Source: Offshore Energy

The Houston-based W&T Offshore, Inc. (NYSE:WTI) released its second quarter of 2020 on August 5, 2020.

The company managed to report a narrower-than-expected adjusted loss of $0.02, but it has been brutal nonetheless. Revenues were cut by more than half sequentially.

In terms of production, it isn't easy to compare in the second quarter of 2019 and this quarter. In the fourth quarter of 2019, it was a significant rise in production due to the companys Mobile Bay area assets acquisition from Exxon Mobil (NYSE:XOM).

CEO Tracy Krohn said in the conference call:

We all know this is a cyclical business. Our success has always been based on maximizing free cash flow generation, operating efficiently and striving to constantly improve the profitability of our assets at any commodity price, this time has been no different.

The company produced oil, NGL, and natural gas and had a revenue of $55.24 million in the second quarter of 2020, mostly generated from oil, representing 55.5% of the revenues, as the graph below is indicating:

The investment thesis is relatively straightforward. I do not recommend investing long term in small or medium domestic E&P companies like W&T Offshore.

Oil and gas prices are too volatile and unpredictable, and the risk of a bust like we had this quarter is too high. However, the same volatility can be rewarding short term, and trading WTI based on oil and gas prices makes sense.

I often compare WTI to Chevron (NYSE:CVX), which is the poster child in the oil-producing business in the US, and we can see that the stock has underperformed Chevron quite significantly.

Data by YCharts

Source: Company PR and Morningstar

1 - Total Revenues of $55.24 million in 2Q'20

Revenues decreased by 59% to $55.24 million in the second quarter from $134.70 million a year ago and down 55.5% sequentially. The company had a net loss in the second quarter of 2020 of $5.90 million or $0.04 per share. Second-quarter 2020 adjusted earnings (excluding one-time items) were $2.2 million or $0.02 per share.

2 - Free cash flow was a profit of $4.3 million in 2Q'20

W&T Offshore free cash flow annually ttm is now a loss of $61.74 million, with a profit of $4.33 million for 2Q '20.

3 - Oil-equivalent production and other consideration

Total oil equivalent production averaged 42,037 Boepd in the second quarter of 2020. It was up 20.1% from 35,045 Boepd in the year-ago quarter. Liquids (oil and NGL) represented 48% of the total production in the quarter. Lease operating expenses shrunk to $7.40 per Boe in the second quarter from $12.65 a year ago.

For the second quarter of 2020, the average realized crude oil sales price was $21.67 per barrel. The Companys realized NGL sales price was $4.67 per barrel, and the realized natural gas sales price was $1.78 per Mcf.

The Companys mixed average realized sales price for the quarter was $14.10 per Boe (a new record low), which represents a 66% decrease from $41.83 per Boe the same quarter a year ago.

W&T Offshore projects 2020 production at 43.8-46.5K Boepd, implying a small rise from 40.6K Boepd in 2019. For the third quarter, the company expects production in the range of 40.9-45.1K Boepd.

For 2020, W&T Offshore is e lease operating expenses between $158 and $165 million.

4 - Net debt is now $587.71 million in 2Q'20. The net debt is about $587.71 million, with a net debt-to-EBITDA ratio of 2.01x as of June 30, 2020.

As of June 30, 2020, borrowings outstanding under the Credit Agreement were $80.0 million and letters of credit issued under the Credit Agreement were $6.1 million. Availability under our Credit Agreement as of June 30, 2020 was $128.9 million. The Credit Agreement matures on October 18, 2022.

Total liquidity on June 30, 2020, was $165.4 million, including $128.9 million of availability under W&Ts revolving bank credit facility. The revolver has been reduced from $250 million to $215 million, with an increase of the margin by 25 points.

Note: In the 10Q, W&T indicated that it "complied with all applicable covenants of the Credit Agreement and the Senior Second Lien Notes indenture as of June 30, 2020."

The second-quarter results have been overly severe for this small US offshore E&P. The combined price per Boe has never been so low, and revenue was cut by more than half sequentially, as I said earlier. However, on a positive note, I believe the second quarter will set the rock bottom in terms of production and revenues.

The COVID-19 pandemic disruptions will probably fade away with the discovery of a vaccine, which is expected at the end of 2020. The economy will recover slowly from this catastrophe, and the demand for oil and gas will be substantial again.

Already, oil prices have managed to stay above $40 a barrel, and we are now around $45-$44 a barrel. Some analysts are talking about higher prices with a significant breakout.

WTI is forming a descending triangle pattern (bullish) with resistance and support very close, indicating a potential resistance breakout.

I expect WTI to re test the 50MA and, potentially, the 200MA around $3, at which point it would be wise to take the profit off your position. However, if oil prices can hold above $40, WTI may eventually breakout support instead and drop as low as $1.20.

Watch oil prices like a hawk.

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Additional disclosure: I trade WTI short term occasionally

Excerpt from:

W&T Offshore: Volatility Is A Curse And A Blessing - Seeking Alpha

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Offshore Lubricants Market Analysis, Size, Regional Outlook, Competitive Strategies and Forecasts to 2026 - The Daily Chronicle

It appears anglers are going to get a break in conditions this weekend, as the wind should not be an issue and the threat of thunderstorms is slight. That is a great combination for offshore fishing.

Except for the daytime heat, conditions should be inviting for the mosquito fleet of small seaworthy boats to make it to fishing grounds in the Gulf of Mexico.

There was some good news for offshore anglers earlier this week when NOAA Fisheries reopened the recreational harvest of gray trigger fish Tuesday. The reopening will last until Oct. 26.

The reason for this is a survey indicated the recreational quota had not been fully taken, and this extension should allow the remainder of the recreational allocation for 2020 to be harvested.

Red snapper anglers are hoping for a similar situation, as many feel that the 2020 quota was not met when the season closed last month.

It appears most of the bait shops are back in business following repairs from the effects of Hurricane Laura.

Galveston Bait and Tackle, one of those damaged, has reopened. It had supplies of live croaker, but no live shrimp was available Thursday. A spokesperson for the bait camp was not sure it would have any live shrimp for the weekend.

The shortage of live shrimp has been an ongoing problem for most bait camps during the siege of dangerously high daytime temperatures and constant southwest wind.

If you need live shrimp, it would be best to check with the bait camps before you head out on your fishing trip.

On the fishing scene, red fish continue to dominate the catches, while a number of over-sized black drum known as big uglies also are being caught.

This weekend, there should be a wider variety of fish landed, as the water clears up under light winds.

Here is the original post:

Conditions looking good for offshore fishing this weekend - Galveston County Daily News

Ten years ago, in June 2010, I stood on a Florida beach that I had played on as a child and watched thick globs of oil wash ashore and taint the sugar-white sands.

The oil had traveled up from beneath the Gulf of Mexico, then spewed into the water through what was left of the Deepwater Horizon offshore drilling rig, 5,000 feet below the surface and about 150 miles off the Louisiana coast. It floated for days across the Gulf before finally showing up at Pensacola Beach. The glistening blobs mingled in the surf line with broken sand dollars and calico shells, looking like a cross between chocolate pudding and dead jellyfish.

Before Deepwater Horizon, some Florida politicians were talking about allowing oil companies to drill for oil in the eastern Gulf as long as they stayed three miles offshorefar enough from the beaches that the tourists wouldnt notice the rigs, they said. After the 2010 disaster, and the damage it did to the beach-based tourism industry, you couldnt find a single one to admit they ever supported it.

Thus, when the Trump Administration announced in 2017 its plans to expand drilling off Floridas shore, even pro-Trump Florida politicians objected. In 2018, the Interior Department promised it would drop Florida from its plans.

But in June 2020, Politico reported that the Interior Department was laying plans to put Floridas beaches at risk all over again. Knowing the political ramifications for his re-election campaign, the story said, the Trump Administration would hold off announcing this until after the November election.

The eastern Gulf is the golden trophy for the industrybecause it could be producing oil within 10 years using existing infrastructure from the Gulfs western portion, wrote Politico reporter Ben Lefebvre, who has covered the energy industry for nearly a decade.

The Interior Departments press office called the Politico article fake news, contending that current offshore plans do not expire until 2022, and Interior does not plan to issue a new report in November. However, as a highly skeptical editorial in the South Florida Sun-Sentinel pointed out, What about December, or January, or any of the other 48 months of a second Donald Trump term?

Interiors original plan to open the eastern Gulf to drilling was drawn up under then-Interior Secretary Ryan Zinke. The Zinke plan called for sinking wells not just in the eastern Gulf, but also along 90 percent of the U.S. coastline. Then-Gov. Rick Scott asked Zinke to take Florida off the table. When Zinke said yes, other governors jumped in to request their states be exempted, too. Zinke pulled back his plan.

Zinke was forced to resign in late 2018 while being investigated for making a land development deal with the chairman of energy giant Halliburton, which in 2014 agreed to a $1.1 billion settlement for its role in the Deepwater Horizon disaster. He was replaced by David Bernhardt, a former lobbyist for the oil and gas industry.

In 2019 the Wall Street Journal reported that Bernhardt had decided to sideline the new offshore drilling plan indefinitely, but Bernhardt said that story misinterpreted his intentions. He just meant he wasnt in a big rush to roll out a new five-year drilling plan.

When Trump visited Tampa in early August, a reporter from Bay News 9 asked him about offshore drilling in the eastern Gulf. The people of Florida just dont want it, he said. You know, there are some states that dont mind it, but Florida does. And I live here too, and I vote here. And I will tell you thats not going to be happening.

Environmental experts and watchdogs around the state and U.S. are skeptical. Its no surprise to see President Trump change his tune about oil drilling off Florida coasts with a close election in a key state looming, says Susan Glickman of the Southern Alliance for Clean Energy. But there is no guarantee he will keep that promise if re-elected. Trump rolled back key safety measures to avoid disasters like the Deepwater Horizon blowout, and it devastated Floridas tourism and seafood industry.

In August, the Trump administration approved oil drilling in the pristine Artic National Wildlife Refuge in Alaska, overturning 60 years of protections. My guess is Trump would move to drill in a second term, Glickman says.

Congressman Vern Buchanan said in an email he would fight any plan to drill, and Sen. Marco Rubio is proposing an amendment to extend the ban through 2032.

One thing has not changed in the decade since the Deepwater Horizon disaster. Despite attempts to clean it up, oil from the sunken rig continues polluting the Gulf and affecting fish and other marine species, according to findings by USF scientists.

That oil is likely to stick around. USF scientists surveyed areas in Mexico that were affected by a 1979 oil spill from a rig called Ixtoc 1, a spill that mirrored the circumstances of the Deepwater Horizon spill. Thirty years later, they still found pockets of oil that the spill had left behind.

Original post:

Ten Years After Deepwater Horizon, the Possibility of Offshore Oil Drilling in the Gulf Has Resurfaced - Sarasota

Offshore staff

ATHENS, Greece Shell subsidiary BG International has contracted Corinth Pipeworks to supply steel pipes for the block 22 and NCMA-4 (Colibri) gas field development offshore Trinidad and Tobago.

Corinth will manufacture 93 km (58 mi) of 16-in. HFW and LSAW coated linepipe for the pipeline which will export gas from the facilities to the Shell-operated Poinsettia platform in Trinidads North Coast Marine Area (NCMA).

Trinidad and Tobago state-owned Heritage Petroleum Co. is the other partner.

This will be Corinths first offshore project involving supply of pipes in 24-m (80-ft) lengths. This should lead to a reduction of almost 50% in the number of offshore pipe to pipe welds, the company said, resulting in capex savings and an associated reduction in offshore vessel installation time.

Pipe manufacture and coating will start in Greece later this year, followed by offshore pipelay in 2021.

09/03/2020

Read more:

Shell contracts long-length steel pipes for offshore Trinidad and Tobago gas tieback project - Offshore Oil and Gas Magazine

The Danish Energy Agency has sent a draft permit for preliminary offshore and onshore studies related to the Hessel offshore wind project for consultation with the relevant authorities.

The feasibility study permit will give the transmission system operator Energinet, which is to be responsible for the investigations, the right to collect relevant information about the proposed site in the Danish Baltic Sea.

The feasibility studies consist of environmental biological, geophysical, and geotechnical investigations with boreholes, as well as the 3D mapping of the seabed.

Hessel is the second of the three offshore wind farms proposed in theEnergy Agreement 2018, the first being theThorproject.

The wind farm is located north of Sealand in Kattegat, in Hessel Bay, at a distance of 30 kilometres from Sealand and around 20 kilometres from the Hessel island.

Initially, Hessel was scheduled for commissioning in 2028, but according to therecently approvedClimate Action Plan, both Hessel and Thor will be commissioned in 2027.

Denmark plans to start the tendering procedure for the development of the wind farm in 2021 and select the winner in 2022.

The wind farm will have an installed capacity of between 800 MW and 1,200 MW and can thus potentially become the largest offshore wind farm in Denmark, depending on the capacity that the winner of the tender chooses to install.

The authority consultation includes parties with interests at sea as well as municipalities with a view of the wind farm, or those which could be affected by land cables. The deadline for comments is 17 September 2020.

The short deadline is due to Energinet having to have the feasibility study vessels sent out quickly before the weather becomes too harsh, the Danish Agency said. With the climate agreements goal that Hessel must be completed in 2027, it is a prerequisite that the schedule for feasibility studies and tenders is compressed, the agency said.

Two Possible Land Cable Routes

The permit applies to surveys for the areas at sea where the offshore wind farm itself is to be located. The permit also applies to studies of two possible routes to the cable that carries the power from the offshore wind farm to the Danish grid.

The two possible landing routes that are being considered are a route from the offshore wind farm past Rrvig and Hundested at the mouth of Isefjord and down through Isefjord to the landing point at Kyndbyvrket; and a route from the offshore wind farm to the landing point at Gilbjerg Hoved west of Gilleleje Harbor.

The wind farm will in both cases be connected to the transformer station in Hove.

In parallel with the authority consultation of the feasibility study permit, the Danish Energy Agency and Energinet will analyze which of the two landing points is the best solution overall. This means that the Danish Energy Agency will probably issue the final permit with only the selected landing route. Energinet can then begin the preliminary investigations.

Environmental Impact Assessment

Later in the year, Energinet will initiate an environmental impact assessment (EIA) of the cable corridor and technical facilities on land, as well as prepare the overall strategic environmental assessment of the project. The hearings on these assessments are scheduled to take place in mid-2022.

Go here to see the original:

Danes Seek Permits to Start Hessel Investigations - Offshore WIND

New Delhi: Debt-ridden IL&FS has proposed to initiate bankruptcy proceedings for two of its offshore firms - ITNL Infrastructure Developers LLC (IIDL) and ITNL International DMCC (IIDMCC) - in the courts of the UAE. IL&FS had request the Mumbai-bench of the National Company Law Tribunal (NCLT) to take on record its proposal to initiate the bankruptcy proceedings before the Dubai Courts under UAE Federal Decree.

The tribunal consented with the decision of the newly constituted board of the IL&FS and observed that the initiation of bankruptcy proceedings was the best option for the two firms.

"After hearing both the sides and on perusal of records, this bench is of the view that the initiation of bankruptcy proceedings is the best option in the given scenario. The same is recorded as prayed for. In the circumstances, the proposal of the applicant for initiation of insolvency proceedings of IIDL and IIDMCC is taken on record," the NCLT said.

The tribunal also observed that the Regional Director (WR), MCA, Mumbai representing the government has also no objection.

"There is no objection from the Petitioner (MCA) for the proposal of the Applicant," it said.

Justice D K Jain, who is supervising the assets, has already accorded his approval for initiation of bankruptcy proceedings for both - IIDMCC and IIDL - in May this year.

The IL&FS board decides on the resolution of the offshore entities under the supervision of Justice D K Jain, appointed by the NCLAT to conduct the asset resolution of the company.

It has to inform the NCLT only about the actions taken for the resolution of offshore IL&FS Group Entities which places it in on the record, unlike the domestic entities, whose sale has to be approved by the tribunal.

IIDMCC is a wholly-owned subsidiary of ITNL International Pte Limited (IIPL), which is a step-down firm of IL&FS Transportation Networks Ltd (ITNL). IL&FS holds around 73 per cent in ITNL.

IIPL holds 49 per cent shareholding in IIDL and the balance 51 per cent is held by one MAK Holdings LLC. IIDL was incorporated for implementing Transport Infrastructure Projects in UAE on public private partnership (PPP), including a car park project.

IIDMCC was incorporated for providing support services to ITNL offices globally and for implementing transport infrastructure PPP projects in the Middle East/Africa.

IL&FS had earlier recommended divestment of IIPL's stake in IIDL, however, the said proposal could not be carried out successfully and the negotiations with the investors failed.

Moreover, on account of default on the part of IIDL to discharge its financial obligations, the Dubai Courts had on October 7, 2019, issued the default notice to IIDL.

The outstanding liabilities of IIDL as on December 31, 2019, stands 59.60 lakh AED (United Arab Emirates Dirham), which mostly comprise of unpaid salaries of employees, service benefits and vendors payments.

The liability of IIDMCC is 30.08 lakh AED and has virtually no assets.

Go here to read the rest:

Debt-ridden IL&FS to file bankruptcy for its offshore firms IIDL, IIDMCC in UAE - Economic Times

8/31/2020

Ocean Installer turbine installation vessel

Ocean Installer and Vard are entering into a partnership to develop one of the world's most advanced turbine installation vessels for offshore wind.

We will jointly be developing one of the world's most advanced vessels for installation of future offshore wind turbines, which are too large for the existing turbine installation fleet, says Erik Haakonsholm, General Manager of Vard Group Offshore & Specialized Vessels. By being able to install wind turbine components above 1,000 tons more than 150 meters above sea level, this ship is expected to be highly attractive for construction of big international wind farms in the coming years.

International wind farm developers are due to develop many large offshore wind projects in Europe and Asia, as well as on the American east coast. The wind turbine installation market is expected to grow significantly in the coming years, and vessel capacity will be insufficient. This all-Norwegian collaboration between subsea contractor Ocean Installer and the Vard shipyards builds on experience, quality standards and efficiency developed over years of work on the Norwegian Continental Shelf, states Odd Strmsnes, CEO of Ocean Installer.

The new vessel will be able to install future giant wind turbines offshore. Vard has extensive experience in design and construction of complex offshore construction vessels and advanced special purpose ships. The current project portfolio includes the REV Ocean research and expedition vessel as well as other highly specialized and autonomous zero-emission vessels.

On the basis of Norwegian advanced ship design and construction capabilities, as well as experience from complex subsea projects, were now ready to take a piece of the growing global market for installation of offshore wind turbines, the two explains. Energy companies in Norway are winning large international tenders for offshore wind farm construction, so it is natural for us to get into the game.

Strmsnes reports that Ocean Installer is already prequalified for certain large offshore wind projects and is participating in tenders in the USA and Europe for both Norwegian and international energy companies.

Such change of direction is very important for traditional Norwegian oil and gas supply chain, which long term will have to replace its existing business with something else, he says. We currently have

high expertise and solid revenues from oil and gas, and these resources are now dedicated to establish

us as a leading player within the offshore wind space.

To lead this initiative, Ocean Installer has recruited several key people from the sector. These include

Even Larsen, former CEO of Fred Olsen Ocean, and Olav Hetland, former Senior Vice President for

offshore wind power at Statkraft.

Read more from the original source:

Ocean Installer and Vard team up to develop offshore wind installation vessels - WorldOil

Myles Mantle and Shu Shu Wong, Haynes and Boone

In early August, the Oil and Gas Authority (OGA) published its final report on the Energy Integration Project in collaboration with Ofgem, the Crown Estate and the Department for Business, Energy and Industrial Strategy (BEIS). The report highlights that the integration of offshore energy systems, including oil and gas, renewables, hydrogen (both blue and green) and carbon capture and storage (CCS), has the potential to contribute to approximately 30% of the UKs total carbon reduction requirements that is needed to meet the 2050 net zero target.

Significantly, the report also reveals that additional offshore renewable power generation in the form of wind, wave and tidal energy could contribute a further 30% towards the UKs net zero target. What this means is that activities in the UK Continental Shelf (UKCS) could support in total around 60% of the UKs decarbonization requirements.

The key findings of the report include:

* Current energy integration projects there are currently already over 30 energy integration projects in progress across the UKCS, such as HyNet (blue hydrogen and CCS repurposing oil and gas infrastructure) and DolpHyn (integrating floating wind power and green hydrogen).

* Platform electrification oil and gas platform electrification will play a crucial role in cutting sector production emissions in the short-term and is critical to the industrys social license to operate. Electrification can reduce operational emissions by 2-3MtCO2 p.a. by 2030 which is equivalent to reducing 20% of todays production emissions, increasing to 40% by 2030.

* Expansion of offshore renewables oil and gas capabilities, infrastructure and supply chain are crucial to energy integration, and can potentially support further offshore renewables expansion, including floating wind power.

* Acceleration of CCS re-using oil and gas reservoirs and infrastructure can accelerate CCS, connecting to onshore net zero hubs and saving 20-30% Capex on certain projects. It is worth noting that to reach the CCS scale in support of net zero, the UK needs to develop around 20 individual CO2 stores for a total capacity of over 3GtCO2 by 2050 (with large CCS projects featuring multiple stores).

* Potential of blue hydrogen blue hydrogen, which is produced by steam reforming natural gas into hydrogen with carbon dioxide as a by-product, has the potential to decarbonize around 30% of the UK natural gas supply by 2050. The development of blue hydrogen therefore has the potential of accelerating CCS ramp-up by supporting more scalable business cases. In addition, a faster growth timeline could support more opportunities to reuse oil and gas assets, such as terminals, pipelines and natural gas resources.

* Potential of green hydrogen green hydrogen, which is produced by the electrolysis of water into hydrogen with oxygen as a by-product, can support and enable the significant expansion of offshore renewables in the 2030s and beyond, primarily by addressing energy intermittency through the power to gas idea (production of hydrogen through electrolysis powered by renewables when capacity allows it), thereby providing an efficient storage solution, as well as ultimately an energy transportation solution (potentially through use of chemical media, such as methanol or ammonia). The report identifies that costs of electrolysis technology needs to come down in order to facilitate wider uptake.

Achieving net zero

The report sets out a clear path towards achieving net zero in the UK and demonstrates that activities in the UKCS, including offshore energy integration and the development of offshore renewable power generation, have the potential to deliver significant and long-lasting carbon reductions.

In particular, the sharing of existing skills, expertise and infrastructure from the oil and gas industry and its supply chain will be vital in the development of the renewables energy sector and in unlocking opportunities for the integration of the offshore energy system. The oil and gas sector therefore has an important role to play in supporting the UKs transition to a future with net zero greenhouse emissions.

Next steps and looking ahead

The expansion of offshore wind, the growth of hydrogen as an alternative fuel and the development of CCS infrastructure no doubt offer opportunities to diversify and expand the UKs supply chain, and to create new jobs and new export opportunities and ultimately making a crucial contribution to the UKs 2050 net zero targets.

However, the report identifies a number of key actions and areas that must be addressed in the coming months and years in order to maximize the potential of activities in the UKCS:

* Support energy integration pioneering projects there are currently around 60 projects (including international projects) in the pipeline of energy integration activities in the North Sea and it will be important to (a) help identify key economic hurdles and define approaches to improve project viability, (b) raise cross-industry awareness and promote awareness to realize synergies, (c) have timely communication with key regulators regarding potential barriers and enablers, and (d) ensure that learnings from individual projects are widely leveraged across industry and government.

* Enhance regulatory processes and coordination there are at present regulatory regimes in place covering the different sectors operating in the UKCS and energy integration projects would require close cross-regulatory co-ordination to understand and manage requirements and timeline dependencies optimally. For instance, further clarity is required on aspects such as seabed leasing over oil and gas acreage and consenting of shared cables and transformers; and for hydrogen projects, there is currently no guidance on requirements over local planning. The report recommends aligning planning and consenting regimes to support cross-industry opportunities (e.g. oil and gas, carbon capture storage and blue and then ultimately green hydrogen).

* Promote greater data availability and ease of access data consolidation in putting together the report helped to identify cross-industry opportunities and optimal build-up scenarios. Going forward, better information access, data quality and the enhancement of data sets will be critical to support government and industry decision-making. Greater industry data sharing would also support planning and operational efficiencies.

The close coordination and integration of the technologies in oil and gas, renewables, hydrogen and CCS is valuable not only in terms of energy production and cutting greenhouse gases, but also in terms of improving the economics of these technologies. Provided that the challenges and hurdles identified in the report are addressed, the impact of offshore energy integration and offshore renewable power generation in the UKCS on the UKs targets to achieve net zero by 2050 is significant and far-reaching.

Read more:

Online excusive: Offshore energy integration could deliver 30% of the UK's 2050 net-zero target - Offshore Oil and Gas Magazine

Siemens Gamesa has partnered with Acteon to jointly provide a fully integrated turbine operations and maintenance package for the Coastal Virginia Offshore Wind (CVOW) pilot project.

Under the agreement, the two companies will work together to fully optimize the wind turbine service and Balance of Plant O&M work scopes to provide integrated asset management services at the 12 MW project.

Siemens Gamesa will provide all above waterline asset integrity inspection and Acteon Group companies TerraSond, Seatronics, Deepwater, and Clarus, will inspect the subsea components, including general visual, marine growth and anode inspection.

The low-logistics inspection class remotely operated vehicle Seatronics VALOR will be used to provide an overview of the structural integrity of the asset.

We are utilizing our advanced experiences across our global offshore presence to be the first OEM to package these capabilities for the U.S. offshore market, said Michael Hughes, Head of Americas Offshore Operations, Siemens Gamesa Renewable Energy.

By delivering the full O&M package, we provide numerous benefits such as a streamlined and optimized maintenance plan during the most ideal weather periods, full utilization of the projects existing O&M workforce and more efficiently share the projects logistical assets across these work scopes. Ultimately driving down the cost of offshore wind energy.

The CVOW demo project comprises two Siemens Gamesa SWT-6.0-154 units located 27 miles off Virginia Beach, representing the first wind turbinesinstalledin U.S. federal waters. First power is expected shortly.

More:

Siemens Gamesa and Acteon Ink CVOW O&M Deal - Offshore WIND

Dominion Energy has selected Huisman to deliver the crane for what will be the first U.S. Jones Act compliant offshore wind installation vessel.

The crane will be able to lift 2,200 tons and will allow the installation of the new generation of offshore wind turbines.

The vessel is expected to enter service by December 2023 and to be based out of the Hampton Roads region of Virginia with a U.S. crew.

A Jones Act compliant offshore wind installation vessel is vital for the continued growth of the U.S. offshore wind industry, said Mark D. Mitchell, Dominion Energys vice president of generation construction.

Huisman is a global leader and brings years of experience to this venture and will further enable the offshore wind industry to bring clean, renewable energy to customers in the U.S.

Dominion Energy announced in May it is leading a consortium to build the Jones Act compliant installation vessel which will service U.S. offshore wind projects.

The company expects the vessel to be used on a pipeline exceeding 5 GW of offshore wind construction through 2027, enabling the investment needed for this first of its kind vessel.

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Crane Ordered for First Jones Act Compliant Offshore Wind Installation Vessel - Offshore WIND

While Wednesday was another blowout as far as fishing is concerned, today should be the beginning of more stable conditions.

This is good news in that by this weekend, we should be in good shape for both inshore and offshore fishing.

For many anglers, the Labor Day weekend is the last time they will venture offshore for the season, as so many events start distracting anglers in September and the autumn months.

Unfortunately, it will be closer to the weekend before any offshore reports are available because of the rough seas that have been dominating the Gulf waters lately.

On the inshore scene, we have two reports. The first is from Hershel Orr of Sea Isle, who caught and released a 41-inch black drum from the surf last Friday.

Orr used a light rod with 8-pound test line on a spinning reel, and it took at least 45 minutes to get the fish to the beach.

Cory Christofferson and Ken Purgason, both of Houston, fished the area adjacent to the Galveston ferry landing Tuesday. They caught and released numerous sand trout biting on just about any color Gulp thrown at them. Live shrimp also were used for bait but, surprisingly, better action took place using the Gulps. Purgason said they fished in the Galveston harbor area due to the windy conditions.

Recent conditions have been too rough for fishing the jetties. However, expect to see boats out around the rocks and other places beginning today.

Link:

Many anglers taking final offshore trip of year this weekend - Galveston County Daily News

Welcon and Century Huaxin Wind Energy (CHWE) have entered into an agreement to cooperate on a turbine tower fabrication facility for offshore wind in Taiwan.

Welcon said it will provide its experience and technological know-how to CHWE who will design, build and operate the facility that will serve the Taiwanese and Asian offshore wind market.

According to the Danish company, the facility will be able to produce large next-generation offshore wind turbine towers, up to 10m in diameter and 60m long.

CHWE already kicked off the construction at a 30ha space at the Taichung Habor. The plan is to have the facility ready for production in early 2022.

At the end of last year, Welcon and HighTek-Century signed a Memorandum of Understanding (MoU) for the construction of a turbine tower factory in Taiwan, which is set to also manufacture Stiesdal Offshore Technologies (SOT) Tetra foundation concept.

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Offshore Wind Turbine Tower Factory Under Construction in Taiwan - Offshore WIND

Meteorologist help offshore operators make time-critical decisions about evacuations, especially ... [+] days out when the storm is still developing. It requires advanced prediction models accounting for weather and maritime data, such as sea heights and wave intensity, and frequent communication.

Due to the vulnerability of offshore operations during hurricane season, most operators in the Gulf of Mexico begin planning months in advance with tabletop exercises and drills. These are necessary to ensure that all members of the organization are aware of protocols and procedures ahead of a significant weather event.Often, a professional meteorologist is asked to develop a mock weather scenario, provide briefings, and answer questions throughout the drill. This ensures a level of realism and allows the participants to become familiar with the products and guidance in a real weather scenario.

But when the offshore companies conducted tabletop exercises for the 2020 season, its most likely they didnt anticipate the double whammy of HurricanesMarcoandLaura. And as more, and deeper, offshore platforms are constructed, the threat to crew and operations becomes greater, making it even more critical for meteorologists to have an active partnership with offshore operators.

Offshore companies are particularly vulnerable to tropical storms for multiple reasons in addition to the location of their assets. First and foremost is the evacuation time required to move crews to safety. Evacuating personnel from an offshore platform starts days in advance, cascading from non-essential personnel to those that shut down production.

It requirescoordinating transport, by boat or helicopter, which comes with its own set of protocol and risks. For example, if a company waits too long to evacuate, it may be unsafe for a helicopter to land, or there may not be enough time for the helicopter to take the entire crew. Typically, it takes days for multiple helicopters to transport crews to safety. The alternative is that the remaining crew will have to weather the storm on the platform unprotected and vulnerable.

Protecting equipment requiresa special shutdown protocolthat also requires days of preparation. And then there is the cost associated with ceasing production. Making the call to cease or continue production is a multi-million dollar decision that offshore operators dont want to get wrong.

TheAmerican Petroleum Institutereports theGulf of Mexico provides 16 percent of the oil and about five percent of the natural gas produced in the United States. In advance of Hurricane Laura making landfall,oil producers shut 84 percent of the Gulf of Mexicos offshore production, similar to the impact of Hurricane Katrina.

So how does a meteorologist help offshore operators make these time-critical decisions, especially days out when the storm is still developing? It requires advanced prediction models accounting for weather and maritime data, such as sea heights and wave intensity, and frequent communication. When a tropical storm develops, meteorologists begin providing daily briefings and T-time reports to the organization. The T-time is the transition time, in hours, it takes to secure a platform and evade a storm and can range from 5 to 120 hours or more.For organizations with multiple sites, offshore and onshore, meteorologists will provide additional site-specific threat reports that show expected arrival time of impact such as winds, rainfall amounts and storm surge.

As we have often seen, as these storms developed -Hurricane Marco lost intensity while Hurricane Laura became strongerconstant communication about evolving weather conditions is key. Meteorologists conducted numerous conference calls and presentations about these two threats days before Laura ever became a hurricane.

In May,tropical storm outlooks indicated an active and early seasonand forecasts continue to show an active season before it winds down in October. So, while meteorologists dont make the call for when an offshore operation should evacuate, they do play a critical role in keeping the crew and operations safe. By providing accurate and reliableinformation, starting well in advance of a developing storm, meteorologists help offshore operators be confident in making criticalgo or no-go evacuation decisions.

Read more:

When Is It Time To Evacuate The Offshore Platform? - Forbes

Islanders have reported on social media seeing a large crane ship off Jerseys south coast. The 40,000-tonne vessel has begun carrying out drilling tests at three sites where the turbines are due to be installed.

According to Ailes Marines, the work is predominantly aimed at seeing whether drilling can be used as a less environmentally damaging alternative to traditional piling methods.

The move forms part of efforts aimed at allaying the concerns of French fishermen and environmentalists who have spoken out against the wind farms installation.

A programme of monitoring will also take place during the testing phase to assess the effect the drilling has on mammals, birds and scallops. Underwater noise levels will be recorded as well, and water-quality testing is due to be carried out. The project has been planned for years and a public inquiry was held in Jersey in 2016 to gather the views and concerns of Islanders.

Ailes Marines expect that the 2.5 billion wind farm will be fully operational by 2023.

Continued here:

Drilling vessel tests offshore sites ahead of wind farm building project - Jersey Evening Post

The Netherlands has announced plans to construct the worlds largest offshore wind farm that will be located in the countrys Dutch North Sea. The wind farm named the Hollandse Kust Zuid 1-4 offshore wind energy project will be constructed by Vattenfall without any subsidy and will have a capacity of 1.5 GW, making it the largest offshore wind farm both in the Netherlands and on the globe. It is expected to begin operations by 2023 with 140 11 MW wind turbines from manufacturer Siemens Gamesa, which will be the first to be installed offshore. Vattenfall will use its new state-of-the-art facilities located in the port of IJmuiden for the new operations and for the maintenance of the farm. The worlds offshore wind farm will be connected to two substations managed by the Dutch company Tennet.

Also Read: 520MW Offshore wind farm to be constructed in Hokkaido.

Vattenfall won the contract for the construction of Hollandse Kust Zuid after winning the two unsubsidized auctions in 2018 and 2019. But they ended up merging the two projects into one, thus simplifying the process of development and investment and making one large project which later will be dubbed as the worlds largest.

Magnus Hall, CEO of Vattenfall, clarified that the commitment to the Hollandse Kust Zuid project is due to the companys commitment to producing electricity free of fossil fuels for both the Netherlands and Europe. And the final decision to proceed with this investment shows that despite the crisis caused by Covid-19, the goal remains to live without fossil fuels in one generation .Hollandse Kust Zuid, in addition to providing affordable, clean energy, will also be a major infrastructure investment that will generate significant savings and jobs in these uncertain economic times brought about by the global pandemic. And due to the excellent cooperation with our national and international partners, we are well prepared to take the next step to carry out this historic project, said Gunnar Groeble, Senior Vice President and Head of the Wind Power Area at Vattenfall.

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Netherlands plans to have the worlds largest offshore wind farm. - Construction Review

Jack-up vessel Seajacks Scylla has installed 25 out of the 100 wind turbine jacket foundations at the 950 MW Moray East wind farm offshore Scotland.

Chartered by DEME Group, Seajacks Scylla installed the 25th jacket foundation at the site some 22 kilometres off the Aberdeenshire coast on 29th August, according to the projects latest Notice of Operations.

The jack-up has since installed the third and final jacket foundation for the wind farms Offshore Transformer Modules (OTMs). Two of the OTM topsides have so far been installed with the third and the final topside expected to arrive at the installation site soon.

Seajacks Scylla is transporting the jacket foundations to the installation site from Global Energy Groups site in Nigg. The vessel installed the wind farms first foundation at the beginning of July.

The jacket foundations will support 100 MHI Vestas 9.5 MW wind turbines scheduled to be fully operational in 2022.

DEME isthe EPCI contractorfor Moray Easts turbine foundations and the three offshore substation foundations, as well as for the transport and installation of the OTMs.

Moray East is being developed by Moray Offshore Windfarm East Ltd (MOWEL), a joint venture company owned by Ocean Winds (56.6%) Diamond Green Limited (33.4%), and CTG (10%).

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Quarter of Moray East Turbine Foundations In - Offshore WIND