Statoil Exploration (Ireland) Limited has been awarded six Licensing Options in Ireland’s 2015 Atlantic Margin Licensing Round.

Statoil will be the operator of four Licensing Options and partner in two Licensing Options, operated by ExxonMobil Exploration and Production Ireland (Offshore South) Limited. Ireland’s Department of Communications, Energy and Natural Resources (DCENR) yesterday published a map with grid locations for the Licensing Options awarded in the first phase of this licensing round.

The six Licensing Options awarded to Statoil total approximately 7,700 km2 in the Porcupine Basin in water depths ranging between 1,100 and 3,150 meters. Statoil and ExxonMobil each hold 50% equity in all the Licensing Options.

Work program commitments are limited to 2D and 3D seismic surveys to be acquired during 2016 and 2017. The analysis of that seismic data will then determine whether the company will seek to convert the Licensing Options into Frontier Exploration Licenses, enabling possible exploration drilling at a later stage.

"We are pleased with these awards that will see Statoil re-entering the Irish exploration scene. This supports Statoil`s exploration strategy of early access at scale and enables us to apply the exploration knowledge and experience we have gained globally and specifically on the conjugate margin offshore Newfoundland. We look forward to working with ExxonMobil on exploring these opportunities,” says Erling Vågnes, senior vice president Exploration Northern Hemisphere Statoil ASA.

Statoil has had a presence in Ireland since 1992. Currently, the company’s main asset in Ireland is a 36.5% interest in the Shell operated Corrib gas field off the country’s north-west coast.

After a successful survey, DNV GL and the Danish Maritime Authority can confirm that the AHTS Magne Viking, owned by Viking Supply Ships, is in compliance with the new IMO Polar Code.

“Having followed the development of the Polar Code for some years, it is a great achievement to finally survey the first vessel to comply with the Code” says Morten Mejlænder-Larsen, responsible for Arctic and Polar activities at DNV GL - Maritime.

Magne Viking, care of Viking Supply Ships.

Based on long experience from Arctic operations in low temperatures and ice covered waters, Viking Supply Ships saw the value in the IMO Polar Code and decided to implement it early on. The process has included updates of vessel and equipment, as well as providing the required documentation.

“As this vessel was already winterized and built for operation in cold climate, most of the additional requirements in the Polar Code were already fulfilled before we started the implementation process,” says Andreas Kjøl, Project Director at Viking Supply Ships.

The IMO Polar Code is mandatory for all SOLAS vessel entering Arctic and Antarctic waters from 1 January 2017. The Code is an add-on to existing IMO codes where the main requirements are related to safety (SOLAS) and protection of the environment (MARPOL). DNV GL will, on behalf of the Flag Authorities, issue the Polar Ship Certificate for vessels complying with the new code.

As a result of less ice and easier access to polar waters, IMO saw the need for a common set of minimum requirements for vessels operating in these areas which are not covered by other regulations. In addition, increased shipping to support the oil and gas industry, mineral export, and an expansion of cruise visits to these regions, prompted IMO’s work with the code.

The main additional risks identified when operating in polar waters are addressed in the IMO Polar Code and the different chapters describe different measures to mitigate these risks.

Magne Viking is an ice-classed AHTS vessel capable of operations in harsh environment offshore regions, as well as Arctic/Sub-Arctic operations. The DNV GL classed vessel is owned and operated by Viking Supply Ships.

President Obama’s fiscal year (FY) 2017 budget request for the Bureau of Safety and Environmental Enforcement (BSEE) provides critically needed resources to further strengthen BSEE’s regulatory and oversight capabilities for oil, natural gas and renewable energy development on the U.S. Outer Continental Shelf, promoting a culture of safety and environmental protection by ensuring compliance with Federal regulations.

The FY 2017 budget request is $204.87 million, a $196,000 increase above the FY 2016 enacted level, and includes $96.34 million in current appropriations and $108.53 million in revenue from rental receipts, cost recoveries, and inspection fees.

“The President’s proposed FY 2017 budget fully reflects the Administration’s continued emphasis on ensuring the safe and responsible development of the Nation’s offshore energy resources,” said Director Brian Salerno. “The President’s request supports BSEE’s efforts to build a robust culture of safety, with a strong focus on risk reduction to protect lives and the environment.”

“The Bureau uses a comprehensive program of regulations, compliance monitoring and enforcement, technical assessments, inspections, and incident investigations to mitigate and reduce risk,” Salerno said.

The FY 2017 budget also supports research and the development of new technologies and scientific investments to best manage the country’s offshore energy resources.

The request includes $190 million for offshore safety and environmental enforcement programs. BSEE is also working collaboratively with the Bureau of Ocean Energy Management to establish appropriate permitting and oversight processes for offshore renewable energy projects.

The FY 2017 proposal includes $14.9 million for Oil Spill Research, equal to the 2016 request level, to address key knowledge and technology gaps, focusing research on deep-water and Arctic environments. The Oil Spill Research program plays a pivotal role in initiating applied research to support decision making to prevent or mitigate oil spills, which is a critical component of the offshore permitting process. Funds are used to sponsor testing of new equipment or methods and also to support the bureau’s oil spill and renewable energy test facility, Ohmsett.

The President’s FY2017 budget request of $13.4 billion for the Department of the Interior reflects his commitment to responsibly managing energy development on public lands and offshore waters, conserving vital national landscapes across the Nation, meeting Federal trust responsibilities to Native Americans, supporting the next century of our Public Lands.

Additional details on the President’s FY 2017 budget request are available online.

Technip has been awarded a lump sum contract by Deep Gulf Energy III, LLC (“DGE”) for the development of the South Santa Cruz and Barataria fields. These ultra-deepwater fields are located in Mississippi Canyon, offshore New Orleans, in the Gulf of Mexico, in approximately 2,000 meters of water depth.

Image courtesy: Technip

Covering all aspects of the field development from engineering to design, manufacturing and installation, this new award highlights Technip’s unique vertical integration in the subsea business environment.

Technip's operating center in Houston, Texas, USA, will manage the overall project. The flowline system will be fabricated at the Group’s spoolbase in Mobile, Alabama, USA. The offshore installation is expected to be performed in the second half of 2016 by Technip’s vessel the Deep Blue, the Group’s flagship vessel for deepwater pipelay.

Deanna Goodwin, President of Technip in North America commented: “This contract award by DGE is a testament to their continued trust in Technip’s execution expertise and asset capabilities. I am pleased that this award comes in conjunction with the successful completion of the Kodiak project and with the recent award of the Odd Job project. This will allow us the opportunity to further strengthen the relationship with our client into 2016.”

International manufacturer Roxtec is targeting the marine and offshore oil and gas sectors with a new innovative safety seal which protects life and assets from a multitude of hazards.

The firm’s Single Pipe Metal (SPM) product can be used to seal any kind of metal pipe in steel decks or bulkheads and specifically guards against fire, gas and water ingress.

Roxtec UK managing director Graham O’Hare said the patented technology is manufactured with highly elastic EPDM rubber allowing easy weld-free installation.

“The certified Roxtec SPM seal has been carefully designed to address specific requirements within the marine sector, and the offshore oil and gas markets,” said Mr O’Hare. “Fundamentally, we believe it will help drive greater cost efficiency across industry.

“It is a lightweight, single-sided solution which is quick and easy to install. The seal is made out of durable and malleable rubber, while the fittings are made out of acid-proof stainless steel.

“A crucial point is that it provides an alternative to the costly and laborious welding process often used to seal metal pipes. This process requires a re-paint after weld. In addition, current practices involve pipes being hit with hammers which can lead to damage. Our seal is easy to open up and re-seal for maintenance.

“It further comes with an A-60 fire rating, and is watertight to 1 bar and gastight to 0.67 bar. The comprehensive range of options – with 16 seal sizes catering for 12mm to 222mm pipes – also makes it a highly versatile solution.”

“We wanted to develop an intelligent and progressive product which will help drive efficiency for our customers, particularly in the current challenging economic environment.

“We also have an extensive portfolio in the oil and gas sector on major UK and international projects. Roxtec is accredited by FPAL to work in the UK North Sea. We have further subscribed to the UKCS Oil and Gas Industry Supply Chain Code of Practice which is administered by the Department for Energy and Climate Change (DECC).”

Watch an overview of the Roxtec SPM seal.

As part of the Obama Administration's continued commitment to safe and responsible domestic energy production, Bureau of Ocean Energy Management (BOEM) Director Abigail Ross Hopper has announced that the bureau will offer approximately 45 million acres for oil and gas exploration and development in the Gulf of Mexico in two March lease sales.

“These lease sales continue the President's commitment to create jobs through the safe and responsible exploration and development of the Nation's domestic energy resources,” said Hopper. “As an important component of the U.S. energy portfolio, the Gulf of Mexico holds vast energy resources that can continue to spur economic opportunities for Gulf producing states as well as further reduce the Nation's dependence on foreign oil.”

Photo credit: BOEM

Central Planning Area Lease Sale 241 and Eastern Planning Area Lease Sale 226 will be held consecutively in New Orleans, Louisiana, on March 23, 2016. The sales will be the ninth and tenth offshore auctions under the Administration's Outer Continental Shelf Oil and Gas Leasing Program for 2012-2017 (Five Year Program), which makes available areas with the highest-known resource potential for oil and gas leasing. These lease sales build on the first eight sales in the Five Year Program that offered more than 60 million acres for development and garnered $3 billion in high bids.

“These Gulf of Mexico lease sales reflect this Administration's commitment to facilitate the orderly development of offshore energy resources while protecting the human, marine and coastal environments, and ensuring a fair return to American taxpayers,” Hopper added.

Sale 241 encompasses about 8,349 unleased blocks, covering 44.3 million acres, located from three to 230 nautical miles offshore Louisiana, Mississippi and Alabama, in water depths ranging from nine to more than 11,115 feet (3 to 3,400 meters).

Sale 226 is the second of two lease sales proposed for the Eastern Planning Area under the current Five Year Program. The sale encompasses 162 whole or partial unleased blocks covering about 595,475 acres in the Eastern Planning Area. The blocks are located at least 125 statute miles offshore in water depths ranging from 2,657 feet to 10,213 feet (810 to 3,113 meters). The area is south of eastern Alabama and western Florida; the nearest point of land is 125 miles northwest in Louisiana.

Most of the Eastern Gulf of Mexico Planning Area (EPA) cannot be offered for lease until 2022 as part of the Gulf of Mexico Energy Security Act of 2006.

The decision to hold these sales follows extensive environmental analysis, public comment and consideration of the best scientific information available. The terms of the sales include stipulations to protect biologically sensitive resources, mitigate potential adverse effects on protected species and avoid potential conflicts associated with oil and gas development in the region.

All terms and conditions for Lease Sales 241 and 226 are outlined in the Final Notices of Sale that will be published tomorrow and can be viewed today in the Federal Register. The terms and conditions for Sale 241 are fully explained in the Final Notice of Sale information package, which is available here. The Final Notice of Sale information package for Sale 226 is available here.

CD's of the sale package as well as hard copies of the maps can be requested from the Gulf of Mexico Region's Public Information Office at 1201 Elmwood Park Boulevard, New Orleans, LA 70123, or at 800-200-GULF (4853).

Aker Solutions will deliver a concept study on a new processing platform for future phases of the Statoil-operated Johan Sverdrup North Sea field, Norway's largest oil find in three decades.

The study includes design solutions for a tie-in of the platform and future satellites to the field center that is being developed in the project's first phase. The work will be carried out by Aker Solutions in Oslo and Stavanger and will be delivered in the summer.

"Johan Sverdrup is of major importance to Norway's oil industry and we're very pleased to expand our involvement through work on future phases," said Valborg Lundegaard, head of engineering at Aker Solutions. "We've worked closely with Statoil to bring down costs and increase the overall efficiency of the development and will continue to push for further improvements."

The study is being carried out under the framework engineering agreement awarded to Aker Solutions for Johan Sverdrup in 2013. The company is in the second year of a five-year engineering, procurement and management assistance (EPMA) assignment for the topsides of the first phase's processing and riser platforms and the overall design integrity of the field. At its peak this work is expected to involve more than 1,000 employees at engineering hubs in Oslo, London and Mumbai.

Johan Sverdrup is estimated to hold 1.7 billion to 3 billion barrels of oil equivalents. It's expected to produce 550,000 - 650,000 barrels of oil equivalents a day when fully developed, equal to about a quarter of current domestic output. Production is slated to start in late 2019 and is predicted to last for about 50 years. The first development phase will consist of four platforms linked by bridges.

Statoil is operator for the development, which spans three licenses. Other partners include Lundin Norway, Petoro, Maersk Oil and Det norske oljeselskap.

Bibby Offshore, a leading subsea services provider to the oil and gas industry, has developed an innovative vessel share option for clients, which has the potential to provide the subsea industry with significant savings through encouraging collaboration, cost-efficiencies, as well as providing increased productivity.

Unlocking Subsea Productivity (USP) re-evaluates the traditional subsea campaign model, proposing a new alternative structure for how Bibby Offshore delivers services to clients. The concept focuses on a vessel share agreement, with collaboration from several clients, to deliver a single linked campaign workscope that addresses each client’s individual demands.

To demonstrate the real savings available to clients, a simulation campaign was generated using eight previous campaigns completed by Bibby Offshore which were reconstructed and analyzed in order to quantitatively demonstrate the potential savings arising from USP. The findings were presented to 18 client representatives from six separate operators at a recent USP event held in Aberdeen.

The simulation model calculated an average saving of £235,000 per client, based on an overall project duration of 54 days reducing to 41 days. This resulted in an overall cost saving of over £1.8million to be shared amongst the example clients.

Vikki Thom, Subsea Business Manager at Bibby Offshore said: “USP was developed with our client’s needs and the future of the industry in mind. The model is aimed at reducing the costs associated with mobilization periods whilst also distributing further cost savings for individual clients, helping to ensure a reduction in non-productive time and an increase in overall work time.

“With the industry currently facing unprecedented challenges due to the continued low commodity price, the future of the North Sea is more testing than ever. The USP proposal provides an efficient model for a cohesive approach to project delivery and provides a viable alternative to deferring work schedules. This demonstrates that we, as an organization, are doing everything we can to support a more sustainable future for the UKCS Subsea Industry.”

GE Oil & Gas has signed a Master Service Agreement with Statoil for new subsea projects that will enable GE to continue to support the international energy company’s value creation in a low oil price environment.

The global agreement forms the basis for potential new contracts for subsea equipment and services on new projects and field developments. The contract is valid globally until 2025. “We are pleased to have secured an agreement with Statoil that paves the way for further and deeper collaboration between the companies within the subsea segment in the next decade,” says Tom Huuse, Managing Director of GE Oil & Gas in Norway.

GE Oil & Gas recently delivered subsea production system equipment for Statoil’s Snøhvit gas field in the Barents Sea on the Norwegian Continental Shelf.

In today’s oil price environment, sustained focus on costs and efficiency will ultimately be the key to develop several currently marginal prospects and discoveries. GE and Statoil are already working closely together in the Power Collaboration initiative, which aims to accelerate the development of sustainable cost efficient energy solutions. More about Powering Collaboration.

Statoil has agreed with OMV to acquire a 30% working interest in Petroleum Exploration Permit (PEP) 57073. This will further strengthen Statoil’s position in New Zealand.

The permit covers an area of 9,800 square kilometers in the East Coast Basin, and sits in water depths of 1,000-2,000 meters. OMV will remain the operator with 70% working interest. The transaction is subject to regulatory approval.

“This is an underexplored area with the potential for multiple plays, offering a considerable exploration upside,” says Nicholas Alan Maden, senior vice president for Exploration.

The permit is adjacent to permits 57083, 57085 and 57087 which were awarded to Chevron and Statoil in 2014.

“We now hold a working interest in more than 46,000 square kilometers of exploration acreage in New Zealand, and all of these permits have staged exploration programs. This is in line with our exploration strategy of accessing at scale,” says Maden.

OMV and Statoil will work together on the exploration program in PEP 57073. This includes geological and geophysical studies, as well as seismic acquisition over the coming years. The work will provide information necessary to decide, in 2021, if a well commitment should be made in the permit.

In addition to the partnerships with Chevron and OMV in the East Coast and Pegasus basins, Statoil also operates two exploration permits in the Reinga basin.

The UK subsea sector will have the opportunity to further bolster its international profile next month at the largest oil and gas exhibition in Australasia.

Industry body, Subsea UK, will be seeking to establish stronger links between Australian and British businesses to exploit the significant oil and gas developments at this year’s Australasian Oil & Gas Exhibition and Conference (AOG). The event, which takes place from 24-26 February 2016, will explore how new technology and better cooperation will help to drive the industry forward.

Celebrating its 35th year, AOG 2016 will have ‘collaboration’ as its theme, with over 100 experts from leading companies providing input on how industry, government and key stakeholders should continue to work closely together to reduce costs and improve productivity.

With a string of world class Australian LNG projects making the transition from the construction to operational phase, the UK subsea sector is well positioned to support province in meeting its target to become the world’s leading exporter of LNG by 2018.

Under the Subsea UK banner, two British companies, Schoolhill Hydraulic Engineering and James Fisher Excavation will get the chance to showcase their products and services to oil and gas companies, service providers, engineers, technical professionals and suppliers.

Subsea UK is once again supporting the Subsea Australasia Conference at the event, which will include a session chaired by Neil Gordon, chief executive of Subsea UK, on innovation, field development and the changing outlook for the global subsea sector.

Mr. Gordon commented: “Australia boasts an outstanding economic track record. As the fifth largest economy in the Asia-Pacific region, and the 13th largest economy in the world, the country is viewed as a dynamic and stable market which presents a pool of opportunities for the UK subsea sector.

“A recent report from the International Energy Agency (IEA) revealed that Australia and the Asia Pacific region have much to be positive about in the longer term, with LNG projects predicted to create thousands of jobs, export income and new revenues.

“It’s important that UK companies take full advantage of these opportunities, casting their nets further than the North Sea to explore ways of exporting their technology and expertise. As the industry body for the UK subsea sector, we will be representing all 320 of our members at the event and looking at ways in which we can help them break into the Australasian market.”

Expected to attract over 500 exhibiting companies from 25 countries, the conference is the largest event of its kind in the southern hemisphere and offers delegates an opportunity to debate key issues, encourage new ways of thinking and explore future subsea developments.

Each year, the conference highlights and defines the issues and challenges of subsea exploration and development on a national and international level. The 2016 conference program will include international keynote presentations, case study presentations, technical updates, one-to-one meetings and panel discussions over the three-day event.

“UK companies have the skills, technology and experience to meet demand for subsea expertise in the Americas, Africa and, increasingly, in the Asia Pacific region. Working in partnership with UKTI, Subsea UK is leading the delegation to AOG to showcase British subsea excellence,” Mr. Gordon added.

Fugro has been awarded a contract by BHP Billiton Petroleum Pty Ltd for the Pyrenees Phase 3 Installation Project.

The Pyrenees development is located offshore Western Australia, in approximately 200 metres water depth, 45 kilometres northwest of Exmouth, and comprises six separate fields: Stickle, Crosby, Tanglehead, Moondyne, Wild Bull and Ravensworth. The project includes the tie back of the Stickle 9 well to the existing Tanglehead manifold.

Offshore installation activities will take place from Fugro’s multi-role construction vessel, the Southern Ocean

Fugro’s scope of work includes suspension of existing infrastructure, and installation and pre-commissioning of the new flexibles and flying leads. ROV intervention and well commissioning support will be provided and the scope also includes the supply and fabrication of crossings, stabilisation and installation aids, along with mobilisation and transportation of equipment to the field.

Commencing in May 2016, all offshore activities will take place from Fugro’s modern, multi-role construction vessel, the Southern Ocean. The fuel efficient, DP2 vessel is fitted with the required installation spreads to complete the subsea workscope.

All project management, engineering and associated support functions will also be provided by Fugro.

U.S. Gulf of Mexico (GOM) crude oil production is estimated to increase to record high levels in 2017, even as oil prices remain low. EIA projects GOM production will average 1.63 million barrels per day (b/d) in 2016 and 1.79 million b/d in 2017, reaching 1.91 million b/d in December 2017. GOM production is expected to account for 18% and 21% of total forecast U.S. crude oil production in 2016 and 2017, respectively.

Source: U.S. Energy Information Administration, Short-Term Energy Outlook, February 2016

Production in the GOM is less sensitive than onshore production in the Lower 48 states to short-term price movements. However, decreasing profit margins and reduced expectations for a quick oil price recovery have prompted many GOM operators to pull back on future deepwater exploration spending, reduce their active rig fleet by scrapping and stacking older rigs, and restructure or delay drilling rig contracts. These changes added uncertainty to the timelines of many GOM projects, with those in the early stages of development at greatest risk of delay or cancellation.

Contributing to the forecasted production growth are 14 projects: 8 that started in 2015, 4 starting in 2016, and 2 anticipated to start in 2017.

Source: EIA

During 2015, eight fields in the Gulf of Mexico came online. With the exception of Anadarko's Lucius field, each of the fields was developed as a subsea well that is tied back to nearby existing production facilities. The use of subsea tiebacks allows producers to reduce both project costs and start-up times. The Lucius field produces oil using a type of floating production platform that supports drilling, production, and storage operations known as a truss spar. The Lucius spar is the largest in Anadarko's fleet. It consists of a large, hollow, weighted cylinder supporting a deck and is connected to an anchor on the seabed through a mooring system. Its design provides increased stability in harsh offshore conditions.

Four fields are expected to start producing in 2016, including the Anadarko-operated Heidelberg field, which began producing in January. Heidelberg is producing at a spar that uses the same design as the Lucius truss spar, allowing the company to reduce development costs. Shell's Stones field development uses the first floating production, storage, and offload (FPSO) vessel in the GOM. FPSOs allow the development of fields that are complex, that have unique reservoir properties, and that do not have existing infrastructure. Crude oil produced from the Stones field will be transported from the Stones FPSO using tankers to refineries along the U.S. Gulf Coast. The other two fields expected to begin producing in 2016 (Gunflint and Holstein Deep) are subsea tiebacks. Two additional projects are projected to begin producing in 2017, and both are expected to be developed as subsea tiebacks.

Principal contributor: Terry Yen

Statoil has signed a farm-in agreement with Tullow to acquire a 35% working interest in offshore exploration block 15 in the Pelotas basin, deepening its position in Uruguay.

"With this transaction, we are increasing our exposure to the upside potential of this untested geological setting. This is in line with Statoil' exploration strategy of access at scale," says Nicholas Alan Maden, senior vice president of Exploration.

Map Image : Courtesy Statoil

Recently Statoil announced its entry into Uruguay as partner in exploration block 14. By accessing the adjacent block 15 Statoil continues to pursue this regional geological trend.

Block 15 covers an area of more than 8,000 km2 and sits in water depth of 2,000-3,000 meters. Tullow Uruguay Limited. Sucursal Uruguay remains the operator with 35% working interest, while INPEX Uruguay Limited holds the remaining interest. The transaction is subject to government approval.

A comprehensive data collection program has already been completed in the block. As operator, Tullow is planning to collect further 3D seismic before a decision is made on further steps.

Diamond Offshore Drilling, Inc. (NYSE: DO) and GE Oil & Gas (NYSE: GE) have announced the offshore drilling industry's first-of-its-kind contractual service agreement (CSA) that transfers full accountability for BOP performance to GE Oil & Gas. In this Pressure Control by the Hour™ model, Diamond Offshore will compensate GE Oil & Gas only when the BOP is available. This 10-year collaborative arrangement for GE's engageDrilling™ Services showcases a new way of thinking to drive continuous improvement in deepwater drilling.

The arrangement will include GE purchasing the BOP systems aboard Diamond Offshore's four drillships, currently located in the U.S. Gulf of Mexico, for a total of $210 million.

"Subsea equipment repair and maintenance is the single largest cause of nonproductive time across our industry, resulting in great expense to both drillers and operators," said Marc Edwards, President and CEO of Diamond Offshore. "In today's market, we have to make the economics of offshore drilling more competitive for our clients. The purpose of our new Pressure Control by the Hour service model is to incentivize all parties to prioritize equipment reliability and availability for the ultimate benefit of our customers."

"To deliver a solution that improves drilling efficiency now and in the future, collaboration is essential," said Lorenzo Simonelli, President and CEO, GE Oil & Gas. "We are changing the game by building the new blowout preventer service model for the industry. With improved control, maintenance and servicing of our equipment, we are putting skin in the game and guaranteeing performance."

The GE Oil & Gas engageDrilling™ Services offering enhances BOP system availability by transferring the maintenance and service of pressure control equipment to GE Oil & Gas. This includes on-rig GE Oil & Gas personnel, management of parts, overhaul and repair, continuous certification, data monitoring, and management of change. This new arrangement is a performance-based alliance that leverages the scale of GE data, predictive analytics, insights and continuous certification, positioning GE as a long-term commercial, operational and technical partner.

Under the new service model, Diamond Offshore will begin capturing data through GE's monitoring and analytics solutions. Over time, this will enable condition-based monitoring and maintenance, which will drive proactive decision-making and planning to address the requirements of industry standards for drilling systems. By transferring the maintenance and service of well control equipment to GE Oil & Gas, Diamond Offshore is simplifying operations and optimizing between well maintenance to reduce the frequency and duration of downtime.

"This is a key part of GE's business strategy to collaborate with drilling contractors and operators to push the boundaries of our industry," said Simonelli. "Our new CSA model addresses the current needs of drilling companies, and establishes the roadmap for smart, predictive, condition-based services and maintenance in our digital-industrial future."

"We look forward to partnering with GE Oil & Gas to lead the way forward in our industry," said Edwards. "By combining Diamond Offshore's operational excellence with the guaranteed performance of GE's BOPs, we are increasing our competitiveness in the market."

Wood Group has secured an extension to continue to support Chevron Upstream Europe across four offshore assets in the North Sea. Wood Group PSN (WGPSN) will deliver operations and maintenance services to the Alba Northern platform, Alba floating storage unit, Captain floating production, storage and offloading vessel and Captain wellhead protector platform, under the one year contract that extends an agreement in place since 2010.

Effective immediately, the contract retains more than 30 jobs and adds to Wood Group’s support of Chevron in the UKCS; Wood Group Kenny recently performed the subsea engineering of the trees, wellheads, controls and polymer injection flowlines to the subsea injection wells for Chevron’s Captain Enhanced Oil Recovery Project.

James Crawford, managing director of WGPSN in the UK and Africa, said: “Our firm commitment is to provide effective and efficient services, which assure the safety and performance of our client’s assets; retaining this contract with Chevron Upstream Europe is testament to this focus. We look forward to continuing our strong relationship and maintaining the excellent, high standards we have demonstrated in our service delivery.”