ExxonMobil and Qatar Petroleum have signed a contract with Cyprus to explore a block in the Mediterranean Sea.
A 3D seismic survey is already underway on block 10 as the consortium partners prepare to begin exploration drilling in 2018.
Qatar Petroleum chief executive Saad Sherida Al-Kaabi said: “This agreement expands our international upstream footprint into the eastern Mediterranean for what we hope is one of the most promising opportunities in the area.
“We look forward to working with the esteemed Government of Cyprus along with our long-term partners, ExxonMobil, in this exciting prospect to bring greater benefit to the country.”
Slovnaft plans turnaround at Bratislava refinery
Slovnaft AS, a subsidiary of MOL Group, Budapest, will begin a partial shutdown of its 6.1 million-tonne/year refinery in Bratislava, Slovakia, beginning Apr. 15 for 2 months of routine maintenance.
Part of its regularly scheduled program to ensure reliable operations, the planned turnaround will involve the phased shutdown of 16 production units for extensive technical inspections, maintenance, and equipment aimed at increasing energy efficiency and safety of processing activities at the plant, Slovnaft said.
To be executed by subsidiary Slovnaft Montaze a Opravy AS, the turnaround will require a total investment of more than €57 million, of which €33 million will be spent on repairs and maintenance, and more than €24 million on modernization works.
Slovnaft did not disclose details regarding specific units to be shut down or projects to be executed during the turnaround.
With sufficient stocks already in storage in preparation for the event, supply commitments to refinery customers will not be interrupted during the shutdown period, the company said, adding that it would cover any increased customer demand with production from other MOL Group refineries, or if necessary, by local purchases on export markets.
The Bratislava refinery is scheduled to resume full production rates in mid-June, according to the operator.
ABB enters into long-term frame agreement with Aker BP
LYSAKER, Norway -- Aker BP plans to execute field development projects on Aker BP-operated fields in a safe and very cost effective manner. The ambition is to increase the productivity, quality, flow and time efficiency throughout the value chain, and thereby increase the value creation and competitiveness.
A core element to this improvement is long-term, interdependent collaboration with strategically important suppliers. ABB has, in this context, won a frame agreement for Electrical, Instrument, Control and Telecommunications (EICT).
“This cooperation builds on well-established relations between Aker BP and ABB. We view the new collaboration as a breakthrough for more efficient project execution. We get involved in projects at an earlier stage, assume more responsibility, can provide integrated solutions in the concerned disciplines, and finally contribute with our digital remote monitoring services”, says Borghild Lunde, senior V.P., Oil, Gas and Chemicals, for ABB in Norway.
The framework agreement covers design, procurement and installation of the EICT system.
Aker BP will execute field development projects by a more integrated project delivery model; A «Platform Alliance» for each project.
“Our goal is to work more efficiently alongside the suppliers, as well as to minimize the total time it takes to deliver the final product. We want to work as one integrated team and with the same incentives to reduce costs and to remove non-value-added activities,” says senior V.P. of projects, Olav Henriksen at Aker BP.
The frame agreement has a duration of six years with an option for four additional years.
“We are confident that the alliance model will be fruitful for both parties and boost competitiveness in the Norwegian Continental Shelf. The agreement is strategically and commercially important to us”, says Lunde.
Aker BP is a fully-fledged exploration and production company with exploration, development and production activities on the Norwegian Continental Shelf. Measured in terms of production, Aker BP is one of the largest independent oil companies in Europe.
Total Introduces Natural Gas Fuel For Trucks And Transporters In France And Continues Expansion In Europe
Total yesterday officially inaugurated its first natural gas fueling station in France, in Nantes. Natural gas fuel is an alternative fuel primarily used by trucks and transporters of materials or goods, such as garbage trucks, and passengers, such as buses. Another 15 stations will be opened this year, followed by an additional 10 a year. The aim is to create a network of 110 outlets — either Total or AS24*, the Group affiliate specialized in marketing fuel to truckers and transporters — supplying natural gas fuel in France,.
“As part of the energy transition, natural gas could become the fuel of the future for road transportation,” commented Momar Nguer, President, Total Marketing & Services. “Total is a global gas player present across the value chain; we want to promote its development, especially for the truckers and transporters we serve. To support this aim, we are expanding our network of fueling stations retailing natural gas fuel.”
200 New Natural Gas Fueling Stations in Europe
Total already has a network of 450 natural gas fueling stations worldwide. The Group markets compressed natural gas (CNG) in Germany, the Netherlands, Belgium, Egypt, Pakistan and now in France. It opened its first liquefied natural gas (LNG) fueling station in 2015, in Belgium, near the port of Antwerp.
Total will continue the deployment of a dense enough network to meet the needs of its customers. The Group plans to open more than 200 natural gas fueling stations, including 110 in France. Its target market is the transportation sector in Europe, where it could leverage its existing network of more than 9,000 retail outlets for businesses and consumers. The priorities will be accelerating growth in markets where Total is already active in natural gas fuel (Germany and the Benelux countries) and further expansion in France, where demand is expected to grow in response to the requirements of the E.U. directive of October 22, 2014 on the deployment of alternative fuels infrastructure.
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Lukoil studies selling Ukhta refinery
Lukoil will discuss later this year the possible sale of its Ukhta refinery and one-third of its filling stations in Russia, according to Vladimir Nekrasov, the company’s 1st vice president for refining.
Lukoil is expected to make a final decision on the possible sale in the fall, Nekrasov told reporters, quoted by Reuters.
Lukoil’s investment committee will review the proposal in July, and the final decision is expected to be made in October or November 2017, Russian media quoted Nekrasov as saying.
Last week, RBC reported that Lukoil is looking for a buyer for its Ukhta refinery - which has an annual capacity of 4 million tons - and is reportedly ready to sell it at a discount to its market price.
Lukoil is ready to sell Ukhta refinery - together with the filling stations or separately - and would invest the proceeds in upstream projects in Russia.
The profitability of the Ukhta refinery has shrunk due to higher taxes and the general downturn in the industry amid the oil price crash.
Some analysts reckon the refinery could cost no more than $50 million, but RBC analysts believe that the price of the asset would greatly depend on additional terms of a possible deal such as supply of oil or obligation to supply oil products.
According to RBC sources, the most likely candidates to buy the refinery include Russian companies Russneft, ForteInvest, and New Stream Group.
In June 2016, Lukoil’s CEO Vagit Alekperov told Reuters in an interview that the company might consider spinning off or selling its downstream assets in Europe to focus on exploration.
Lukoil is shifting its focus to upstream assets and development both in Russia and abroad, Alekperov noted back then.
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Aker BP Enters Into Long-Term Framework Agreements
Aker BP ASA (Aker BP) has in international competition entered into long-term framework agreements with key suppliers of engineering services, construction, electro/ IT/ control room systems as well as transport and installation of fixed facilities offshore.
Aker BP aims to plan and execute field development projects on Aker BP-operated fields in a safe and very cost effective manner. The company’s ambition is thus to increase the productivity, quality, flow- and time efficiency throughout the value chain, and thereby increase the value creation and competitiveness of the company.
A strategic core element in this effort to improve is to enter into long-term, interdependent collaboration with strategically important suppliers.
“Platform Alliance”
The intent of the entered framework agreements is that Aker BP in the company’s field development projects develops and executes work by using a more integrated project delivery model; a “Platform Alliance” for each project.
“Our goal is to work more efficiently alongside the suppliers, as well as to minimise the total time it takes to deliver the final product. We want to work as one integrated team and with the same incentives to reduce costs and to remove non-value added activities”, says Senior Vice President (SVP) Projects, Olav Henriksen.
The entered framework agreements and the planned collaborative model is a natural extension of the principles and experiences that Aker BP already has developed and acquired through the “Subsea Alliance”, which was established with Aker Solutions and Subsea 7 in 3Q 2016.
The framework agreements are independent and can be used separately or as part of the future “Platform Alliance”. Use of the framework agreements within or outside the Alliance model presumes agreement among partners in the involved licenses.
Framework agreements
The following framework agreements have been entered into:
Engineering & Procurement (EP): This framework agreement has been awarded to Aker Solutions and comprises engineering services and procurement from early studies to first oil.
Construction & Hook-up (CH): This framework agreement has been awarded to Kvaerner and comprises construction of steel jackets and topsides, including offshore hook-up.
Electro, Instrument, Control & Telecom (EICT): Separate framework agreements have been awarded to both Siemens and ABB. The agreements consist of design, supply and installation of electrical, instrument, control and telecom systems, from the preliminary phase to first oil.
Aker BP has also entered into a separate framework agreement with Heerema Marine Contractors for transport and installation of facilities offshore (Transport & Installation – T&I), including Call-off for transportation and installation on Valhall West Flank. This framework agreement is not included in the planned Alliance model.
The framework agreements followed completion of a competitive process, where qualified suppliers were invited to tender for one or more of the services.
All framework agreements have durations of six years with an option for four additional years.
Valhall Flank West
In the Valhall licence, Aker BP and partner Hess have already agreed to use an Alliance model to develop the Valhall Flank West.
The plan is to develop a normally unmanned installation (NUI). The goal is to submit the Plan for Development and Operation (PDO) in the second half of 2017.