Vessels that use emission-reduction technology

StatoilHydro has awarded contracts for four new supply vessels for the Norwegian continental shelf.

The company used this opportunity to obtain another gas-powered vessel. The total value of the contracts, including options, is almost NOK3 billion (US$579.4 million). The vessels will be delivered in the period 2008-2011. Two of the vessels will be delivered by Remøy Shipping, whereas the two other ones will be delivered by Farstad Shipping and DOF Management. All of the four vessels employ a new technology that reduces the emissions to the air. Three of the vessels have a diesel-electric solution with a catalyst, which reduces the emissions of NOx by about 90 percent compared with ordinary diesel vessels. The vessel running on liquefied natural gas, LNG, in addition reduces the emissions of CO2 by some 20 percent. This is StatoilHydro's fourth contract for a gas-powered vessel. StatoilHydro is so far the only company in the world that uses gas vessels for offshore operations.

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EOG sees big BC gas gains in 2011

EOG Resources chief executive said that the Houston-based independent oil and gas company would not log big production gains from a giant Canadian gas find until 2011.

“For substantial volumes for EOG to come from this play, pencil in 2011,” CEO Mark Papa told investors at the Bear Stearns Global Oil and Gas Conference. Last month, EOG said it may have discovered one of the largest accumulations of natural gas in Canada with its Horn River Basin play. Drilling on its acreage in northeastern British Columbia may have uncovered 6 trillion cubic feet of natural gas, the company said. First sales are expected this summer, but output will not rise quickly, due to the find’s remote northern location and the need to build up infrastructure. Wells are expected to cost an average of about $10 million each, Papa told investors. Still, Papa said the Canadian resource play has the potential to be as big as the Barnett Shale in North Texas, but the rate of return for the gas will be lower, due to the find’s location far away from natural gas market centers.

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Saudi Aramco contracts Hercules' newly acquired rigs

Hercules Offshore has signed contracts to provide Saudi Aramco with two jackup drilling rigs for three-year terms plus one-year fixed price options at the same rate.

The contracts are for the Hercules 300 and Hercules 261, currently known as High Island I and High Island VIII. Hercules 300 was acquired from Transocean on March 14, while the closing on the purchase of Hercules 261 from Transocean is expected on the completion of its current contract commitment in May. Hercules Offshore is negotiating contracts for the dry tow transportation of the rigs from the Gulf of Mexico to a shipyard in the Middle East in the second quarter of 2008. There, the rigs will undergo 90 to 120 days of contract preparation work. The contracts with Saudi Aramco will begin around Sept. 30. Potential revenue from the three-year contracts totals around US$151 million for Hercules 300 and US$140 million for Hercules 261, excluding payment to the company of reimbursable expenses and a total of around US$25 million for mobilization of the two rigs. Hercules Offshore CEO and President Randy Stilley said, "The acquisition of these high quality rigs, coupled with their redeployment to the Middle East, reflects the culmination of another key step in the execution of Hercules Offshore's strategic plan. We are extremely pleased to establish a relationship with one of world's largest operators, Saudi Aramco. These contracts, together with our recent contracts with ONGC in India, reaffirm our position as one of the world's leading shallow water offshore drillers."

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Cosco Busan pilot to face charges under Clean Water Act

The pilot of the container ship Cosco Busan that crashed into a bumper of the Bay Bridge and spilled approximately 58,000 gallons of oil into the San Francisco Bay in November has been charged with criminal negligence and violating environmental laws.

Under the Clean Water Act, as amended by the Oil Pollution Act of 1990, John Joseph Cota has been charged with the negligent discharge of oil and the killing of migratory birds. The oil spill has been linked to the death of about 2,000 sea birds, including brown pelicans, a federally endangered species, and marbled murrelets, which are considered endangered by California. According to court documents, Cota failed to use the ship’s radar, failed to consult on the ship’s course with the Chinese captain and crew, failed to verify the vessel’s position, and piloted the Cosco Busan at an unsafe speed as it left the port of Oakland in a heavy fog. If convicted, the pilot faces up to 18 months in jail and a $115,000 fine.

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BHP-Billiton evacuates Neptune TLP

Australian producer BHP-Billiton has removed all personnel from its Neptune tension leg platform (TLP) in the deep-water US Gulf after inspections discovered ‘anomalies’ in the facility’s hull.

According to BHP spokesperson Teresa Wong, visual inspections being conducted in advance of planned start of production from the Green Canyon block 613 platform found the ‘anomalies’, which she added have not been fully defined. The facility is located in about 4250 feet of water. As a safety measure, BHP pulled the project personnel working on commissioning of the SBM-Atlantia-designed mono-column TLP while additional surveys are being undertaken to discover the source and nature of the ‘anomalies’. A number of teams are working at the facility to determine the next course of action. BHP hopes to know more about the situation early next week. The 5900-ton hull of the Neptune TLP was built at the Port Arthur, Texas, facility of Signal International. The project was the first of its kind for the fabrication yard. The $1.1 billion Neptune project has been a source of cost overruns and delays, and was most recently due to come on stream during the first quarter. BHP-Billiton operates Neptune with a 35% working interest. Partners in the development are Marathon Oil (30%), Woodside Petroleum (20%) and Repsol (15%).

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The Gigayacht

Monaco-based Wally Yachts continues to develop innovative concepts and minimalist luxury at a rate exceeding any other marine design house on the planet.

The company's latest is the WallyIsland—a 99 meter (325 feet) "gigayacht" that dwarfs the vast majority of luxury megayachts and reconceives the yacht as a floating personal island, a mobile address that can be used as a home, an entertaining space or even a moving exhibition or show space. Wally Yachts reconceives the yacht as a 325-ft. floating personal island. Over the last ten years, several yachts have been built over the 320-foot mark. WallyIsland is not the first of this new breed of luxury gigayachts—nor is it the largest. WallyIsland looks more like a tanker than its gigayacht brethren, due to the huge 1000m2 main deck area and the fact that is has only three upper-level decks rather than the multilevel arrangements typical on others. It has designed this way to increase open entertaining space and allow large garden spaces, and this sort of design also keeps the cost of the yacht "competitive. The WallyIsland's main deck can include a large, deep swimming pool, garden spaces, tennis or mini soccer grounds, as well as the requisite helipads. It includes sleeping quarters for up to 40 crew and 24 guests as well as the extravagant owner's suites and holds around three-quarters of a million litres of fuel. The interiors feature a main saloon, living/dining room; guest accommodation, library, cinema, spa, wellness and fitness area; service and crew area; and the steering/navigation area.

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Hamburg Süd christens the 'Rio de la Plata', its largest-ever container ship

At the Daewoo Shipbuilding and Marine Engineering (DSME) yard in Okpo, Korea, Hamburg Süd has christened the largest-ever container ship in the company's history.

The 'Rio de la Plata' is the first newbuilding in a series of six identical vessels each possessing a slot capacity of 5,900TEU. At a length of 286 metres, the 'Rio' class is precisely one bay longer than the 5,552TEU 'Monte' class vessels. Sponsor of the 'Rio de la Plata' is Marén Schröder, daughter of Dr Ernst F. Schröder, personally liable partner of Dr August Oetker KG, Bielefeld. Following her delivery on April 2, 2008, the 'Rio de la Plata' will initially is phased into Hamburg Süd's Asia - South America East Coast service for a short time before being deployed in the shipping group's Europe - South America East Coast trade. She and her five sister ships will gradually replace the 'Monte' vessels deployed there, which will then connect Asia with South America East Coast. The name chosen for the ship, 'Rio de la Plata', comes from the estuary formed by the major South American rivers Paraná and Uruguay, on which the two key ports of Buenos Aires and Montevideo are situated.

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