Bridging the gap between

R&D and field use

Pilot projects to qualify

new technology

DECEMBER 2002

R&D results for

TOMORROW
 Demo 2000

Ministry of
Petroleum and Energy
CONTENT
Editorial 3

Targets deepwater 4
Aker Kvrner, FMC,ABB, Executive Steering Group and gas technology
Read, Baker Hughes Contractors/suppliers

Hydro, Statoil, Shell, Oil companies The world's most 7

BP,TotalFinaElf, Research institutions
profitable maintenance
ChevronTexaco Observers (MPE, NPD, NRC)

Sintef, RF, IFE, CMR

Mooring in deep water: 11
Difficult, but not impossible

Technical Management Flexible pipelines open 12

Norwegian Committee new markets for LNG
Research Council BP, Hydro, Shell, Statoil,
TotalFinaElf, ChevronTexaco A (com)pressing investment 15

One seabed above the other 16

Heating cables for

Demo Projects formidable undertakings 18

The future lies in

Subsurface and Reservoir remote co-operation 21

e-field a reality just a 24

Drilling and Well Technology few years down the line

Smart valve with huge 26

Seabed and Downhole Processing market potential

Fibre optics revolutionize 29

Deep Water Technology deepwater seismic

Compact Electrostatic Coalescer: 32

Gas Utilization Smaller, smarter, simpler, faster

Demo 2000 Projects 34

System Integration

Produced for Demo 2000 by Faktotum Informasjon AS

Translation: Linda Sivesind
Printing: Grset Grafisk
ISBN: 82-12-01756-7
CopyrightDEMO 2000, December 2002

2 Demo 2000
 Editorial

Program director Morten

Wiencke (left) and
chairman of the program
board, Rune Strmquist of
ABB.

Demo
2000 -
Qualifying New
Products by Field Trial
T he upstream oil and gas business faces increas-
ing challenges - deeper water, higher recovery,
environmental concerns. Innovation and implemen-
the public funding has reached 220 mill. NOK, with
a leverage of almost 1:4 so the total budget for the
project portfolio is about 800 mill. NOK. The
tation of technology are a key competitive factor for program has proven itself to offer a good network of
operators as well as the service industry. But new co-operation with similar industry initiatives interna-
products and systems are not accepted at face value tionally.
in the market. Customer confidence and trust in
performance and reliability have to be earned, very
often through field trials. A lthough R&D require long perspectives, results
are emerging and we are pleased to present
some highlights as of 3. quarter 2002 from typical

T he Norwegian petroleum industry is today a

technology leader in several areas, brought
about by a demanding domestic market and an
export oriented industry in one of the major oil and
gas offshore provinces of the world. By supporting
pilot testing under realistic conditions the Demo
2000 program is a key contributor in this respect.
Demo 2000 projects on the following pages. The
views of a major supplier and an international oil
company are also covered in this issue.
More information about the Demo 2000 program,
the projects and persons to contact are found on our
web site www.demo2000.net

D emo 2000 was founded in 1999 by a grant from

the Norwegian Ministry of Oil and Energy and
had from the start a strong support from operators,
service industry and research organizations. Today

Demo 2000 3
 Aker Kvrner
Targets
deepwater and
gas technology
"The merger process has come far.We have
finished restructuring, and are now focusing on
realising the synergy dividends of the merger.
Our technology strategy in the years ahead will
be to focus on deepwater solutions and the gas
chain", remarks Simon Davies,Vice President of
Corporate Technology at Aker Kvrner.
By Bjarne Rsj
Last year a total of 18 000 employees in the companies
Aker Maritime and Kvrner Oil & Gas were keen compe-
titors for deliveries to the oil and gas industry. Now they
are working together in the new Aker Kvrner Group as a
result of one of the largest industrial mergers in Norway
for many years.
"Weve all seen countless examples of unsuccessful
mergers, so we have placed tremendous emphasis on
ensuring that this particular merger will succeed. The two
keen competitors had many similarities, but the merger
process made it clear that we had tools and products that
were largely complementary. This means we can reap
dividends from many valuable synergies and offer our cus-
tomers an exceptionally wide range of solutions", obser-
ves Simon Davies.
Davies and his colleagues are now implementing the
measures identified during the merger process. The new
Aker Kvrner Group's Products and Technologies busi-
ness area includes three former Aker companies: Maritime
Pusnes, Maritime Hydraulics and Maritime Well Services,
as well as three former Kvrner companies: Kvrner Oil-
field Products, Kvrner Process Systems and Kvrner
4 Demo 2000
Eureka. Important technology in the form of products,
system solutions and expertise are also found in the areas
of Field Development and MMO (maintenance, modifi-
cation and operation).
Health, safety and the environment receive top priority
at Aker Kvrner, and Davies points out that new technolo-
gies should have improved safety and less adverse
environmental impact than the technologies being re-
placed. "We will focus on gas technology, of course, since
gas will be increasingly important in future. As regards
deepwater solutions, Aker Kvrner will focus on further
developing a wide variety of technologies, ranging from
well and subsea technology to new lightweight platforms.
Subsea processing ranks high as a key strategic area for
us", emphasises Davies.
Supplier of gas technology
Aker Kvrner's initiatives in gas technology are based
inter alia on the major environmental advantages of this
energy carrier. "We would like to be a supplier of gas tech-
nology components throughout the value chain from pro-
duction to consumption. For example, we are working in
the field of liquefied natural gas (LNG), where there is
currently no commercially available technology developed
in Norway to cool the gas into a liquid. Accordingly, Aker
Kvrner will take its point of departure in existing techno-
logy, and integrate and adapt it for installation on barges
and other floating offshore solutions", continues Davies.
Moreover, the Group has devoted considerable attention
to environmental technology, e.g. the removal of CO2,
both from natural gas and from greenhouse gases, and the
removal of VOCs (Volatile Organic Compounds). "The
removal of CO2 from greenhouse gases is a difficult area
for those of us who work in the supply industry. It is enti-
rely possible to develop new solutions for CO2 removal,
but it is difficult to know when the market will emerge and
 PHOTO: BJARNE RSJ

The Company
Aker Kvrner is a provider
of services, technology and pro-
ducts to the international oil and gas
industry, with approximately 18.000
employees in 17 countries.

"Aker Kvrner's technology strategy in the years ahead will be to focus on deepwater Aker Kvrner is one of four business areas
solutions and the gas chain", states Simon Davies,Vice President of Corporate Technology in the Kvrner Group, which has annual
at Aker Kvrner. revenues in excess of USD 6 billion, and
some 34 000 permanent staff located in
how big it will be. Many of the most important decisions stigate possible more than 30 countries throughout Europe,
are in the hands of the politicians, but we also recognise applications for a Africa, Asia and the Americas. The three
that many oil companies have become very pro- new fuel cell techno- other business areas are Aker Kvrner
active", emphasises Davies. logy that runs on Yard, Kvrner Engineering and Con-
Given its focus on environment-friendly power produc- natural gas, based on struction, Kvrner Pulp and Paper.
tion, Aker Kvrner recently signed an agreement to inve- work already being done

Demo 2000 5
 with hydrogen fuel cells. The other parties to the agree-
ment are Norske Shell and the state-owned power compa-
ny Statkraft SF. The goal is to be first in the world to com-
mercialise a new type of large fuel cell system that will
produce almost pollution free electricity.
Deepwater technology an
important part of the future
In the area of seabed technology, Aker Kvrner is further
developing and qualifying Christmas trees, control sys-
tems and other equipment that can operate at a depth of
3000 metres. Moreover, large sums are being invested in
technology for subsea processing and pressure enhance-
ment. The company belongs to the so-called SPC (Sea-
floor Processing Collaboration), as does fellow-vendor
ABB as well as the oil companiy majors BP and Chevron-
Texaco.
"Many factors are involved in deciding what kind of
processing pays on the seafloor. In terms of development,
our primary attention is devoted to pressure boosting, and
to separating water from the wellstream and reinjecting it
into the reservoir. We are also looking at the separation of
gases and liquids to facilitate separate transportation. For
pressure boosting we have recently developed a marinised
multiphase pump system, which is now being launched on
the market", says Davies.
The focus on deepwater technology embraces not only
equipment to be located on the seafloor, but also other
equipment needed in this area. For example, Aker Kvr-
ner is developing risers and tethers made of composite
materials for tension leg platforms. The tether efforts have
led to the establishment of a new company in co-operation
with Conoco, while a new hybrid riser is currently under
development in co-operation with Norsk Hydro (see sepa-
rate articles).
A catalyst for innovation
"Financial support from Demo 2000 was absolutely essen-
tial to the companies now gathered under the Aker Kvr-
ner banner. The program acted as a catalyst for innovation.
The initiative allowed us to continue developing new pro-
ducts, and made it possible to accelerate several projects.
It is no secret that Norway's supply industry has struggled
with poor financial results for many years, and Kvrners
particular problems that were only resolved earlier this
year are well-known from the media. Demo 2000 provi-
ded invaluable support for the supply industry during a
difficult period", notes Davies.
It has been contended that the authorities should not
support research and development (R&D) in petroleum
technology since 'the oil companies are rich enough to pay
for their own research. Davies refutes this. "First, we
need to differentiate clearly between the oil companies
and the supply industry. According to a McKinsey report,
6 Demo 2000
the wealth created in the oil industry in the past ten years
led to an increase in the oil companies' share values, while
there has been little or no increase in suppliers' share valu-
es. Demo 2000 was a timely initiative, not least because
an industry under pressure got a chance to offer new
demonstrations and pilot projects to the oil industry, and
because the projects were linked to the Research Council's
standard terms of business so that we retained the rights to
the technology that was developed further. It is crucial to
be aware that the supply industry is an important export
industry for Norway, involving a large number of jobs.
The industry can continue to play that role if the authoriti-
es provide good general business conditions", emphasises
Davies.
New frontier provinces
Simon Davies stresses that it can often take 10 to 30 years
to develop a new technology for the oil and offshore
industry, and that tremendous investments are required.
"Were talking about initiatives so big (e.g. subsea proces-
sing) that they can only be handled by consortia. One of
Norway's advantages is that there has always been good
collaboration between research institutes, the supply
industry and oil companies. We have to safeguard this co-
operation", he adds.
Davies reports that the results of Demo 2000 have ear-
ned great respect from research groups the world over. "It
is important to be aware that the Norwegian Continental
Shelf is no longer the most exciting area, if we look far
into the future. The major development projects there are
generally behind us. In future, areas in West Africa, Brazil
and the Gulf of Mexico will be the frontier provinces for
deepwater technology. We have a good chance to develop
valuable export products from the knowledge base found
in Norway, but we can only succeed if we see to it that we
stay in the spotlight at all times", he concludes.
 Inter vention in oil wells
PHOTO: BJARNE RSJ

"One important reason for the big difference is that operators do not intervene in the subsea wells and perform maintenance as often as in dry
wells, since intervention in subsea wells is both difficult and costly", states Project Manager Birger Heigre of ABB Offshore Systems.

The world's most

profitable main-
tenance
Intervention in oil wells is probably the
world's most profitable type of maintenance.
Scheduled maintenance is an important
reason why oil wells serviced from the surface of the sea or land facilitate the recovery of
50 to 70 per cent of all the oil found in a reservoir. By comparison, subsea wells offer a
lower recovery rate, but ABB Offshore Systems intends to change that.
By Bjarne Rsj be operated from the surface. One important reason for the
big difference is that operators do not intervene in the sub-
"In principle, there is no reason for subsea wells to have a sea wells and perform maintenance as often as in dry
lower recovery rate than the so-called 'dry' wells that can wells, since intervention in subsea wells is both difficult

Demo 2000 7
 and costly", states Birger Heigre, head of Well Interventi-
on at ABB Offshore Systems. He is project manager of the
RICTIS project, which is in the process of developing a
new method for intervention in wells on the seafloor using
coiled tubing technology.
For technical reasons, it is never possible to recover all
the oil from a reservoir, but operators can always be better
at recovering a larger proportion of the oil. There are a
number of examples to show that a higher recovery rate
can translate into tremendous value added. From 1991 to
1996, the value of Norway's oil reserves increased by no
less than NOK 300 billion, thanks largely to the research
programme RUTH (Reservoir Utilization through advan-
ced Technological Help), which helped boost the average
recovery rate from 34 to 41 per cent.
Today, the recovery rate has been further improved to
between 50 and 70 per cent in different reservoirs, and the
added value is correspondingly greater. Naturally, the oil
ILLUSTRATION: ABB
The RICTIS system can be used at great depths and entails having coiled tubing
hanging freely in the sea under the intervention vessel.
8 Demo 2000
companies are eager to boost the recovery rate since it
offers a higher yield on the enormous investments
required to initiate production on a new oil field. But the
biggest profit of all goes straight into Norway's treasury
and the State's Petroleum Fund, which is intended inter
alia to fund the future pensions of a growing number of
elderly Norwegians.
"Ekofisk and Statfjord are good examples of what can
be achieved through intervention and regular well mainte-
nance. When the Ekofisk field first started producing in
1971, it was calculated that the field would be depleted
and abandoned in 1984. Thanks to the increased recovery
rate, the new target is to produce right up until 2028. The
Statfjord field is an equally good example. By rights, it
should also have been in its sunset years according to the
original schedule, but it is now feasible to continue pro-
duction until at least 2020", relates Birger Heigre.
Light coiled tubing instead of bulky risers
Today, the maintenance of subsea wells is performed from
semi-submersible or jack-up drilling rigs, where the crew
has to close off the well and connect it to the surface with
risers before the maintenance tools can be lowered down
through the bulky pipes. Some simple maintenance tasks
can also be performed using tools mounted on wirelines,
but the comprehensive maintenance tasks that prolong the
useful economic life of a field do not lend themselves to
being performed with wireline tools.
"There are a number of challenges associated with inter-
vention through risers. It takes a long time to anchor a rig
above a well. It takes a long time to hook up the risers,
and the operation calls for considerable manual labour that
entails certain health and safety risks. The result is that
maintenance is extremely costly, since it can often cost
about NOK two million per day to rent a drilling rig. What
is more, the well must be sealed while the intervention
takes place, and the longer the closure, the longer there is
no production or earnings", explains Heigre.
ABB Offshore Systems has instead decided to develop a
solution featuring fast, light intervention vessels to per-
form maintenance based on coiled tubing. As the name
suggests, coiled tubing can be coiled up and transported in
whole lengths on a drum. The main idea behind RICTIS is
that the risers should be replaced by coiled tubing and a
seafloor lubricator. The coiled tubing can be used to per-
form more complex tasks than what is possible with wire-
line techniques.
"More frequent intervention implies that it will be pos-
sible to observe the development of the oil reservoir better,
and it is an important prerequisite for enhanced recovery.
Intervention also implies that different types of physical
operations can be performed to boost production. For
example, it is possible to close off water-bearing strata
underground, reduce the production of water and gas and

ABB Offshore System has decided to develop a solution where the traditional risers can be repla-
ced with coiled tubing and a seafloor lubricator.
focus on the oil-bearing strata, or pave the way for pres-
sure support in the reservoir by injecting water or gas",
Heigre continues.
Christmas tree with gifts of oil
The RICTIS project facilitates the installation of the inter-
vention equipment on a relatively small vessel that can be
positioned above the well using Dynamic Positioning
(DP), a technology now so well developed that it can
keep a vessel almost exactly in place, even in extrem
weather. Thus the vessel is ready for operation soon
after arriving at the subsea well, and no time is
wasted on complex mooring operations.
According to the concept, the coiled tubing will
hang freely in the sea under the intervention ves-
sel, and be guided down to the so-called christmas
tree which constitutes the entrance to a well. The
christmas tree is also the unit that links the diffe-
rent production lines to the well, and the RICTIS
project entails inter alia that an adapter had to be
developed to make it possible to insert the coiled
tubing down into the tree. "It is vital that we avoid oil
leaks to the surrounding environment during the operati-
on. Accordingly, the adapter must be equipped with a
blow out preventer to ensure system integrity during hook-
up, as well as with special gaskets that prevent leaks
ILLUSTRATIONS: ABB
during the intervention. Because of the high pressure in
the reservoir, the coiled tubing, which can be equipped
with different
types of
The Project: Riserless Coiled Tubing Intervention
System (RICTIS)
Lead company: ABB Offshore Systems, Postboks 5036 Dusavik,
N-4004 Stavanger
Objectives: To develop a cost effective well intervention con-
cept for a dynamically positioned vessel, based on the operation of
a combined well intervention system capable of performing wireli-
ne as well as coiled tubing operations without the use of a riser.
Sponsors: Demo 2000, Shell, Statoil
The Company
ABB Offshore Systems is part of the world-wide ABB Group
which has 150 000 employees in more than 100 countries.The
Oil, Gas and Petrochemicals Division delivers products and
services to the global oil, gas and petrochemical industry, ranging
from the development of techniques for onshore and offshore
production to the design and delivery of production facilities,
refineries and petrochemical plants.The division has approximately
13 000 employees the world over.
Demo 2000 9
 tools on the tip, is forced down these huge units for well
using a belt-operated injector unit maintenance is a bit like
for the first metres until equili- shooting sparrows with
brium is reached, after which the cannons, even though the
injector unit is used to lower tools long-term profitability
down the well in a controlled man- may be good", relates Bir-
ner", says Heigre. ger Heigre.
The project has been challeng- "We have conducted
ing, but none have been insur- market analyses that bear
mountable thus far. "We have inve- witness to the huge poten-
sted a lot in developing solutions tial for this technology
that make it possible to handle both on the Norwegian
coiled tubing in high seas without Continental Shelf and on a
being damaged by waves and cur- world-wide basis. In early
rents. It has also been a challenge 2003, the oil company
to develop the injector that runs the Statoil alone will have
coiled tubing down the well, to operator responsibility for
mention just a few items. Further- more than 300 subsea
more, we have attached importance wells, and on a world-
to developing the project so that wide basis there will be
we can take advantage of stock thousands of such wells.
components wherever technically Many of these wells will
possible. In continuation of the require maintenance from
project, we plan to initiate collabo- time to time, and it appe-
ration with a supplier that has spe- ars that even the so-called
cial expertise in coiled tubing tech- maintenance-free wells are
nology", he adds. not always completely
maintenance-free", he points out.
Tremendous market potential Heigre stresses that there are not plans to build a large
The first phase of the RICTIS project involved identifying number of RICTIS units. It is more feasible to build a
critical components to assess whether the concept was handful of units and install them on vessels that can sail
technically feasible. The result was favourable, and phase around from well to well and perform interventions and
2 involved the development, design and testing of a proto- maintenance for a day rate that makes the work profitable
type. According to plan, phase 3 will begin in spring 2003 for operator and supplier alike", he explains.
and involve commercialisation of the technology. Demo
2000 supported phase 1 and 2.
Studies showed that dry wells are maintained two to
four times per year on average, while subsea wells are ser-
viced every other year or even less frequently. "This is
largely related to the availability of equipment. The rigs
that can be used with today's riser technology are designed
for drilling and priority should be given to that use. Using

10 Demo 2000
 Mooring in deep water
Difficult,
but not
impossible
Mooring an oil rig in deep water is
somewhat akin to erecting a ladder to
the moon. However, the latter is
impossible, while the former is simply
very difficult. Mooring a tension leg
platform (TLP) to the seabed on steel
tethers at a depth of 3000 metres
would involve so much tether weight
that the project would not be feasible.
According to Aker Kvrner and
Conoco, a composite is the solution.
By Bjarne Rsj
One challenge related to oil and gas extraction in deep
water is that floating oil rigs have to be very accurately
positioned over the drilling hole. TLP platforms have sol-
ved the problem by being moored to specially designed
anchors on the seabed, but steel tension tethers reach their
practical and financial feasibility limits at depths of 1500
to 2000 metres. After that, the tethers become so big and
heavy that they threaten to pull the whole platform down.
"A TLP has to be designed to ensure a balance between
the tension legs and the platform. The platform needs to
be buoyant enough to lift its own weight and the weight of
the tethers on the tension legs. Naturally, the legs have to
be strong enough to keep the platform stable", explains
General Manager David Brunt of DeepWater Composites
AS. Founded in June 2002 by Aker Kvrner and Conoco,
the company will offer tension tethers and risers made of
composite materials. The tension tethers (CompTether)
were developed by a Demo 2000-funded program, while
the riser development was funded by other oil companies
and the EU.
Since offshore activities moved into deeper waters, ten-
sion leg weight has become more critical. Tension legs
made of composite materials contribute to a healthy over-
all economy because the legs are much lighter and do not
require such a large platform hull to remain upright.
ILLUSTRATIONS: AKER KVRENER
A section of Aker Kvrners
new tethers in composite
materials.
Large share of global production
"Composites have become interesting materials for the
offshore industry since world market prices fell to approx.
US$ 11-13 per kilo. In this context, price is of the utmost
importance since a single large-scale TLP with composite
tethers in the Gulf of Mexico, for example, would account
for 2 to 3% of the aggregate annual world production. A
typical TLP has eight tethers anchored to the seabed and a
market analysis indicates that the company might sell 20
to 40 km of tethers each year. This is based on an estimate
of two to three platforms being built each year. However,
this depends heavily on market trends", underlines Brunt.
"The Demo 2000 project has shown that it is not neces-
sary to use the most sophisticated composites in offshore
applications. That is why we make the risers in a carbon
fibre and resin composite, while the tethers are made from
carbon fibre and polyvinylester", explains Brunt. The
tethers are primarily produced for new platforms, but the
composite material allows existing TLPs to be moved to
deeper water than they were originally designed for.
"Today, approximately 19 TLPs are installed or under
construction. While most are situated in the Gulf of Mexi-
co, two are on the Norwegian shelf. The Snorre A and
Heidrun platforms are both TLPs", explains Brunt.
The merger between Aker and Kvrner in
March/April 2002 brought together the
tether and riser development activities
of both companies, and they are The project:
now organised under Kvrner Manufacturing and
Oilfield Products. "The com- verification of Comp-
posite tethers were developed Tether Prototype
on the basis of the core com- Objective: Manufacturing,
petence that existed in the laboratory testing and verification
tether activities. It is a great of a composite tether prototype
advantage for us to produce Lead company: Kvrner Oilfield
the tethers at the Kvrner Products
Oilfield facilities in Moss or Co-operating companies: Det
Mobile, Alabama", under- Norske Veritas
lines Senior Vice President Partners: Norske Conoco AS
Svein Haug.
Demo 2000 11
 LNG

PHOTO: BJARNE RSJ

Project Manager Jrgen Eide
demonstrates a 1:10 scale
model of the offshore cryo-
genic loading system for
Liquefied Natural Gas.The
cube in the middle of the
picture is a connection head
that actually weighs about
20 metric tonnes.To offload,
the production vessel shoots
two wires to the LNG tan-
ker, and then draws the con-
nection head into a connec-
tion point on the bow.

Flexible pipelines
open new mar-
kets for LNG
Although the international market for liquefied natural gas (LNG) is large and growing,
LNG has never been sold on the spot market.The problem has been a lack of technology
to facilitate flexible offshore loading, but this situation is about to change. In collaboration
with APL, Navion and Seaflex, Framo Engineering AS is about to make offshore LNG loa-
ding possible.
By Bjarne Rsj to ships. Framo has made great progress in developing an
innovative new concept.
Although the world's petroleum reservoirs contain more I think the development of flexible transport solutions
gas than oil, thus far, the areas of application have been far will expand rapidly in the near future. In five years, this
from equal. One reason is that it has not been possible to market will have changed completely. Our system for offs-
distribute LNG the same way as oil. While oil tankers hore LNG loading will be ready to meet the challenges
criss-cross oceans in all directions, gas has had to be posed by this emerging market, states Ole Gams Steine,
transported by pipeline or ship based on a very limited managing director of Framo Engineering.
number of pickup and delivery points equipped with pur-
pose-built transfer systems. Built to last
As a result, LNG is sold almost exclusively on long- Four companies joined forces to form the OCL (Offshore
term contracts. These days, however, the increasing inte- Cryogenic Loading) Group. Their project was inspired by
rest in gas is calling for greater flexibility. Recognising Statoils plans to equip the forthcoming Snow White Field
this as a potential business opportunity, Framo Enginee- in the Barents Sea with the worlds most sophisticated
ring set out to develop technical solutions to help open LNG treatment system. In a nutshell, Framos Demo 2000
new LNG markets. One of today's worst technical bottle- project consists of developing an integrated system for
necks involves offshore transfer from production facilities mooring and transferring LNG to a LNG carrier from a

12 Demo 2000

production vessel that can weathervane around its own
mooring. The offloading system consists mainly of a 35-
metre crane, seven parallel, flexible 55-metre pipes, and a
quarter circle-shaped platform where the pipes are stored
when not in use.
The production vessel will transfer LNG to a tanker
carrying bow-mounted receiving equipment. When a LNG
tanker comes to pick up gas, it will anchor up about 65
metres from the production vessel. A wire shot from the
production vessel will be used to pull the loading hoses
over to the tanker, ably assisted by a crane that lifts the
hoses out of the production vessel. The advantage of flex-
ible moorings for both the production vessel and the LNG
tanker is that the tanker can be positioned optimally in
relation to prevailing weather and wind conditions. Our
tests indicate that this system can be used with waves with
amplitudes of up to 5.5 metres. In other words, it will tole-
rate much harsher weather conditions than systems based
on anchoring a tanker alongside a permanently moored
production vessel. Model tests conducted at Marintek
show that the system is very stable. Regardless of weather
conditions, the relative positions of the production vessel
and tanker will not vary by more than four or five metres,
explains Jrgen Eide, project manager for Framo Engi-
neering.
ILLUSTRATION: FRAMO ENGINEERING
Flexible pipe = the key to success Above:
We started in 1998, and it didnt take long The OCL LNG
to realise that flexible pipe was the crux of transfer system:
the issue. The trick was to develop flexible The transfer
pipes to transport LNG at a temperature of - pipes mounted
160C from the production vessel to the tan- on the deck of
ker. Now we've developed a thin-walled pipe the production
in stainless steel with a special thread profile vessel must be
that increases its ductility, flexibility and drawn over to
strength, Eide continues. the tanker be-
To convince someone that this system is fore the LNG
viable, we will have to start by qualifying the offloading
pipe design. Consequently, we've conducted process can
several materials tests, and will be testing begin.
LNG under practical conditions at a facility in the Nevada
desert. Afterwards, Marintek in Trondheim will conduct
fatigue tests for us. In principle, we expect to complete
development and qualify the pipeline in spring 2003, he
adds.
During the hook-up phase, it is important that the pipes
not be dipped into the sea, since the waves could have an
adverse effect on the system. The transport pipes actually
consist of two concentric pipes with a vacuum between
them and separated by plastic spacers to prevent mechani-
cal contact between the inner and outer pipes. This
means the pipes work like a highly efficient thermos. The
surface will be no more than 4-5 degrees lower than the
ambient temperature, Eide estimates.
Framos engineers reckon that the most cost-efficient
loading system will consist of seven pipes with an external
diameter of 358 millimetres. Five of the pipes will be
used for LNG, and the other two will return gas to avoid
flaring. All seven pipes are tied to a connection head that
weighs about 20 metric tonnes. This unit has to be pulled
in and tied to the bow of the LNG tanker before the gas
can be transferred, Eide explains.
We aren't the only ones developing equipment for this
purpose, but I think we have a smarter, more maritime
solution than our competitors. In principle, our potential
Demo 2000 13
 ILLUSTRATION: FRAMO ENGINEERING

The model tests performed at Marintek indicate that the system is very stable. Regardless of weather conditions, the relative positions of the pro-
duction vessel and tanker will during operation never vary by more than four or five metres, comments Jrgen Eide.

customers are the same A win-win project

oil companies that Before Demo 2000 came on the scene, Framo Engineering
have been invol- and the OCL Groups LNG system existed mainly on the
Project: Offshore Loading of Liquefied ved in the paper. Demo 2000 has made it possible to take this tech-
Natural Gas OCL Verification Testing Demo 2000 nology closer to the market. The programme turned out to
Lead company: Framo Engineering AS project, be an important catalyst between industry and the opera-
Participants: The OCL Group: Framo, Navion, APL AS, continues tors and it came at exactly the right time. It is positive that
Seaflex AS Mana- the State has been willing to support research and deve-
Objective: The OCL Group has developed a novel system ging lopment in this area since new technical solutions tend to
for offshore transfer of LNG between two floating vessels.The Direc- benefit all involved parties. The State creates jobs and
system can be used in benign and harsh environments alike.Veri- tor earns tax and export revenues, while the supply industry
fication of the concept required model testing of vessel be- Gams gets the opportunity to develop profitable new products,
haviour, full scale verification of the pull-in system, full scale flow Steine. and the operators enjoy new production and sales opportu-
testing and a long-term durability test on the transfer pipe. nities, Gams Steine points out.
Sponsors: Demo 2000 (The Research Council of Norway),
Shell, Conoco, Statoil, BP, ChevronTexaco

LNG is the abbreviation for Liquefied Natural Gas, a

storage and transport mode for natural gas. Freezing the
gas to - 1630 Celsius compresses it about 620 times and
liquefies it, making transport easier.

Company: Framo Engineering AS

Main office: Sandslisen 40, Bergen, Norway
Number of employees: Approx. 110
Framo Engineering AS provides a wide range of products
for the oil and gas industry. All products have been deve-
loped by Framo Engineering AS, and benefit from years of
experience with marine and offshore products under the
auspices of Frank Mohn AS.

14 Demo 2000
A (com)pressing investment
Framo Engineering AS is on the verge of developing a wet gas compressor that will be
the worlds largest, most powerful subsea gas compressor to date.The compressor can be
used to pump unprocessed wellstreams over vast distances, or to increase downhole
pressure in wells approaching depletion. Both these compressor applications offer hand-
some financial returns.
The development of this compressor must be seen in the
light of current technological trend away from large pro-
duction platforms on the surface. Smart subsea systems
imply huge savings in the field development phase and
this compressor is perfect for such systems. If a platform
is not equipped to separate the wellstream prior to tran-
sport and landing, you will need a compressor that can
handle a mixture of gas and liquid. Present-day compres-
sors can tolerate about 0.5 % fluid volume before they col-
lapse, but this compressor can operate on virtually any
mixture, explains Jrgen Eide.
Standard compressors only operate at low fluid content
because of weight. Liquid is much heavier than gas, so
compressor blades generally break if the fluid content is
too high. Framo's WGC2000 wet gas compressor is built
around a central unit consisting of 20 solid impellers that
look rather like propellers mounted in a series on a com-
mon shaft. The central unit is mounted between two con-
tra-rotating electrical engines with a total output of 3.6 PHOTO: BJARNE RSJ

MW. This is about the same as the main screws on the

newest Norwegian coastal steamers that carry 600 to 700
passengers and 50 cars on The world's most spectacular
voyage along the Norwegian coast at a speed of up to 18
knots. Powerful stuff, in other words.
Each of the contra-rotating engines rotates at a speed of
4500 rpm, so the relative speed between the impellers is
9000 rpm. The most impressive aspect of this concept is
that the total output of 3.6 MW, equivalent to 4900 hp, is
absorbed in a compressing area no bigger than 1 x 1
metre, adds Managing Director Ole Gams Steine.
Framo Engineering has delivered pumps to the offshore
industry ever since the company was founded in 1983.
Framo has not experienced a single subsea pump break-
down to date. The company currently exports about 90%
of its output.
Compressors can also be used to increase pressure in a
well approaching depletion. They increase gas recovery,
offering a tremendous financial potential. We've installed
pumps that have enhanced production by as many as 15
000 barrels a day on fields off the coast of West Africa.
Typical of these installations is that they are paid off in
few weeks, underlines Gams Steine.
Framo Engineering is about to test
a full-scale model of the WGC2000
(picture) at its sister company
Frank Mohns extensive testing faci-
lity on Flaty outside Bergen.The
test facility can separate and mix
oil, gas and water under different
conditions, simulating almost any
conditions likely to occur in connection
with offshore oil and gas production,
concludes Jrgen Eide.
Project:
Framo Wet
Gas Development
Project WGC2000
Objectives: The objective is
to design, build and test a 3.6
MW net shaft power Wet Gas
Compressor. The compressor is
designed to pump 1500 actual
m3/h from 70 bars of suction pres-
sure to 100 bars of outlet pressure
with a 2% volume of fluid at the
compressor inlet.The unit can ope-
rate on any mixture of gas and
fluid, from 100 % gas to 100 %
fluid.

Demo 2000 15
 "If the ocean is too deep to run operations on the seabed,
why not lift the seabed up into shallower waters?" ponde-
red Petroleum Engineer Terje Magnussen once upon a
time in the mid-1980s. Now his idea is in the process of
being tested, having been translated into a technology that
extends oil wells at depths of 2000 to 3000 metres up to
an artificial seabed much closer to the surface.The techno-
logy should cut short most of the technical and financial
challenges that deepwater activities pose to the industry.

One seabed ab By Bjarne Rsj

"It was not feasible to engage in exploration drilling or oil

and gas production at depths of more than 1000 metres
until the late 1990s, so my idea just simmered on the back
burner for a number of years. However, in 1996, the time
FOTO: BJARNE RSJ

had come to set up a company and apply for a patent",

"Receiving support from Demo 2000 is per-
ceived as a seal of good quality in the inter-
national arena", remarks ADTH's Managing
Director Pl Norheim (left), as Technical Advi-
ser/Founder Terje Magnussen expresses his
agreement.
recounts Technical Adviser Terje Magnussen of Atlantis
Deepwater Technology Holding AS (ADTH).
Since then, things have moved along at a steady clip.
ADTH is now in the process of building a prototype of a
submerged buoyant tank that will serve as an artificial
seabed for drilling or petroleum production. "The Atlantis
Deepwater concept is based on the simple principle of
extending the well casings up from the seabed to a sub-
merged buoyant tank, called the Artificial Buoyant Seabed
(ABS), where the blowout preventer (BOP) and subsea
wellheads are to be located", explains Magnussen.

Can use simpler rigs

Thanks to the Atlantis sys-
tem for exploration drilling in
deep and ultra-deep waters,
the efficiency of drilling ope-
rations may increase consi-
derably.The BOP and drilling
riser can be run to a depth
of just 200 to 300 metres
rather than through the
water column to the seabed.
ILLUSTRASJON: ADTH
The ABS is located 200-300 meters below the sea surface,
regardless of the actual water depth. "We lengthen the first
casing in the well, which generally has a diameter of 20
inches, up to the buoy. This allows BOPs, wellheads and
other technical equipment to be located there instead of
on the real seabed. As a result, drilling and production are
simpler, cheaper and safer."
"To some extent, the potential financial savings are out-
side the Atlantis buoy per se. Our technology makes it
possible to engage in exploration drilling and deepwater
production with older rigs, eliminating the need for fifth
generation deepwater rigs. The day rate for a 3rd or 4th
generation rig is between 1/3 and 2/3 the rate for a deep-
water rig, and availability is no problem. In addition, drill-
ing and well maintenance are less time consuming. We

16 Demo 2000
 ADTH is currently in
full swing building the
world's first artificial
seabed for offshore
use, at the Nymo
Yard in Grimstad.

He would prefer not to esti-

mate the aggregate market
potential, but the opportunities
are obviously great.
If the artificial seabeds
become generic technology
for deepwater activities,
ADTH is poised on the
FOTO: ADTH

threshold of a new industrial

adventure. There is a patent
pending in about 50 countries
and major

ove the other

operator com-
panies like BP,
Shell and
Statoil are
eagerly monito-
ring the
estimate a cost reduction of 20 to 40 per cent during the progress of the little Grimstad company.
drilling phase, while well maintenance costs during pro-
duction can be cut by as much as 30 to 60 per cent", con- A seal of good quality
tinues Magnussen. "I have the impression that most people in the internatio-
nal arena in question are aware of what we are doing.
A safe structure Demo 2000 support has been absolutely crucial for us,
The artificial seafloor must have the buoyancy to facilitate especially since the initiative has such a good reputation
a taut, stable extension of the well and compensate for the abroad. There are no other programmes that compel you
weight of the casing, which amounts to about 200 metric to build and test a concept. Getting support from Demo
tonnes per thousand metres. "One of the major challenges 2000 is perceived as a seal of good quality", elaborates
facing the project has been to convince the operator com- Managing Director Pl Norheim.
panies that the extended casing is a safe, stable structure. "During oil production, problems with hydrate or wax
Our studies have documented that our technology is safer deposits may still arise during lengthy shutdowns, but the
than the other methods used or being introduced for problems will be no greater than in conventional risers. The
drilling, production and well maintenance in deep water", production tubing will be placed inside the casing,
states Magnussen. and we are exploring the options for
ADTH is currently building the ABS pilot unit at the heating using heating cables, the
Nymo Yard in Grimstad. Construction is scheduled for circulation of hot water, or the
completion at year-end 2002, and the winter will be spent injection of liquid hydrate Full scale inshore test
experimenting with maritime operations at Gandsfjord on solvents on the seabed. of the Atlantis Deepwater
the west coast of Norway. During the spring/summer, the Otherwise, there is Drilling Concept
buoy will be upgraded and fully equipped for field deploy- currently no techno- Lead company: Atlantis Deepwater
ment, possibly off the coast of Angola in the latter half of logy for financially Technology Holding as (ADTH),
the year. ADTH intends to conduct tests with exploration feasible mainte- P.O. Box 308, NO-4892 Grimstad, Norway
drilling first, then test a production version later. nance of deep- Partners: Shells and BPs branches in Norway
water wells, and and the Angola Block 18 licence
A potential industrial adventure our concept Objectives: The main objective of the project is to
"No final decision has been taken regarding sale or rental implies that it verify the applicability of the technology as a safe
of the buoys, or perhaps we will sell licences. The oil will not be and cost effective method for drilling and field deve-
companies will want this technology to be generally avai- necessary to lopment in deep waters.
lable. The steel body of the buoy could easily be produced develop such The company
locally, for instance, in Angola or the Gulf of Mexico, technology. We ADTH was established in August 2000 as an off-
while the Norwegian supply industry can produce valves, can use the equip- shore technology company, in order to commer-
instruments, control systems and other knowledge- ment that already cialize the Atlantis concept. The concept has
intensive elements", suggests Magnussen. exists", he concludes. been developed over the last seven years.

Demo 2000 17
 Deepwater Technology

Heating cables
for formidable
undertakings
Producing oil and gas from reservoirs at great depths is a technological
challenge comparable to a voyage to Mars. Norwegian and French re-
searchers and engineers have combined knowledge from many disciplines
to solve one of the many challenges involved: If the oil and gas flow gets too
cold, the formation of hydrate plugs and wax deposits in the transport
pipelines can interrupt production.

By Bjarne Rsj The two work at the Norwegian headquarters of techno-

The problems caused by hydrates and wax deposits are
becoming more common as oil and gas production moves
to ever greater ocean depths, making it imperative to find
effective solutions. "Petroleum reservoirs do not contain
pure oil and gas, but rather muddy mixtures that include
oil, gas, water, sand and wax. It is no mean feat to pump
this kind of mixture through many kilometres of pipelines",
says Engineering Manager Tim Crome, while Project
Manager Vidar Halvorsen nods his agreement.
logy enterprise Technip-Coflexip at Strand in Brum.
The development of a new concept for using electricity
to heat two different types of risers used to carry oil and
gas mixtures from the seabed to production ships or oil
platforms has been spearheaded by Technip-Coflexip. "We
have qualified the use of direct electrical heating on rigid
risers, based on technology developed earlier for pipelines
on the seafloor. Moreover, we have developed a whole new
solution for electrically heated flexible risers. Technip-
Coflexip is now able to design and supply electrically

Technical expertise, collective efforts

The Demo 2000 project "The Prevention
of Hydrate Formation in Riser Systems"
is a good example of how important it is
to combine expertise from many fields to
resolve the technical challenges facing the
offshore industry. "We have combined
electrical engineering, materials technolo-
gy, structural analyses, marine operations,
installation methods, information science
related to analytical programmes and, not
least, process technology, to reach our tar-
gets for this project. This broad diversity
is one of the reasons it is so exciting to be
involved in technological development in
this area", observes Tim Crome.
What is more, technological develop-
ment takes place in a very extrovert sett-
ing where it is absolutely necessary to
collaborate with customers, suppliers,
researchers and other partners. To reach
the right results, you need a steady stream
of information, and you have to constant-
ly communicate your results to other peo-
ple. Simply put, this is lots of fun and
very rewarding, and I can recommend
technical subjects to young people deci-
ding what they want to study. Naturally,
they have to have a genuine interest in
technology to follow this path", adds
Crome.

18 Demo 2000
 "Electrically heated risers are
expected to become more com-
mon in the years ahead", says
Vidar Halvorsen, project manager
from 1999 to 2002.

FOTO: BJARNE RSJ

heated risers for use in virtually any context", explains
Crome, who does not hesitate to describe the Demo 2000
project as exceptionally successful.
Electricity replaces chemicals
Oil and gas mixtures in the wellstreams from the reser-
voirs under the ocean floor generally have a temperature
ranging from 70-80 to 120-130 C. During transport
through pipelines along the seafloor and up to the surface
much of the heat will be lost to the cold ambient water.
Even in warm ocean waters such as those off the coast of
West Africa, the water on the seafloor is usually colder
than 10 C. On the Ormen Lange field, water temperatures
can be below the freezing point.
During normal production operations, wellstreams will
be transported so fast that cooling does not cause a pro-
blem. However, if production should be interrupted for any
reason, the wellstreams can get exceptionally cold. If the
temperature drops below about 35 C, wax can be
deposited on the inside of the transport pipelines, reducing
transport capacity. If the temperature drops below 20 C,
hydrate plugs can form, unless the high pressure in the
pipeline can be reduced. At that point, it can be very diffi-
cult to start production again. A hydrate is, parenthetically
speaking, a mixture of water and gas molecules with about
the same consistency as a mixture of snow and ice.
Thus far, the oil companies have tried to fight wax for-
mation and hydrates through a combination of insulation,
the injection of chemicals into the wellstream, and pig-
ging, that is, using cleaning tools to unclog the pipelines.
The new technique based on electrical heating decreases
the need for insulation
and pigging, and
totally
Prevention of
Hydrate Formation in
Riser Systems
Lead company: Technip-Coflexip SA, Holtet 45,
N-1368 Stabekk, Norway
Partners: Sintef Energy Research, Ormen Lange Licence,
TotalFinaElf, Nexans
Objectives: To establish heating as "state of the art" technology
for rigid and flexible pipe, select heating methods for rigid and flex-
ible risers, develop theoretical analytical methods for the selected
riser heating systems, perform full scale testing and qualify selected
riser heating systems.
The company
Technip-Coflexip is a full-service engineering and construction
group in the field of hydrocarbons and petrochemicals. The
international headquarter is in Paris.
Employees world-wide: Approximately 18 000

Demo 2000 19
 eliminates the need for chemicals. "Electrical heating is
therefore exceptionally favourable from the environmental
perspective. It is also more effective and translates into
better economy", states Tim Crome.
Anticipating popularity
"I'm convinced that electrically heated risers will become
popular in the years ahead. The technique is highly rele-
vant in the North Sea, where many of the new fields have
relatively low temperatures or unprocessed oil and gas
have to be transported across relatively great distances.
That increases the need for heating", continues Crome.
He adds that the oil companies have really taken notice
of the Demo 2000 Project. Technip-Coflexip has had a
steady stream of clients considering the technique for use
in Brazil, the Gulf of Mexico, West Africa and not least in
the Norwegian and British sectors of the North Sea.
This Demo 2000 Project was initiated in 1999, based
inter alia on experience from an earlier project with
electrically heated steel flowlines on the seafloor. "These
flowlines are now in operation on the sgard and Huldra
fields in the North Sea. It was not obvious from start that
we would also be using electrical heating on the risers, so
the first thing we did was to screen possible alternatives.
Hot water has been used in other places in bundles of
tubes for heating, but we were soon convinced that
electricity was a better solution. For example, electricity
makes it easier to regulate the degree of heating, and it is
highly favourable with a view to investments, operations
and safety", concludes Crome.

An Integrated Production Bundle

Technip-Coflexip has developed a flexible pipe structure, termed The design of an
IPB (Integrated Production Bundle), to address flow assurance Integrated Pro-
challenges through thermal insulation and active heating. IPB duction Bundle
incorporates active heating, gas lift hoses and passive insulation. depends entirely
An IPB consists of the following components: on the applicati-
Core:A standard flexible pipe structure functioning as a on for that parti-
crude carrier cular IPB.
Assembly:A bundle of tubes, hoses, cables and fillers
wrapped around the core.
The product is a blend of two properties: Passive insulation
and active heating.The design of the bundle will depend on the The IPB system
application, and range from a single armour wire type layer to a was put through
complex mix of cables, hoses, tubes and insulation layers. a full-scale dyna-
Sintef Energy Research has developed and qualified the met- mic test in 2002,
hod and calculation model for heating rigid risers.The techno- and scored
logy enterprise Reinertsen Orkanger has manufactured and exceptionally
installed testing equipment that complies with Sintef's specifi- good results.
cations.
The export potential for Norwegian technology is estimated
ILLUSTRATION:TECHNIP-COFLEXIP

at between MNOK 20 and 50 per year.This amount includes

the electrical cable used to heat rigid risers and pipelines, as
well as the dimensioning and preparation of the heating system,
including the power supply.

20 Demo 2000
 System Integration

The future lies in

remote
co-operation
The Stavanger enterprise VisiWorld AS is in the process of developing a software package
that will increase the efficiency of the design, construction and operation of offshore
installations and other large-scale facilities.The general idea is to integrate information
from a large number of existing tools and databases, and then to communicate it to
everyone who needs it, using an intuitive 3D model of the facility in question.
By Bjarne Rsj way to the valve first, and there you will find all the
relevant information. This eliminates the need for searches
"The key words here are integration, communication and in free text, as well as the need to guess the name of a
collaboration. We have chosen to address the slow, particular valve or to master special professional tools.
difficult aspects of communication, i.e. retrieving and Instead, you have a 3D map to follow through a 3D model
interpreting information. Our ambition is to help everyone of the rig", explains Technical Director and Project
involved in a project to work more effectively by giving Manager Roar Haga.
them access to accurate, comprehensible information at By the same token, a 3D map is a tool everyone can
the right time", states Business Development Manager Per relate to and understand. VisiWorld's software makes 3D
Reidar rke of VisiWorld AS. maps available on ordinary office PCs, meaning entire
VisiWorld can be compared to a map. The map was organisations can be more familiar with the project on
invented by the Egyptian pharaoh Seti I roughly 3000 which they are working. Very little training is required to
years ago. His problem was to find the way back to his navigate around the model.
hidden treasure troves and gold mines, and he did not trust
local people to guide him. The solution was a downscaled Integration
version of geography and topography, with the path "Oil companies and engineering enterprises alike possess
plotted in. When comparing the map and the terrain, most tremendous assets in the form of existing information.
people are able to determine where they are and then find However, the degree of re-use is far too low, especially
their destination. All the information you need is marked since this could be an important competitive factor in an
on the map - right where you would expect to find it. increasingly more global and cost-conscious industry. The
low level of re-use is due to the difficulty of retrieving
The database resembles a platform data, or unawareness of its existence", states rke.
"That is also the main idea behind VisiWorld. For instance, "Most engineering enterprises use several different large
a database that represents the Tambar platform in the databases on one and the same project, in addition to
North Sea should look like the Tambar platform. We have possibly hundreds of different types of specialist and
designed software that helps you find all the information professional tools. Integration between them is often non-
you need precisely where you would expect to find it. If existent, slow or manual, and in most cases static and
you want to know something about a valve, you walk your stringent. This makes information retrieval dependent on

Demo 2000 21
 specific individuals and tools. VisiWorld offers so-called
loosely coupled databases for integration between tools.
The intention is to allow users to continue to use the tool
in the subject or the discipline for which it was made, but
information of interest to others is incorporated into the
3D model in VisiWorld. In other words, people who are
not familiar with or lack access to the special tool can find
and use information directly without any detours.
"To realise the assets represented by the re-use of
information, we have to move from a document-based
world to an information-based world. Documents
frequently present impediments to re-use and to efficient
work processes, since a document is a repository of
different types of information, cemented into a fixed
framework", continues rke.
Anyone who has ever tried to describe a technical
gadget over the telephone knows how difficult this is.
VisiWorld makes it possible to share information with
partners, and then to ensure that it has been understood
correctly. Two individuals can meet inside a 3D model and
The North Sea maintenance technicians of the future will carry wearable com-
puters equipped with cordless communication, a flat screen on their stomachs,
and a video camera on their shoulder.
22 Demo 2000
find the information they need together. One can point out
a particular valve for the other, then they can retrieve
information, start a discussion, initiate a video conference,
etc. VisiWorld will be introducing synchronous and asyn-
chronous tools that can help people work together better
and faster within companies and across company lines.
Pilot project - BP Tambar
The goal of VisiWorld's Demo 2000 project was to demon-
strate the software in an operational environment on BP's
unmanned Tambar platform in the North Sea. "Previously,
we tested on a limited process area on the Gyda field. Now
we are in the process of completing a full-scale pilot
demonstration on Tambar", reports Haga.
On Tambar, VisiWorld imported the three-dimensional
CAD model used to design the rig. Based on this, techni-
cal information and documents have been linked directly
to the equipment in VisiWorld's 3D model. This means
that a maintenance team can review the work orders in a
3D model before travelling offshore. They can check what
equipment they need, inspect the maintenance log, etc.
While working on the platform, they can carry wearable
computers equipped with cordless communication, a flat
screen on their stomach, and a video camera on their
shoulder. Thus all data is available while they are working,
and the workers involved can access experts onshore, on
other rigs or even the supplier, using the co-operation tool
and video conferencing equipment they carry. The main-
tenance technician, supplier and specialist can then study
the valve, identify the problem and select the right solution
together, making them a virtual team in actual practice.
"It's quite a long way to the spare parts department when
you're out in the North Sea, and it takes even longer to
travel twice if you get the wrong part the first time", rke
points out. According to plan, the company will have
commercial software ready for the market at year-end
2002, but still wants to conduct more pilot projects to
demonstrate the technology on subsea installations and
manned platforms, for example.
The oil field of the future
VisiWorld sees its own software as a step in the direction
of the oil field of the future, the so-called e-field, which
will be fully instrumented and linked to sophisticated
communications systems. "If you want to set up effective
virtual teams in global organisations, there are a number of
prerequisites that must be in place. There must be
accurate, accessible and comprehensible information about
the facility. There must be a concise way of communi-
cating, and people must know how to find the organisa-
tion's knowledge and resources. And last, but not least:
The organisation must have people who have the ability to
adapt to new technology and to new ways of working
together. Once all this is in place, the oil companies can
 PHOTO: BJARNE RSJ
"A three-dimensional reproduction of a plant gives people a better idea
of how the facility works than they could possibly get by examining tra-
ditional flat images and blueprints", says Roar Haga (left), as his collea-
gue Per Reidar rke of VisiWorld AS agrees.

If you want to find out anything about a valve, it is natural to
find the valve first. In VisiWorld, all the information about a val-
ve is located on the valve itself, making it unnecessary, for
instance, to guess the name of the valve or to perform sear-
ches in free text.
reduce down times and run the platforms more efficiently. Smar-
ter information applications can also make it profitable to develop
smaller fields, and the economic life of fields already in operation
may be extended", states rke.
VisiWorld phase II
a life-time arena for
efficient, safe and environment-
friendly field development
Lead company: Visiworld as,
Fabrikkveien 7, Forus, Stavanger, Norway
Co-operating companies: BP Norge, Aker Kvrner, Telenor
Objectives: To reduce investment and operating costs, enabling
the development of marginal fields by combining 3D and VR with
a comprehensive facility management system.
The company
VisiWorld AS develops visual information and communications
tools to facilitate efficient interaction with respect to planning,
building, operating and maintaining complex facilities. The
goal is to reduce risks and costs at every stage of a facili-
ty's life cycle.

Demo 2000 23
 The future
e-field a reality
in a few years
"The oil fields of tomorrow will be fully instrumented and linked to sophis-
ticated communications systems. Geology and business will be integrated
in a whole new way, enabling us to exploit oil and gas resources far better
and more efficiently.
By Hvard Simonsen
Torbjrn Darre, Manager of Technology at BP, gives us a
look into the future; the not very distant future, incidental-
ly. BP's own major campaign e-Field identifies oppor-
tunities for operating oil fields in a high-tech network as
early as in 2005. The project brings IT experts, petroleum
engineers and psychologists together to integrate everyt-
hing from seismic sensing units at depths of several thou-
sand metres and the control of subsea processing facilities,
to control rooms featuring the optimal man-machine inter-
face.
Darre draws an analogy to the car industry. During the
past 10 to 15 years, cars have been packed with electro-
nics to monitor and control almost every function. In the
same way, the oil facilities in the North Sea are poised to
take the leap into the world of automation.
"Naturally, it is something else entirely to develop reli-
able control systems for oil installations at great depths far
out at sea. Defects and deficiencies with the steering sys-
tems can have a huge impact on safety and finances alike.
However, the technology is developing at an astonishing
pace, and at BP we have no doubt that in a few years we
will be operating fields in integrated systems whose func-
tions can be controlled dependably and safely over long
distances. Once the fields are integrated in this manner, we
will be able to co-ordinate the exploitation of resources
and operate the fields efficiently in close co-operation
with the experts onshore", explains Darre.
24 Demo 2000
BP has already established a network where a lot of
what takes place on the Ula, Gyda, Tambar, Valhall and
Hod fields, and in British sector, can be controlled from
the main terminal in Stavanger.
"Fibre optics cables between fields and the installations
make it possible to transmit large volumes of data for use
in video conferencing, for example. In several places, we
are installing so-called 'collaboration rooms' for drilling
and operating functions, bringing together the employees
and other oil companies. BP is investing large sums of
money in the 'e-Field' concept, allowing us to think in visi-
onary and radical terms about the future operation of the
oil fields", says Darre.
Environmental challenges
BP has also devoted considerable attention to projecting a
responsible environmental image. Darre is confident that
the environmental challenges will impact the development
of new technology and new solutions to an even greater
extent in future.
"While the other oil companies are still looking for evi-
dence that CO2 emissions cause global warming, BP
acknowledges that the effects on our planet may be so
serious that we have to do something about them now.
Accordingly, we have quantified clear targets for reducing
our total emissions and initiated measures for achieving
them", remarks Darre.
BP aspires generally to enhance process operations and
implement environment-related projects wherever the
 have demonstrated, for example, that we can
perform highly sophisticated drilling operati-
ons at great depths offshore". Darre also
mentions the horizontal wells on Troll, used
to tap into the thin oil reservoir in the gigan-
tic gas field, as an impressive feat of enginee-
ring. Troll is also the site of the first subsea
separation facility. At the Institute for Energy
Technology's (IFE) nuclear reactor in Hal-
den, psychologists know a lot about how the
control and communications panels on com-
plex technical installations ought to be desig-
ned to ensure optimal man-machine interfa-
ce. The oil industry is eager for this type of
knowledge. The Trondheim firm Optoplan is
in the process of winning converts to its fibre
optics technology for seismic monitoring and
control. Moreover, in Norway we have a gre-
PHOTO: HVARD SIMONSEN

at deal to offer when it comes to organisation

and management as related to development
and operations.
"Technology develops exponentially, and I
think the pace of change will continue to
accelerate", states Darre.

Torbjrn Darre, Manager of Technology at BP, predicts that the trend towards 'Asset-driven' research
'network-driven' oil activities in the North Sea will gain momentum rapidly. "It is of the utmost importan-
ce that knowledge pro-
company operates. In the North Sea, these efforts focus ducers maintain close relations
mainly on reducing gas consumption, and thus reducing with the industry and the opera-
CO2 emissions from the offshore facilities. But conside- tors. There must consistently
"If the oil
rable efforts have been invested in cleaning up and redu-
cing the discharge of the polluted water produced along
be dynamic interaction bet-
ween research communiti-
companies are not
with the oil. New cleaning technology has been installed es and the oil industry. It kept busy enough in
on Ula, as has a new injection system for the return of pro- is also crucial that a lar-
duced water into the injection wells, reducing emissions ge part of the technolo- Norway, we will lose
dramatically. gical development be
"For this, we were awarded the 'Chairman's Innovation 'asset-driven', that is, our focus on the techno-
Award', and these solutions will also be adopted by BP in that it be based on com-
other places. Generally speaking, it enhances the position mercial criteria", under- logy and research tasks
of the Norwegian oil industry that we can manage to deve- scores Darre.
lop this kind of environmental technology. At BP, we allo- He also expects resear-
that are most relevant
cate money where it can be used most effectively",
emphasises Darre.
chers to be a driving force
for development. "They
for the Norwegian
During the 2000 to 2002 period, BP also established a have to work at the cutting Continental
global in-house CO2 trading system as one of its business edge of knowledge", he states,
targets, not least to prepare for the upcoming emissions adding: Shelf"
trading system. "It is difficult to give any specific
answer about why, for example, Stanford
Norway at the forefront has such a good reputation. But it has somet-
"As a global enterprise, BP accesses expertise and know- hing to do with people. They are the future. It is all
ledge where it is best and least expensive. Norwegian about dedicated enthusiasts who possess extraordinary
research and oil communities are at the forefront in many expertise, and who have the ability to collaborate across
areas", Darre underlines, citing several examples: "We conventional disciplinary divisions. The oil companies

Demo 2000 25
 have already taken this into account by establishing multi-
functional teams. And I think Norwegian communities do
a lot of good work in this area."

Crucial seed money

Along with ChevronTexaco, BP has entered into collabo-
ration with ABB and Kvrner to develop subsea proces-
sing facilities. The project, named the Seafloor Processing
Consortium (SPC), has also gleaned a great deal of know-
ledge from the projects in the Demo 2000 programme.
"BP has entered into co-operation with ABB and
Kvrner because these companies are among the best
when it comes to subsea expertise. Furthermore, such

PHOTO:TRIANGLE
collaboration offers a far better yield on the capital we
invest in research", explains Darre, asserting that the same
applies to the State's initiatives through programmes such
as Demo 2000.
"There can be no doubt that state funding in a project
"I have heard key people in the oil industry say they would buy
ensures a distribution of risk that attracts research funding these valves just as often as they buy popcorn", recounts Bengt
from the major oil and engineering companies to Norway. Gunnarsson.
As a case in point, Demo 2000 has managed to trigger
projects to the tune of MNOK 800. The State's contributi- Triangle Equipment AS of Sta-
on is seed money that definitely earns a dividend for Nor-
way by attracting more business activities to the country."
vanger appears to be working
on the development of a new
More exploration necessary type of intake valve that can
"It has been quite some time since any real discoveries
have been made on the Norwegian Continental Shelf. All regulate the flow of oil from
the expensive deepwater wells drilled have been dry. That reservoir to production pipe.
is not good for the North Sea in competition with other
continental shelves. The authorities should therefore open In point of fact, the company is
new areas and give operators the chance to discover new about to develop an important
fields. We know the Norwegian Petroleum Directorate's
estimates regarding new finds are very large, but we need
part of the technology need-
a chance to try to discover them. If the oil companies are ed to increase oil recovery
not kept busy enough in Norway, they will turn their from reservoirs. No wonder
sights abroad. Then we will lose the focus on the techno-
logy and research tasks that are relevant for the Norwe- operator companies are
gian continental Shelf. That would not be good for following the project closely!
Norwegian oil companies, contractors, service companies,
Norwegian research groups or Norway as a nation",
continues Darre. By Bjarne Rsj
He cannot hide the fact that BP was disappointed about
not being named operator on the Grip block in the 17th "I have heard key people in the oil industry say that they
licence round, but is nonetheless pleased that the company would buy these valves as often as they buy popcorn, if
is a co-owner and partner in the licence. only they were ready and accepted as an industry stan-
"Our strategy in Norway is to manage the fields we dard. Obviously, we are working hard to finish qualifying
operate in the southern part of the North Sea in a safe, the technology", says Bengt Gunnarsson, in charge of
efficient manner. In addition, we want to own larger sta- business development at Triangle Equipment. The Sta-
kes in the fields in which we participate. We also want to vanger companys goal is to produce a smart well control
be a major player in the gas industry off mid Norway", system with intake valves that are far superior to todays
Darre concludes. standard. The valves will be made of tungsten carbide, an
exceptionally hard metal alloy that will supposedly opera-
te faultlessly thousands of metres down in the oil reser-

26 Demo 2000
Smart valve
with huge
market potential
voirs for 15 years at temperatures of up to 150 C.
Valves of this kind are an essential element in the so-
called "smart wells" expected to become more common in
the years ahead. Generally speaking, the simplest type of
oil production involved sticking a production pipe into a
reservoir and producing oil until the well was depleted or,
more correctly, until water and/or gas started coming up
instead of oil.
The first attempts to use smart wells were made by Saga
Petroleum on the Snorre field in 1997. The designation
smart wells is associated with oil reservoirs that produce
oil from several more or less delimited reservoirs through
the same well. The same technology is used on water
injectors, where operators steer the water injection to the
reservoir pockets where they want to maintain pressure.
By taking advantage of this technology, it should potenti-
ally be possible to reduce the number of wells, accelerate
oil production and increase the recovery rate from whole
oil fields.
Oil production is rather like newspaper printing in the
sense that extremely large investments are required to pro-
duce the first newspaper or drop of oil. After that, it costs
relatively little to print more newspapers or produce more
barrels of oil. (The difference is that newspapers can only
achieve a finite circulation, while oil can be sold right up
until the reservoir is irrevocably depleted.)
Valves represent a bottleneck
While the theory behind smart wells is simple, practical
implementation has proved extremely difficult. "One of
the major problems involves the valves used to regulate
the flow of oil from the reservoir into the well pipe proper-
ly. The valves found today are shaped like sliders, that is,
they consist of one outside bushing that can by pushed
into place like a sheath over an inside bushing of smaller
diameter. Both bushings have holes that allow oil to flow
through from the reservoir and through the walls of the
bushings when they are fully extended, since the holes in
the outside and inside match. Similarly, the valve is closed
by pushing the bushings together, so the holes no longer
match", explains Gunnarsson.
"The problem with these valves is that they use gaskets
that are easily destroyed by the oil, which always contains
sand, paraffins and other contamination. For that reason,
our valves are made of two bushings that rotate in relation
to each other, and where the inside bushing and gasket
are made of the extremely hard metal alloy tungsten carbi-
de. As there are no soft gaskets to be ravaged, we achieve
a far longer useful economic life", he explains.
Triangle Equipment has spent three years developing the
valves, which are qualified to a very high standard. "We
are now in the process of testing
and qualifying a sys-
tem for hydrau-
lic control
The company
Triangle Equipment AS,
Fabrikkveien 9, N-4022 Stavanger
Triangle Equipment AS is a company formed to deve-
lop, market, sell, install and service downhole well comple-
tion equipment.
The project:
Hydraulic Control System for Rotation Sleeves
Objective: To manufacture and test a technical prototype of the
NESCOS (None Electrical Surface Controlled Operation System)
smart well system, and test the technology both in the Saab Avi-
onics facilities and simulated well conditions at RF Rogaland Re-
searchs DIACS test facility in Stavanger, before demonstrating
it in a field well
Sponsors: Demo 2000, Statoil, Agip, BP, Chevron Texaco,
TotalFinaElf
Demo 2000 27
 Triangle Equipment's ambitious target was to make a valve with
a larger inside diameter and a smaller outer diameter than any
of its competitors.
of the valves", continues
Gunnarsson.
Seafloor float
technology
Founded in 1998, Triangle
Equipment is wholly-owned PHOTO:TRIANGLE
by Global Geo Services.
The Stavanger enterprise has signed a development agree-
ment with Ericsson Saab Avionics which has brought
invaluable expertise from the Swedish aircraft industry
into the project. The idea of using rotating valves made of
hard metal was originally conceived by Gunnarsson, who
has been responsible for much of the development in co-
operation with Stavanger inventor Per Olav Haugom.
"There can be no doubt that smart valves and smart
wells can translate into huge financial profits, and there
are examples of such valves paying for themselves in 30
days. However, the major oil companies have vastly dissi-
milar practices in this area, not least because it is difficult
to quantify the potential profits inherent in enhanced reco-
very. There are currently no simulation tools that can cal-
culate how much a whole field can benefit from smart
wells. At the moment, it is only possible to simulate indi-
vidual wells", relates Gunnarsson.
Notwithstanding, it is no secret that, for example,
Hydro, BP and Shell are far advanced in this area, and that
the latter has expressed the wish that every new well drill-
ed be considered for smart production. Otherwise, the oil
companies are generally conservative when it comes to
adopting new technology. Bengt Gunnarsson has also
found that it can be difficult for a small enterprise with 10
to 12 employees to be accepted by oil companies that alre-
ady have long-term development contracts on the Norwe-
gian Continental Shelf with large-scale suppliers. "The
28 Demo 2000
most important markets for
us are probably in the North
Sea, Brazil, the Middle East
and the Far East", he belie-
ves.
Several valves
in series
The Triangle company's
rotation valves can well be
assembled in series in hori-
zontal or vertical production
wells. The water surfaces
will not usually reach all the valves in a production pipe at
the same time. By correctly adjusting each valve, it is pos-
sible to delay water production and boost oil production.
One of the great advantages of the rotating hard metal
valves is that they can tolerate large amounts of sand with-
out being destroyed. "When testing, we pumped a total of
100 tonnes of sand through a valve that transported 18 000
barrels of oil a day. The valves just got better and better
throughout the testing period. The sand almost worked
like a grinding paste that kept the valves more tightly seal-
ed", explains Gunnarsson. Sand-resistance is one of the
reasons Triangle has initiated collaboration with Reslink
AS, a company specialising in wells, which has developed
proprietary solutions for sand filtering. "Our valves can be
integrated into Reslink's sand screens, and no one else has
managed that before. This application is a spin-off of our
Demo 2000 project, and we are confident that it will appeal
to a large international market", states Gunnarsson with
conviction.
"I will not deny that we are in the process of developing
a demanding technology, and we have made several mista-
kes along the way that have caused delays in relation to
the original schedule. However, we have solved the pro-
blems, and we have a good chance of completing testing
in 2002", declares Gunnarsson.
 Fibre optics

Revolutionize
deepwater
seismic
Managing Director
Morten Eriksrud (right)
and Senior Engineer
Sverre Knudsen with
some of their secrets.

PHOTO: HVARD SIMONSEN

Having revolutionized the telecom industry, fibre optics technology is also making its way
down into oil and gas wells.The Trondheim firm Optoplan has developed fibre optics
technology to facilitate seismic readings that are far more accurate than ever before.
By Hvard Simonsen However, despite being part of two Demo 2000 projects,
the technology has not been developed to the point of full
The acid test will come this autumn when Optoplan plans reliability, and there are still doubts that it will not work
to install and test a complete measurement system in a properly. Nonetheless, it will be exciting to see how close
well, monitoring an underground gas storage facility esta- to 'perfect' the project will be once at least eight months of
blished by TotalFinaElf in Pau in France, right in the testing in France are completed.
middle of the precious vineyards of Armagnac.
"It will be exciting", observes CEO Morten Eriksrud, as Accurate and reliable
Project Manager Sverre Knudsen nods his agreement. While Optoplan's French venture is essential, the largest

Demo 2000 29
 market for the opportunities presented by fibre optics pro- an oil well, according to Eriksrud and Knudsen. Yet Opto-
bably lies in downhole installations offshore. There, the plan is at the forefront when it comes to developing functi-
sophisticated fibre optic measurement systems can con- onal practical solutions.
tinuously monitor well operations and very accurately "One of the challenges lies in interfacing mechanically
measure developments in the reservoirs. of the fibre optic measurement system to the other equip-
The optical technology is based on measuring vital ment on the installations to allow the sensing units to ope-
parameters such as pressure, currents and ground move- rate under extreme pressures and temperatures. This calls
ments (seismic), using light that is transmitted and reflec- for considerable efforts in the field of mechanical design",
ted through a thin fibre of glass. relates Eriksrud, holding up a pipe-like object. 'The pipe'
"The sensing units are installed along with the producti- is a sophisticated accelerometer which ensures three-
on pipe in the well, and the technology has now been dimensional readings. It is no more than one inch thick
developed sufficiently to allow numerous sensing units on and roughly a half metre long. Optoplan's fibre optics
the same well string. Multiple measuring points enable us solutions are safely and securely hidden inside.
to achieve great accuracy and a high level of spatial reso- "The other major challenge is to make instrumentation
lution", explains Eriksrud. to transmit and receive signals through the fibre. In this
While the pilot installation in the gas field in Pau will context, we have designed and developed equipment to be
use a 16-channel system, the goal is to develop systems located on the platform", adds Eriksrud.
with up to 200 channels.
"The great advantage of fibre optics technology is that it First in the world
is based solely on passive components, rather than on acti- It takes a long time for new technology to 'catch on' in the
ve ones like electronic systems, for example. This transla- oil industry. The risk is often great, and oil companies
tes into a high level of reliability. Moreover, optic fibres want guarantees that the technology will work before they
have a tremendous transmission capacity. In principle is dare adopt it. Optoplan is therefore proud to be first in the
the bandwidth is virtually infinite", continues Eriksrud. world to install optical measuring and sensing systems in
oil wells. In 1993, the first optical pressure gauge was
A long way from lab to well inserted into a production well on the land-based Sleen
In other words, fibre optics are an incredibly exciting tool field in the Netherlands. Three years later, in 1996, Opto-
for future oil and gas activities, where trends are moving plan installed an optical pressure gauge in a subsea well
in the direction of linking wells and installations together on the Guillemont field in the English sector of the North
in sophisticated control systems that can be operated from Sea. This marked the first installation of one of Optoplan's
land. proprietary fibre optic wellhead links.
In principle, fibre optics technology is extremely sim- "We were the only ones in the world doing this in the
ple. In actual practice, however, the challenges are many mid-1990s, and we received
and large. It is a long way from the laboratory bench to strong support from
Shell, which be-
The Projects lieved in us",
Project I: Design and qualification of permanently installed in-well multi-component multi station seismic system Eriksrud
Project II: Design and qualification of in-well fiber-optic network and surface instrumentation unit for high channel recalls.
count permanent in-well seismic systems
Lead company: Optoplan AS
Participant: Read Well Services (co-contractor project I)
Objectives: (Project I) To design and qualify a permanent in-well multi-station, multi-component seismic system. (Project II)
To field qualify fibre optics seismic sensing units by installing a 5 level 3C accelerometer system in a land well on the Izaute
field in Pau, France.
Sponsors: Statoil, Norsk Hydro,TotalFinaElf, BP
Cost: (Project I) 17,1 million NOK. Demo 2000 (The Research Council of Norway) is funding on third of the cost.
(Project II) 16 million NOK. Demo 2000 (The Research Council of Norway) is funding 2 million NOK.

The Company
Optoplan AS, Bjrkhaugv. 27,Trondheim, Norway
Optoplan is one of the world's leading companies in the development of fibre optics sensor systems for seismic and other
offshore measurements. Conceived by researchers at the Norwegian University of Science and Technology, Optoplan
has since co-operated with US companies with similar technology.

30 Demo 2000
 Demo ensur-
es interaction

PHOTO: HVARD SIMONSEN

with the oil
companies
"The Demo 2000 projects are extremely
important for us", states CEO Morten
Eriksrud (picture) of Optoplan.
"The Demo programme organizes pro-
jects in a way that improves interaction
with the oil companies. For new technolo-
gy to gain a foothold, we have to have
access to the people in charge of techno-
logy in the companies. Since they now
serve on the steering committees for the
projects, they gain considerable insight
into the technological solutions we deve-
lop. They also contribute by telling us
what the oil companies need and how the
technology will be used. This has worked
very well for us at Optoplan. We are very
pleased to have four oil companies repre-
sented in the steering group for the pro-
jects", adds Eriksrud.
He attributes a great deal of the success
to fact that the oil companies have taken
Demo 2000 seriously.
"Then they also get more involved in
the projects. Apart from the financial sup-
port from the programme, this is of the
utmost importance from a commercial
point of view. Technology won't do any
good if we don't have a market", he com-
ments.

From 1993 to 1999, optical sensing and measurement sys-
tems were installed in a total of ten wells. Pressures excee-
ded 1000 bars and temperatures 160 C.
"We verified that the fibre optics solutions work, and
eventually the whole oil industry began to believe in them.
This was the basis of everything now taking place in the
field of fibre optics technology for downhole instrumen-
tation", continues Eriksrud.
A new generation of technology
In the first pressure gauges, light was transmitted out of
the fibre and back in again when reflected by a miniaturi-
zed silicon disk. This was the basis for measuring well
pressure. But it was demanding to make good mechanical
'packaging'. In 1998/99, Optoplan began using another
type of sensing units, i.e. fibre Bragg gratings (FBG),
which do not depend on the light leaving the fibre. Here,
at certain points, the fibre is exposed, almost like a film,
where some of the light being sent through fibre is reflec-
ted. With basic knowledge about the wavelengths of the
light and sophisticated measuring instruments, it is pos-
sible to measure the changes that take place in the fibre,
and thus the changes in the well.
"The mechanical design is simpler. Moreover, we can
now address, or have contact with, several sensing units
along the same fibre", explains Knudsen. These days,
Optoplan has systems that operate sensing units along a
drilling string that extends as much as 20 km from the
platform terminal.
The US company CiDRA was working on similar tech-
nology. The two companies eventually initiated collabora-
tion that led to CiDRA purchasing 40 per cent of Opto-
plan. The stake was subsequently sold to Weatherford
International, the US oil service company. The other 60
per cent is owned by the employees of Optoplan.
Seismic - a new market
Optoplan has further developed the fibre technology to
also perform seismic readings. Accelerometers are placed
downhole to record acoustic signals. The signals are cap-
tured by the sensor system and optical fibre cable.
"The goal of the Demo 2000 projects was to develop
systems for downhole seismic. In certain wells, it can be
feasible to install more than 100 sensing units. The more
sensing units, the more accurately we can chart the seis-
mic conditions and changes in the reservoir. The oil com-
panies want the resolution of the images high enough to
examine just a couple of square metres at a time", states
Eriksrud.
According to Optoplan, downhole seismic has many
advantages compared with surface seismic. It provides
more accurate images since measurements can be perfor-
med closer to the reservoir. It is also possible to periodi-
cally observe ongoing processes of change in the reservoir
since the measurement system is installed permanently.
"Seismic surveys based on fibre optics technology can
become an important new market", emphasizes Eriksrud.

Demo 2000 31
 Compact Electrostatic Coalescer

Smaller, smarter,
simpler, faster
One constantly recurring problem in the oil industry involves separating finely dis-
persed drops of water from the crude oil that emerges from wellheads.Traditional
water separators are so big that they can cover a whole platform deck, but the Aker
Kvrner Group has developed a new technology that solves the problem by being
smaller, smarter, simpler and faster.

By Bjarne Rsj

"We have to develop compact equipment if we want to

replace surface platforms with smart installations at great
depths. A lot of existing water separation equipment is too
big and heavy to be submerged 2000 to 3000 metres since
the extreme water pressure would call for enormously
thick walls on large-scale equipment", explains Simon
Davies, Vice President of Corporate Technology at Aker
Kvrner.
The biggest unit in the water separation system is the
coalescer, which forces the tiny water droplets in the oil
after the first stage of separation to coalesce, i.e. to grow
large enough to be separated from the oil. Traditional coa-
lescers are very large because the crude has to be
in them for 20 minutes or more to achieve
sufficient drop growth and then separa-
The Project: tion. Aker Kvrner has solved the
Marinisation of problem by dividing water separa-
Compact Electrostatic tion into two units, one of which
Coalescer System is a Compact Electrostatic
PHOTO: AKER KVRNER

Lead company: Kvrner Process Coalescer (CEC) that results

Systems a.s in strong drop growth in
Partners: Statoil, BP, Norsk Hydro, less than 10 seconds.
Chevron Texaco "After passing through
Objectives: To marinise and qualify the the CEC unit, the water/oil
CEC technology for subsea use. The CEC mix flows over to a
system is designed for applications in simple, smaller gravity Traditional coalescers are very large since the oil has to stay in
which specifications regarding the quality separator, where the oil them for at least 20 minutes to give the drops of water time
of export oil require the removal of floats to the surface and the to coalesce. Aker Kvrner has solved the problem by dividing
more water (and thereby salt) from the brine can be drained from water separation into two separate units, one of which is a
oil downstream of the traditional gra- the bottom of the tank", Compact Electrostatic Coalescer (CEC) that produces powerful
vity separator. recounts Davies. coalescence in less than 10 seconds.

32 Demo 2000
Water drops have to reach a minimum size before they can efficiently be separated from the water/oil mix.
Small foot prints, lower costs
"Tests conducted at Norsk Hydros plant in Porsgrunn
indicate a total residence time of five to six minutes, mean-
ing the plant has a far smaller 'foot print' than older con-
ventional solutions. Reduced size means lower production
and installation costs and, as mentioned, compact techno-
logy is critical for installations at great depths. But this is
also a huge step forward for future topside applications,
and that will be the focal point of our sales campaign", he
adds.
The electrostatic field that ensures drop growth in Aker
Kvrner's new coalescer is generated using a new techno-
logy that originated at Southampton University. "The
rights to the technology were subsequently acquired by
Statoil, which chose us as a partner in their efforts to com-
mercialise the technology. In collaboration with the other
partners, we initially built two pilot units that could pro-
cess 4000 barrels of oil per day. One of them was built
and tested with the support of Demo 2000. They have
worked so well that, in consultation with Statoil, we deci-
ded to build a full-scale pilot unit that can process 56 000
barrels of oil per day. The unit is now installed and about
to be tested, also as a Demo project, on Statoil's Glitne
field. Testing is scheduled for completion in 2002",
explains Davies.
Separation without chemicals
"During the tests in Porsgrunn, we noted favourable
results with both Njord oil and heavy oil from the Harding
field. The heavy oil results are extremely interesting with
a view to an installation off the coast of West Africa, for
instance. We measured a normal residual water content of
about 0.2-0.3 per cent, irrespective of grade, and we are
consistently under 0.5 per cent. This was achieved without
chemicals of any kind. Traditional coalescers often require
considerable amounts of chemicals, and any reduction in
consumption is an advantage in both environmental and
economic terms", Davies points out.
Demo 2000 33
 Demo 2000 Projects

Company Projects (December 2002)

1 ABB Offshore System as RICTIS; Riserless Coiled Tubing Intervention System
2 ABB Offshore System as SEPDIS; Subsea Electrical Power Distribution System
3 ABB Offshore System as SEPDIS Diagnosis
4 ABB Offshore System as Catenary Composite Riser
5 ABB Offshore System as/Marintek SPAR WHP,Wave Tank Model Tests
6 ABB Offshore System as DoHT CoM Downhole High Temperature Control
and Monitoring
7 ABB Offshore System as Compact Concentric Cylindrical Cyclone (4C)
8 ABB/Aker Kvrner (SPC) Subsea Sand Management
9 Aker/DSND Subsea/Reinertsen/Framo Deepwater Export Systems
10 Aker/IFE/Markland/Loke/Hitec/Simrad Total Field Simulator
11 Aker/TrelleborgViking/Wyman Gordon Production Qualification of Titanium Riser
12 Aker Kvrner Fast Response Subsea Control Valve
13 Atlantis Deepwater Technology Atlantis Explorer
14 Baker Oil Tools Remote Support
15 Baker Hughes BEACON High Reliability Data Collection
16 ChemTag/IFE/DNV DNA-based Tracers for improved Reservoir Management
17 Christian Michelsen Research Instrumentation for Horizontal Downhole Separation
18 Coflexip Stena Offshore Prevention of Hydrates in Risers
19 DNV/CorrOcean/Kvrner Integrated Uncertainty Management
20 Deep Community Test Center Pre-project
21 FMC Kongsberg Subsea/Twister BV Subsea Gas Dehydration
22 FMC Kongsberg Subsea/Siemens Fuel Cell Demonstration
23 FMC Kongsberg Subsea ISS; Integrated Subsea System
24 FMC Kongsberg Subsea Subsea Sand Management
25 FMC Kongsberg Subsea/APL/Framo/ Navion Low GOR Field Concepts
26 FMC Kongsberg Subsea/MWS/DNV/ V&S/Triangle Light Well Intervention
27 Framo Engineering Wet Gas Compressor
28 Framo Engineering Subsea Centrifugal Separator
29 Framo Engineering Offshore Cryogenic Loading
30 Geco Schlumberger Seismic Software Tools
31 Kvrner Eureka Multiphase Pump
32 Kvrner Eureka Subsea Centrifugal Compressor Module
33 Kvrner Eureka Kvrner MultiBooster
34 Kvrner Eureka Subsea Gas Booster
35 Kvrner Oilfield Products/Norske Conoco Composite Tether
36 Kvrner Process Systems Compact Electrostatic Coalescer
37 Kvrner Process Systems CySep, Compact Subsea Separator
38 Kvrner Process Systems Cyclone Separation (CySep)
39 Norsk Teknologisenter Interface Standard
40 Ocean Dev. Corp./ODC Multi Pupose Floater, Model Tests
41 Optoplan Downhole Optical Fibre Multiphase Meter
42 Optoplan Riser Instrumentation
43 Optoplan/Read Downhole Seismic System
44 Petrotech SILD;Well Testing and Fluid Sampling
45 PGS Reservoir Consultants Jetting Tool Lateral Drilling
46 Proffshore Water Dump Injector
47 Read Matre Instruments Pipe Train Hydrate Plug Removal
48 Read Well Services 4C Measurements in Horizontal Wells
49 Read Well Services Permanent Downhole Sensors
50 Rogalandsforskning/Halliburton Multilateral Well
51 Roxar Promac 2000, 2001 Well Completion System
52 Scandpower/IFE PeTra Multiphase Flow Simulator
53 SeaBed Geophysical IMPREDO, Seabed Seismic System
54 Triangle Equipment NESCOS Well Completion System
55 VisiWorld VisiWorld Data Management Offshore Pilot

34 Demo 2000
Demo 2000 35
Demo 2000
c/o Norwegian Research Council
P:O. Box 2700, St.Hanshaugen
N-0131 Oslo, Norway
Tel. (secretary): +47 22 03 74 40
Morten Wiencke, Programme Director
Tel. : +47 975 88 882
m.wiencke@demo2000.net
www.demo2000.net