O F F S H O R E

ISSUE 1 | AUTUMN 2014

JOURNAL

FIRM

FAST INSPECTION REPAIR & MAINTENANCE VESSELThe FIRM concept was developed on

the assumption that it might be an

'niche' in the IRM market to provide a

vessel with a substantial higher speed

potential than the existing designs

showed.

Project Management Getting The Market Editors Damen PR Department, Getting The Market Text John Bradbury, Helen Hill, Calum Kennedy, Nathalie Ottenheijm, Lucas Zaat, Jan van Os, Paul Smy, Sybrand Boschma, Christine Boustany Arab Design & Art Direction Damen PR Department, Tijmen Kielen Photography Damen PR Department, Tijmen Kielen, Wilson Sons, Jumbo Print Tuijtel Damen

Shipyards Group, Avelingen West 20, 4202 MS Gorinchem, the Netherlands, www.damen.com, info@damen.com All rights reserved, Copyright Damen Shipyards Group

DAMEN OFFSHORE JOURNALProducts, markets and developments

from the perspective of our customers

and partners.

DAMEN

OFFSHORE SERIES

SEAJACKS

PILING ON THE PRESSURE

WILSON SONS

MOVING INTO DEEPER WATERS

WORLD WIDE SUPPLY

RECEIVES NEW PLATFORM SUPPLIER

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CLARKSONSA BRIEF OFFSHORE HISTORYAs the distance to shore and depth of

water for offshore activities increases,

so too does the severity of the

conditions surrounding each operation.

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197060KM FROM SHORE

134KM FROM SHORE2013

CLARKSONSA BRIEF OFFSHORE HISTORY

Deeper and DarkerAs the more accessible and conventional fields became less available and less productive, companies moved further offshore and into deeper waters. In 1970 the average distance from shore stood at 60km, with the average water depth being 54m. By 2013 the average distance to shore had more than doubled to 134km, and the average water depth was 15 times deeper at an impressive 876m. As the distance to shore and depth of water for offshore activity increases, so too does the severity of the conditions surrounding each operation. Weather conditions in the deepwater drilling regions are often more extreme and dangerous than shallow water drilling regions. High winds, extended periods of heavy fog, week long storms and some-times the risk of sea ice and icebergs are all dangers when drilling in deeper, harsher and colder environments of the world. With remoteness comes increased transit times for the delivery of supplies and crew. Vessels operating in these areas need much higher specifications in order to deal with the adverse weather conditions, increased lengths in their period of deployment and greater capacity and workload demand.

Desperate MeasuresOver the last 15 years, a trend in contract-ing for larger deadweight, and hence higher specification, Platform Supply Vessels (PSVs) has emerged. The average contracted deadweight for PSVs between 1990 and 2012 has increased by almost 60% from 2,500 dwt to 4,000 dwt. There

was a particular run on ordering of such large Platform Supply Vessels (>4,000 dwt) in 2012, when the number of new contracts placed globally was almost 5 times larger than the number of newbuild contracts in the largest portion of the PSV sector in 2009. In comparison, small PSV (<3,000 dwt) contracting decreased by 14% in the same period. Upsizing is clearly taking place, as owners prefer to order higher specification support vessels equipped to meet the challenges of the move towards deeper water, far-from-shore drilling and production efforts.

High specification drillships are also attracting much attention. Typically the vessel of choice when drilling in harsher, deeper regions of the world’s oceans. In the years 2011-2012 drillships saw their highest ever levels of newbuild contracting, with an average increase of 18% y-o-y since 2008 in the size of the fleet, outperforming the average y-o-y growth in the entire offshore fleet of 6%. There are currently 89 drillships in the fleet, with a further 78 drillships on the orderbook, most of which have specifica-tions allowing them to drill in 10,000+ft of water depth. This equates to 88% of the current fleet size (in numbers terms), which is the largest orderbook as a percentage of the fleet out of any of the offshore sectors. It’s also worth noting that the trend towards ordering more capable vessels extends beyond the very highest specification vessels too: The orderbook of semi-submersible drilling units is also weighted towards those suit-able for deeper depths, and the Anchor

Handling Tug & Supply (AHTS) sector with the highest orderbook as a percent-age of the fleet is the fleet of more than 16,000 bhp (19.3%). The increasing tendency to exploit opportunities in deeper water and harsher environments is also providing growing demand for MSV and ROV support vessels to service the deployment and maintenance of subsea wells. 36 contracts for such vessels were placed in 2011 and 32 in 2012, whilst in the first half of 2013, 22 orders for MSV/ROV/DSV vessels were recorded, meaning that the year-on-year rate of new contracting in this sector is up by 38%.

The effect of the promotion of deep-water drilling is not only evident in the newbuilding markets, but is also evident in terms of day rates. Clarkson Research’s quotation for a one year timecharter for a large PSV (circa 4,000 dwt) was $28,875/day at the end of June 2013, up from the 2010 average of $24,000/day, after nearly three years of a firming trend. Similarly, ultra-deepwater day rates for floating drilling units have improved, particularly during 2012, and in general these gains have been maintained into 2013. Benchmark rates for a harsh environment floating drilling unit in the Norwegian North Sea were assessed at $525-560,000/day as of start-July, up from a 2011 average of $475,000/day. In South America, meanwhile, rates for ultra-deepwater floating drilling units were assessed at around $520-600,000/day as of start-July, up from an average of just over $460,000/day in 2012. So,

demand exists for drilling units to oper-ate in the more difficult deeper water environments, creating interest in further contracting of such vessels, whilst at the same time generating additional demand for units to support future deep-water drilling programmes.

Further PreparationsAlthough high specification PSV and Drillship vessels in particular have shown disproportionately strong average y-o-y growth over the last 4 years, it is worth noting that vessels equipped to operate in colder, ice laden regions have seen a dramatic reduction in y-o-y fleet increases in the same period. The growth of the fleet of ice class vessels has decreased from a 53% y-o-y increase between 2008-2009, to a 16% y-o-y increase between 2011-2012. Increased risks and costs of operating in Arctic regions may have postponed demand for these vessels, but with companies focussing on the more remote, colder regions of the globe for oil exploration, it is possible the market could soon suffer from under-supply in this sector in the future.

As E&P companies consider opportunities in the deeper, harsher and colder regions of the world it is clear that a move into the higher specification vessel market is being made, providing good opportunities for manufacturers already in, or looking to move into this sector. However, with low levels of newbuild ordering so far in areas such as ice class vessels, it is worth keeping an eye on these currently under-developed sectors.

In 1947, Kerr-McGee Oil Industries (now Anadarko Petroleum) made the first offshore oil

discovery drilled out of sight of land. Albeit only 29km (18 miles) away from the Louisiana

coastline, and in water depths of just 4.3m (14ft), Kerr-McGee’s achievement began an new

era of offshore oil production. Current offshore oil operations still face the same challenges of

drilling in deeper, harsher and more remote regions, and with a 31% share of global oil

production, these are challenges the offshore industry is preparing to overcome.

CALUM KENNEDY - CLARKSON RESEARCH SERVICES

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For Arnaldo Calbucci, vice president of offshore vessels, towage, ship agency and shipyards at Wilson Sons in Rio, that means looking to build bigger and better ships: Because Petrobras is such a key player in Brazil’s offshore oil and gas industry as the national oil company, Wilson Sons, like all contractors, has to keep track of the oil major’s market needs.

And as Petrobras has extended its deepwater production capacity to fields further offshore, it has created a demand for Platform Supply Vessels which can operate further offshore, and provide better performance in greater safety.

“We have a long lasting relationship with Damen Shipyards – we have built more than 60 vessels with Damen, mainly Harbour Tugs and also Platform Supply Vessels,” Calbucci explains. All told, Wilson has 16 PSVs sourced from Damen.

“It is partnership,” he says. “We build here in Brazil with a Damen design, and a Damen material package and with their assistance during the construction.”

Wilson Sons developed its own PSV, designed with Damen, using a diesel electric propulsion system and a Brazilian manufacturer WEG for the electrical equipment.

“Our client Petrobras requires diesel elec-tric propelled vessels due to the better fuel oil consumption and redundancy

– on the diesels we have four generator sets on board, and two electrical motors that provide power for the propulsion system,” says Calbucci.

“So if we have one engine failure, we still have three gen sets to work or we can also sail with the vessel with only two engines. This is the redundancy issue.”

Engine redundancy is necessary to allow the ships to operate safely further offshore: “We have very deep drilling and deepwater fields,” Calbucci explains.

“These are far from the coast so we need bigger Platform Supply Vessels with more fuel oil capacity, and with more cargo capacity because the vessels make longer trips. Also the vessels’ sea-keep-ing characteristics and the comfort for the crew is important because these fields are so far from the coast.”

Brazil’s offshore vessels have to contend with severe swells due to deepwater currents, which have to be overcome, and strong winds. “So the vessels need to be more and more powerful, and bigger. And we need redundancy for the safety of the crew,” Calbucci continues.

Since the start of Brazil’s deepwater oil and gas expansion around 20 years ago, Offshore Support Vessels have had to fulfil different operating requirements.

“We started building PSVs with 3,000 dead-weight tonnes, twin screws, direct driven and now we are building vessels with 4,500 dwt with diesel electric propulsion, with more power, and more speed. In the past the speed was around 10 knots, or 12 knots. Nowadays the minimum is 13 knots, with, in certain cases 15 knots so there are

some changes,” Calbucci indicates. Petrobras requires vessels to be equipped with DP2 dynamic positioning with in-built redundancy, so that a vessel cannot lose position in the event of a single fault in an active unit within the DP system such as a generator, thruster, switchboard, or remote controlled valves.

Greater crew comfort is needed too: Vessel vibration has to be minimised, and the slamming effects on hulls from wave action in rough seas receives closer attention during ship design. “This is a more technical issue, on top of sea-keeping which is related to the line of

the vessel,” Calbucci says. “Damen has been paying attention on this. We are very satisfied with the results.”

In line with its emphasis of continuous improve-ment, Wilson Sons has to plan for new vessels

to meet future trends. “Nowadays we are thinking about building vessels with 5,000 dwt cargo capacity so the future is going to be more safety, more comfort, more vibration control.

Vibration is very important because the crew stays 30 days on board and they have to stay comfortable,” Calbucci emphasises. “There is a growing concern in relation to vibration.”

He points out classification societies and labour unions are also calling for measures to minimize ship vibrations:

“So we are going to face higher and higher standards.”

Currently Wilson is building a new Remotely Operated Vehicle Support Vessel for Fugro using a Damen design which is being equipped with a cinema – providing more evidence of the commitment to crew comfort.

Modern ships also feature gyms, satellite TV, and internet enabled computers. Also the company is building 12 Harbour Tugs and two PSV’s 5000 for WSUT.

Petrobras and its partners include UK-based BG Group are planning for at least 15 new Floating Production Storage and Offloading Vessels to tap giant fields including Lula and Iara in BM S 9 and BM S 11 between 2010 to 2018 with a capex of $3 billion per year for BG alone. All of these new FPSOs will need support vessels.

“We do believe in the future of the oil and gas market,” Calbucci says. “We have built a new dry dock to allow our shipyard to build bigger vessels.” This new $60 million drydock in the Port of Santos, in the city of Guarujá, is 145 metres long and 26 meters wide, and capable of construct-ing very large offshore support vessels.

“There is a huge demand for offshore vessels in the future because we can substitute foreign flag vessels for Brazilian flag units. It is very expensive to build in Brazil - due to the exchange rate and due to the cost of the steel and labour here in Brazil, compared with Far East shipyards - which are most probably subsidised by the government – sometimes half the price of Brazilian-built vessels, but we have the protection of the flag,” Calbucci adds.

WILSON SONS MOVING INTO DEEPER WATERS

Wilson Sons is one of the major operators of offshore vessels within Brazil’s growing deepwater

sector and for that reason it is keeping a close eye on the market trends which are unfolding there.

“We have a long lasting relationship with Damen

Shipyards – we have built more than 60

vessels with Damen”

See the Wilson Sons movieScan this page with your Layar-app.

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Alphatron Marine from Rotterdam has over the past few years turned into a real co-maker for Damen, keeping

in mind the 300+ vessels that have been equipped by the navigation and communication specialist. The

innovations in Alphatrons specific field of work are being incorporated in the modular bridge design enabling

Damen to offer their clients a state-of-the-art bridge concept. This fits the specific purpose of a vessel, whether

it concerns the PSV 3300, other Offshore Vessels, High Speed Patrol Vessels, Fast Yacht Suppliers, Interceptors,

Ferries or Crew Vessels.

The company’s unique modular bridge concept was developed in close cooperation with Damen, in the end enabling Damen to order the total bridge concept for a certain type of vessel in a one-stop-shop, whereby the engineering and pre-fabrication is executed in the Rotterdam workshop. A scope is specified for each vessel type, which can be altered by the client in the early stages on the build process. Design and equipment are determined with the Damen Engineering Team. Even parts ordered by Damen that need integration into either the systems on board or in a space in the consoles are assembled by Alphatron to ensure no changes to the consoles are necessary when installing the bridge(s) on board.

After assembly, the units are crated and shipped to any location in the world, arriving just in time for the production process to continue flawlessly. The pre-engineering phase is more extensive compared to conventional building, but on board a lot of time is saved because all the equipment is already in the consoles and connected, waiting to be tied to the ships systems.

The 8 Damen PSV 3300 series are all equipped with a complete navigation, communi-cation, bulk handling and entertainment package, supplied by Alphatron Marine.

The vessels comply with both the DNV OSV (A) Class as well as Lloyd’s Nav1 Class.The centre of attention on the bright yellow PSV series is the operator chair, of which each vessel has two completely redesigned pieces.

The chairs are supplied by Damen to Alphatron. In the Rotterdam workshop the chairs receive complete new custom-made armrests to fit all the equipment as required by Damen. These armrests are built to customer wishes by Alphatron, always keeping ergonomics and safe handling of a vessel in mind.

Another remarkable feature in the bridge concept is the central dimming system for all 24 TFT monitors on the bridge and Alphaline custom panels and the window wiper control via an Alphatouch Multi-function panel that steers all 32 wipers and washers. Another request by Damen that was executed by Alphatron and which solved a presumed difficult situation.

The cooperation suits both companies as Alphatron has a platform for innovations that can be discussed with a knowledgeable partner and Damen can count on the reliable AlphaBridge keeping ships and crew safe and customers happy.

ALPHATRONMODULAR NAVIGATION AND COMMUNICATION CONCEPT

NATHALIE OTTENHEIJM - ALPHATRON SALES MANAGER

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ALPHATRONMODULAR NAVIGATION AND COMMUNICATION CONCEPT

Early 2000 Damen introduced the ’Damen Offshore

Series’. Today this series comprises a comprehensive

line of Platform Supply Vessels (from 1,500 to 5,000

tonne deadweight) Anchor Handling Tug Supply

Vessels (from 85 to 200 tonne bollard pull), Fast Crew

Suppliers (12 - 65m) and other Support Vessels. This

series were well received by the market and a few

modest, but serious successes were achieved,

especially with the Platform Supply Vessels.

The Damen Group shows the ambition to grow in the various fields of the maritime

industry, this includes newbuild, services and repair covering the mid and high end of

the Offshore Industry. An extensive market study was performed in order to allocate

those segments of this flourishing market that are interesting to Damen. Not having a

track record in the high-end Offshore, but equipped with a vast experience in the

handling of challenging projects, Damen developed a number of concept designs.

Designs to ‘tease’ the market and show innovative capabilities. This approach broke

with the principle of developing vessels based on effective contracts and known end-

users. The concept designs are developed in-house, on Damen’s own account and are

supported by pragmatic market surveys and creative thinking.

SpeedThe FIRM concept was developed on the assumption that it might be an ‘niche’ in the

Inspection, Repair & Maintenance (IRM) market to provide a vessel with a substantial

higher speed potential than the existing designs showed. There are potential cost

savings related to shortening the transit times (increasing the number of workable days)

and/or quicker response times in case of a calamity (e.g. leaking pipeline). Especially

the improved Emergency Response performance was considered an important gain.

The market survey listed the minimum requirements for a market-conform IRM Vessel.

Damen worked on the development of a hull form facilitating high speeds incorporating

offshore requirements as well.

PowerThe power demand for the total operation of the vessel was carefully taken into

account. A balance was found in the amount of power for a suitable DP-performance in

harsh conditions (0-speed) and the high speed option. The concept features principles

of the enlarged ship concept and the successful Damen Axe Bow designs. Special

attention is given to 0-speed performance in order to provide a stable working platform

in sea state conditions. The vessel includes a Diesel Electric 3,3 kV system, driving twin

azi- POD’s. Side thrust is generated through twin tunnel thrusters in the bow as well as a

retractable thruster.

Key featuresTypical IRM features are included such as an active heave Deep Sea Offshore crane, a

module handling tower able to handle structure’s up to 30 tonnes through a standard-

sized moonpool. Furthermore, twin working class ROV hangars, inspection ROV’s and

ample accommodation up to 100 persons is part of the outfitting.

The Heli deck is situated amidships at a position were movements and acceleration

levels are minimal. The design offers the possibility to fit a motion compensated heli

deck as an option. The development of the design is still in progress and the market is

invited to share thoughts on layouts and outfitting. Options will be further investigated,

e.g. diving support, pollution control, fire fighting etc.

DAMEN FIRM 120 (Concept design)

Length o.a. 120,00 m Deadweight (design draft) 1450 t

Beam mld 21,00 m Speed (design draft) 22 kn

Depth 9,50 m Propulsion power 7000 kW

Draft (design) 5,00 m Deck area 800 m2

DEVELOPMENT OF A NEW CONCEPT

FAST INSPECTION REPAIR & MAINTENANCE VESSEL

LUCAS ZAAT - MANAGER DESIGN & PROPOSAL OFFSHORE & TRANSPORT

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DAMEN OFFSHORE SERIES

Damen is offering a fresh approach to offshore vessel customers. The company

believes its global presence, combined with its continuing family-run ethos, can

make a significant impression in a market characterised by niche yards. Damen has

launched its extensive new Offshore Series, which is tailor-made for the industry.

This versatile new series includes five Platform Supply Vessel designs, ranging from 1,600 dwt to 5,000 dwt, Construction Support Vessels, the new Anchor Handling Tug & Supply (AHTS) Series ranging from 75 up to 240 tonnes, the Damen Offshore Carrier range and the Fast Crew Suppliers, as well as a variety of Offshore Pontoons. Designed especially for the offshore industry, these Damen vessels facilitate efficient and reliable operations, even in challenging waters.

The Platform Supply Vessel 3300 heralded a new era in the offshore industry for Damen when it delivered the 80.1 m World Diamond, the first of six PSV 3300 for Norwegian owner World Wide Supply. Jan van Os, Damen Product Director Offshore, says: “World Diamond opens a new chapter in our offshore strategy because it embodies the ‘Damen standard’ PSV for a market that is fast-changing.

Extensive range

“The starting point for all of the vessels in the new Offshore Series has been conceiv-ing the right hull because this is vital in reducing fuel consumption,” says Mark Couwenberg, Damen Design and Proposal Engineer Offshore & Transport. “Hull shape, coatings, the location of oil tanks, refrigerants, recovery of waste heat and engine emissions – all of these are part of the E3 concept: to be environmentally friendly, efficient in operation and economically viable.”

Mark Couwenberg explains. “We spent considerable time on computational fluid (CFD) studies to investigate and simulate ship behaviour and optimise the hull shape. A model of the resulting hull has been tested at Maritime Research Institute Netherlands (MARIN) to verify the results. The slender hull reduces fuel oil consumption, not only in calm water but especially in rough seas. Smooth surfaces and a distinct lack of angles, lines and recesses also have a positive effect on the durability of coatings.”

JAN VAN OS - PRODUCT DIRECTOR OFFSHORE & TRANSPORT

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Platform Supply Vessels: Highly efficient, large-capacity ships, especially suited for transport of crew and supplies to and from offshore structures. The vessels may be optionally fitted with: Fire Fighting, Oil Recovery and/or high class Dynamic Positioning installations. The vessel design provides a safe and comfortable working environment.

Offshore Pontoons & Crane Barges: Offers a full range of offshore, Heavy Lift and/or semi-submersible pontoons, from simple, but seagoing platforms to crane and pipelaying barges.

Construction Support Vessel: Offshore oil, gas and wind fields need special-ised vessels to install and maintain subsea equipment. The Damen CSV 8019 is designed with a large clear deck, a large accommodation area and can be fitted with ROVs, a 100ton subsea crane, moonpool, heli-deck, etc. A larger vessel of this type is under development. The CSV 8019 complies with Petrobras’ requirements for ROV Support Vessels.

Well Stimulation Vessel: Increasing the production performance of deteriorated oil wells is often performed by old PSVs which have been retrofitted with the required pumping and mixing equipment. Damen has designed a versatile well-stimu-lation vessel in recognition of the fact that purpose-built vessels are increasingly coming to be seen as safer and more economical.

Anchor Handling Tug & Supply VesselsPart of the Anchor Handling Tug and Supply vessel category, offered from 70t bollard pull upwards, the 200t bp AHTS200 has been designed for water depths up to 3,000m. The vessel features a 670m2 working deck, extensive winch lay-out, ROV functionality and can be used for subsea construction. The Damen AHTS 200 design was based on the Petrobras AHTS 18,000 requirements.

Fast Crew Suppliers: More than 70 vessels featuring the unique Damen Sea Axe vessels bow ranging from 19m-67m have been supplied. These vessels cut through waves maintaining speeds of up to 20 knots, reducing slamming and vertical acceleration by up to 75%. The latest variant, a Twin Axe Bow version, the FCS 2610, is making an impact in the windfarm construction sector, handling crew transfer in wave heights of up to 2.5m and operating at speeds up to 25kn.

Offshore Heavy Lift Vessel 1800: A DP2 ship with two 900 tonnes mast cranes, 3,100m2 of free deck space and 20,000m2 of adjustable cargo hold. It can work in water depths of up to 3,000m.

Oil Spill Response Vessel: An increasing demand for vessels which are able to respond to environmental disasters is expected, especially after the Macondo disaster. Having built a number of dedicated Oil Spill Response Vessels, Damen is working on a new type for this market. Like the CSV and the AHTS, this vessel is fit for the Brazilian market and incorporates Petrobras’ OSRV-requirements.

SUBSEA PROCESSING

AT SHELL

A 21ST CENTURY

SOLUTION Everyone in the industry agrees that the major future technology leaps will take place under water. Subsea technology can unlock stranded resources due to hostile environments in terms of climate or distance to infrastructure, and it is essential in moving the industry towards remote areas.

Many of Shell’s projects require subsea processing technologies such as multi- phase pumps, compressors, separators and HV electricity, and so we decided to create a specialist subsea pro-cessing team. However, I sincerely do not believe in transferring topside thinking into new subsea technologies. This is all about tailor-ing subsea solutions with a subsea mindset.

Together with the industry, we are developing and qualifying reliable, streamlined, cheaper and more cost-efficient subsea equipment. Shell in Norway is in the lead here with a number of cutting-edge technologies being developed and deployed here.

PAUL SMY - SHELL NORWAY

SURF PROJECTS MANAGER

DAMEN’S OFFSHORE

AMBITIONS From our first steps in the offshore vessel market some 10 years ago Damen Shipyards Group is gradually becoming an experienced offshore ship designer and builder. Currently delivering high quality vessels like our new PSV line, but further developing and defining an offshore vessel portfolio which supports the challenging customer requirements for the subsea market.

The progressing subsea activities ask for innovative and new designs with respect to both vessels and accompanying mission equipment to cope with the latest processing technologies and harsh environ-ments. The growing demand for operations performed in deeper water and at remote locations result in more complex vessels with increased functionality.

New vesselsTo meet the market demands we have recently developed a number of new designs and vessels, such as the Walk-to-Work vessel, the new PSV range, the AHTS design, our Offshore Construction Vessel, our Survey Vessel range and our latest FIRM design. These designs show our capability to setup innovative designs yet create a solution for the envisaged subsea operations. Our philosophy is to support our customers with high quality vessels incorporating our method of stand-ardised vessel designs, processes and components, yet outfitted to the specific needs.

Fast Inspection Repair & Maintenance Vessel: The FIRM concept vessel offers a substantial higher speed than existing designs. The concept features the successful Damen Axe Bow designs. The vessel offers the possibility to fit a motion compensated heli deck.

Damen Offshore Carrier: A 7,500 – 10,000 dwt range multi-purpose vessel with heavylift, ro-ro and offshore installa-tion capabilities. It features 65 days endurance, 2,300m2 of deck area, and deck strength of 20t/m2. The vessel can be fitted with the Damen Deep Dredge system, for mining and dredging.

Multi Purpose Vessels: Designed to execute a great extent of specific tasks which may include coast guard duties, fishery control, fire fighting, rescue, oil recovery, salvage, wind farm maintenance. The vessel design-platform may be customised to suit specific client requirements.

SYBRAND BOSCHMA

BUSINESS DEVELOPMENT MANAGER OFFSHORE OIL & GAS

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The World Diamond was delivered to World Wide Supply (WWS) to serve as a mid-size Platform Supply Vessel. She is the sixth unit featuring Damen’s latest PSV3300 concept, which is suita-ble for use as a PSV globally including harsh environments.

And it has come after close collaboration and design work with WWS and full tank testing at Marin – the Maritime Research Institute Netherlands – where extensive

WORLD WIDE SUPPLY RECEIVES NEW PSV 3300Norwegian Platform Supply provider recently took delivery of a new

Damen design featuring one of the latest hull forms which is designed

for worldwide offshore platform service.

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computational fluid dynamics (CFD) studies and hull testing were conducted to verify the new ship’s layout.

The World Diamond was christened and rolled off the slipway at Damen’s Galati Shipyard in Romania after another unit, World Opal, was previously launched. They are two of six PSV3300 units being built for World Wide Supply and will handled by Remøy Management.

This new PSV3300 hull form marks a new departure for Damen, embodying several

service-orientated principles: Firstly it represents the shipbuilder’s desire for a bigger part in the offshore shipping sector. It also embodies Damen’s E3 vessel concept: to be environmentally friendly, efficient in operation and economically viable.

Featuring Damen’s unique bow shape and a slender hull married to a diesel electric propulsion system, the PSV3300 concept was developed to minimise sea slamming – by up to 70% compared with conventional designs – and the ship also

features new anti-roll tanks to improve crew comfort. Smooth surfaces and an absence of angles and recesses on the hull lines help improve the durability of coatings too.

And an optimised superstructure, with a more sheltered foredeck and a steel-welded wheelhouse mounted above the deckhouse provides better all-round visibility. Balancing a desire to achieve a high cargo payload – up to 1,520 tonnes which is 10% more than Damen’s previ-ous PSV - but with the same speed with

the same engine size, the new ship type also provides lower fuel consumption in both calm and rough seas.

Bow and azimuth thrusters and ducted propellers provide accurate DP2 station keeping in any weather while up to 782 square metres of cargo deck space is available, in an 80 metre long hull of 3,500 deadweight tonnes. Deck equip-ment includes a 1.6 tonne knuckle boom crane, and two 10 tonne tugger winches which are joystick-controlled.

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Currently the company’s fleet comprises 16 Damen vessels – nine Fast Crew Suppliers with a Sea Axe bow and seven Stan Tenders, all built by Damen since 1999.

Why so many? Juan Pablo Vega Torre, vice president of maintenance and process management at Naviera Integral puts it down to a quality product. “We have been working with Damen since 1998 and every year, from each delivery, the quality has been improved on each vessel. The maintenance cost of their vessels is always lower. Their vessels operate perfectly in the market that we have here in the Gulf of Mexico.”

Timely delivery is part of the reason too: “Damen is always trustworthy because they always deliver the vessels in the time they programme delivery. We have not faced any delays in any one of the 16 vessels we have built with Damen,” says Vega Torre.

“And that is very important for us because we have timing with the contracts with our clients. That is sometimes why we prefer Damen over other shipbuilders.”

Two newbuilds are set to join the Naviera fleet in 2014: Both are Sea Axe design Fast Crew Suppliers, built in Vietnam, with a length of 52 metres, and together they represent a multi-million dollar investment.

With Pemex as its major client, Naviera needs to anticipate requirements for the fast vessel market in the Bay of Campeche, where there are nearly 70 installations to support.

“We try to work hand in hand with Damen to fulfil these requirements and we programme our construction accord-ingly,” Vega Torre explains.

Today the company boasts about 80% of the crew transfer market offshore Mexico, and 65-70% of the fast supply sector for oil and gas-related operations. Vega Torre says that success is because it has concentrated on satisfying its clients and providing good service. “The quality of our vessels goes hand in hand with the safety of the personnel and the crews we transport,” he says. “We are completely focussed on safety of the people at sea. We concentrate on getting all the people to their destination safely.”

That means concentrating on crew comfort during voyages to installations. While crew amenities are important to vessel design, so is maintenance as Naviera vessels work hard, operating 365 days a year and sometimes they make three trips a day. The patented Sea Axe bow design is predominantly used for cargo ships but is used for crew boats too, because it performs well: “There is a lot less sea-sickness for people,” Vega Torre says, since the design provides very good stability with less rolling, even in severe seas. “Our vessels run about 20-22 knots (70 kph) with low consump-tion of fuel. The design is perfect.” He says the Sea Axe consumes 10% less fuel than a conventional monohull: “The client is very happy with fuel consump-tion with that kind of vessel.”

The Bay of Campeche fields lie close to shore – 100 to 200 kilometres. Water depths are shallow but it is a region renowned as a breeding ground for Atlantic hurricanes. Crew boats typically carry 80 to 140 personnel, and offer transit times of two to three hours, rendering helicopters too costly. After selling its tugboat division in 2010 to focus on oil and gas, Naviera has doubled its demand for newbuilds, from one or two, to four units a year, validating its decision to focus on oil and gas alone. In future Vega Torre expects clients to demand greater environ-mental performance from fleets, with less fuel consumption, less engine pollution, combined with better transit times. Better engine technology will be sought also, he suggests, to provide predictive mainte-nance, with alarms and safety-shutdown systems to avoid major malfunctions.

With a new draft energy bill set to end the Pemex monopoly on the country’s oil and gas sector, and a national ambition to boost oil production from around 2.5 million barrels a day, Naviera’s offshore client base could very soon increase.

Naviera is focussed on Mexico for now, but Pemex plans for expansion may mean the oil and gas transport sector will widen: in early 2013 Pemex indicated a US $25.3 billion investment plan, of which $20 billion (79%) was allocated to upstream operations. If similar figures are planned for 2014 by Pemex, then Naviera looks set for a busy year ahead....

Swiss-based shipping manager Promar

has high expectations that international oil

majors will continue to require high specifi-

cation vessels as they maintain their hunt for

offshore oil and gas reserves. Describing the

global offshore market as “very promising”

as majors continue spending on exploration

and development to sustain production,

Promar aims to support E&P activity with

its bases in West Africa – in Angola, Congo

and Gabon - as well as in Dubai in the UAE,

backed by its Geneva headquarters.

Currently the company has a fleet of six multi-purpose supply vessels, thirty fast crew boats and provides bespoke vessel chartering. The company has more than thirty vessels under construction.But it does not intend to stand still: Next year Promar’s fleet will be boosted by

new Platform Supply Vessels built by Damen. “The global offshore market is very promising due to the continuous investments made by oil major compa-nies, to keep their production at very high levels,” Promar says. “Investments and expenses are oriented towards exploration and production to satisfy a rising worldwide oil demand.

These positive signs ...should lead to an increase in the number of commercial inquiries.” Promar’s opinion is backed by Barclays Global E&P Spending Report published in December 2013, which fore-casts the spending to be $1 trillion in 2017.

Consequently Promar is keen to provide the right vessels for both oil majors and contractors, by keeping a close

watch on requirements in the offshore vessel market place, and customising its services accordingly.

“There is no single best Offshore Supply Vessel (OSV) design because of the varied needs for marine services and the trade–offs between flexibility and econ-omy,” the company believes.

“Thus our tailor-made commercial approach has been seducing an increasing number of clients and charterers.”

A process of constant listening and analysing client feedback allows the company to stay on top of offshore trends. Information sharing between on and offshore teams and continuous training is used to help deliver high-quality

customer service. In the future, the company aims to continue with its tailor-made approach, offering high-quality vessels for charterers.

Promar believes this will lead to demand for new customised ships and a larger vessel fleet – resulting in more orders for Damen.

NAVIERA INTEGRAL'S FAST MOVES IN MEXICOAs one of the foremost providers of fast crew and cargo boats operating in the Bay of

Campeche in the Mexican sector of the Gulf of Mexico, Naviera Integral operates with a fleet of

27 vessels – which is soon to increase to 29 with two new units under construction.

PROMAR'S HIGH EXPECTATIONS ON THE HIGH SEAS

0 200 400 600 800 1000

2013$ 682 BILLION

2014$ 723 BILLION

2017$ 1 TRILLION

Barclays Global Exploration & Production Spending forecast

CHRISTINE BOUSTANY ARAB - PROMAR

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PROMAR'S HIGH EXPECTATIONS ON THE HIGH SEAS

Installation contractor Seajacks has used Damen’s Shipdock subsidiary to good effect to prepare some of fleet for tough

offshore assignments. Seajacks was a major installation contractor on the Meerwind* wind farm offshore Germany where it

deployed two of its vessels, Zaratan and Leviathan to install foundation piles, transition pieces and turbines.

SEAJACKSPILING ON THE PRESSURE AND STAYING FLEXIBLE

“We were responsible for a series of sub-contractor services to complete the main instal-lation and there was benefit for us mobilising in Holland.” explains Alex Low, contracts manager for Seajacks. Seajacks transported and installed 80 monopile foundations

– each 675 tonnes and 68 m tall - plus 80 transition pieces and turbine generators. To do this, the Zaratan had to be equipped with a specialised pile guide tool which was installed by the Damen Shipdock shipyard in Amsterdam, the Netherlands. A com-petitive tender was prepared for the scope of work on Zaratan, which Shipdock won and executed. This involved installation of grillages, and the piling system which allowed monopiles to be upended and positioned in one exercise. Also there was electrical work, sea fastening and welding.

“This was the vessel’s first job,” Low recalls, as the newly built Zaratan was prepared for Meerwind immediately after delivery from Lamprell’s rig construction yard in Abu Dhabi.

“We had a very good working relationship with Shipdock from day one,” says Low. “I was the overall project manager for Meerwind and Shipdock was very good and they worked with us and developed a good planning document and a good time schedule.

“One of the biggest challenges for us was that we had to go into a shipyard, and hand the shipyard a scope of work. But separate to that we had to plan and fit it around the shipyard’s own workscope.” Low says careful preparation was necessary: “We had to plan all these works and execute it and one of the benefits of Shipdock was supporting us with that planning and remaining flexible and accommodating us.” The Zaratan schedule was always subject to change by the delivery of critical supplies and the time taken for specific work. “Shipdock really did strike up a partnership approach with us, where we had a very efficient relationship with a common goal of getting the vessel mobilised on time,”

Low remembers. Zaratan arrived mid July 2012 and left at the end of August. Because modifications were so well planned, Seajacks mobilised Zaratan for a turbine maintenance assignment at Dong Energy’s Gunfleet Sands wind farm in the midst of the modification programme, but still completed the vessel on time. Low says this could only have been achieved through a good working relationship with Shipdock.

Seajacks turned to Shipdock again to modify the Seajacks Leviathan, to replace a 300 tonne Huisman crane with a 400t Kenz crane, which involved significant reinforcement of the jackup’s hull - “...Really invasive work to the hull structure,” Low says, as well as further equipment modifications and associated electrical and testing work. “Shipdock did a very good job. We were there on site with our superintendents for the whole process and it went very well, on time, on budget and it was done to a very good quality.”

Leviathan arrived at Shipdock in July 2012 and left early September. It has returned since for a five-year re-certification survey, and another Seajacks vessel may also use Shipdock in future.

For Low what differentiates Shipdock is the attention to detail: “They submit the right level of detail and planning.” As a quantity surveyor by training, Low says Shipdock staff were clear during meetings and that was apparent in clarification sessions.

“The evidence came from their documents, and they were very open in clarification meetings, and we were able to strike up a very good working relationship. Delays are not desired and they have a big [financial] consequence ...which is a key service they provide.”

* WindMW is the German owned company responsible for development of the Meerwind project, backed by Blackstone the New York, US headquartered private equity group.

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Currently the company has a new genera-

tion of vessels under construction which

are designed to operate in the coldest and

harshest climate in the world. Jumbo’s new

K-class Heavy Lift Vessels have an ice-

classification, allowing it to operate at

extreme latitudes, which the company

believes will be important for the future of

the marine transport sector.

“The K 3000 is designed for unique heavy lift performance and to create a maximum season in the Northern and Arctic regions,” explains Roddy Lafontaine, manager for commerce and offshore at Jumbo.

One K-Class vessel has already been launched from Croatia’s Brodosplit shipyard in Split in September 2013. Lafontaine believes the K-Class will find its own unique niche in marine heavy

transport - as the company has done for the last 45 years.

Certain that the Arctic is a future market for marine transport, Lafontaine says:

“Every investment we make will be a step further in our industry development.”

Turning to other future “harsh” and “deep“ environments, Lafontaine says Brazil and Africa’s deepwater oil and gas markets have their own environmental challenges.

“It is this market our DP [dynamically posi-tioned] vessels serve with subsea lifting of manifolds, spools and other subsea structures,” Lafontaine says. Jumbo’s Fairplayer has an unequalled deep-water reach of 1,000 tonnes at 1,000m water depth, or 200 tonnes at 3,000m.

“While the North Sea is well known for being harsh due to waves,” he continues,

“West Africa and Brazil can be a harsh from a long swell perspective.”

“In South Africa you have both!” says LaFontaine. “Last winter Jumbo installed five manifolds for PetroSA just offshore the Cape of Good Hope. I think that is the worst environment in this world - you can ask every sailor!”

Jumbo’s next class of new build vessels, designated the L-Class, is already on the drawing board. Although the final design is still confidential, it is likely to be Jumbo’s fastest, most efficient transport vessel generation with environmental awareness embedded in its design.

“We are also building-in more flexibility. Depending on specific project require-ments the vessel can adapt its cargo capacity,” Lafontaine reveals.

But it isn’t just about the vessels: Lafontaine believes that clients in the future will also demand a smarter way of working, with closer collaboration between client and contractor during project execution. “Projects are becom-ing more complex with no compromise on safety and quality behaviour,” he says.

“Relationships with our partners is getting more important,” Lafontaine points out.

“Where we used to be a transport provider, now we want to be a partner of choice where we can jointly create solutions.”

Dutch heavy lift and transport specialist Jumbo is preparing for a cold, harsh and deep offshore future.

JUMBO GOES COLD, HARSH AND DEEP …

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