InterMoor, an Acteon company, has successfully completed a mooring and foundation installation campaign for bpTT's Juniper gas project offshore Trinidad and Tobago. This is the largest foundation installation campaign offshore Trinidad and Tobago to date.

InterMoor provided engineering and design services to identify the most reliable and cost-effective mooring solution and performed configuration studies as part of the mooring analysis. The company designed and fabricated eight piles (4 ft in diameter by 128 ft long) at its facility in Morgan City, Louisiana, and provided offshore project management services for the mooring preset campaign. This included installing the driven piles using H-Links and 1,000 ft of ground chain per leg from the Boa Deep C construction vessel.

Trinidad restricts boat-to-boat transfers, so transporting the piles offshore using a single boat presented a challenge. However, InterMoor was able to complete the installation with the eight piles and additional equipment on the vessel's deck. The Juniper project was carried out in a water depth of 330 ft, with strong water currents.

The mooring solution engineering began in 2011 with the initial front-end engineering and design (FEED) study, and offshore installation was completed in early November 2014. Jacob Heikes, project manager at InterMoor, said, "Despite numerous logistical obstacles to overcome as well as the expedited schedule necessary to complete installation engineering and pile, chain and H-Link fabrication, the foundations and pre-set mooring lines were installed successfully and on time."

Tom Fulton, InterMoor's global president, added, "This project demonstrates InterMoor's strategic involvement in the region and highlights our superior capacity in oil and gas industry projects in the Caribbean / South America."

During the installation campaign, InterMoor's sister group company MENCK was also involved, providing the hydraulic hammer. InterMoor's locations in Aberdeen, Scotland; Stavanger, Norway; Morgan City, Louisiana; and Houston all contributed to the project.

InterMoor was an ideal candidate for the project given previous successful driven-pile and conductor campaigns in Brazil. The company provided a turnkey service for the mooring presets in Shell's BC-10 Parque das Conchas offshore development and the Papa Terra field for Petrobras and Chevron.

The International Well Control Forum (IWCF) has launched a new training standard in drilling and well intervention for top achieving candidates and is urging operators to get involved.

The move is in direct response to the Oil and Gas Producers (OGP) guidelines following the Macondo and Montara incidents and aims to drive up competency standards and improve safety for those working with wells. Thousands of contractors and workers have to pass exams in drilling and well intervention every two years to enable them to work at offshore and onshore well sites.

Photo: Dave Price, CEO IWCF

The Enhanced Standard is only available to candidates who have achieved at least an 80% pass mark on previous exams and demonstrate significant experience of undertaking well control training in their past. The content is primarily based on real industry well control incidents involving simulated exercise, team work and peer-to-peer review and feedback.

It focuses on enhancing technical knowledge using case studies in a team based environment. Candidates are assessed in a similar manner as on a standard course and can be expected to achieve higher results.

IWCF is the independent organization that sets global training standards for well control.

David Price, CEO of IWCF said: "Introducing the enhanced training will encourage candidates to strive to be the best and will challenge them in new ways in a replicated well site environment. After a successful pilot scheme, we are now looking for operators and training providers to sign-up as ultimately it will help create a safer environment at offshore and onshore well-sites. We are making strides to create a step change in well control competency to help the industry avoid another significant well-related tragedy, but we need operators and contracting companies to get behind these changes."

Founded by the oil and gas operators in 1992, IWCF administers well control training, assessment and certification programs and is committed to creating a step-change in well control knowledge. Since then, IWCF has certified over 160,000 people in almost every continent through more than 220 accredited training centers.

IWCF is investing in new facilities at its headquarters in Montrose, UK to improve training for well control assessors and instructors who address drilling operations and well intervention activities. The organization is also introducing new levels to well control training including a new level 1 introductory online course, which will be available free to anyone with an interest in the industry.

To help enhance users' online experience, IWCF has re-launched its website this week which includes a fresh design, easier navigation, better functionality and will also be fully responsive to mobile devices so it can be viewed on the move.

the past 12 years, Quest Offshore's consulting division has been commissioned by leading energy companies, industrial conglomerates, tier one OEMs, the finance industry and other members of the supply chain as well as industry lobby groups to provide expertise in assessing the current and future market conditions of a variety of offshore oil and gas related industries.They have successfully assisted their clients in understanding the complex dynamics of the global oil and gas production and exploration market, and have provided expert analyses allowing them to make optimal strategic decisions in reaching their short and long-term goals.

Despite the negative implications of and uncertainties around today's lower oil price environment, Quest believes that significant opportunities exist for companies willing to make immediate long-term strategic decisions. As with any significant structural shift in a large industry, the recent outlook changes will create inefficient market situations that well-positioned and opportunistic companies will be able to seize. Quest expects that as oil prices begin to stabilize, merger and acquisition activity will increase. Suppliers to project development activities will undergo significant restructuring, reshuffling the dynamics of most offshore oilfield service markets. Companies who take advantage of these opportunities will be well positioned for the next growth cycle.

Quest's consultancy practice works with clients to provide comprehensive data-driven advice and analytics. Using our market expertise and in-depth analysis, Quest can assist in planning for and reaching your business development goals. Through Quest's strategic advisory services, sector specialists work with you to identify profitable opportunities to maximize your company's current market position as well as identify valuable targets to expand your offerings. Markets in which we have extensive relevant experience include:

Market Due Diligence
* * Mergers & Acquisitions
* * Initial Public Offerings
* * Debt Transactions
* * Litigation Support

Offshore Market Positioning
* * Barriers to Entry
* * Competitor Analysis
* * Cost Analysis
* * Supply Chain Analytics

Re-organization/Efficiency
* * Market Assessments
* * Cost Analysis and Reductions
* * Growth Opportunities
* * Market Modeling

he world's largest ship and offshore classification society DNV GL has opened up a new office in Nanjing. It will support business growth in the area and be the centre for operations in Central China. Headed by Area Manager Chen Keng, DNV GL Central China covers most of the Jiangsu Province and follows the Yangtze River upstream to Chongqing and Sichuan.
"Central China is home to dozens of shipyards, many industry manufacturers and is therefore one of the most important areas for DNV GL to focus on in China. The launch of our expanded new office demonstrates our commitment", says Torgeir Sterri, Vice President and Regional Manager for Greater China at DNV GL.

"More expertise and competence in all ship types and offshore units as well as a strong focus on research, technology and innovation enables DNV GL to support the transformation and development of Central China's maritime industry more effectively. Together with our customers, we will contribute to a safer, smarter and greener future", Sterri adds.

The expanded office accommodates all staff from both legacy DNV and legacy GL. "Our customers now have easier access to our services. This puts us in a much better position to support them, strengthen our existing cooperations and generate more business in the area", says Area Manager Chen Keng.

DNV GL has been involved in many advanced newbuilding projects in China, such as 10,000 TEU container ships, 25,000 DWT Duplex chemical tankers, high-end OSVs and multi-purpose dry cargo vessels.

"We are proud and grateful for the trust and good cooperation built and maintained with our customers and partners in the area. With the support from our regional and global resources, I am very confident that we will be able to meet the even higher expectations from our customers on quality, technology and innovation development", concludes Chen Keng.

DNV GL in Central China
The Nanjing office was established in 2008 to support China's fast development in the maritime sector. With 130 professionals in three stations in Nanjing, Wuhan and Jiangyin, DNV GL provides a complete maritime service portfolio to more than 20 shipyards carrying out newbuilding and repair projects, over 100 manufacturers requiring certification services, and many shipowners, requiring fleet in service and newbuilding support

Harvey Gulf and Metizoft have signed a framework agreement on maintenance and quality assurance of the Inventory of Hazardous Materials (IHM). Vessels with IHM documentation must according to the requirements of IMO Guidelines - Ship Recycling; MEPC 197 (62) be maintained at all times and reflect the actual ship sailing. More and more shipping companies see the need to comply with the more stringent requirements, says Chief Marketing Officer Øyvind Sundgot.

"This agreement is one of several benefits of Harvey Gulf's focus on Health, Safety and Environment, which also form the basis for system solutions to the company's vessels," says Corby Autin, Executive Vice President of QHSSE / HR. "The agreement initially includes 10 vessels in operation, and future new buildings will be subject to continuous maintenance and quality assurance of documentation at Metizoft.

"Through the agreement with Metizoft, IHM documentation is maintained according to the current regulations and Metizoft is helping to ensure that we comply with the requirements at all times."

More and more countries have ratified or are at least getting closer to ratifying the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, which addresses the requirements for IHM and makes ship owners responsible for compliance.

"We are very pleased to be a partner in Harvey Gulf's focus on the environment. The collaboration shows that Harvey Gulf is strategic in their choices in terms of meeting future requirements," says Sundgot.

Changes in the market earlier than expected
"A lot has happened in a short time, and this future requirement that will include all of the world's seagoing vessels above 500 tons deadweight at an earlier stage than some anticipated," Sundgot adds. "The European Union formally adopted the requirement on 30 December 2013, with some adjustments based on IMO - Hong Kong Convention. The new EU Ship Recycling Regulation means that EU-flagged vessels of 500 GT and over will be required to carry an Inventory of Hazardous Materials (IHM). When calling at EU ports, vessels from non-EU countries will also be required to carry an IHM identifying all hazardous materials on board. This means that the maintenance and quality assurance of the documentation is strengthened and it will therefore be very important for owners to have control of this."

Inventory of Hazardous Materials (IHM) requirements.

- EU-flagged newbuildings are required to have onboard a verified IHM with a Statement of Compliance at the earliest by 31 December 2015 and at the latest by 31 December 2018.
- Existing EU-flagged vessels are required to have onboard a verified IHM with a Statement of Compliance at the latest by 31 December 2020 (or if the ship is to be recycled, the IHM should be on board from the date when the European list of ship recycling facilities is published, expected to be by the end of 2016).
- Non-EU-flagged vessels calling at EU ports are also required to have onboard a verified IHM with a Statement of Compliance at the earliest by 31 December 2020.

A known difference is in the material declarations (MD) for the EU SRR, which will include two additional hazardous materials.

- PFOS (Perfluorooctane sulfonic acid) shall be prohibited. PFOS is chronically toxic, injurious to reproduction, carcinogenic, toxic to aquatic organisms and widely distributed in the global environment. In the marine industry, it can be found in fire-fighting foams of the type AFFF on vessels carrying inflammable fluids and those with helicopter decks, rubber and plastic materials (i.e., cable sheaths, PVC flooring, gaskets and seals) and coatings (i.e., paint).
- HBCDD (Brominated Flame Retardant) is to be listed in the IHM. HBCDD is very persistent, bioaccumulative and toxic to aquatic organisms; it causes long-term adverse effects on the aquatic environment. It is classified and labelled as dangerous for the environment. In the marine industry, this can be found in expanded polystyrene (EPS) used for cryogenic insulation, such as for liquefied gas tanks (LGT), refrigerated areas, thermal insulation boards (i.e., foam materials), rubber and plastic materials (i.e., cable sheaths, PVC flooring, gaskets, seals) and coatings (i.e., paint).

Metizoft has 8 years of industry experience in Ship Recycling and has provided project documentation to about 600 new buildings internationally and collaborating with leading shipyards and ship owners. "There are still a lot of shipping companies that do not know how to handle this, but there is no need to wonder anymore. We have proven on behalf of several major players in the industry that we can handle this. We want to meet the requirements on behalf of ship owners," says Sundgot.

NYC-based PIRA Energy Group reports that the outlook for 2014 global oil demand growth was revised down significantly. In the U.S., stocks built this past week for the seventh consecutive week of inventory builds that have uncharacteristically occurred in the middle of the winter. In Japan, crude stocks draw, but finished products build. Specifically, PIRA's analysis of the oil market fundamentals has revealed the following:

Why Was 2014 Oil Demand Growth So Weak?
The outlook for 2014 global oil demand growth was revised down significantly over the course of the year. Some of the deterioration in the outlook since January 2014 can be attributed to slower economic growth, but the 0.5 MMB/D over-prediction of demand growth from June 2014 cannot. The lion's share of the discrepancy occurred in Japan (0.2 MMB/D) and the U.S. (0.2 MMB/D) – the demand forecast for the developing world was almost perfect. The source of the forecast errors in Japan and the U.S. appear to be for a number of reasons unrelated to longer term trends.

Another New High in U.S. Commercial Stocks
Stocks built this past week for the seventh consecutive week of inventory builds that have uncharacteristically occurred in the middle of the winter. Inventories are at all time highs and are now 119 million barrels, or 11.4% higher than last year. Crude stocks had the largest weekly build in over ten years and are now 13.3% higher than last year. Product inventories are 9.4% higher than last year but the bulk of that is outside the four major products.

Japanese Crude Stocks Draw, but Finished Products Build
Crude runs rose fractionally on the week and crude imports declined sufficiently to produce a crude stock draw. Finished product stocks built, with all the major products other than kerosene showing an increase, but nothing dramatic. Demands on gasoline and gasoil were modestly higher, but stocks built for both due to a rise in yields. The kerosene draw rate throttled back on the week as yield rose and demand was slightly softer. Indicative refining margins remain strong.

Prompt Demand Sends Asian LPG Flying
The action this week was in the Asian LPG markets. Prices roared higher on stronger prompt demand, particularly out of Japan, and thin immediate availability. Cash propane prices ripped $100/MT higher for cargoes arriving 2nd half February to the highest levels this year. Butane prices also rose in illiquid cash markets to be called at a $30 premium to C3. Saudi CP futures gained, with current bets on a $25 improvement in February CPs. However, steep backwardation in the CP and propane FEI curves hints that the prompt strength in Asian LPG markets may not persist for too much longer.

Ethanol Prices Fall
The week ending January 16, U.S. ethanol prices tumbled to their lowest values since June 2005. Stocks were the highest and manufacturing margins were the poorest since January 2013.

Ethanol inventories Rise to Two-year High
U.S. ethanol production rose to 979 MB/D last week, up slightly from 978 MB/D during the preceding week. Inventories built by 158 thousand barrels to 20.4 million barrels, the highest in nearly two years.

Death of Saudi Arabia's King Abdullah Unlikely to Alter Oil Policy
King Abdullah of Saudi Arabia died January 23. Crown Prince Salman has assumed the throne, and Prince Muqrin was named the new Crown Prince. Furthermore, the succession plan now appears to include a younger generation. PIRA believes the change in leadership is unlikely to alter Saudi Arabia's current oil policy of letting the market dictating prices and protecting market share.

The information above is part of PIRA Energy Group's weekly Energy Market Recap - which alerts readers to PIRA's current analysis of energy markets around the world as well as the key economic and political factors driving those markets.

GAC, a world leader in global shipping services, has been appointed sole provider of hub agency services for the worldwide LNG fleet of BG Group.

The agreement also covers crude oil and LPG shipments to accommodate BG Group's expanding cargo range.

The new five-year contract took effect on January 1 with GAC providing hub and ship agency services and a range of value-added solutions covering the movement of BG Group's cargoes around the world.

Kumar Ganesan, General Manager for GAC Global Hub Services coordinated the negotiations along with Bob Bandos, Managing Director of GAC Shipping USA. Bandos had first established the relationship with BG Group in 2001.

"This global contract with BG Group is an outcome of mutual reliability, a commitment to thinking long-term and a willingness to listen to each other," says Ganesan. "It's the product of a partnership that continues to grow stronger."

"We have been working closely with the BG Group for more than a decade and we look forward to supporting the company in its global LNG, LPG and Crude Oil business growth."

GAC operates Hub Agency Centers in Dubai, Houston, Singapore and Grangemouth, coordinating port calls globally for fleet operators

Deep Casing Tools is pleased to announce the establishment of new branch office in the Jebel Ali Free Zone (JAFZA) area in the United Arab Emirates. Local sales and operational services have contributed to the company's success and the establishment of a new regional base underpins the commitment to new and existing customers.

John Rider, Vice President, Middle East and Asia Pacific for Deep Casing Tools

As well as serving the company's established Middle East market, the combined office and warehouse facility will also provide a supply base for the growing demand for tools in the Far East, where supply agreements have recently been signed with major contractors in Malaysia and Vietnam.

The facility underpins the strong reputation that the company has established with major operators in the Middle East and reinforces its ambitious growth plans. To support this growth, a new post has been created and John Rider has been appointed as Vice President, Middle East and Asia Pacific, based in UAE. John has previously worked in the UAE, USA, Caspian, Russia UK and Africa.

Deep Casing Tools' CEO Lance Davis said: "I am delighted that John has decided to join us. His considerable industry knowledge of field operations and his global commercial and technical sales experience will be invaluable in strengthening Deep Casing Tools' growth strategy."

Deep Casing Tools doubled its revenue year-on-year to £9m in 2014.

Subsea products and equipment manufacturer Ennsub has successfully completed the design, manufacture, testing and installation of bespoke sealing systems for the Wheatstone Liquefied Natural Gas (LNG) platform off the coast of Australia.
The company was approached by a tier-one marine contractor to design two different systems to provide an external and internal sealing system for 64-off 8" NS ballasting pipes located at each corner of the platform.

The Wheatstone LNG Project is being developed in Australia.

Ennsub was responsible for the design and supply of all equipment, including downline recovery winches, remote disconnect heads and isolation plugs. Following an intensive factory-acceptance test programme, which simulated the offshore conditions, four Ennsub engineers were mobilised to Australia to perform the installation of the 128-off bespoke sealing systems.

The solution presented by Ennsub replaced the alternative grouting solution which was being considered by the end user and the success of the operation exceeded all parties' planned timescales with Ennsub's engineers successfully completing the installation in half the time allocated.

Scott Macknocher, managing director of Ennsub, said: "This was a great opportunity to demonstrate our design, innovation and supply capability on such a prestigious project. Our experienced design team gained a real understanding of the industry and project application.

"We are very pleased with the success of the operation and performance of both the equipment and our experienced offshore technicians. The solution significantly reduced the planned installation time and had major cost saving benefits for the end user. This project is an excellent example of our capability to deliver bespoke solutions on similar projects."
Aberdeen-headquartered Ennsub recently opened a new production facility and office in Teesside, adjacent to the area's highly capable supply chain and with access to a large skilled workforce and excellent transport links.

In their January Oil Monthly Report, the IEA noted "A price recovery – barring any major disruption – may not be imminent, but signs are mounting that the tide will turn" and their demand growth forecast of 900,000 bbl/d for 2015 was maintained. They are not alone, the EIA expects global consumption to grow by 1.0 million bbl/d in both 2015 & 2016, and some forecasts suggest U.S. gasoline demand may, in 2015, grow by the most since the 1970s as falling prices boost consumption.

Oil prices are presently being held down by oversupply – but for how long? Production from wells declines naturally at some 9% p.a., and even with costly intervention at perhaps 5% p.a. With global demand at some 92 million bbl/d, this suggests a requirement to replace in excess of 4.5 million bbl/d of production in 2015 and more in 2016, etc., but where will the new oil come from? The IEA has suggested the U.S. oil production may grow by 0.5 million bbl/d in 2015 but could start to peak as early as 2016.

Investment in production is already being hard hit. Around 400,000 low output stripper wells each pump less than 10 bbl/d, but in total produce three-quarters of a million bbl/d and are prime candidates. At the other end of the scale, BHP Billiton for example has said it would cut back on its planned $4bn spending on its US shale assets. Projects underway worldwide will of course add production and OPEC probably already has near 2.5 million bbl/d of spare capacity. So overall, we may reach a point of balance in 2015-16 and then see undersupply of oil and rising prices. Furthermore, we must not forget there is always potential for supply disruption, OPEC has at times lost some 2 million bbl/d, non-OPEC producers near 1.2 million.

The bottom line is that unless we keep adding production, surplus capacity will be quickly eroded. The next oil price surge is already being set up.

John Westwood, Douglas-Westwood London
+44 203 4799 505 or This email address is being protected from spambots. You need JavaScript enabled to view it.
www.douglas-westwood.com

PIRA Energy Group, a leader in global energy market analysis, announced today that Gemma Postlethwaite, the company's current COO, will assume the role of Chief Executive Officer effective immediately. Dr. Gary N. Ross, PIRA's founder and current CEO, will become Executive Chairman and will continue to lead the company's oil group.

"Since Gemma came on board as COO in early 2014, she has had a transformational impact on the business," said Dr. Ross. "She has a keen sense of how clients' needs are changing and how best to address those needs. In a short period of time, we've rebuilt our online platform and created a roadmap for better delivering data and analysis to more types of energy professionals. With Gemma onboard and with our newly expanded management team, the future is extremely bright for PIRA and its clients. I am now able to focus primarily on making our oil group and its products even stronger."

Dr. Ross built PIRA to help clients understand the entire energy market through rigorous fundamentals analysis. Today, PIRA has grown into one of the world's leading energy analysis companies, covering all energy commodity areas. Its "total view of the energy market" takes a bottom-up, fundamentals analysis of supply and demand as well as a top-down macroeconomic approach. PIRA's team of experts and comprehensive data tools serve a full range of worldwide clients, from upstream to downstream companies, physical players to investors, government to private entities, and those focused on the short term to those that need long-term perspectives.

"As PIRA approaches its 40th year of operations, I am thrilled to move into this new role," said Ms. Postlethwaite, who over her 15-year career has held leadership positions at major information-services companies. "Gary's vision and passion for the business have made PIRA the leader in our industry and an invaluable source of information and advice to our clients. I firmly believe no other entity understands the complexities of this market better than the incredible team of experts at PIRA.

At a time when our clients face very volatile market conditions, we are renewing our commitment to them — the commitment to provide the most expert, objective and integrated analysis of worldwide energy markets. We take this commitment seriously. It shapes the way we work every single day. I am excited to share what's coming next with our clients."

On behalf of the Johan Sverdrup partnership Statoil will sign a detail engineering contract for the Johan Sverdrup development with Aker Solutions.

Worth NOK 4.5 billion the contract includes engineering and procurement management (EPma) until the scheduled production start in 2019.

The contract includes engineering and procurement management for the riser and processing platform topsides for the Johan Sverdrup field, phase one, in addition to hook-up work and gangways for the entire field.

Aker Solutions has so far been responsible for the front-end engineering of all four platforms that constitute the field center, a contract signed at the end of 2013.

"In light of the Johan Sverdrup project's ambitious progress plan having competent cooperation partners that share our goals is essential. Through the front-end engineering phase several hundred Statoil employees have been stationed at Aker Solutions. Together we have formed the basis for a seamless transition to detail engineering which will ensure a cost-effective progress plan," says Arne Sigve Nylund, Statoil's executive vice president for Development and Production Norway.

"The Johan Sverdrup field development is of great importance, not just to Statoil and our partners, but also to the supply industry and society. At plateau, the production from this field will account for 25% of the combined production on the Norwegian continental shelf. Although the prospects for the future of the field are very good maintaining the right focus on costs both in the construction and operations phase is essential," Nylund concludes.

"Targeted efforts have been made to cut costs and improve the efficiency of the deliveries. We are therefore pleased to see that Norwegian suppliers are competitive and that we can sign this contract with Aker Solutions. They have started their own improvement work and their deliveries on our integrated cooperation at Sverdrup are progressing well. This is an important contract for the project, and our expectations for the implementation are high", says Margareth Øvrum, Statoil's executive vice president for Technology, Projects and Drilling.

"As the EPma supplier Aker Solutions gets a key role in the Johan Sverdrup project, and is thus an important contributor to a successful project. We look forward to a close and good partnership," she ends.

This contract award is conditional on an investment decision for the Johan Sverdrup development in February 2015, and is subject to the approval of the Plan for Development and Operation for the field in Parliament in 2015.

Damen has signed a contract with leading dredging and marine contractor Van Oord for the supply of a CSD 650 custom suction dredger together with an FCS 1605 Fast Crew Supplier, initially for operations in the Caspian Sea. Designed and delivered by Damen Dredging Equipment in Nijkerk, the Netherlands, the vessel will leave the yard at the end of January and travel overland to the Caspian Sea, from where it will begin operations in April.

"Van Oord requires a cutter suction dredger at short notice because of the large number of ongoing dredging projects. Damen's expertise combined with Van Oord standards will result in a fit-for-purpose addition to our dredging projects in the Caspian Sea", says Peter Bunschoten, Project Director at Van Oord.

Ural River
The work began immediately on the 60m dredger, designated the Ural River, to bring her up to the required specification.

Modifications now underway include the adding of a bow to enable a change of her classification from sheltered waters to coastal operations. The vessel is also being fitted with additional tank capacities to allow her to operate without support for an extended period of time in the remote locations where she will be working.

The fact that this particular CSD 650 was already equipped with anchor booms to allow easy moving of the side anchors was very helpful in minimising the time required for modifications, as the shallow waters in which it will be operating are not suitable for a Multi Cat to provide support.

Van Oord also required a number of safety and environmental features to comply with its exacting standards, which Damen has fulfilled.

Support vessel with 30 knots
Support for the CSD 650 is being supplied in the form of a Damen FCS Fast Crew Supplier 1605 with a top speed of 30 knots. Capable of taking up to 23 passengers, this sturdy workhorse is ideal for supporting the Ural River. Damen is one of the few shipbuilders able to provide complementary vessels at short notice for projects such as this.

With Mexican oil open to private investment for the first time, the country's initial bidding round is expected to remain competitive despite low oil prices, delays and a number of uncertainties, according to research and consulting firm GlobalData.

The company's latest report* states that the first bid round, which began on 11 December 2014 by offering 14 shallow-water exploration blocks, is currently scheduled to offer additional areas, including unconventional and deepwater opportunities, in the first half of 2015.

Adrian Lara, GlobalData's Senior Upstream Analyst for the Americas, states that no indication has been given of the expected levels of biddable profit oil in the shallow-water Production Sharing Contract (PSC). Furthermore, full details of the other contract models are yet to be released.

Lara comments: "With the international crude oil price having dropped from nearly $110 per barrel (bbl) in the first half of 2014 to its current price of below $50 per bbl, the government has already been forced to deviate from its original schedule.
"In the past week, the government has admitted that it may need to further delay high-cost areas, such as unconventionals. On top of this, the new schedule appears ambitious for a regulatory agency organizing its first ever licensing round."

Despite these delays, Will Scargill, GlobalData's Upstream Fiscal Analyst, notes that the lower oil price should not significantly affect the competitiveness of bidding on the shallow-water exploration blocks, as the adjustment of royalties to prevailing prices and profit shares to profitability mean that it should remain possible for investors to achieve attractive rates of return.

Scargill explains: "Comparison of the regime with that applicable to shallow-water areas in the US Gulf of Mexico at oil prices of $60 to $80 per bbl suggests that bids offering the government an initial 20% share of profit oil may be competitive. When discovered fields are offered, the government take is likely to be higher due to the lower risk.

"For deepwater areas later in the round, the government is expected to offer royalty and tax licenses, reflecting the high costs and risks associated with this type of exploration and development. Although the full details of this contract model have not yet been disclosed, it is expected to use a similar adjustment mechanism for the biddable additional royalty to that used in the PSC."

*Mexico Upstream Fiscal and Regulatory Report

With a strong focus on health and safety, Aquatic Engineering & Construction Ltd, an Acteon company, has achieved 1,000 consecutive days without a lost-time incident.

The photo shows a typical mobilization of an 11.4 m reel. This is a contract lift carried out under strict supervision, and as such there would be a lift plan in place prior to the start of the lift operation. In addition, there would be a method statement prepared, a risk assessment and tool box talk, which would be signed by all participants in the activity.

Aquatic's president, Chris Brooks, said, "I am proud to announce that, on Sunday, 14 December 2014, Aquatic reached the health and safety milestone of 1,000 days without a lost-time incident. This remarkable achievement is the result of the hard work and commitment of everyone at Aquatic. Both the professionalism of our health, safety, environment and quality team and the dedication of everyone who receives training and support from them have enabled us to reach this milestone.

"1,000 days without an incident means we have consistently safeguarded all our people, on- and offshore, and the people we work with on clients' vessels," he continued. "We are diligent about safety, and we work with awareness at all times to stay safe. We are committed to avoiding any incidents in our global operations."

Aquatic will share the news with customers and suppliers in a special issue of HSEQ e-AquatiCall; Aquatic's corporate newsletter. This will highlight the company's health and safety focus across a range of projects and achievements.

NOIA President Randall Luthi(photo) issued the following statement in response to President Obama's 2015 State of the Union Address:2015 State of the Union Address:

"While the President highlighted America's energy renaissance in his address to Congress tonight, he failed to note that the increase in the supply of American-made energy is occurring on state and private lands, not the federal lands under his control. The President was certainly right about one thing: low energy costs and gas prices have given American families and small businesses relief and have contributed to the recovering economy; however, the increased supply of oil and natural gas and lower energy costs have occurred in spite of, not because of, the Administration's energy policies.

"The President and his Administration have a prime opportunity in the coming months to take positive action to support a true all-of-the-above energy strategy that strengthens America's economy, creates thousands of new jobs, and enhances our energy and national security. This opportunity lies within the next 5-Year Outer Continental Shelf (OCS) leasing program. More than 85 percent of the OCS remains shuttered to exploration and development, including the entire Atlantic Coast, Pacific Coast, and the Eastern Gulf of Mexico. Changing the current policy to one that would open new areas of the OCS would be a positive step in the right direction toward a truly all-of-the-above energy approach that recognizes the opportunity in developing all offshore energy resources, including oil, natural gas and wind. In fact, another good American story is the progress toward harnessing the potential of offshore wind power, particularly in the Atlantic. NOIA supports all offshore energy sources, but it only makes sense for the Administration to devote similar efforts toward moving forward on offshore oil and natural gas leasing in new areas as well.

"Other nations, including Canada, Cuba, Mexico, Norway, Greenland, Brazil and Ghana, have recognized these opportunities and are exploring new offshore areas. A recent study shows that by opening the Atlantic, Pacific, and Eastern Gulf of Mexico, America could, by 2035, create more than 838,000 jobs annually, spur nearly $449 billion in new private sector spending, generate more than $200 billion in new revenue for the government, contribute more than $70 billion per year to the U.S. economy, and add more than 3.5 million barrels of oil equivalent per day to domestic energy production.

"As the President knows, this issue is not a partisan one. Congressional Democrats and Republicans and the vast majority of the American public have stated their support for the safe exploration and production of America's offshore energy resources. We have an opportunity to leave future generations with a stronger economy and strengthened national and energy security for decades to come, and NOIA urges the President to help put America on this course by putting forward a 5-year OCS leasing program that opens new offshore areas for energy exploration and development."

ABOUT NOIA
NOIA is the only national trade association representing all segments of the offshore industry with an interest in the exploration and production of both traditional and renewable energy resources on the nation's outer continental shelf. NOIA's mission is to secure reliable access and a fair regulatory and economic environment for the companies that develop the nation's valuable offshore energy resources in an environmentally responsible manner. The NOIA membership comprises more than 325 companies engaged in business activities ranging from producing to drilling, engineering to marine and air transport, offshore construction to equipment manufacture and supply, telecommunications to finance and insurance, and renewable energy.