SOLUTIONS FOR CLEANER PRODUCTION Capabilities in the Norwegian oil and gas industry for reducing energy consumption and minimizing discharges and emissions.

June 2013 WWW.INTSOK.COM Contents Forword

1. Introduction ...... 3 The world needs more energy to support the economic growth needed to improve 2. Reductions achieved ...... 4 living conditions for people around the world. on Discharges and Emissions on the NCS Norway has always put high emphasis on 3. Best Available Technologies (BAT) ...... 6 sustainability and responsible manage- ment of our natural resources. Our policy 4. Field Development Solutions, ...... 12 has been to let the companies face strict Concept Selection safety and environmental regulations

based on sound resource management Ola Borten Moe 5. Capabilities and Technologies ...... 14 principles. One example of how regulation Minister of Petroleum and Energy. Photo: Berit Roald / drives technology development is related to Scanpix. 5.1 Equipment for Reduced Energy Consumption . . 14 gas flaring on the Norwegian Continental Shelf. When we started oil production in Norway back in the 1970s, 5.2 Minimization of Discharge to Sea - ...... 15 every field development needed a solution for associated gas. It was Including Waste Management seen as a waste of resources to unnecessarily burn natural gas. As a result, we have managed to keep gas flaring at exceptionally low levels. 5.3 Minimization of Emissions to Air ...... 16

5.4 Logistics and Transportation 17 Norway is the world’s third largest exporter of primary energy while we have one of the world’s lowest emissions per unit of oil produced 5.5 Oil Spill Preparedness and Clean-Up Technologies 18 and have minimized the use of chemicals offshore. The Norwegian petroleum sector has a very good track record with regard to

5.6 Decommissioning and Restoration 19 meeting high environmental standards. These accomplishments would not have been possible without the continuous efforts of the

5.7 Impact on the Environment, ...... 20 Norwegian industry to develop and implement increasingly advanced technologies. Models and Measurements I am confident that INTSOK’s focus on Solutions for Cleaner 6. Framework Conditions, ...... 21 Production is a valuable contribution to the industry’s work to meet Regulations and Selected References the world’s future energy needs in a sustainable manner. I also believe that increased international awareness of the Norwegian petroleum cluster’s achievements in these areas is positive and

Photo covers from top left: Gettyimages, Bring Logistics, Statoil, Thinkstock/ should lead to more business opportunities for Norwegian Digital Vision, Thinkstock/Photodisc, Thinkstock/ Stockbyte, ProSep, companies. Norlense, FMC Technologies

2 1. Introduction

The purpose of this catalogue is to highlight INTSOK partner companies who deliver solutions, technologies and services which contribute to cleaner production and thereby reduce the impact of oil and gas production on the environment.

The Norwegian Government in partnership with environmen- tal organizations and the Norwegian oil industry launched a joint initiative in the mid-1990s to develop new environmental targets and standards and technology development initiatives for the oil and gas industry operating on the Norwegian Continental Shelf. The ambition was to create a “zero harmful emission” industry. New regulations issued by the authorities and technology development initiatives by Norwegian oil companies like Statoil have incentivized and enabled develop- ment of new technologies. The improved practices have led to substantial reduction in harmful emissions to air and discharges to sea.

Norwegian R&D institutions, suppliers and service companies have played a significant part in delivering the systems and equipment required to meet the new standards. Today, the production on the Norwegian Continental Shelf (NCS) is at the forefront in using technological solutions that minimize the impact on the environment. Illustration: INTSOK The oil industry has also worked closely with the fish- ing industry to enable both industries to harvest the rich resources.

Norway is currently the biggest exporter of farmed salmon Norwegian Petroleum law in 1971 is presented in Chapter 6. while at the same time it is the world’s third biggest exporter of oil and natural gas. This catalogue will hopefully improve technology awareness as well as add knowledge to technology achievements by A large number of governmental and institutional publications mapping the capabilities of companies and R&D institutions describe the changes in Norwegian environmental policies with environmental technologies and solutions introduced on and potential environmental impacts of oil and gas produc- the NCS and in international markets. tion. A list of selected references since the introduction of the

3 2. Reductions achieved on Discharges and Emissions on the NCS

This chapter highlights some key figures on discharges and Tons emissions on the NCS compared to world averages and selected petroleum producing regions. 1500

2.1 Discharges to Sea on 1117 the Norwegian Continental Shelf 1022 1000 Current global water production associated with oil and gas production is approximately 250 million bbs/day. Current global oil production is above 80 million bbs/day. The average 629 water cut globally is 75% (increased from 70% ten years ago). 500 299 Produced water represents the largest discharges to sea on 93 the NCS. In 2010, some 131 million Sm3 were discharged, 39 15 16 8 down from 160 million Sm3 in 2007. Total discharge of oil in 0 produced water was 1,443 tons in 2010. 2001 2002 2003 2004 2005 2006 2008 2010 2012 Red chemicals discharges reduction progress since 2001. The current maximum permitted concentration of oil in dis- Source: Norwegian Oil and Gas Association (2012) posed produced water is 30 mg/l. The average concentration in 2010 was 11 mg/l, well below government regulations set 2.2 Emissions to Air by the Climate and Pollution Agency. The main sources for emissions to air are:

The oil industry has invested considerable efforts in replacing • Diesel and fuel gas exhaust and VOC emissions related harmful chemical substances with environmentally friendly to drilling, production and logistic operations solutions. The most harmful chemicals include: Drilling fluids, • Diesel and fuel gas exhaust from gas turbines, engines corrosion inhibitors, emulsion breakers, biocides, lubricants, and boilers surfactants and H2S removers. Currently, more than 99% of • Gas flaring the chemicals in the so-called red and black categories have • Burning of oil and gas during testing and maintenance been phased out.

4 Reductions achieved on Discharges and Emissions on the NCS

The emissions to air on NCS compared with international Recent Norwegian examples that significantlly reduce averages are shown below: emissions are use of hydroelectric power from shore to operate the Troll, Ormen Lange, Valhall and Gjøa fields.

1,2 A test facility for CO2 extraction from exhaust gas is under

1,0 construction at the Mongstad Refinery.

Two fields containing CO2 in the reservoir fluid, Sleipner and 0,8 Snøhvit, have implemented solutions for CO2 sequestration 0,6 and reinjection with a subsurface storage reservoir.

0,4 The recent pilote project of subsea gas compression at the 0,2 Asgard field suggest a reduction of CO2 emissions by 50% 0,0 compared to a platform solution. CO2 NOx CH4 nmVOC SO2

Norwegian Continental Shelf 2012 International average for oil-producing countries in 2012 2.3 Waste Management and Handling Waste management has become a focus area in order to 100 kg CO2 per SCM oil equivalent produced, and kg other gases per SCM oil equivalent produced in 2011. maximize recycling, reduce net waste and to achieve more Source: International Association of Oil and Gas Producers (OGP) and Exploration & Production sustainable operations. Information Management Association. EvironmentWeb and Norwegian Oil and Gas Association (2011)

A special focus has been on the agenda since the implemen­ Cuttings from drilling with oil based on synthetic based drill- ing fluids are either taken to shore for treatment or injected tation of the CO2 tax in 1991. Currently, Norway has the world’s into the sub surface. Last years have identified problems with lowest CO2 emission per barrel o.e. produced offshore (8,8 kg per barrel). downhole waste injection and now contaminated mud and cuttings are brought to shore.

50 Norway Waste management with source separation has been imple- 45 mented offshore and in the logistic chain, and incentives and 40 Middle East requirements have been introduced by the operators in order 35 Europe to minimize net waste. In addition to the operators and main 30 contractors, key players are logistic service providers in col- Russia (FSU) 25 laboration with waste handling companies.

20 South America

15 North America

10 Asia/Austral-Asia 5 Africa 0 2003 2004 2005 2006 2007 2008 2009 2010 2011

Kg CO2 equivalents per Boe produced. Source: OGP, EvironmentWeb and Norwegian Oil and Gas Association (2012)

5 3. Best Available Technologies (BAT) – Some Project Examples

Advanced and Environmentally Friendly Drilling

The latest generation of drilling rigs engineered and con- structed by the Norwegian rig owner Odfjell Drilling contain a large number of new technologies that allow the rigs to operate with a “zero emission target”.

Odfjell Drilling has invested in the renewal of its company fleet, covering state-of-the-art ultra deepwater drilling units DS Atlantic. Photo Odfjell Drilling capable for worldwide operations in all environmental condi- tions. Rigs with the most recent environmental technologies The category D rig will operate in water depths of 100 – 500 include DS Atlantic and DS Stavanger. meters and drill wells to a depth of 8500 meters. Drilling and completion of production wells will be carried out at lower In order to maximize the value on the NCS, Statoil, on costs, more efficiently, in a safe manner and with the highest behalf of the license holders, has awarded Songa Offshore environmental standards. Reducing rig costs is important in a contract for building two Category D rigs at the Daewoo order to realize the values in existing discoveries. New discov- Shipbuilding & Marine Engineering (DSME). The innovative eries are often made close to existing fields. Fast development rig concept has been developed by the Norwegian industry of such discoveries is necessary to utilize the existing infrastruc- for Statoil. One rig will be used on the Norne, Heidrun and ture and thereby reducing the energy consumption to produce Åsgård licences, the other will be part of Statoil’s strategic rig the fields. The first two rigs are planned to be in operation fleet and set up for operations in the Barents Sea. from 2014 and two more may follow from 2015.

Clean rig concept • Enclosed derrick which prevents mud spill to sea • All drain lines routed to central cleaning unit by use of several tanks and pumps • Discharge from mud pits by pumping, no gravity discharge. • Waste management system implemented

• Low NOx emissions, clean design engines • Closed loop BOP control system • Electrical drawworks with power regeneration

CAT D drilling rig. 3D illustration: Statoil

6 Best Available Technologies (BAT) – Some Project Examples

Zero Discharge Concept on FPSOs

A Zero Harmful Discharge Concept has been applied on the Skarv Field off the Coast of Nordland in the middle of Norway. BP is the operator and Aker Solutions was the main contractor. The field is operated by a FPSO unit with subsea equipment tie backs. The production capacity is designed for 80,000 bls per day and with an expected life time of 25 years. Gas reinjection is used to increase oil recovery. The oil is buoy-loaded to tankers, while gas is sent to the Åsgard Transport system through a 80 km pipeline.

In evaluating and selecting technical solutions BP has Skarv FPSO. Photo: BP adopted the Best Available Technology philosophy and the ALARP (As Low As Reasonable Practicable concept). The Goliat FPSO with ENI as operator is also constructed with Aker Solutions was responsible for the project, its front end the Best Available Technology complying with no harmful engineering, procurement and construction management discharges and emissions. The FPSO is under construction at assistance. Hyundai Heavy Industries in Korea and is planned to be in operation by the end of 2014.

Environmental technology solutions Zero harmful Low emissions to air: discharge to sea:

1. Produced water 1. Closed flare

injection 2. Low NOx turbines 2. Drainage handling 3. VOC recovery systems 3. Use of Green 4. Energy efficient Chemicals solutions 4. Waste handling system 5. Sewage treatment

Goliat FPSO. Illustration: Sevan Marine

7 Best Available Technologies (BAT) – Some Project Examples

Oil Spills Preparedness and Clean-ups A comprehensive set of policy instruments and technologies have been developed on the NCS to safeguard the environ- ment in all phases of the activities.

The seven day long blowout on the Ekofisk field in the North Sea in 1977 was a reminder of the risks at stake. The well was capped after seven days. The Norwegian Petroleum Oil spill preparedness training. Photo: NOFO Directorate estimated a total spill of some 80,000 – 120,000 barrels of oil, but with no significant environmental damage • 25 oil recovery vessels and 25 tugboats equipped with oil and no shoreline pollution. recovery detection systems • 20 sea-going mechanical recovery systems The spill had a significant impact on the political environment • Large stocks of dispersion agents, and an agreement relat- and the industry. The government postponed the opening of ing to dispersion from planes oil exploration north of the 62nd degree whilst it evaluated • Remote measurement from satellites, planes, helicopters, its oil spill preparedness. The industry response was to focus vessels and installations on development of new and more advanced equipment to handle future potential spills. All together the policy instruments, the clean-up technolo- gies and the organization of the preparedness constitute the In Norway, the responsibility is shared between the private BAT on oil spill preparedness and clean-ups. sector, municipalities, and the state. The Ministry of the Environment sets the requirements and the Climate and Goliat Project Pollution Agency approves emergency preparedness plans The Goliat field, operated by ENI, in the hostile Arctic and ensures that the demands are complied with. waters in the Barents Sea will be developed with high focus on emergency preparedness plan. The oil field is close to Oil companies are responsible for handling acute incidents shore in an area of high importance to the fishing industry. resulting from their own activities and work closely together in the Norwegian Clean Seas Association for Operating The oil spill preparedness infrastructure will be opera- Companies (NOFO). They have regional plans which take into tional all year long and will consist of: consideration reinforcement of ocean-going preparedness, • A new-built standby vessel coastal preparedness and beach zone preparedness. • Advanced sea-going recovery systems with access to dispersion resources. NOFO manages and maintains preparedness which includes • Remote measurement technologies personnel, equipment and vessels and has five bases along • Coastal and shoreline preparedness with fishing vessel the coast where equipment is permanently located. NOFO on permanent standby has at its disposal

8 Best Available Technologies (BAT) – Some Project Examples

Light Well Intervention (LWI)

Worldwide there are close to 5000 subsea wells. This number with their fleet of 3 Island Offshore Units. The Units are oper- is growing with wells being completed in water depths down ating year round on both Norwegian Continental Shelf and UK to 3000 meters. The age of these wells is also growing result- Continental Shelf also during harsh environmental loads. ing in increased demand for both riser and riserless light well interventions to maintain the wells and increase oil recovery. Skandi Aker is the first deepwater intervention vessel with riser technology classified according to DNV’s WELL-notation, Traditionally this type of work has been done by movable meaning the vessel is able to take hydrocarbons on board. As semisubmersible drilling units (MDU). LWI technology makes a result, the vessel can perform well-testing and clean-up and it possible to perform well intervention services from a mono- flaring off hydrocarbons through a flare at the stern. hull DP-3 vessel with reduced energy consumption and CO2 emissions when compared to the same operations being The size and transit speed of the 157 meter long vessel, performed from a MDU. These operations can be performed along with the dynamic position system DP-3, makes the whilst maintaining well control and access to the well bore vessel a working platform with a large operational window via a subsea lubricator system. for subsea well intervention, subsea installation and construc- tion work in rough weather conditions around the world. Experience with various operators utilizing the fleet has influ- enced the design of successive vessels and improved the safety The multi-functionality of the vessel ensures an energy effi- and increased the efficiency of the vessels and the crews. cient solution.

The technology reduces the intervention cost down to one third when compared to traditional MDU operations enabling more intervention work and resulting in better exploitation of fields and reservoirs completed with subsea wells.

As alliance partners Island Offshore, FMC Technologies and Aker Solutions Well Service division have become the world’s largest and most experienced provider of down-hole services through riser less LWI. Since the start in 2006 the alliance has completed approx. 250 well interventions with great success

Island Constructor on Ekofisk. Photo: Island Offshore Skandi Aker. Riser-based deepwater LWI. Photo: Aker Solutions

9 Best Available Technologies (BAT) – Some Project Examples

value chain - from design and construction through the ship’s Environmentally Friendly Ships operating life. LNG is a technology in which VARD already has a strong track record. The vessel is designed with focus on low The Norwegian shipping industry’s aim is to be at the fore- fuel consumption, and precautions in accordance with DNV’s front of the development of a safe, eco-friendly and socially Clean Design requirements are incorporated in the design. responsible global maritime industry. Its ambitious environ- mental vision is that “Norwegian shipping and the offshore The vessel will be able to run on Liquefied Natural Gas (LNG), contracting industry shall not release environmentally harmful Biofuel and ordinary marine diesel oil. VARD’s gas tank emissions into the sea or the air”. solution is unique, the LNG tank does not reduce the cargo

capacity on board; rather the new design has a higher cargo The challenge is significant since commercial ships emit capacity than other vessels of the same size. The vessel is almost half as much particle pollutants into the air as the total further arranged for rescue operations, recovery of personnel amount released by the world’s car fleet, according to the and oil recovery operations. National Oceanic and Atmospheric Agency and the University of Colorado. Since more than 70% of shipping traffic takes The other example is Seven Viking “Ship of the Year in 2013”, place within 250 miles of the coastline, emissions may repre- a result of collective efforts by the owners Eidesvik and Subsea sent a health concern for coastal communities. The industry’s 7 delivered from Ulstein. The vessel is designed for operations in response to reduce harmful emissions of CO2, NOx and SOx the harshest environments working for Statoil in the North Sea is represented by two examples. on a five year contract. The vessel is tailor-made for Inspection,

Maintenance and Repair (IMR) of subsea installations. VARD Group was contracted by Solstad Rederi AS to build Nomad Artic, an innovative LNG-powered Platform Supply Safety, efficiency and environmental considerations have Vessel (PSV 12 LNG design). The vessel was delivered from been the prime focus in developing the vessel. She carries the VARD Langsten in Norway in 2012. Clean Design notation, meets the highest working environ-

ment standards including minimal noise levels in the hangar. This confirms VARD’s strong position in design and building of Notable environmental initiatives include diesel electric propul- environmentally friendly vessels. The shipbuilding group has a sion, which reduces atmospheric emissions, and the electrical strong focus on environmental concerns throughout a vessel’s winches, which nullify the risk of emissions of hydraulic oil.

Environmental technologies

Environmental Reduced emissions technologies: to air:

• Electric power pack • Significant reduction of

fueled by LNG CO2

• Reduced NOX and SOX Ship of the year 2013. Photo: Ulstein

10 Best Available Technologies (BAT) – Some Project Examples

Subsea to Beach Environmentally The Ormen Lange subsea to beach project friendly solutions has minimized the offshore impact by con- on Ormen Lange: structing the process plant and export facili- ties onshore. Norsk Hydro, with partners, was • Extensive baseline studies the development operator and the develop­ • Coral mapping to avoid ment was one of the most challenging on impacts NCS. The subsea installation is supplied • Potential subsea with electrical power from the national grid. compression Future Subsea boosting and processing may • MEG reclamation give reduced energy consumption and enable • Flow assurance solutions higher production efficiency and recovery • Hydropower from shore rates. Today, Shell is the operator. Ormen Lange. Photo: Shell

Carbon Separation Environmentally and Storage friendly solutions at Snøhvit: The Snøhvit development, operated by Statoil produces condensate from the three reservoirs • CO2 separation and Snøhvit, Askeladd and Albatross through a reinjection subsea manifold system, pipelines to shore • Remote control subsea and an onshore processing plant. The reservoir production facilities • Onshore processing plant fluid contains 5-8% CO2 which at the onshore plant is separated from the natural gas and piped back for reservoir injection. The sea bed facilities are designed to be over-trawlable and minimize the offshore impact. Melkøya LNG Plant. Photo Statoil

11 4. Field Development Solutions, Concept Selection

INTSOK Partner Deliverables TOPSIDES AND PLATFORM DESIGN AND ONSHORE SOLUTIONS ABB Solutions for integrated operations, electrical variable speed drives to optimize power consum- tion, automation and control systems add energy Energy efficiency studies Agility Group Environmental engineering solutions Aibel Environmental engineering solutions Aker Solutions Zero discharge to sea platforms (Skarv FPSO), all electric semi submersible (Gjøa field), subsea to beach combined cycle power generation, MEG recovery systems, oil and gas separation modules, compact separation technologies, power from shore engineering solutions Tordis separator Illustration: FMC Technologies Alfsen og Gunderson Potable water treatment solutions with energy The most important factor for reducing Recent examples of step change tech- efficient UV-sterilizers and filters the discharge and emission pattern is nologies are: Subsea to shore production Aquateam in the selection of field development (flow assurance), subsea multiphase Water treatment feasibility and platform design solutions concept. Improvement in platform and boosting, subsea compression, and BW Offshore topside solutions, subsea technologies, subsea separation, long reach directional Disconnectable turret mooring system for FPSO solutions advanced well technologies and the drilling, advanced water treatment, CO2 efficiency of the operational services capture, transportation and storage, DNV Energy efficiency optimization studies have all contributed to less impact on power from shore and all electric control ENWA the environment. systems. Potable water production and closed loop chemi- cal free water treatment Høegh LNG Floating LNG to increase low carbon gas in the Cleaner production in Statoil is always an integral part energy mix IK Group of concept selection and shall be documented by: Pipe intervention solutions and hot bolting • Energy demand and efficiency Inocean • Air emissions Engineering of low emissions FPSO solutions • Discharge to sea Kongsberg Maritime Green dynamic positioning systems to save fuel • Chemicals usage and discharge Kongsberg Oil and Gas Technologies • Waste handling Energy optimization, systems for integrated operations and dynamic process simulation

12 Kværner Nexans Sekal Energy efficient and cleaner project execution Electrification of platforms by subsea power Safeguard drilling operations LMG Marine cables, power umbilicals for subsea, direct electri- Energy efficient naval architecture and marine cal heating to prevent formation of hydrates (no PIPELINES engineering chemicals) AS Connector LR Consulting One Subsea Pipeline repair. Sealing pipeline leakage Optimizing concepts from a safety/environmental Subsea pumps, multiphase wet gas compressors Bredero Shaw point of view and multiphase metering Pipeline insulation for deepwater Marintek PG Pumps Solutions DNV Environmental load modelling and conversion of Twin screw multiphase pumps and subsea liquid Pipeline engineering and environmental risk diesel engines to gas fuel pumps evaluation Moss Maritime Seabox EMAS AMC Environmental friendly Arctic LNG carriers, drilling Treatment of raw seawater at seabottom for injec- Pipelaying engineering and contracting platforms, supply and support vessels and FPSO tion (less topside weight and improved recovery) IK Group solutions Siemens Pipeline isolation and pigging Sevan Marine / Kanfa Subsea compression systems, power grid, subsea IKM FPSO solutions based on cylindrical shaped hull controls, monitoring and communication solutions Pipeline engineering , commissioning and Siemens Sintef operations Low emissions gas turbines, all electric floating Multiphase flow simulation for long distance Kongsberg Oil & Gas Technologies LNG, offshore floating power station, automation tieback Pipeline modifications and tieback and control systems SPT Reinertsen Technip Flow assurance for long distance tieback Pipeline engineering Environmental engineering solutions Subsea7 Subsea7 Wärtsilä Subsea construction and inspection, maintenance Pipelaying engineering and contracting FPSO hydrocarbon gas blanketing systems for and repair (IMR) Technip eliminating emissions to air, flare gas recovery Technip Pipelaying engineering and contracting design and VOC recovery systems Subsea construction and inspection, maintenance and repair (IMR) SHIPS AND FLOATING SOLUTIONS SUBSEA SOLUTIONS BW Offshore Aker Solutions DRILLING Cost efficient offshore solutions with highetst Field architecture including flow assurance, umbili- add energy environmental standards cals, booster pumps, subsea production systems, Blow out contingency planning and well control D&H Solutions subsea compression, subsea power cables, direct AGR Drilling Services Floating LNG solutions for stranded gas electrical heating to to prevent formation of Project management of long distance high ENWA hydrates and raw seawater injection temperature-high pressure (HTHP) wells Potable water production and closed loop chemi- ABB Aker Solutions cal free water treatment Subsea controls, subsea power distribution systems Energy efficient dual drilling equipment (RamRig ) Høegh LNG EMAS AMC Alfsen og Gunderson LNG transportation, environmentally friendly regas Subsea construction and inspection, maintenance Cooling and brake systems for drilling applications and CNG solutions and repair (IMR) Cameron Sense Rolls-Royce FMC Technologies High performance drilling equipment and Gas driven engines substituting diesel and other Subsea wells, subsea processing and riserless light packages low emission engines well intervention Exprosoft GE Oil & Gas Drilling risk management Tschudi Shipping Subsea wells, subsea boosting and subsea Geomec Ship to ship oil transit and Barents Sea logistical processing Prevention of seabed/ surface leakage from injec- services IFE tion wells Ulstein Flow assurance for long distance tieback, MEG IKM Environmental friendly and energy efficient design simulation Drilling waste management, CTS (cutting transport and construction of vessels IK Group system-subsea), MRR (mud recovery without riser) VARD Subsea maintenance, modification and compe- and well intervention services Environmental friendly and energy efficient design tency based emergency repair IRIS and construction of vessels IKM Full scale test rig for new technologies Electric ROV systems Odfjell Drilling Island Offshore Latest generation drilling rigs designed with Safe and efficient installations and light well emphasize on the zero discharge and emission. intervention services Multilateral drilling Kongsberg Oil &Gas Technologies Oil Tools Flow assurance modelling Drilling waste management technology LR Consulting Sintef Reliability studies and safety of marine operations Advanced drilling modelling, e-drill

13 5. Capabilities and Technologies

5.1 Equipment for Reduced Energy Consumption

INTSOK Partner Deliverables

ABB Novenco Energy efficient motors and power manage- High efficiency HVACsystems for reducing ment systems operating costs and CO2 emissions Aker Solutions Parat Halvorsen Energy efficient power systems, high voltage Energy efficient heating and recovery systems subsea power cables Quick Flange Alfsen og Gunderson Pollution free cold flanges (non-welding) Energy efficient pump packages Rolls-Royce Bergen B35:40V20AG gas motor. Photo: Rolls-Royce Dresser Rand Gas driven engines substituting diesel and High efficient gas turbines with reduced other low emission engines exhaust emissions through combustion and Siemens catalytic-based technologies Energy efficiency offers is important for High efficient gas turbines and compressors, ENWA energy efficient power generation and drive achieving a sustainable energy future. Cooling water treatment for engines and HVAC systems Improvements in energy efficiency Eureka Pumps Wilhelmsen Technical Solutions can reduce the need for investment in Energy efficient pumps Low emissions HVAC systems energy infrastructure, cut fuel costs, Glamox Wärtsilä increase competitiveness and improve LED for reduced energy consumption, long Reduced heating requirements for heavy oil consumer welfare. Environmental bene- system lifetime, maintenance free and signifi- separation by electrostatic coalesce treatment in cant improved light quality 3 phase separators fits also include reduction of greenhouse GMC Øglænd gases emissions and local air pollution. Power management systems for reduced fuel Piping and cable support systems with minimal consumption weight and installation times The oil and gas companies and their Nexans suppliers have a common goal of Superconducting tables / new energy-saving improving the sustainability of its opera- cables (smaller, lighter, stronger) tions. The Norwegian petroleum cluster has documented strong engagement in developing new and innovative tech- nologies and products that can reduce energy consumption.

14 5.2 Minimization of Discharge to Sea - Including Waste Management

INTSOK Partner Deliverables

Aker Drilling Services Onsite Treatment Technologies Zone insulation of water producing horizons, Waste Management systems riserless mud recovery Parker Maritime AGR Shuttle tanker crude oil flow controle Zone insulation of water producing horizons, PG Pumps Solutions riserless mud recovery Closed loop handlings of drill cuttings and Aker Solutions mud, ballast water treatment Process systems and cleaning of produced ProAnalysis water Detection of oil in water Aquateam ProSep Trouble shooting, and mitigation, water chem- Treatment of produced water istry, microbiology and tratment Resman ATCD Green tracer technology, soluble in water, Zone Efficient tank cleaning system isolation to prevent the production of water Emerson Roxar SafeClean Real time oil in water monitor Chemical removal of hydrocarbons and scale ENWA from topside equipment Treatment of seawater SAR group IFE Waste Management systems Tracer technology to detect water producing Seabox Schematic drawing of Epcon CFU. zones Energy efficient treatment of seawater for Illustration: M-I SWACO Epcon IKM injection at sea bottom Drilling waste management, MRR (mud recov- Sintef The most important sources of opera- ery without riser) and electrification of hydraulic tional discharges to sea from the oil and Well chemistry (scale) and water management systems modelling gas activities are drilling and well opera- Interwell Siemens tions, chemicals used during production Plugs and packers for downhole zone isolation Treatment of produced water and produced water ( fossil water which Jotun Thermtech follows the oil up from the reservoir ). In Protective coating (non-poisoneous) Treatment of oily drill cuttings and recondition- addition, there are acute discharges of Kongsberg Maritime ing of mud. Reuse of valuable components oil and chemicals. Remote BOP activation system WellCem M-I Swaco – Epcon Technology Downhole supercement to prevent leaks Treatment of produced water The Operators have worked hard to Wärtsilä Nature Oil & Gas Electrostatic coalescers for the treatment of replace chemicals with detrimental Treating and removing oil contaminated water, produced water environmental properties. This work has slop water paid off – 99 per cent of the chemicals Oiltools in the red and black categories have Drilling waste management technology been phased out on the NCS.

15 5. Capabilities and Technologies

5.3 Minimization of Emissions to Air

The Norwegian oil and gas industry Statoil invented technologies which has been working hard for more than enabled the largest NCS operator 20 years to reduce emissions to air to shut down flaring during normal and remove a major pollution factor. operations. The technology was The Norwegian petroleum industry developed and commercialized in recognizes the climate challenge, and collaboration with companies in the has long worked on measures to reduce Norwegian supplier industry. its emissions. According to a report from DNV in 2004, these measures have Statoil, in partnership with the

reduced CO2 emissions by 50 million shipowners and supplier industry, tons. In 2009, the petroleum industry developed technology for capturing of

contributed with 26% of total CO2 VOC on shuttletankers during loading emissions in Norway. and transportation.

Emissions to air from the oil and gas Many INTSOK partners have a strong activities consist of exhaust gases focus on developing solutions to

containing CO2, NOX, SOX, CH4 and minimize emissions to air and reduce mVOC (non-methane volatile organic the climate change risks. compounds) from various types of combustion equipment.

Aker Clean Carbon’s mobile test unit in front of the Longannet power station in Scotland. Photo: Aker Solutions INTSOK Partner Deliverables ABB Gassnova Octio

Variable speed drives to reduce power Government carbon management institution Offshore mapping of CO2 subsurface storage consumption GMC Rolls-Royce Aker Solutions High efficiency HVAC products Gas driven engines and othe low emission engines

Sulphate, H2S and CO2 removal, design and IRIS Sintef engineering of low NO diesels, sophisticated CO subsurface storage laboratory X CO2 storage modelling 2 power management, green dynamic positioning K. Lund Offshore Wilhelmsen Technical Solutions systems, carbon capture and storage solutions Fuel efficient compressors High efficiency HVAC products Dresser Rand LR Consulting Wärtsilä High efficiency compressors and gas turbines Risk assessment of carbon capture/storage Systems for flare gas recovery and systems for E-Innovation Novenco VOC recovery Breathable air compressors High efficiency HVAC products ENWA Nymo High efficiency HVAC using chemical free water Gasturbine air systems treatment

16 5.4 Logistic and Transportation Solutions

Providing logistic and transportation solutions. Photo: Bring Logistics

Offshore logistics cause a large share of installations to increase efficiency and with the safe and reliable operation of emissions due to high cargo volumes , reduce the number of vessels required to the vessel. number of vehicles and vessels engaged provide a necessary cost efficient service in transportation and long steaming level. The operators are increasingly Waste from the oil and gas industry is distances to installations. looking for vessels and vehicles with divided into hazardous and non-haz- high energy efficiency and low emis- ardous waste. All waste taken onshore

The total amount of emissions of CO2 sions, like gas fueled vessels. is covered by the reporting regulations. from the logistical services in Norway The operator’s main goal is to produce was in 2008 490.000 tons. 52% from Recent studies also show that levels of as little waste as possible and establish the supply vessels, 21% from anchor speed reduction contribute to reduced systems which ensure maximum safety handling, 21% from standby vessels and CO2 emissions and are still consistent during transportation and final recycling. 6% from helicopters.

Operators are responsible for optimiz- INTSOK Partner Deliverables ing the supply chain and have worked together with the suppliers to reduce Bring Logistics Høegh LNG emissions and energy consumption. Energy efficient logistical services LNG transportation, environmentally friendly regas and CNG solutions Operators have established joint NorSea Group Energy efficient supply and base operation Tschudi Shipping transportation between platforms and services Ship to ship oil transit and Barents Sea logistical services

17 5. Capabilities and Technologies

5.5 Oil Spill Preparedness and Clean-Up Technologies

NOFO and the Norwegian Coastal Administration have defined objectives and functional requirements for the technology programme, whereas the industry will develop the solutions and own the end products.

The Norwegian Oil Spill Control Association (NOSCA) is another organisation with 25 members from industry, R&D institutions and government institutions that work jointly to develop equipment and contingency planning for oil spill emergencies.

INTSOK Partner Deliverables

DNV Oil spill modeling and risk assessment

Testing clean-up technologies. Photo: Frank Mohn Exprosoft Risk and reliability studies and qualification of NOFO and the Norwegian Coastal Most of the projects extend over several technologies to improve safety Administration have continuous focus years and include: Frank Mohn Oil spill recovery systems on developing new technologies to • A monitoring and control system for IK Group strengthen its ability to handle oil spills at optimum use of traditional booms Competency base emergency repair solutions sea. Some 20 projects from companies • A dispersion system for small vessels LR Consulting in six countries are included in the using a towed winged underwater Risk and emergency preparedness assessment. technology development programme object Oil spill modeling “Oil Spill Preparedness 2010”. • An unmanned, remote-controlled Miros drone (plane) for remote Oil spill detection system The programme deals with four main measurement Markleen Oil spill response specialists topics: • A system for simultaneous handling Norlense • Oil recovery at sea of remote measurement data from Oil spill recovery booms • Dispersion technology several sensors Rolls-Royce • Remote measurement technology • A new digital data and image link Oil spill recovery system design • Technology for coastal and shoreline between ships and from planes to Sintef operations ships Oil spill modeling and contingency planning • A new high-speed bilge system to be and fate and weathering studies tested in full scale Subsea 7 Oil spill emergency services

18 5.6 Decommissioning and Restoration

When the oil companies shut down production from an offshore installation, they are responsible for the decommis- sioning and restoration of the areas that have been used.

Both national and international regulations apply when an oil company reaches a decision regarding disposal of an offshore installation. The OSPAR convention (The Convention for the Protection of the Marine Environment of the North-East Atlantic) has established guidelines for the disposal alternatives that are acceptable for various types of marine installations.

The Norwegian petroleum cluster has been involved in the decommissioning Top part of the Frigg DP1 jacket being removed. Photo: NCA and removal of several huge installations in the North Sea, and has been at the INTSOK Partner Deliverables forefront of developing effective and competitive methods. Aibel IKM Decommissioning contractor solutions Decomissioning of pipeline systems Aker Solutions Linjebygg Offshore Decommissioning contractor solutions Safe and cost effective cutting and removal of Alustar structures high and low Scaffolding systems for easy access LR Consulting Safe operations assessments Beerenberg Cutting tools and decommissioning SafeClean Cleaning and removal of coating on DeepOcean decommissioned parts Seabed inspection Safety Tools Allmet DNV Cold work grinding and cutting equipment Risk Assesment/Verification Subsea 7 EMAS AMC Marine decommissioning Removal and transport of structures to shore IK Group Subsea pipeline isolation and recovery tools

19 5.7 Impact on the Environment, Models and Measurements

The oil and gas industry conducts Norwegian companies and research extensive monitoring of the environ- institutes have played a major role ment to investigate potential effects of in developing environmental impact its discharges to sea and emissions to assessment and sefety studies as part of air. Monitoring is based on Government the plan for developing a new field and requirements and guidelines. for monitoring the performance.

The environmental monitoring is a systematic collection of data using veri- fiable methods to document the state of the environment and how it develops over time.

INTSOK Partner Deliverables

add energy Multiconsult Environmental data management accounting Civil engineering design to minimize impact on and impact assessment environment. Environmental impact assessment Aquateam with a special focus on Arctic Environmental impact studies and risk Norconsult Monitoring and data collection during a survey car- assessment Civil engineering works to minimize impact on ried out by Akvaplan-NIVA. Photo: Akvaplan-NIVA Carbon Limits environment/ Environmental and Social Impact Carbon management consultants Assesments (ESIA) DNV StormGeo Environmental impact studies Meteorological forecasting and environmental studies Gassnova Government carbon management institution IRIS Impact on environment studies and biomarkers Marintek Modelling of environmental loads on offshore installations Miros Meteorological and oceanographic systems with wave and helideck monitoring

20 6. Framework Conditions, Regulations and Selected References

This chapter presents relevant laws and regulations 2004: Environmental Management Quality System ISO which have contributed to the environmental achieve- 14001. ISO ments on the NCS as well as references to reports documenting the achievements. 2004: Environmental web joint database. The Norwegian Oil Industry Association, Norwegian Petroleum Directorate and the Climate and Pollution Agency 1971: The Petroleum Law. The commandments of the Norwegian oil and gas policy adopted by the Parliament: …. 2005: Norway signs the Kyoto protocol setting targets for

“appropriate care must be shown with respect to existing reducing CO2 emissions. The Ministry of Environment industrial activity and environmental interest in developing a new oil industry”…. “Flaring of exploitable natural resources 2007: White Paper No 26 regulated the Northern Waters must not be accepted under normal operations” north of 68 degrees latitude. Introducing stricter zero dis- charge requirements than in the North Sea. The Ministry of 1977: Paris Convention (OSPAR). This regulated oil in pro- Environment duced water (40ppm – later 30 ppm) and the disposal and abandonment of installations. 2007: Introduction of tax on NOX emissions. The Ministry of Finance

1991: Tax on CO2 emissions introduced. The Ministry of Finance 2008: Norway is a part of the European Trading Scheme (ETS). The Ministry of Environment. 1993: New regulations for discharges of oil-based drilling mud and oily cuttings. The Ministry of Environment 2009: Compatibility between Norwegian petroleum activities and environmental stewardship. OG21 1997: White Paper describing the “zero harmful discharge policy” including substitution of harmful chemicals, treat- 2011: The Norwegian Ministry of Petroleum and Energy ment and injection of produced water and disposal of cut- White Paper No 28 (2010–2011) tings. The Ministry of Environment 2012: The Norwegian Ministry of Petroleum and Energy 2000: Environmental Report: Miljøsok sluttrapport (In White Paper No 7 (2011-2012) Norwegian). Miljøsok 2012: Oil and Gas in the 21st century. 2001: Annual Environmental Report. The Norwegian Oil www.og21.no Industry Association (OLF)

21 Field Development Solutions/Concept Selection Company and Topsides Platform Design and Solutions Onshore Subsea Solutions Drilling Pipelines Ships and floating solutions Equipment for Reduced Energy Consumption Minimization of to Sea- Inc. Discharge Management Waste Minimization of Emissions to Air Logistics and Transportation Oil Spill Preparedness and Clean-Up Technologies Decommissioning and Restoration Impact on the Models Environment, and Measurements

ABB

add energy

Agility Group

AGR Drilling Services

Aibel

Aker Solutions

Alfsen og Gunderson

Alustar

Aquateam

AS Connector

ATCD

Beerenberg

Bredero Shaw

Bring Logistics

BW Offshore

Cameron Sense

Carbon Limits

Deep Ocean

D&H Solutions

DNV

Dresser Rand

E-Innovation

EMAS AMC

Emerson Roxar

ENWA

EUREKA Pumps

Exprosoft

FMC Technologies

Frank Mohn

Gassnova

GE Oil & Gas

Geomec

Glamox

GMC

22 Field Development Solutions/Concept Selection Company and Topsides Platform Design and Solutions Onshore Subsea Solutions Drilling Pipelines Ships and floating solutions Equipment for Reduced Energy Consumption Minimization of to Sea- Inc. Discharge Management Waste Minimization of Emissions to Air Logistics and Transportation Oil Spill Preparedness and Clean-Up Technologies Decommissioning and Restoration Impact on the Models Environment, and Measurements

Høegh LNG

IFE

IK Group

IKM

InOcean

Interwell

IRIS

Island Offshore

Jotun

Kongsberg Maritime

K.Lund Offshore Kongsberg Oil & Gas Technologies Kværner

Linjebygg Offshore

LMG Marine

LR Consulting

Markleen

M-I Swaco/Epcon

Marintek

Miros

Moss Martime

Multiconsult

Nature Oil & Gas

Nexans

NorSea Group

Norconsult

Novenco

Norlense

NYMO

Octio

Odfjell Drilling

OneSubsea

Onsite Treatment Technologies

Parat Halvorsen

23 Field Development Solutions/Concept Selection Company and Topsides Platform Design and Solutions Onshore Subsea Solutions Drilling Pipelines Ships and floating solutions Equipment for Reduced Energy Consumption Minimization of to Sea- Inc. Discharge Management Waste Minimization of Emissions to Air Logistics and Transportation Oil Spill Preparedness and Clean-Up Technologies Decommissioning and Restoration Impact on the Models Environment, and Measurements

Parker Maritime

PG Pumps Solutions

ProAnalysis

ProSep

Quick Flange

Reinertsen

Resman

Rolls-Royce

SafeClean

Safety Tools Allmet

SAR Group

Seabox

Sekal

Sevan Marine/Kanfa

Siemens

Sintef

SPT

Storm Geo

Subsea 7

Technip

Thermtech

Tschudi Shipping

Ulstein

Vard

WellCem

Wilhelmsen Technical Solutions

Wärtsilä

Øglænd

24 Partners

ABB Aquateam E-Innovation www.abb.no www.aquateam.no www.einnovation.no

Add energy Beerenberg EMAS AMC www.addenergy.no www.beerenberg.com www.emas.com

Agility Group Bredero Shaw Emerson Roxar www.agilitygroup.com www.thermotite.no www.roxar.com

AGR Drilling Services Bring Logistics Enwa Water Treatment www.agr.com www.bring.no/logistics www.enwa.com

Aibel BW Offshore Exprosoft www.aibel.com www.bwoffshore.com www.exprosoft.com

Alfsen og Gundersen Cameron Sense FMC Technologies www.ag.no www.c-a-m.com www.fmctechnologies.com

Align EUREKA Carbon Limits Frank Mohn www.align.no www.carbonlimits.no www.framo.no

Aker Solutions Deep Ocean Gassnova ww.akersolutions.com www.deepocean.no www.gassnova.no

Alustar DNV GE Oil & Gas www.alustar.no www.dnv.com www.ge-energy.com

AS Connector D&H Solutions Geomec www.as-connector.com www.dh-solution.com www.geomec.com

ATCD Dresser Rand Glamox www.atcd.no www.dresser-rand.com www.glamox.com/gmo

25 GMC Kongsberg Oil & Gas Technologies Nexans www.gmc.no www.kongsberg.com www.nexans.no

Høegh LNG Kvaerner NorSea www.hoeghlng.no www.kvaerner.com www.norseagroup.com

IFE Linjebygg Offshore Norconsult www.ife.no www.lbo.no www.norconsult.com

IK Group AS LMG Marine Novenco www.ik.no www.lmgmarin.no www.novenco.biz

IKM LR Consulting Norlense www.ikm.no www.lr.org www.norlense.no

InOcean Markleen Nymo www.inocean.no markleen.com www.nymo.no

Interwell M-I Swaco/Epcon Octio www.interwell.com www.slb.com/pwsm www.octio.com

IRIS Marintek Odfjell Drilling www.iris.no www.marintek.sintef.no www.odfjelldrilling.com

Island Offshore Subsea AS Miros OneSubsea www.islandoffshore.com www.miros.no www.onesubsea.com

Jotun Moss Martime Onsite Treatment Technologies www.jotun.com www.mossww.com www.ott-as.no

K.Lund Offshore Multiconsult Parker Maritime www.kl-offshore.no www.multiconsult.no www.parkermaritime.no

Kongsberg Maritime Nature Oil & Gas Parat Halvorsen www.kongsberg.com www.ngrp.com www.parat.no

26 PG Pumps SAR Group Technip Norge www.pergjerdrum.no www.sargruppen.no www.technip.com

ProAnalysis Seabox Tschudi Shipping www.proanalysis.no www.sea-box.no www.tschudishipping.com

Prosep Sekal Thermtech www.prosep.com www.sekal.com www.thermtech.no

Quick Flange Sevan Marine/Kanfa Ulstein www.quickflange.com www.sevanmarine.com www.ulstein.com

Reinertsen Siemens VARD www.reinertsen.no www.siemens.no www.vard.com

Resman Sintef WellCem www.resman.no www.sintef.no www.wellcem.no

Rolls-Royce SPT Wilhelmsen Technical Solutions www.rolls-royce.com www.sptgroup.com www.wilhelmsen.com

Safe Clean StormGeo Wärtsilä www.safeclean.no www.stormgeo.com www.wartsila.com

Safety Tools Allment Subsea 7 Øglænd www.safetytools.no www.subsea7.com www.oglaend-system.com

27 PROMOTING NORWEGIAN OIL AND GAS CAPABILITIES IN INTERNATIONAL MARKETS

INTSOK, Oslo INTSOK, Stavanger INTSOK, Bergen Hoffsveien 23, 2nd floor Prof. Olav Hanssens vei 7a Phone: +47 905 60 335 P.O. Box 631 Skøyen P.O. Box 8034 E-mail: [email protected] NO-0214 Oslo NO-4068 Stavanger Web: www.intsok.com Norway Norway Phone: +47 22 06 14 80 Phone: +47 51 87 48 80 Fax: +47 22 06 14 90 Fax: +47 51 87 48 81 E-mail: [email protected] E-mail: [email protected] Web: www.intsok.com Web: www.intsok.com

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