Expro has demonstrated its continued commitment to innovation, as it showcased a range of new capabilities and technology at OTC Houston 2017.
With Brent oil prices forecast to average $55/bbl in 2017, according to the EIA, operators remain focused on optimizing production from existing assets.
In the last year since launching four new areas of capability, including production optimisation and pre-well abandonment services, the company has seen a 15% increase in opportunities. This response and approach to the low oil price has reflected a change in focus areas for mature, higher cost basins like the US Gulf of Mexico (GoM).
Commenting on this trend, Expro’s Technical Marketing Director, Nigel Webster, said:
“While we have seen a softening in demand for our exploration and appraisal related products and services, our intervention and production business remains robust. This includes a record order backlog for our well intervention business, which has seen demand increase across a range of mechanical, slickline and cased hole support services. Our production surveillance and multi-phase metering related business has also experienced an uptake in demand, reflecting the ongoing focus to maximise incremental reserves from existing assets.
“For companies prepared to invest time in understanding their market and customer needs, the business is there. We’ve proven this by maintaining a stable customer base throughout the downturn, leaving us ideally positioned for a return to increased activity in the coming year.”
The landscape is continuing to change. For the first time in two years, exploration and production spend is forecast to increase, with North America poised to grow by as much as 60%, according to Barclay’s 2017 Global E&P Spending Outlook report. Lower break even prices on deep water projects, combined with a 1.3 million bbl/day growth in global demand for energy, means that operators are reviewing key project sanctions this year.
In response to the market fundamentals rebalancing, Expro has invested for a return to increased activity and is showcasing a range of new technologies at OTC Houston. The most significant investment is Expro’s Next Generation Landing String (NGLS), which comprises a programme of work to deliver a complete landing string package in line with the industry’s latest API 17G standards.
This includes a range of new functionality across its 7 3/8 valves, including; high debris tolerant ball mechanism and hydraulic latch mechanism; dual seal protection to both environment and control systems, and; new retainer valve cut and seal technology. The system is validated through extensive connector testing and analysis, allowing the development of structural and fatigue capacities to meet the most rigorous industry standards. This is complemented by a comprehensive data and fatigue life cycle management system, with Expro’s landing string certified SIL 2 compliant.
Coli Mackenzie, Expro’s Vice President of Subsea, commented:
“Subsea test trees have become the established safety system for well commissioning and intervention, with new standards developed to ensure well integrity is maintained at all times. As market leaders in subsea completions, Expro is committed to maintaining our position at the forefront of landing string technology as we continue to deliver the safest and most cost effective solution for our customers.”
The company has also invested in a range of other key technology solutions, including a new electronic choke for managed pressure drilling, well control and other choke applications. It can be retrofitted on to existing chokes with no specialist tools, delivering a fast response choke speed of less than 10 seconds, compared to traditional hydraulic chokes.
Expro is also featuring its non-reactive samplers that, when used with its mercury speciation services, deliver absolute measurement on mercury independent of any contamination from the sample device or analysis techniques.
