An Overview of Offshore Concepts

SPE Expanding Facilities Knowledge Workshop

Session 1: Offshore Concepts Selection

Presented by: Daryl B. Rapp

Upstream Project Director
 An Overview of Offshore Concepts

 Safety Minute
 Introduction
 Background Information
 Offshore Facility Descriptions
 Fabrication and Transport Considerations
 Installation Considerations
 Advantages/Disadvantages of Concepts
 Drivers for Selection
 Developing the “Right” Concept
 Safety Minute

 The offshore oil and gas industry is important to the United States.
 It can be a dangerous industry.
 As engineers and designers we have a huge impact on the safety
of others and the environment.
 It is important to consider safety and the environment in our
design and our decisions.
 Safety Minute

BP Macondo Well Incident Information:

 11 people died

 Transocean Deepwater Horizon Drillship sank

 According to the US government, between 12,000 and 25,000 BOPD and its
associated gas have been released into the GOM.

 According to BP, the present cost of the response exceeds to $1.3 billion, including
the cost of spill response, containment, relief well drilling, grants to Gulf states,
claims paid, federal costs, and Louisiana barrier islands construction project.

 Thousands of offshore workers will likely face unemployment due to the effects of
placing a drilling moratorium. Support industries will also be affected.

 Harm to marine and wildlife is still being assessed.

Typical incidents have to be avoided in the future.

 Introduction

This presentation will cover:

 An overview of offshore concepts

 Advantages and disadvantages of concepts

 Drivers for selection

 A proposed process to help in selection of the “right concept”

 Background Information

Offshore Industry Milestones:

 1947 – First offshore platform installed in 20 ft. of water

 1984 – First TLP installed in 480 ft. of water

 1988 – Bullwinkle Offshore Platform installed in 1,350 ft. of water

 1997 – First Spar installed in 1,930 ft. of water

 2007 – Independence Hub Semi installed in 7,918 ft. of water

 2010 – Perdido Spar installed in 7,820 ft. of water

 Background Information

Oil Production in 2009:

• Global Oil Production: 86.2 MMBOPD (International Energy Agency)
• Global Offshore Oil Production – 27.8 MMBOPD (Douglas Westwood)

• US Oil Production – 5.3 MMBOPD (Energy Information Administration)

• US Offshore Oil Production – 1.7 MMBOPD (Energy Information Administration)
 Background Information
Deep Water Definitions
MMS Definitions

Shallow Water
0 -1,000 feet
Deepwater
1,000 – 5,000 feet
Ultra Deepwater
5,000 – 10,000 feet

Tallest Land-Based Structure

Burj Dubai – 2,864 feet

8
 Background Information
Bottom Founded Platforms Installed

Hundreds of Platforms 5 Compliant Towers

 Background Information
Deepwater Floaters Installed

18 Spar Facilities
 Background Information
Deepwater Floaters Installed

25 Tension Leg Platforms

 Background Information
Deepwater Floaters Installed

39 Semi-FPS Facilities
 Background Information
Deepwater Floaters Installed

183 FPSO Vessels

 Types of Facilities
Bottom Founded Structures
Jacket CPT
 Types of Facilities
Tension Leg Platforms
Types of Facilities
Spar
Types of Facilities
Semi-Submersible
Types of Facilities
FPSO
 Other

Circular FPSO
Min Doc
 Fabrication and
Transport Considerations
 Where can the structure/hull and
topsides be built?
 What is the largest size built?
 How can the structure be transported?
 Can integration be done at quayside?
 Installation Considerations

 Large Derrick Barge required?

 Launch barges required?
 Offshore hook-up required?
 Is the topsides a candidate for a floatover?
 Advantages and Disadvantages
Fixed Platform

Description: Fixed Structural Jacket with Piles

Advantages:
 Tallest structure exceeds 1,300 feet
 Can handle significant topsides weights
 Good motion characteristics
 Suitable for drilling/workover operations

Limitations:
 Mating of jacket structures
 Weight increases as water depth increases
 Large Derrick Barge may be required
 May require considerable offshore hook-up
Bullwinkle
Gulf of Mexico
 Advantages and Disadvantages
Compliant Piled Towers (CPT)
Description: Multi-Sectioned Tower with Piles

Advantages:
 1,200 to 2,500 feet water depth range
 Can handle significant topsides weights
 Good motion characteristics
 Suitable for drilling/workover operations
 Lighter than fixed jacket

Limitations:
 Water depth dependent (< 3,000 feet)
 Weight increases as water depth increases
 Requires heavy lift Derrick Barge
 May require considerable offshore hook-up
Benguela Belize and Tombua Landana
Offshore West Africa
 Advantages and Disadvantages
Tension Leg Platforms (TLP)
Description: Floating Hull form held in place by Steel Tendons

Advantages:
 Can be installed in water depths up
to 5,000 feet
 Can handle significant topsides weights
 Good motion characteristics
 Can support dry trees

Limitations:
 Tendon diameter increases with water
depth and may not be as competitive
over 4,500 feet of water depth
 Advantages and Disadvantages
Semi Submersible (SEMI) or Deep Draft Semi

Description: Floating Hull form held in place by Steel or Polyester Moorings

Advantages:
 Good choice for wide range of water
depths – 1,000 to 9,000 feet
 Can handle significant topsides weights
 Good motion characteristics
 Deep Draft Semi is a good choice for
Marginal Fields
 Good solution for wet trees

Limitations:
 Hull motions in 5,000 feet or less could
cause SCR fatigue issues
 Need to address motions if drilling
operations are required

Blind Faith
Gulf of Mexico
 Advantages and Disadvantages
Truss Spar or Cell Spar
Description:
Floating Hull consisting of a single cylindrical construction at
the top with steel truss sections at the bottom, or a Floating
Hull consisting of multiple pipes or tubes. Both types of Spars
can have steel or polyester moorings.

Advantages:
 Good choice for a wide range of water depths –
1,000 to 9,000 feet
 Can handle significant topsides weights
 Very good floating characteristics
 Good for drilling/workover operations
 Design allows use of Air Cans to support dry tree
risers

Limitations:
 May be heavier than Semi’s and TLPs depending on
water depth
 Harder to install on site than Semi’s and possibly
TLPs depending on water depth
 Key Technical Drivers for Selection

 Water Depth and Metocean Criteria  Market Conditions

 Riser Options/Facility Motions  Contracting Strategy
 Reservoir Characteristics  Owner Familiarity/Biases
 Flow Assurance  Topsides Payload
 Drill Center Locations  Installation Plan
 Drilling Plan  CAPEX and OPEX Costs
 Dry or Wet Trees  Risk Issues and Mitigating Measures
 Field Layout
 Fixed or Floating
Platform Selection Issues
Platform Fixed
Configuration Platform or TLP Spar Semisub FPSO
CPT
No practical
Water Depth (ft) 0 – 2,500 Up to 5,000 No practical limit No practical limit
limit
Trees Wet or Dry Wet or Dry Wet or Dry Wet Wet

Drilling/Workover Yes Yes Yes Yes No

Storage No No No No Yes
SCR No constraint No constraint No constraint Evaluate Evaluate
TTRs No constraint No constraint No constraint No No

Offshore or Quayside or Offshore or

Topside Integration Quayside Quayside
floatover floatover floatover

Contracting
Good Good Good Better Best
Flexibility

Hull/Structure
Weight Sensitivity to Somewhat More Somewhat Somewhat Least
Topside
 Dry Trees vs. Wet Trees
Selection Issues

Wet Tree Dry Tree

 Multiple drill centers  Single drill center
 Lower CAPEX, but potentially  Lower OPEX and life-cycle costs for
higher OPEX
medium and large developments
 Minimize drilling costs and risks for
large area extent reservoirs  Simpler hardware
 Minimize project schedule  Minimize well intervention costs
 Maximize development plan and downtime
flexibility  Less flow assurance risk
 Maximize project economics for  Potentially higher recovery
small developments
 More complex flow assurance
issues
Developing the Right Concept
Developing the Right Concept
 Developing the Right Concept

Capture Relevant Information

 Reservoir
 Drilling Requirements
 Location
 Market Conditions
 Export Plan
 Government/Regulatory
 Corporate Guidelines
 Risk Tolerance
 Operations
 Lessons Learned
 Developing the Right Concept

Select Concept Team

 In-House
 Contractor
 Integrated
 Experience
 Benchmarking
 Biases Considered
 Developing the Right Concept

Communicate Key Drivers and Obtain Alignment

 Focus
 Key Drivers
 Safety
 Schedule
 Cost
 Operability
 Developing the Right Concept

Develop Concepts to be Studied

 Available Options
 New Technologies
 Out-of-Box Thinking
 Execution Impact
 Competition
 Industry Experience
 Developing the Right Concept

Study Concepts
 Cost
 Schedule
 Risks
 Advantages/Disadvantages
 Benchmarks
 Peer Review
 Developing the Right Concept

Select Option(s) to Develop

 “Right” Concept(s)
 Maintain Competition
 Challenges/Risk
 Summary

Selecting the Right Offshore Concept Involves:

 Understanding the reservoir and key parameters for the field

 Understanding the possibilities

 Good communication and alignment between all parties

 Integrated and experienced team

 Following the process even though we may immediately

select the “right concept”
Questions?
Thank you