Monthly Archives: July 2021

Rackspace Laying Off 10 Percent Of Workforce, With Offshore Plans For Most – CRN

Posted: July 25, 2021 at 3:43 pm

Multi-cloud technology services provider Rackspace Technology this week unveiled restructuring that will result in the laying off of about 10 percent of the companys workforce.

San Antonio, Texas-based Rackspace said it is investing between $65 million and $70 million to re-align resources towards fast-growing product and services offerings, including towards cloud services focused on such initiatives as cloud migration, elastic engineering, cloud-native application development, artificial intelligence, machine learning, and security services.

However, the company said in a Thursday regulatory filing, about 10 percent of its workforce are expected to be laid off, with about 85 percent of those roles slated to be replaced via Rackspaces offshore service centers.

[Related: Rackspace Again A Public Company After Disappointing IPO]

Nearly all the impacted employees were notified Wednesday, and are slated to leave over the next 12 months.

Rackspace estimated the restructuring plan will result in about $70 million to $80 million in expenses over the next 12 to 24 months, primarily in the next 12 months. Those include termination benefits to the affected employees including severance payments, healthcare benefits, and other exit costs, along with other expenses related to one-time offshore build out costs, asset write-offs, professional fees, and expected investments in automation and technology.

Rackspace expects the restructuring plan to generate about $95 million to $100 million in gross annual savings, which is expected to fund the $65 million to $70 million resource alignment.

A Rackspace spokesperson, responding to a CRN request for further information, said via email that the layoffs and investment are part of a strategic initiative related to the expanding multi-cloud market opportunity, an opportunity which has accelerated recently because of the COVID-19 pandemic.

The Rackspace restructuring will fuel the companys multi-cloud restructuring and investment, including investments in new service development efforts, additional delivery capabilities, go-to-market enhancements, and expansion of best-shoring centers of excellence, the spokesperson said.

At the same time, the spokesperson said, Rackspace is continuing to hire new employees to accelerate its business, and has over 700 open roles worldwide to join its global workforce of more than 7,000 employees, also known as Rackers.

The company last year reported $2.7 billion in revenue with a net loss of $245.8 million. In its first quarter this year, which ended March 31, Rackspace Technology reported revenue of $726 million, an increase of 11 percent from the same quarter the year before, and a steeper net loss of $64 million than a year ago in the same period. The firm will announce its second quarter financial results August 11.

In June 2020, the company rebranded from Rackspace to Rackspace Technology.

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This Week at the Ninth: Offshore Occupation | Morrison & Foerster LLP – Left Coast Appeals – JDSupra – JD Supra

Posted: at 3:43 pm

This week, the Ninth Circuit resolves a split among trial courts about the application of California labor laws on drilling platforms on the Outer Continental Shelf.

IAFETA MAUIA V. PETROCHEM INSULATION, INC.

The Court holds that California labor laws requiring meal and rest breaks do not apply on the Outer Continental Shelf under the Outer Continental Shelf Lands Act because federal law already addresses those issues.

Panel: Judges Murguia, Christen, and Lynn (N.D. Tex.), with Judge Christen writing the opinion.

Key Highlight: The fact that federal law does not provide meal- and rest-period protections as robust as Californias does not mean that there is a gap in federal law or that federal law does not address meal and rest periods. The result we reach here is consistent with [the Supreme Courts decision in] Parker Drilling, which made clear that state law plays only a limited role on the OCS.

Background: Iafeta Mauia worked twelve hour shifts as a scaffolding supervisor on oil platforms on the Outer Continental Shelf off the coast of California. His employer, Petrochem, provided one meal period after six hours, and two rest periods per twelve-hour shift. Mauia filed suit, alleging that those practices violated California labor law, which requires 30-minute meal breaks at least every five hours, and 10 minutes of rest for every four hours worked. Petrochem moved to dismiss because, under the Outer Continental Shelf Lands Act, state law only applies on the OCS to the extent that federal law has left a gap. California labor law was thus inapplicable, Petrochem argued, because the federal Fair Labor Standards Act already addressed meal and rest periods. The district court disagreed, reasoning that federal law concerned only when breaks must be compensated as work time, not whether employers must provide them. Recognizing that other trial courts had reached a different result, the district court certified interlocutory appeal.

Result: The Ninth Circuit reversed. The Court first explained that OCSLA adopts state law on the Outer Continental Shelf to the extent it is applicable and not inconsistent with . . . Federal law. Under the Supreme Courts decision in Parker Drilling Mgmt. Servs. v. Newton, 139 S. Ct. 1881 (2019), the question is whether federal law has already addressed the relevant issue; if so, state law addressing the same issue would necessarily be inconsistent with existing federal law and cannot be adopted as surrogate federal law. Next, the Court walked through the FLSAs implementing regulations, concluding that federal law encourages, but does not require, that employers provide rest breaks and requires employers to compensate employees for any rest breaks that are provided. Because those rules expressly contemplate meal and rest periods, address how and when these periods must be compensated as work time, and provide a remedy to employees whose employers fail to comply, the Court held that there is no gap in federal law for state law to fill, and thus the California labor code provisions Mauia invoked did not apply. The fact that federal law does not provide meal- and rest-period protections as robust as Californias does not mean that there is a gap in federal law. And it did not matter that there was no direct federal counterparts to the California rules because the relevant inquiry is whether federal law addresses the relevant issue, not whether federal law addresses it in the same way.

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This Week at the Ninth: Offshore Occupation | Morrison & Foerster LLP - Left Coast Appeals - JDSupra - JD Supra

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The Worldwide Offshore Decommissioning Industry is Expected to Reach $8 Billion by 2027 at a CAGR of 7.4% from 2021 – PRNewswire

Posted: at 3:43 pm

DUBLIN, July 22, 2021 /PRNewswire/ -- The "Global Offshore Decommissioning Market by Service (Well Plugging & Abandonment, Platform Removal, Conductor Removal) Depth (Shallow, Deepwater) Structure (Topsides, Substructure) Removal (Leave in Place, Partial, Complete), and Region - Forecast to 2027" report has been added to ResearchAndMarkets.com's offering.

The global offshore decommissioning market is projected to reach USD 8 billion by 2027 from an estimated USD 5.2 billion in 2021, at a CAGR of 7.4% during the forecast period.

The factors driving the market include maturing oil & gas fields, low crude oil prices, and aging offshore infrastructure. Offshore decommissioning refers to ending oil & gas operations on offshore platforms and restoring marine life and seafloor to its pre-production conditions.

Well plugging & abandonment segment dominates the global market

The well plugging & abandonment segment is expected to be the largest market, by service type during the forecast period. This growth is evident owing to key activity to be performed regardless of decommissioning type; it ensures that oil wells do not have any type of leakage after the cessation of production. According to norms and regulations, wells that are matured and no longer productive need to be properly plugged & abandoned. It is essential to plug the wells before platform removal to prevent any kind of leakages, which can pollute the seafloor and damage the surrounding marine environment.

Complete removal dominate the global offshore decommissioning market

The complete removal segment of offshore decommissioning is estimated to be the largest market during the forecast period. Complete removal involves restoring the oilfield site to its natural or pre-commissioning state. It is an expensive decommissioning option for both operating companies and taxpayers. In the North Sea, a complete removal is currently required by the Convention for the Protection of the Marine Environment of the North-East Atlantic, or the 'OSPAR' agreement.

Europe to lead the global offshore decommissioning market in terms of growth rate

Europe is the largest market, by value, for offshore decommissioning, followed by North America. Owing to mature oil and gas fields, particularly in the UK and the North Sea. The impending cessation of production in major oil and gas fields would ensure that the European market would grow at the highest pace. Europe is estimated to witness the highest offshore decommissioning spending, with its well-developed regulatory framework compared to other regions.

Key Topics Covered:

1 Introduction

2 Research Methodology

3 Executive Summary

4 Premium Insights4.1 Attractive Opportunities in Offshore Decommissioning Market4.2 Offshore Decommissioning Market, by Region4.3 Offshore Decommissioning Market, by Service4.4 Offshore Decommissioning Market, by Structure4.5 Offshore Decommissioning Market, by Depth4.6 Offshore Decommissioning Market, by Removal4.7 Offshore Decommissioning Market in Europe, by Structure & Country

5 Market Overview5.1 Introduction5.2 COVID-19 Health Assessment5.3 Road to Recovery5.4 COVID-19 Economic Assessment5.5 Market Dynamics5.5.1 Drivers5.5.1.1 Growing Number of Abandoned Wells and Presence of Large Mature Offshore Oilfields Worldwide5.5.1.2 Fluctuations in Oil Prices Boost Offshore Decommissioning Activities5.5.2 Restraints5.5.2.1 High Cost Associated with Offshore Decommissioning Processes5.5.2.2 Lack of Skilled Workers in Developing Countries5.5.2.3 Environmental Concerns Associated with Offshore Decommissioning5.5.3 Opportunities5.5.3.1 Aging Offshore Infrastructures, Especially in North Sea and Gulf of Mexico5.5.3.2 Deepwater Discovery and Development in Offshore Areas5.5.4 Challenges5.5.4.1 Growing Adoption of Technologies to Increase Production from Mature Fields5.5.4.2 Impact of COVID-19 on Offshore Decommissioning Spending5.6 Trends/Disruptions Impacting Customers' Businesses5.6.1 Revenue Shift and New Revenue Pockets in Offshore Decommissioning Market5.7 Supply Chain Overview5.7.1 Key Influencers5.7.1.1 EPC Companies5.7.1.2 Service Providers5.7.1.3 Operators5.8 Market Map5.9 Technology Analysis5.10 Patent Analysis5.11 Offshore Decommissioning Market: Regulations5.12 Porter's Five Forces Analysis5.13 Case Study Analysis

6 Offshore Decommissioning Market, by Service Type6.1 Introduction6.2 Project Management, Engineering, and Planning6.2.1 Project Management, Engineering, and Planning Phase of Decommissioning Can Start as Early as 2-3 Years Prior to Cessation of Production6.3 Permitting & Regulatory Compliance6.3.1 Middle East & Africa is Among Fastest Markets in Following Regulatory Compliance6.4 Platform Preparation6.4.1 Platform Preparation Helps in Reducing Offshore Decommissioning Costs and Time6.5 Well Plugging & Abandonment6.5.1 Increasing Investments in Well Plugging & Abandonment are Driving Market6.6 Conductor Removal6.6.1 Growing Emphasis on Safety is Expected to Drive Market for Conductor Removal Segment During Forecast Period6.7 Mobilization & Demobilization of Derrick Barges6.7.1 Rising Need for Economical and Safe Transportation of Structures to Onshore Locations is Expected to Drive Market During Forecast Period 916.8 Platform Removal6.8.1 North Sea and Gulf of Mexico are Home to Maximum Number of Platforms, Which are Ideal and Not Producing Any Type of Hydrocarbons and Eligible for Decommissioning6.9 Pipeline & Power Cable Decommissioning6.9.1 Ageing Offshore Infrastructures are Estimated to Drive Market for this Segment During Forecast Period6.10 Material Disposal6.10.1 Rising Need for Safe Disposal and Recycling of Structure is Expected to Propel Market Growth During Forecast Period6.11 Site Clearance6.11.1 Availability of Regulatory Framework Guides Operating Companies to Conduct Their Site Clearance in Environmentally Safe Manner

7 Offshore Decommissioning Market, by Structure7.1 Introduction7.2 Topsides7.2.1 Growing Number of Projects & Investments for Topside Removal is Expected to Drive Market During Forecast Period7.3 Substructure7.3.1 Increasing Substructure Decommissioning Activities in North Sea are Driving Market During Forecast Period7.4 Subsea Infrastructure7.4.1 Aging Subsea Equipment and Infrastructure are Expected to Boost Market Growth

8 Offshore Decommissioning Market, by Depth8.1 Introduction8.2 Shallow Water8.2.1 Shallow Water Projects are 30-40 Years Old and Hence Need to be Decommissioned8.3 Deepwater8.3.1 Increasing Need to Decommission Abandoned Wells in Deepwater Areas is Driving Market

9 Offshore Decommissioning Market, by Removal9.1 Introduction9.2 Complete Removal9.2.1 Safety Concerns Regarding Marine Life are Expected to Drive Market for Complete Removal Segment During Forecast Period9.3 Partial Removal9.3.1 Government Policies in US Gulf of Mexico are Driving Market for this Segment9.4 Leave in Place9.4.1 Leave in Place Removal Requires No Site Clearance and Provides Migratory Animal Habitat, Which is Estimated to Boost Market Growth for this Segment

10 Offshore Decommissioning Market, by Region

11 Competitive Landscape

12 Company Profiles12.1 Key Companies12.1.1 Halliburton12.1.2 Petrofac12.1.3 Oceaneering International12.1.4 Royal Boskalis Westminster N.V.12.1.5 Aker Solutions12.1.6 Schlumberger12.1.7 Baker Hughes Company12.1.8 TechnipFMC12.1.9 Subsea 712.1.10 Weatherford12.1.11 Saipem12.1.12 John Wood Group plc12.1.13 AF Gruppen12.1.14 Heerema Marine Contractors12.1.15 Allseas Group12.2 Other Companies12.2.1 Deepocean Group12.2.2 Acteon Group12.2.3 Maersk Decom12.2.4 Able UK12.2.5 Mactech Offshore

13 Appendix

For more information about this report visit https://www.researchandmarkets.com/r/fhdhid

Media Contact:

Research and Markets Laura Wood, Senior Manager [emailprotected]

For E.S.T Office Hours Call +1-917-300-0470 For U.S./CAN Toll Free Call +1-800-526-8630 For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1904 Fax (outside U.S.): +353-1-481-1716

SOURCE Research and Markets

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The Worldwide Offshore Decommissioning Industry is Expected to Reach $8 Billion by 2027 at a CAGR of 7.4% from 2021 - PRNewswire

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BP forges offshore partnership with Quaybridge – reNEWS

Posted: at 3:43 pm

BP has signed an exclusive agreement with UK renewables consultancy Quaybridge to advance its global offshore wind portfolio.

As part of the agreement, members of the Quaybridge team will work closely with BPs renewables growth business development team.

Quaybridges services for BP will be global in nature.

Quaybridge worked with the BP and EnBW teams and successfully won preferred bidder status for the Mona and Morgan Irish Sea leases in the recent UK Round 4 leasing round.

The BP/EnBW consortium and Quaybridge are participating independently in the ongoing ScotWind leasing round, which will not be in the scope of the consultancy agreement between BP and Quaybridge.

BP renewables senior vice president David Anderson said: Investing in the right skills is critical to success.

Quaybridge is trusted and respected in the offshore wind industry for their deep technical expertise and their entrepreneurial and agile spirit.

We believe this partnership will give us a cutting edge in a hugely competitive industry as we look to accelerate our global portfolio and deliver our ambition to be a leader in offshore wind energy.

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BP forges offshore partnership with Quaybridge - reNEWS

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bp partners with Quaybridge to accelerate offshore wind growth – Energy Live News – Energy Made Easy

Posted: at 3:43 pm

Energy giant bp has formed an exclusive consultancy agreement with UK-based Quaybridge to accelerate its growth in the offshore wind sector.

It will work with the renewables consultancy to advance its global offshore wind portfolio as part of its zero carbon growth strategy.

Quaybridge formed by renewables consultancy Everoze in 2018 previously worked with bp and EnBW and successfully got the preferred bidder status for the Mona and Morgan Irish Sea leases in the recent UK Round 4 leasing round.

David Anderson, bps Senior Vice President for renewables growth said: Investing in the right skills is critical to success. Quaybridge is trusted and respected in the offshore wind industry for their deep technical expertise and their entrepreneurial and agile spirit.

We believe this partnership will give us a cutting edge in a hugely competitive industry as we look to accelerate our global portfolio and deliver our ambition to be a leader in offshore wind energy.

bp has set a target to develop around 50GW of net renewable generating capacity by 2030 up from 3.3GW in 2020, with its strategy including plans to increase annual low carbon investment by 10-fold to around $5 billion (3.6bn) a year and also reducing oil and gas production by around 40% from 2019 to 2030.

If you enjoyed this story you can sign up to our weekly email forEnergy Live News and if youre interested in hearing more about the journey to net zero by 2050, you can also sign up to thefuture Net Zeronewsletter.

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Ocean-REFuel project to explore offshore wind and marine renewable energy for hydrogen and ammonia production – H2 View

Posted: at 3:42 pm

The University of Strathclyde has revealed a new 10m ($13.74m) project today (July 23) aiming to unlock the potential of harnessing offshore wind and marine renewable energy to produce zero carbon hydrogen and ammonia fuels.

The University will lead the multi-disciplinary Ocean-REFuel: Ocean Renewable Energy Fuels project which will explore ways of converting ocean energy into fuels for use in heating, energy storage and difficult to decarbonise transport applications.

Read more: The Scottish Cluster could have a hydrogen production capacity of 3.7GW by the mid 2030s, says report

Read more: Cromarty Firth ideally located for the UKs largest green hydrogen electrolyser, study says

The project consortium includes world-leading research teams from the Universities of Nottingham, Cardiff, Newcastle and Imperial College London.

The project is being funded by the Engineering and Physical Sciences Research Council, industry, and the partner universities, who have also pledged a total of nine linked PhD studentships.

The Ocean-REFuel project will directly address challenges associated with energy storage, renewable heat and the decarbonisation of transport such as road, marine and aviation.

Renewable energy technologies such as wind are impacted by intermittency and production issues and this project will explore storage solutions, such as hydrogen and ammonia, that can help manage the issue of intermittent supply.

The five-year collaboration, which involves 28 industrial partners, including BP, Scottish Power, National Grid, ENI along with the UK Health & Safety Executive, will also produce a blueprint for the first integrated Ocean Renewable Fuel production facility.

Anne-Marie Trevelyan, the UK Minister for Energy, Clean Growth and Climate Change, said, The waters around the UK offer abundant prospects for clean energy. Ensuring that we can tap the full potential of our natural resources will be vital in meeting our bold climate change commitments.

As shown through our world-leading offshore wind sector, we are not only capitalising on the clean energy potential around our coastline but also the opportunities for investment, jobs creation and regional growth.

Projects like Ocean-REFuel are helping us fulfil that potential as we build back greener.

David Duguid, UK Government Minister for Scotland, said, As Glasgow prepares to host COP26 later this year, the eyes of the world will be on the UK to show leadership, creativity and innovation in the global effort to tackle climate change.

This fantastic project, led by the University of Strathclyde, will investigate the potential our natural resources hold to generate clean energy and help achieve our net zero ambitions.

Did you know H2 View is the only media publication to be recognised as an official partner of the Hydrogen Council?

This means we get exclusive columns, interviews and studies that you wont find anywhere else. Along with our featured webinars and events, H2 View is the go to global platform for the hydrogen industry.

Become asubscriber todayto make sure you dont miss out. Already a subscriber? Log inhere.

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15 ScotWind Areas Attract 74 Offshore Wind Applications – Offshore WIND

Posted: at 3:42 pm

Crown Estate Scotland has received 74 applications from offshore wind developers looking to secure rights to build projects across the 15 areas of seabed available for development through the Scottish Governments Sectoral Marine Plan for Offshore Wind Energy.

The Scottish seabed manager confirmed this on 21 July, together with the timeline for next steps, including a target of making initial offers for the first option agreements to successful applicants in January 2022, with those agreements then finalised after that.

Developers will then move forward with their detailed plans and start work on various types of activities that can progress their projects. Crown Estate Scotland grants full seabed leases only once developers have all the necessary consents and planning permissions from the Scottish Government and other bodies.

Crown Estate Scotland has now begun assessing each application against the criteria laid out to applicants.

The high number of applications from developers shows just how much potential Scotlands seas hold for the future expansion of offshore wind. There is now a huge amount of work to do in assessing every application thoroughly and fairly so that the strongest projects go through to the next stage in helping to power Scotlands energy sector towards a net zero future, said Colin Palmer, Director of Marine for Crown Estate Scotland.

Option fees will then be paid by successful applicants to Crown Estate Scotland in exchange for securing the rights to areas of seabed. The maximum amount payable will be GBP 100,000 per km2 of seabed.

Revenue profit from the leasing will be returned to the Scottish Government for public spending to drive the green recovery and other Scottish Government priorities.

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DNV to Study Safety and Risks of Offshore Green Hydrogen Production – The Maritime Executive

Posted: at 3:42 pm

SEM-REV offshore test site (Centrale Nantes)

PublishedJul 19, 2021 3:15 PM by The Maritime Executive

The concept of green hydrogen production linked to offshore wind farms is going to take a major step forward as DNV launches an effort to identify and analyze the main environmental, safety, and operational risks associated with one of the worlds first offshore green hydrogen production projects. In its role as an independent energy expert and assurance provider, DNV will lead the independent research into the safety and operational risks for the proposed facility at the SEM-REV offshore test site located off the north-western coast of France.

The test site, which is located approximately 12 nautical miles off the coast of France near Saint-Nazaire, was first designed in 2011 with a prototype floating wind turbine first installed in 2018 followed by a wave energy converter prototype in 2019. Lhyfe, a producer and supplier of green and renewable hydrogen for transport and industry, and Centrale Nantes, a French School of engineering and research center, manage the SEM-REV offshore test site.

Expanding beyond the testing of power generation from floating offshore wind and wave energy, Lhyfe and Centrale Nantes announced the goal to make offshore renewable hydrogen a reality by demonstrating the reliability of an offshore electrolyze. The offshore electrolyze will be installed on a floating platform from GEPS Techno, an engineering company developing offshore renewable energy technology, and then be connected to the various sources of marine renewable energy available on the offshore test site, including the Floatgen floating wind turbine. The green hydrogen-generating system is intended to be powered by electricity from a floating wind turbine, with a target start-up date in 2022.

This is potentially a watershed project, one we are excited to be supporting during the FEED stage, says Santiago Blanco, Executive Vice-President and Regional Director Southern Europe, MEA and LATAM, Energy Systems at DNV. Proving the safety of such activities, particularly with new technologies, to gain acceptance and move them closer to adoption, is vital for the industry and stakeholders. We believe green hydrogen at-scale is the ultimate destination for the future of energy storage.

As part of the design of the new facility, DNVs will undertake workshops and technical sessions to identify and analyze the main environmental, safety, and operational risks associated with the project. Risks that will be investigated by DNV include the floating barge, fuel cells, and hydrogen production. A regulations and standards review will also be included as part of the study. Centrale Nantes is also making its research facilities available and providing support for the various regulatory, experimental, and logistical phases.

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First Annual Youth Offshore Tournament; updated Brown Trout Scoreboard WBKB 11 – WBKB-TV

Posted: at 3:42 pm

ALPENA, Mich. The fifth day of fishing at the Michigan Brown Trout Festival saw a first for the tournament in its 47 years of running.

At 6 a.m. on Wednesday, boats went out for the First Annual Youth Offshore Tournament, sponsored by Clark Construction Company. There were four teams that weighed fish, with winners in the categories of biggest fish and total weight caught.

Team Wirgau dominated the tournament, with Henry Wirgau catching the biggest fish in a 9.45-pound Lake Trout. The Wirgau boat, which was Henry and his brother Gus, also won the team competition, catching 26.35 lbs. of fish. Team For Reels came in second, and Kylie Gagnon, Remington Gagnon, Dillan Gagnon, and Landed Gagnon made up that team. They caught a total of 23.15 lbs. of fish.

As for the Brown Trout Tournament, the updated leaderboard is as follows:

Brown Trout

Lake Trout

Salmon

Steelhead

Walleye

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First Annual Youth Offshore Tournament; updated Brown Trout Scoreboard WBKB 11 - WBKB-TV

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UK to bolster its Indo-Pacific presence with offshore patrol vessels, littoral response group – Stars and Stripes

Posted: at 3:42 pm

The Royal Navy aircraft carrier HMS Queen Elizabeth leads the guided-missile destroyer USS Halsey in the Gulf of Aden, July 12, 2021. (Gray Gibson/U.S. Navy)

The Royal Navy plans to bolster its Pacific presence with a visit to Japan by the U.K. Carrier Strike Group and by permanently assigning two offshore patrol vessels in the region later this year.

U.K. Secretary of State for Defence Secretary Ben Wallace met with a variety of U.S. and Japanese officials this week, including Adm. John Aquilino, head of U.S. Indo-Pacific Command, and Japanese Prime Minister Yoshihide Suga, according to a press release Monday from the U.K. Ministry of Defence.

As we witness a tilt in power towards the Indo-Pacific region, we are committed to working with our partners here to defend democratic values, tackle shared threats and keep our nations safe, Wallace said in the release.

The British Embassy in Tokyo announced on Tuesday that elements of the U.K. strike group would be visiting ports in Sasebo, Okinawa, Kure, Yokosuka and Maizuru.

Following exercises with the Japan Maritime Self-Defense Force in the Gulf of Aden and in the waters off Japan, the upcoming visit of the U.K.-led Carrier Strike Group to five ports across the country is a clear demonstration of our commitment to maintaining regional security and upholding the rules-based international order with Japan, Wallace said in the Tuesday release.

The U.S. 7th Fleet commander, Vice. Adm. Karl Thomas, greets the United Kingdoms Secretary of State for Defence Ben Wallace and Ambassador to Japan Julia Longbottom at Yokosuka Naval Base, Japan, Wednesday, July 21, 2021. (Shannon Burns/U.S. Navy)

The British Embassy also announced that the U.K. plans to permanently station two offshore patrol vessels in the Indo-Pacific region later this year, and eventually contribute a littoral response group in the coming years, according to the press release.

A Royal Navy spokesperson could not be reached for comment Wednesday.

The UKs defense relationship with Japan is the closest it has been in the last century, Wallace said in the press release.

The Ministry of Defence said Monday the U.K. strike group, led by the aircraft carrier HMS Queen Elizabeth, will take part in exercises in the Philippine Sea in August alongside the U.S., Australia, France, Japan New Zealand and South Korea.

The Queen Elizabeth would operate in conjunction with a U.S. Carrier Strike Group, although the Defence Ministry did not identify which U.S. carrier group would participate.

A spokeswoman for the U.S. Navys 7th Fleet, Cmdr. Hayley Sims, referred questions regarding the Queen Elizabeth and the exercises to U.S. Indo-Pacific Command, which was not immediately available for comment Wednesday.

The ministry said training would include anti-submarine exercises and aircraft exercises that would, when combined with a U.S. carrier strike group, represent the largest concentration of F-35 jets anywhere in the world.

The news comes a little over a week after the Queen Elizabeth, which is on its maiden deployment, conducted a large-scale exercise in the Gulf of Aden on July 12 with the USS Ronald Reagan strike group, the Dutch frigate HNLMS Eversten and the amphibious assault group lead by USS Iwo Jima.

The BBC reported 100 cases of COVID-19 aboard ships of the U.K. Carrier Strike Group on July 14, including on the Queen Elizabeth.

Wallace at the time said crew aboard four ships were infected, the Japanese defense ministry spokesman said July 16.

All crew members have been vaccinated and those infected are getting tested every day, the spokesman said, citing Wallaces statement. The infected crew members were isolated, and the ships were to remain at sea for about two weeks, the spokesman said.

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