and repurposing them to facil-
UN’s Environmental
Program awarded itate CO2 storage and hydrogen production,
Neptune the Gold using domestic, lower carbon intensive gas
Standard status for or wind power,” Estensen explained. “By
its plans to cut extending field life, electrification could
methane emissions become more economic, helping decar-
from its operations.
COURTESY NEPTUNE bonize existing production further.”
ENERGY This strategy, he added, builds on the
company’s experience with CCS in the
Netherlands and Norway.
“At 6kg CO2/boe, the carbon intensity of Neptune’s operated
portfolio is already among the lowest in the sector and ahead of
the industry average of 15 kg CO2/boe,” he said. “The methane
intensity of our operated production is 0.02%, below the industry
average of 0.20%, and Neptune remains on target to reach net
zero methane emissions by 2030.”
The company aims to store more carbon than it emits, and from
the use of its sold oil and gas products, by 2030. “We know that
gas will continue to play a crucial role in decarbonization global-
ly, while also being vital for energy security,” Estensen said. “Our
gas-weighted portfolio positions us well, and we will use this to
integrate energy systems, increasing CO2 storage, electrification
and hydrogen production.”
In November 2022, the UN’s Environmental Program awarded
Neptune the Gold Standard status for its plans to cut methane
emissions from its operations.
“The Gold Standard status recognizes our robust plans to report
and reduce methane emissions for our operated and non-operat-
ed assets by 2024 and 2026, respectively,” Estensen said. “We are
taking action as we recognize that reducing methane emissions is
one of the most effective ways to limit near-term climate change.
Although short-lived in the atmosphere, methane is a potent
greenhouse gas, retaining more than 80 times more heat than
CO2 in a 20-year timeframe. We already have an industry-leading
low-methane intensity, which refers to methane emissions from
our operated assets as a percentage of gas exported.”
The company’s actions to reduce methane include reducing
routine flaring. Neptune also supports the World Bank’s Zero Rou-
tine Flaring by 2030 initiative and conducts leak detection and
MARCH/APRIL 2023 |  www.offshore-mag.com
repair programs to reduce fugitive emissions. In addition, the com-
pany is working to enhance methane detection and reporting.
“During 2022, specialists working for the Environmental Defense
Fund completed an evaluation of methane emissions data gath-
ered from our Cygnus platform in the UK,” Estensen said. “We plan
to conduct further studies in the UK and Norway in 2023 so we
can identify an accurate benchmark for measuring total methane
emissions and determine what action we can take to reduce them.”
Gjøa project updates
Neptune was recently awarded PL1180 in the Gjøa area and PL1179
in the Fram area via the Norwegian Ministry of Petroleum and
Energy’s APA 2022 licensing round. The license awarded in the
Gjøa area has a one-year work program consisting of reprocess-
ing the seismic to mature prospects in the area for a potential tie-
back to the Gjøa platform. The final drill decision will be taken in
the beginning of 2024. Estensen said the license awarded in the
Fram area should be viewed as more like an extension license
to Fram PL090.
At its operated Gjøa asset in the North Sea, the company is col-
lecting all the gas that during normal operation is being diverted
to the atmospheric vent system and recompressing it back into
the process, Estensen explained. In addition, the company is reg-
ularly using infrared camera technology to detect and remove any
small diffuse gas leaks that can occur within process facilities.
“During the coming years, we’re also implementing new tech-
nology for the gas seals on the compressors where current seals
depend on a certain positive flow of gas to operate correctly,” he
added. “Regular monitoring for methane over our facilities through
the use of drone technology carrying detection systems is also part
of the toolbox developed over the last couple of years.”
Hydrogen developments
The PosHYdon project in the Dutch North Sea is said to be the
world’s first offshore green hydrogen pilot on a working platform.
Trials of the PosHYdon pilot, to be hosted on the Neptune-operated
Q13a-A platform, are designed to prove the feasibility of integrating
offshore wind, offshore gas and offshore hydrogen.
“As it’s the world’s first pilot on a working platform to integrate
three offshore energy systems (gas, wind and green hydrogen),
safety studies were the priority. Now we’re working with the Dutch
Ministry of Economic Affairs and Climate Policy to increase the
percentage of hydrogen in the existing gas grid,” Estensen said.
“PosHYdon is also teaching us valuable lessons that we can lever-
age in future demonstration projects, like H2opZee, toward large-
scale green hydrogen production in the North Sea.”
Neptune and RWE signed a joint development agreement in
early 2022 to develop the H2opZee offshore green hydrogen proj-
ect in 2030. H2opZee is a demonstration project that aims to build
up to 500-MW electrolyzer capacity in the North Sea to produce
green hydrogen using offshore wind. The hydrogen will then be
transported to land through an existing pipeline. ●
OFFSHORE 53
 2023 ENERGY TRANSFORMATION STRATEGIES: Decarbonization

Offshore industry transitions to renewables

and carbon reduction strategies
BV has a positive outlook for the hydrogen, created through steam methane reforming combined
with CCS, as a more viable and economic solution while technol-
emergence of viable solutions to reduce ogy development continues.

the industry’s carbon emissions Carbon reduction technologies and strategies

MARIE-FRANCOISE RENARD, Bureau Veritas To limit the impact of their carbon-heavy supply chains and pro-
duction methods, oil and gas companies are adopting carbon

T
he global investment portfolio for traditional oil and gas is
expected to continue until 2050 due to high oil prices and lim-
ited regulatory obstacles encouraging continued exploration and
development. Due to natural declines in existing production sourc-
es, investment in upstream oil and gas will remain necessary for
the next three decades. However, low-carbon initiatives are already
emerging, indicating a shift toward more sustainable practices.
Investment: upstream oil and gas vs renewables
The Energy Industries Council (EIC) database reveals that the capex
funnel for upstream oil and gas projects in 2023 is still twice that of
renewables. Nonetheless, there is a positive outlook for renewable
investment, with a projected total capex of $3,263 billion compared
to $2,905 billion for upstream oil and gas projects by 2030. The
forecast for 2050 is that almost half of the global energy mix will be
renewable, with a capex of $1,438 billlion, well above upstream and
midstream oil and gas projects combined ($325 billion).
Renewable energy sources
Oil and gas firms are investing in renewables like solar and off-
shore wind and exploring other clean energy options such as
green and blue hydrogen, carbon capture and storage (CCS), and
bioenergy. However, green hydrogen production via water elec-
trolysis is still in its infancy, leading some experts to see blue
CAPEX 2030-2050
($Millions)
5%
6% (109670.00)
(120035.00)
7%
(147187.00)
7% Renewables
(159461.00)
Upstream
8% 67%
COURTESY BUREAU VERITAS
reduction technologies and strategies. These include electrifying
assets via power from shore or off-grid solutions like offshore wind
turbines, flare optimization technology, zero-leak valve manage-
ment, fugitive emission reduction, and supply chain management
regarding Scope 3 emissions.
CCS
CCS technology supports the offshore oil and gas industry in
reducing carbon emissions. While CCS capex ($109 billion) is less
than hydrogen ($120 billion) in 2030-2050, it is gaining momen-
tum. For instance, Malaysia is developing the world’s largest off-
shore CCS project, and Indonesia has unveiled 16 CCS projects,
including bp’s Tangguh and Carbon Aceh. Denmark and Norway
have also issued permits for CCS exploration, with the Northern
Lights CCS project being hailed as a trailblazer.
Sustainability strategies
The industry is taking a holistic approach to environmental man-
agement by focusing on the entire supply chain. Bureau Veritas
(BV) is supporting the oil and gas sector with services to promote
long-term sustainability strategies. To address methane losses
from joints and flanges, companies are increasingly engaging in
methane slip detection together with mitigation and control pro-
gram development, services which BV provides for onshore and
offshore installations, as well as trading vessels.
From experience in the shipping industry, BV has developed
rules and notations that incentivize sustainable floating units
and features. BV has a dedicated team in place to support cli-
ents in making environmentally conscious decisions and has seen
increased demand for Concept Approval as well as New Technolo-
gy Qualification services, which follow a methodological approach
with Guidance Note (NI525) as the foundation.
The oil and gas industry is adopting more sustainable practic-

Energy Storage
(178248.00) (1438884.00)
Midstream es by investing in renewables, carbon reduction technologies and
Hydrogen environmental management strategies. This indicates a positive
Carbon Capture outlook for reducing the industry’s carbon emissions. ●

Marie-Francoise Renard is the offshore sales and marketing director with Bureau
Veritas. Read the extended version of this article at offshore-mag.com/14290929.

54 OFFSHORE www.offshore-mag.com |  MARCH/APRIL 2023

 2023 ENERGY TRANSFORMATION STRATEGIES: Decarbonization

Catapulting CCS action for climate change

The use of CCS to reduce emissions from Act and enhancements to the 45Q tax credit enabled through

hard-to-abate sectors must increase dramatically the Inflation Reduction Act.

A huge CCS cluster is proposed around the Houston Ship
LAITH AMIN, DNV Channel. Led by ExxonMobil, the project aims to capture CO2
from refineries and industrial sources. Last year, Shell, along

A
s an essential decarbonization tool, the need to fast-track with Air Liquide and BASF, joined 11 other companies in sup-
carbon capture and storage (CCS) technologies is resound- porting the project. It is suggested that the project will store CO2
ing. Over the next three decades, the use of CCS to reduce emis- offshore, handling up to 50 MMtonnes of CO2 per year by 2030
sions from hard-to-abate sectors must increase dramatically. and 100 mtpa by 2040.
According to DNV’s latest Energy Transition Outlook report, clos- Similar progress is being made in Europe. In June 2022, the UK
ing the gap between the current 2.2°C trajectory—and the 1.5°C launched its first offshore carbon storage licensing round, seeing
future the planet needs—requires substantial CCS deployment. The significant interest. With the aim of decarbonizing large parts of
“Pathway to Net Zero Scenario” presented in the report highlights the UK economy, the acreage will extend the life of sedimentary
the need to scale up current capacity more than 100 times by 2050. basins and potentially lock away 20 to 30 mtpa of CO2 emissions
by the end of the decade.
Emissions captured with CCS by region — PNZ In addition to the much-heralded Northern Lights project, Nor-
(GtCO2/yr)
6 wegian authorities last year awarded three exploration licenses
North America Greater China
Latin America Indian for CO2 storage, one in the Barents Sea and two in the North Sea.
Europe Subcontinent
Sub-Saharan South East Asia With CO2 storage projects also being developed in Denmark and
4
Africa OECD Pacific the Netherlands, it is anticipated that the North Sea will host a
Middle East ETO forecast
and North Africa number of offshore CO2 storage facilities in the coming years.
North East
2 Eurasia Southeast Asia, China and the Middle East, regions reliant on
fossil fuels to drive growth, are galvanizing CCS initiatives. The
Indonesian government, for example, is working on regulations
0
2020 2025 2030 2035 2040 2045 2050 to allow CO2 imports to be injected into existing reservoirs in the
CCS contribution in DNV’s Pathway to Net Zero COURTESY DNV country but will prioritize domestic emitters.
With COP28 taking place in the United Arab Emirates later this
Hastening progress year, all eyes will be on the Middle East to turn discussion on decar-
Over the past decade, DNV has delivered more than 200 projects bonization into urgent action. Today there are three operating CCS
spanning the full CCS value chain. Europe, Canada and the US projects in the region, accounting for 10% of the global CCS capacity.
have been leading the charge and scaling up activities. Large- Expansion plans are being developed at Al Reyadah where capacity
scale commercial CCS facilities, such as Quest in Canada and is expected to grow to circa 5 mtpa in the coming years.
Sleipner in Norway, are operating today, and a number of hub
style projects are progressing such as Northern Lights in Norway, Social license and best practice
which is being constructed, and the East Coast Cluster in the UK, In the establishment of a new carbon capture industry, it is imper-
which is in development. ative that the public in general and local communities be consid-
In recent years, there has been an exponential growth in the ered essential stakeholders.
CCS project pipeline globally. Today about 30 facilities are storing Ensuring that communities are consulted early on and collab-
more than 40 MMtonnes of CO2 annually. With 61 facilities added oratively goes hand in hand with equitable project development
to the pipeline in the last 12 months, the total number of facilities plans. Likewise, addressing perceived risks and improving general
in operation and under development has grown to 191, represent- understanding of CCS technology will go a long way to assuage
ing a capture capacity of 244 mtpa. public uncertainty.
This will, in turn, provide an important foundation for meaningful
The global sprint for CCS policy and regulatory support, both of which are critical to scaling
The US is the frontrunner with 15 facilities operational and more up this important decarbonization technology. ●
than 70 that are currently in development. Many more projects
are expected to emerge over the next five years thanks to multi- Laith Amin is head of CCUS, Energy Systems, with DNV. Read the extended version of
this article at offshore-mag.com/14290932.
billion-dollar funding from the Infrastructure Investment and Jobs

MARCH/APRIL 2023 |  www.offshore-mag.com OFFSHORE 55

 2023 ENERGY TRANSFORMATION STRATEGIES: Decarbonization
The roadmap to reducing
offshore methane emissions
Cost-effective, reliable
technology exists for quantifying
methane emissions offshore
JULIEN PEREZ, Oil & Gas Climate Initiative
A
ction on methane must happen, and
quickly. Methane is responsible for
more than a quarter of global warming
and is more than 80 times more powerful
than CO2 in the atmosphere over a 20-year
timeframe. It is also short-lived. While CO2
lingers in the atmosphere for hundreds
of years, methane dissipates quickly, with
a half-life of approximately a decade. The
nature of methane means it is highly potent
but, crucially, the impact can be huge if mit-
igated. The Global Methane Pledge, signed
by 150 countries, calls for a 30% cut in meth-
ane emissions from all sectors by 2030.
Methane emissions come from multi-
ple sources, with the oil and gas industry
estimated to contribute about 20% of the
total. Those emissions contribute 50% of
the oil and gas industry’s direct emissions,
amounting to 2 Gt CO2e per year or 5% of
global greenhouse-gas (GHG) emissions.
According to the IEA, eliminating those
emissions by 2030 would be equivalent to
neutralizing two-thirds of the global trans-
port sector’s GHG emissions.
After flying over 8% of the shallow-wa-
ter facilities in the US Gulf of Mexico (GoM),
Carbon Mapper research concluded that
methane emissions from those assets
were substantially higher than those from
onshore assets—23% to 66% from the off-
shore platforms compared with 3.3% to
3.7% in previous studies of drilling activity in
the Permian Basin in Texas and New Mexico.
Oil & Gas Climate Initiative (OGCI)
funded a study measuring 103 deepwater
and shallow offshore platforms and drill-
ships in the GoM, with methane emission
rates ranging from 0 to 190 kg/h and with
56 OFFSHORE
the top two emitters accounting for 20%
of the total methane emissions of all sam-
pled sites. Despite the greater throughput
of the deepwater facilities, they had mod-
erate emission rates compared to shal-
low-water sites.
The breadth of results and performance
across facilities highlights the challenge
of rapid mitigation and more accurate
quantification and reporting of meth-
ane emissions.
Quantifying methane
emissions offshore
Methane leaks are difficult to detect off-
shore as emissions usually originate from
leaks and incomplete combustion from
flaring alone, where equipment is not
designed to vent since this is dangerous
for the crew. However, it is not an impossi-
ble task. Cost-effective, reliable technology
does exist for the offshore sector.
In May 2022 TotalEnergies, an OGCI
member company, launched a world-
wide drone-based emissions detection
and quantification campaign across all
its onshore and offshore operated sites.
The campaign, using Airborne Ultra-Light
Spectrometer for Environmental Applica-
tion technology, has shown the success
of a miniature dual sensor mounted on a
drone to detect methane and CO2 emis-
sions, while at the same time identifying
their source. The campaign detected emis-
sions below 10kg/hour.
OGCI Climate Investment’s portfolio
company, Seekops, has worked with bp
to enhance offshore methane measure-
ment by using a simulation tool for analysis
and flight planning, an air pollutant plume
dispersion equation and relative standard
deviation to map expected concentration
fluctuations from sites on the North Sea.
Innovative approaches are also being
tested to leverage satellite monitoring
on water, which is a technology that
www.offshore-mag.com |  MARCH/APRIL 2023
Using a drone-mounted sensor, methane
monitoring takes place on an offshore
platform. COURTESY TOTALENERGIES © 2023
previously couldn’t work at sea. In August
2022, GHGSat detected the smallest off-
shore methane emission ever seen from
space, offshore Louisiana, and it mea-
sured at about 1,500 kg/hr, linking it to a
fugitive methane emission from an off-
shore oil and gas platform.
Continuous monitoring could potential-
ly play a big role offshore through install-
ing fixed sensors around the platform to
continuously detect, quantify and locate
the methane emissions. However, prog-
ress needs to be made on the quantifica-
tion and localization.
Collaboration
Even with available and cost-effective
technology, tackling methane offshore
isn’t going to happen without collective
endeavor and commitment. The industry
needs a step change in attitude toward
methane leaks so they are treated as seri-
ously as the industry already treats acci-
dents—aiming for zero.
This mission statement led to OGCI’s
launch of the Aiming for Zero Methane Ini-
tiative. The initiative calls on all members
of the industry to sign up to the principle of
striving to reach near-zero methane emis-
sions from operated oil and gas assets by
2030 and implement all responsible means
to avoid methane venting and flaring and
repair detected leaks. All organizations
working in the offshore sector are encour-
aged to join companies, such as Petrobras,
Saipem, SLB and Baker Hughes, to become
signatories or supporters of the initiative. ●
Julien Perez is OGCI’s vice president of strategy and policy.
 2023 ENERGY TRANSFORMATION STRATEGIES: Technology
Game-changing
technology propelling
the energy transition
Innovation is happening and
transformation is sweeping the world,
albeit adoption and scaling is slow
MYRTLE DAWES, Net Zero Technology Centre
T
echnology innovation and digital transformation are fundamen-
tal to the energy transition. Realizing the value of nascent tech-
nologies takes time; however, the urgency for energy security and
affordability against the backdrop of the climate crisis that envel-
ops us, means time is not on our side.
Scotland’s Net Zero Technology Centre (NZTC) is developing
and deploying technologies that are designed to reduce emissions,
unlock the full potential of an integrated energy system and propel
the energy industry toward a digital, automated, decarbonized future.
Reducing emissions from offshore operations, whether through
eliminating leaks, flaring and venting, employing low-emission
logistic strategies, and/or repurposing infrastructure, must be a
priority. There have been many technology advances in this space.
For example, corrosion under insulation (CUI) continues to
be one of the key integrity challenges associated with insulated
equipment. Technology developer Copsys was selected as one of
20 game-changing solutions in NZTC’s 2022 Open Innovation Pro-
gramme. Copsys Intelligent Digital Skin detects and locates coat-
ing barrier damage or CUI hotspots in real time before corrosion
damage can occur. The integrated impressed current cathodic
protection within the coating creates an entirely new category of
continuous sensor technology. Consisting of an epoxy resin with
Copsys proprietary additives and proprietary polyamine harden-
er, Copsys Intelligent Digital Skin is the first technology to digitally
detect and locate coating damage.
Along with Siemens Energy, NZTC has recently completed a key
deliverable in its Alternative Fuel for Gas Turbines project with a suc-
cessful pilot of running an aero-derived gas turbine on green meth-
anol. This type of R&D is a big step toward enabling some offshore
assets to operate using low-carbon fuels without extensive modifica-
tions. The use of green methanol has the potential to cut CO2 emis-
sions by up to 70% compared to conventional fuels across the UKCS.
CCUS is not only a proven method for emissions reduction but
is also an attractive opportunity for traditional oil and gas com-
panies looking to diversify their energy operations. NZTC worked
with direct air capture (DAC) technology developer CO2CirculAir
to secure BEIS funding for its SMART-DAC technology. The novel
MARCH/APRIL 2023 |  www.offshore-mag.com
NZTC’s Hydrogen Backbone project is enabling wind-green
hydrogen projects for the UK and export to Europe. COURTESY NZTC
solution captures CO2 directly from the air by utilizing natural air-
flow, avoiding using energy-intensive air blowers, while harnessing
renewable energy to power the absorbent regeneration process—
making it a near-zero emissions solution for CO2 capture.
Hydrogen
Hydrogen will facilitate various decarbonization applications.
NZTC’s Hydrogen Backbone project considers how a hydrogen
pipeline network could be established between energy hubs and
existing national grid infrastructure, linking ports and other infra-
structure. While NZTC’s Liquid Organic Hydrogen Carrier (LOHC)
for Hydrogen Transport from Scotland project will demonstrate
that LOHC, in the form of methylcyclohexane, can be successfully
transported at scale, providing an export route to the Port of Rot-
terdam and other European destinations. The project is delivered
by a diverse, international consortium, including Axens, Chiyoda,
EnQuest, ERM, Koole Terminals, Port of Rotterdam, Scottish gov-
ernment, Shetland Islands Council, Suncor and Storegga.
Offshore robotics
Digitally based technologies empowered by data, robotics and
autonomous systems will optimize and enable remotely con-
trolled operations. NZTC’s Offshore Low Touch Energy Robotics
and Autonomous Systems are delivering the competences nec-
essary to engage, anchor and utilize a robotics and autonomous
systems supply chain. Beyond Visual Line of Sight demonstrators
have shown the art of the possible by using commercial drones to
autonomously deliver critical payloads across onshore sites. Fur-
ther demonstrations for air, land and sea-based robotics will take
place in 2023 in an offshore environment supporting the develop-
ment of best practice to inform industry standards.
Innovation is happening, and transformation is sweeping the
world, albeit adoption and scaling is slow. Increased investment
in clean energy technologies, economies of scale and regulation
will help to de-risk technology and reduce costs. This is an exciting
time for the offshore energy industry, and it’s only the beginning. ●
Myrtle Dawes is NZTC's solution center director. Read an extended version of this
article at offshore-mag.com/14290941.
OFFSHORE 57
 2023 ENERGY TRANSFORMATION STRATEGIES: Sustainable Transportation

Offshore technologies meeting ESG goals

A sampling of the latest trends in
vessel technology, emissions monitoring
and alternative fuels
COMPILED BY ARIANA HURTADO, Editor and Director of Special Reports

Changing the primary power source for vessels

A big part of reducing the environmental impact of the maritime
industry comes from how vessels are powered and deployed.
Fugro is actively looking to transition from marine diesel as the
primary power source toward green methanol as a low-carbon
alternative. The MENENS consortium (Methanol as an Energy
Step Towards Zero-Emission Dutch Shipping) has been recently
awarded a grant from the Dutch government to further its work.
By moving to methanol as fuel, as well as through increasing
the number of uncrewed operations to enable the use of small-
er vessels, the company is working toward net-zero targets. Sus-
tainability is also being driven in the industry using remote and
autonomous technologies, and Fugro has a goal there to reach
net-zero emissions of its operations (Scope 1 and Scope 2) by 2035.
Green ammonia energy system for large vessels
The ShipFC project aims to demonstrate that long-range
zero-emission voyages with high power on larger ships is possi-
ble. The project will see the Viking Energy vessel, which is owned
and operated by Eidesvik and on contract to Equinor, have a large
2-MW ammonia fuel cell retrofitted, allowing it to sail solely on
clean fuel for up to 3,000 hours annually. The ammonia used in
the energy system will be produced by electrolysis. The goal of
the project is also to ensure that a large fuel cell can deliver total
electric power to shipboards systems safely and effectively. A sig-
nificant part of the project will be the scale up of a 100-KW fuel cell
to 2 MW. The ammonia fuel cell system will be installed in Viking
Energy in late 2023, and this is the first time an ammonia-pow-
ered fuel cell will be installed on a vessel. The ShipFC project also
will perform studies on three other vessel types, namely offshore
construction vessels and two cargo vessel types, to illustrate the
ability to transfer this technology to other segments of the ship-
ping industry.
EcoAdvisor monitors the vessel operation and its environment.
COURTESY KONGSBERG MARITIME
control system dynamics. The technology enables operators to
achieve reductions in fuel, emissions and maintenance costs, with-
out compromising vessel redundancy margins or vessel opera-
tional efficiency. The tool also provides live advice on how ship
owners can reduce their carbon footprint while at the same time
reducing opex.
Maritime software optimizes fleet operations data
As an independent subsidiary of the American Bureau of Shipping
(ABS), Wavesight was created to deliver maritime intelligence. ABS
Wavesight’s suite of product dashboards delivers rich, real-time
feedback to help fleet operators reduce their carbon footprint and
drive ESG initiatives. It offers a set of tools that can organize and
optimize data for fleet operations of any size. Personnel manage-
ment, asset risk management and fleet performance measures
are housed in one place, and users can align local and remote
data into actionable insights for voyage performance optimiza-
tion. The technology is designed to optimize a route in real time
to boost voyage economics.
Converting offshore construction
vessels to hybrids
Boskalis announced plans last year to convert various vessels in
its Offshore Energy division to hybrid vessels through retrofitting

Emissions monitoring tool for vessels

EcoAdvisor is an outcome of a joint research project between
Kongsberg Maritime, DOF Subsea, Sintef, NORCE and Innova-
tion Norway, with the aim of developing technologies to monitor
and reduce greenhouse-gas emissions during vessel operations.
EcoAdvisor monitors the vessel operation and its environment, Boskalis will conduct modifications on the Bokalift 1 crane
including power generation, propulsion, environmental forces and vessel, among others. COURTESY BOSKALIS

58 OFFSHORE www.offshore-mag.com |  MARCH/APRIL 2023

energy storage systems, or “power packs.” The conversions will
be designed to cut the vessels’ fuel consumption and associat-
ed CO2 and NOx emissions by up to 20%, also providing a power
supply and energy storage facility while the vessels are docked.
Boskalis will conduct the modifications, due to be completed by
year-end 2024, on the Bokalift 1 and Bokalift 2 crane vessels, two
construction support vessels and two diving support vessels, all
of which have DP2 capabilities. Boskalis already employs special
dashboards on its vessels to enhance efficient fuel usage and
biofuels as an alternative to fossil fuels.
Platform helps cut offshore vessel emissions
SailPlan is an emissions monitoring and optimization platform
that combines the real-time engine, fuel and navigational data
from vessels with the weather, mapping, infrastructure and traffic
data to benchmark, optimize and report fleet emissions. Accord-
ing to SailPlan, Harvey Gulf has seen quantifiable emissions
reductions beginning with the Harvey Power, a 310-ft platform
supply vessel (PSV). The company says the addition of SailPlan
makes the PSV the first one in North America to be equipped
with a real-time emissions optimization capability. Harvey Power
is designed to run on LNG, electric battery power and ultralow
sulfur diesel.
Increasing fuel efficiency of a vessel fleet
In early 2022, Solstad Offshore entered a collaboration with
Wärtsilä to reduce CO2 emissions from its 90-strong offshore
vessel fleet by 2030. The aims are to identify, assess and
implement solutions for increasing fuel efficiency and cutting
emissions. Each vessel will undergo reviews for suitable solu-
tions, potential operational improvements and life extension
measures. Solstad is targeting full carbon neutrality by 2050.
Extending cuts of fuel consumption per vessel to 50% should
come from optimizing energy efficiencies and retrofits to enable
the vessels to operate with alternative fuels such as hydrogen,
ammonia and methanol. New vessels will be designed to pro-
vide low or zero emissions from the start of operations. Wärt-
silä successfully operated a combustion engine on a fuel mix
with 70% ammonia content and is working on ways of raising
this proportion.
Modified fuel cuts helicopter emissions
In October 2022, NHV flew a helicopter running on low-emissions
aviation fuel to a wind power platform in the North Sea. The fuel,
developed by TotalEnergies, is made from waste and recycled
residues from sources such as used cooking oil. On this flight,
the fuel was said to have cut CO2 emissions by 27%. According to
NHV, the fuel mix’s renewable fraction is blended with up to 30%
of traditional fuel (JET A-1) to create the “sustainable aviation” fuel.
This is said to have similar technical properties to JET A-1, with
no required modifications to the aircraft, logistics, infrastructure
or refueling operations.
MARCH/APRIL 2023 |  www.offshore-mag.com
Fuel alternative for offshore supply vessels
Maersk Supply Service offers the option of lower carbon-emit-
ting operations by running its offshore vessels on a new fuel
mix. The ECO Offshore prod-
uct follows the successful
trial of low-carbon biofuel
with marine gasoil aboard
the Maersk Tender anchor-
handler, in partnership with
startup company The Ocean
Cleanup. ECO Offshore uses
hydrotreated vegetable
oil, which is described as
a safe, sustainable biofuel
that provides the same per-
formance as conventional NHV’s low-emissions aviation
fuels. During a 2021 trial for fuel is developed by
a six-week ocean-cleaning TotalEnergies. COURTESY NHV
charter in the Pacific Ocean,
biofuel was blended into the marine gasoil, resulting in a reduc-
tion in carbon emissions of 38.95 metric tons. Maersk said the
program confirmed the biofuel does not compromise on safety
or performance, and it does not require additional training or
vessel upgrades. In September 2022, the company said it was
planning to adopt the biofuel across its global fleet.
Role of ammonia in decarbonizing existing assets
In September 2022, KBR announced its plans to perform a study
to develop a green ammonia-based power system for a semisub-
mersible drilling rig owned by Odfjell. The company will collab-
orate with Odfjell, Equinor and Wärtsilä to assess conversion of
the diesel generators on drilling rigs units to ammonia-fueled gen-
erators. The collaboration will integrate KBR’s semisubmersible
technology, Wärtsilä’s power systems, and Odfjell’s and Equinor’s
operations capabilities to deliver a carbon-neutral solution. KBR is
an ammonia licensor, and its K-GreeN technology produces car-
bon-free ammonia based on electrolysis of water.
Partners investigate use of
biofuels on offshore fleet
Earlier this year, Eni Sustainable Mobility and Saipem signed
a memorandum of understanding on use of biofuels to power
Saipem’s 45-strong fleet of drilling and construction vessels, with
a special focus on operations in the Mediterranean Sea. Eni has
been producing biofuels since 2014, after converting its refineries
in Venice and Gela to biorefineries. Through application of Ecof-
ining technology, biofuel products are processed from vegetable
raw materials or animal waste. Saipem aims to increase the use of
alternative fuels on its vessels to cut its own and its clients’ emis-
sions. Using biofuel, it aims for emissions cuts of about 550,000
metric tons per year of CO2, equivalent to 60% of its total annual
Scope 1 emissions. ●
OFFSHORE 59
 2023 ENERGY TRANSFORMATION STRATEGIES: Digitalization Trends
Software innovations improving
offshore efficiencies
A selection of the recent system developments
for the offshore energy sector
COMPILED BY ARIANA HURTADO, Editor and Director of Special Reports
Autonomous FPSO solutions reduce human error
Yinson Production and AVEVA signed a memorandum of under-
standing earlier this year to develop new FPSO solutions. This
involves applying AVEVA’s software to allow Yinson to initially
operate an FPSO with minimal human involvement, later becom-
ing fully autonomous. Yinson will implement a digital twin virtu-
al model of the floating structure and deploy analytics, machine
learning and artificial intelligence to sustain the digital twin
throughout the asset’s life cycle. Autonomous technologies, Yinson
said, can enhance the energy and resource efficiency of assets,
help to lower emissions, and reduce human error and manual
intervention.
Digital tools deliver more intelligent operations
Baker Hughes will collaborate with bp on further defining and
developing Cordant, a new Baker Hughes integrated suite of solu-
tions for asset performance management and process optimi-
zation. Cordant enables the standardization of asset health and
strategy by integrating operational data within a probabilistic
model, simultaneously optimizing the resource and cost struc-
ture without negatively impacting plant availability or production
output, Baker Hughes said. As part of the collaboration, bp will
deploy OnePM, a Cordant asset strategy tool in select locations
across its Gulf of Mexico production assets, where Baker Hughes
has a large installed base of rotating equipment, controls and
associated digital services. Cordant, released in January, com-
bines existing digital offerings for hardware, software and ser-
vices capabilities into one integrated and simplified user interface.
Technology converts ROV into one with autonomy
Greensea Systems recently released OPENSEA Edge, which is
designed to bring “true autonomy” to ocean robotics, the compa-
ny said. While the OPENSEA open architecture platform provides
the software capabilities of navigation, control, autonomy, percep-
tion and long-range communications, OPENSEA Edge provides
a modular, hardware agnostic processing platform that converts
a traditional ROV into one with autonomy, artificial intelligence,
vehicle perception, and tetherless, over-the-horizon, communica-
tion and control. It is an add-on package to deliver integrated edge
processing and perception system integration to a traditional ROV.
60 OFFSHORE
Software develops digital twin within 20 days
James Fisher subsidiary Asset Information Services (AIS)
released a reengineered version of its R2S digital twin software
in October 2022, following a field deployment for a long-term
client. R2S is now a browser-based, modular platform provid-
ing regular, user-generated updates directly to project teams. It
also combines all visual data layers in a single window, improv-
ing usability, AIS said. Energy asset owners and operators, off-
shore and onshore, can use R2S to develop a digital twin of their
assets within 20 days, compared to what the company claimed
is more typically months or years.
Robots service offshore wind region
Nauticus Robotics has initiated its operations in Norway and
the UK to service the North Sea offshore market. It will deploy
assets and collaborate with local partners to service the
region’s offshore wind and oil and gas assets with its expand-
ing Nauticus Fleet, a robotic navy of surface and subsea robots.
Nauticus began production of its Nauticus Fleet, a robotic navy
of Hydronaut and Aquanaut pairs, in April 2022. Initial deliv-
ery to its international bases is anticipated to begin in sec-
ond-quarter 2023. These tandem pairs will be deployed to
multiple locations around the world to service subsea mainte-
nance, intervention and data collection activities. The company
said Nauticus Fleet uses 21st century ocean robotic technol-
ogies to combat climate change and the global impact on the
world’s marine environment. The pairing of both surface and
subsea robots is enabled by ToolKITT, Nauticus’ autonomous
software platform that affords robust machine intelligence in
addition to automation.
North Sea Sofia wind farm gets software support
Vissim was contracted in December 2022 for RWE’s Sofia off-
shore wind farm to supply a marine management and commu-
nication package. This will comprise marine optimization and
planning software and a communication, sensor and network-
ing arrangement, including Software-as-a-Service certification
and induction management, permit to work and daily progress
reporting. All will be integrated with Vissim’s real-time decision
support framework, covering vessel, aircraft and automated per-
sonnel tracking, working weather windows and warning-man-
agement options. In addition, the company will deploy onshore,
vessel-based and fully autonomous foundation-based sensor
and communication hubs, networked to both onshore and ves-
sel-based control rooms. The contract relates to the offshore
construction of the Sofia project in the North Sea. ●
www.offshore-mag.com |  MARCH/APRIL 2023
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 2023 ENERGY TRANSFORMATION STRATEGIES: Case Study
Powering floating offshore oil and
gas operations is no easy task
BW Offshore utilizes IFS software to optimize
operational efficiency, uptime and maintenance
CAROL JOHNSTON, IFS, and FRITZ EKLØFF, BW Offshore
B
alancing an uncertain global economy and the increase in
market volatility, along with the everyday stress of operating a
successful global offshore floating production service is no easy
feat. Companies need 24/7 visibility, whether this be the condition
or status of onshore/offshore assets or a view into business-crit-
ical data. Only when this overall visibility is achieved can oil and
gas companies keep operations optimized, revenues maximized
and their competitive advantage unmatched; and only enterprise
software can cover all the bases.
BW Offshore, a provider of floating production services to the
oil and gas industry, has been using IFS software to overcome
global economic unpredictability by optimizing operational effi-
ciency, uptime and maintenance.
Technology is playing a huge role in the oil and gas sector’s
energy transformation. To remain competitive in what is still
an extremely volatile market, oil and gas companies are striv-
ing to transform their operations. This transformation is con-
ducted through improving the reliability and availability of their
assets while reducing costs and carbon emissions and manag-
ing market volatility.
ERP software capabilities
BW Offshore is a diversified offshore energy company with
a fleet of 10 FPSO units across the Americas, Asia-Pacific,
Europe and West Africa. The company’s organizational infra-
structure is complex and requires around-the-clock visibility
into all offshore and onshore activities—and this is where enter-
prise resource planning (ERP) software comes into its own.
Using IFS software, BW Offshore has optimized and stream-
lined its operations and management of its environment. The
company now uses a range of IFS modules, including global
finance, supply chain, projects, maintenance, inventory, human
resource management, maintenance (for vessels) and docu-
ment management.
BW Offshore recognized that full visibility into its onshore and
offshore operations would be a better way to gain better control
of its projects and costs and improve its ability to react quickly
and efficiently to market changes. The company’s most recent
deployment of IFS software has enabled the company to run on
a global scale—spanning projects and services employing 1,700
users across 13 countries.
62 OFFSHORE
Solving visibility issues
To keep operations running smoothly, BW Offshore needed a
comprehensive technology infrastructure to match its complex
ecosystem, which includes 70 companies managing significant
projects—of up to 1$ billion—and thousands of suppliers. To ensure
data continuity and stability, BW Offshore opted to integrate data
replication into its IFS system, which has proved paramount in
supporting everyday operations. Data replication stores data in
more than one site and helps improve the availability of data. In the
event of communication being temporarily lost, with one database
onshore and one located at each offshore location, IFS Replica-
tion keeps master business-critical data and transaction updates
synchronized at each site.
Enhancing decision-making
The new ERP deployment also gives BW Offshore the ability to
quickly create “lobbies” for different roles and departments, pro-
viding all users with an interface fit for their tasks. These enhanced
lobbies enable key decision-makers to view and drill down into
key operational KPIs and actions in real time and take appro-
priate action.
The benefits of integrating a global enterprise software system
into onshore and offshore operations include increased visibility
into projects, data and assets; improved project control; and the
use of automated data replication, enabled enhanced operational
efficiencies and maximized uptime. In addition, enterprise tech-
nology works 24/7, accessing and analyzing information accu-
rately to facilitate data-driven decision-making, while minimizing
the risk of human error.
Cutting customization needs
One of the company’s key goals when upgrading its enterprise
software system was to reduce the number of customizations. In
achieving this, BW Offshore has significantly cut operational costs
and the total cost of ownership. Functional improvements within
the upgrade enabled the company to reconsider their legacy cus-
tomizations—could they be retired or could they be accommo-
dated using standard configurations? The company was able to
reduce the need for system maintenance and to decrease the
number of customizations present within its enterprise software
from 63 to 23.
Despite global economic uncertainty and continued market
volatility, energy companies remain in a strong position to stay
competitive with advanced enterprise software solutions. Tech-
nology can help an organization adapt rapidly in changing market
conditions and maintain revenues. ●
www.offshore-mag.com |  MARCH/APRIL 2023