The Full Picture Magazine 01/10

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FOR USERS OF KONGSBERG PRODUCTS AND SERVICES 01/10 ..................................................................................................................................................................................................................................................................................................................................................................................... ..................................................................................................................................................................................................................................................................................................................................................................................... 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THEME New Directions The FULL PICTURE magazine TEEKAY OFFSHORE Tag Team TRANSOCEAN Sedco Rig Refits NORSKAN Brazilian Roots BW OFFSHORE Business As It Is SEADRILL Homegrown Success SWEDISH COAST GUARD “Let’s put it this way – we definitely have the capability to stretch what’s possible.” – BW Offshore CEO Carl K. Arnet on being an industry front-runner

description

The Full Picture Magazine is a magazine for users of KONGSBERG products and services

Transcript of The Full Picture Magazine 01/10

Page 1: The Full Picture Magazine 01/10

FOR uSeRS OF KONgSBeRg PROduCtS ANd SeRviCeS

01/10

SAY: PR

& Com

munications

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tHeMe New directions

The FULL PICTUREmagazine

teeKAY OFFSHORe tag team tRANSOCeAN Sedco Rig RefitsNORSKAN Brazilian Roots

BW OFFSHORe Business As it isSeAdRill Homegrown Success SWediSH COASt guARd

“let’s put it this way – we definitely have the capability to stretch what’s possible.”

– BW Offshore CeO Carl K. Arnet on being an industry front-runner

Page 2: The Full Picture Magazine 01/10

tHeMe intelligent enginestHeMe New directions

Page 3: The Full Picture Magazine 01/10

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EDITORIAL STAFFGunvor Hatling Midtbø Kongsberg Maritime, Vice President [email protected]

CONTRIBUTORSChristina [email protected]

Claudio [email protected] Ove Ronny [email protected]

Ryan [email protected]

Saul [email protected]

Scott [email protected]

MANAGING EDITORS,EDITORIAL PRODUCTION & GRAPHIC DESIGNSAY: PR & Communication

COVER PHOTOJohs Bø[email protected]

PHOTOSJohs Bø[email protected]

Jonas Borg [email protected]

Jorgen Aas

Tommy [email protected]

Tor [email protected]

Petrobras

Scanpix

PRINTINGColorMaster Norge

COPYRIGHTKongsberg Maritime AS

ADDRESSKongsberg Maritime ASKirkegårdsveien 45P.O. Box 48NO-3601 KongsbergNorwayTelephone + 47 32 28 50 00Telefax +47 32 28 50 [email protected]

CuSTOMER fEATuRE 2 Back to the way business is

BRAZIL fEATuRES 6 Kongsberg in Brazilian

8 BW Offshore Brazil: Heart of the matter

11 Teekay Offshore: Tag team

14 Estaleiro Atlantico Sul: The citizen company

16 NorSkan Offshore: Brazilian roots

20 Bola pra frente: Learning to dream

22 Seadrill: Homegrown success

28 Sevan Marine: The hand-picked rig

MOVES & uPGRADES 32 Squeezing through the Bosphorus

36 Marine Matteknik: upgrading franklin

40 Northern Star: Attention to detail

43 Transocean: Sedco rigs a blank slate

46 Swedish Coast Guard: The Coast Guard

KONGSBERG NEWS 48 Breaking ground

50 K-Master: Integrated Reality

53 New Company in Dubai

54 Expansion of Customer Support

55 New Training Centre in Singapore

56 Karanba: A chance to dream

01/10THE FULL PICTURE MAGAZINE

The full Picture Magazine is a magazine for users of KONGSBERG products and services. for a complimentary copy of the magazine, please contact Kongsberg Maritime AS: [email protected] full Picture Magazine is also available in pdf-format at www.km.kongsberg.com

Contents

Heading in new directions

:: Over the years, Kongsberg’s growth has been based on the

useful and reliable technology solutions that we develop to meet the

requirements of the industry. This has only been possible through

close co-operation and partnership with our customers. With

technical co-operation and strong business partnerships we have

been able to forge new directions – new solutions for new markets

and new applications.

The same drive to break new ground is clearly evident in our

customers. Seadrill’s trailblazing approach to manpower in Brazil

reflects this and Eduardo Antonello, Director of the company’s

Brazilian operations told full Picture that he is proud that all Seadrill

rigs in Brazil are majority manned by Brazilians, whereas other firms

operating there may have up to 95% foreign staff onboard their rigs.

Likewise, Teekay, the world’s largest provider of shuttle tanker

services forged a new direction in Brazil, laying out a strategy in 1999

on how to influence the market and open the door to DP shuttle

tanker operations. And from 2002 to 2007, the company supplied

Petrobas with 11 ships. They are now responsible for three quarter’s

of Petrobas’ shuttle tanker fleet.

We could describe Brazil as a new direction for Kongsberg, but in

truth we’ve been active in the country for over a decade. But Brazil

is evolving rapidly. The country’s once famous shipbuilding sector is

on the rise once again and the day that the first Brazilian fPSO or

semi-submersible rig hits the water is not far off. We know, because

we talked to Estaleiro Atlantico Sul, the shipyard that may be the first

to make this happen.

Of course, technology takes us in new directions too. When we

talked to Carl K. Arnet, CEO of BW Offshore, he was keen to stress

that they don’t go after technical innovation or push the boundaries

just for the sake of it though. Take for instance the mooring systems

that they developed for the BW Pioneer; the innovations were only

out of need, because it is for the deepest oil development in the

world.

At Kongsberg, we are dedicated to the ethos of managing the

downturn whilst preparing for the upturn. Many shipowners share this

outlook and instead of ordering new vessels, decided to take the refit

route in the year following the credit crunch. We talk to a number of

shipowners in this issue of the full Picture who are managing their

way through the economic climate whilst keeping a firm eye on the

opportunities that are sure to come.

We hope that you share our enthusiasm and drive for new directions.

Like our customers, we are always looking at things in new ways or

working out how we can better serve our customers with systems,

technology and support that helps to strengthen their own new

directions. Which means that there is never a boring day at work! ::

Gunvor Hatling MidtbøKongsberg Maritime

Vice President – Communication

Page 4: The Full Picture Magazine 01/10

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BaCk to tHe way Business is It could be said that BW Offshore CEO Carl K. Arnet had bad luck when taking over the reins of the FPSO company at the height of the global financial crisis in September 2008. But that’s not how he sees it. In fact, Arnet believes that regular business conditions help rid the industry of less serious players and rewards companies like BW Offshore that have their houses in order.

Carl K. Arnet, CEO, BW Offshore

tHeMe new directions article by the Full Picture Magazine :: Photos by Johs Bøe.

Page 5: The Full Picture Magazine 01/10

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:: Arnet began his career at Norsk Hydro,

and stayed there for a full sixteen years. After

starting off working offshore on the startup of

various platforms and projects and making his way

up to Offshore Installation Manager, he branched

out and moved over to international business

development. In the end, however, he developed

such a taste for business that he decided to carry

it out outside of Hydro.

“At Hydro one was really only responsible for

one side of the equation – the expense side – and

never the profits,” Arnet says. He got the chance to

weigh in on both sides of the equation, however,

when he joined offshore loading and transfer

system supplier APL (Advanced Production and

Loading) as Managing Director in 1996.

During his time at the helm, APL evolved from

a small Arendal, Norway startup to become the

leader in turret and mooring technology, with a

significant number of ‘world records’ in terms of

water depth (both deep and shallow), weather

capacity and pressure containment, among

others. BW Offshore purchased APL in 2007,

and Arnet served as Deputy CEO at BW Offshore

before taking over the top position in a planned

transition the year after.

This took place not only at the height of the

global financial crisis, but also at the start of a

period (August 2008 – August 2009) that marked

the first time since the FPSO market began that

the industry had gone through an entire year

without a single contract award.

While not all FPSO companies will necessarily

show this development on their bottom lines

now – given that contracts are set in place

years in advance – in general the slowdown

has had benefits for the well-established FPSO

players. Some new entrants into the field have

disappeared from this competitive area. This gives

BW Offshore – which has delivered oil FPSOs

primarily based on VLCC hulls since 1997 – a great

chance of increasing its market share.

In fact, 2009 and 2010 so far have been quite

fruitful years for the firm – particularly due to the

company’s vessels extremely strong operational

performance (an uptime of 99.7 percent in 2009)

and its multitude of projects in the Gulf of Mexico.

One of the highlights here is the BW Cidade de

São Vicente FPSO at the giant Tupi oil field off the

coast of Brazil. BW offshore had a modified vessel

on the field to commence FPSO operations within

335 days from Petrobas awarding the contract

– one of the quickest turn-arounds on record.

Other projects here include a FPSO conversion for

Petrobras and Chevron in the Papa Terra venture

in the Campos Basin offshore Brazil, and the BW

Pioneer FPSO for the Cascade & Chinook project

for Petrobras – the first FPSO in the US portion of

the Gulf of Mexico.

In addition to these and other contracts of

note, a Letter of Intent for the BW Carmen

FPSO in the UK sector of the North Sea, the

impending secondary listing of the company on

the Singapore Exchange, and other opportunities

being pursued in the Asia South Pacific and West

Africa mean that BW Offshore is bullish about

continued success.

The Full Picture recently sat down with Arnet

in BW Offshore’s Oslo offices for a one-hour

interview, with the conversation running the

gamut from the current state of the FPSO sector

and the company’s success in a difficult climate

to the subsupplier market, future prospects in the

Gulf of Mexico and beyond…

On the financial crisis, Arnet’s ascent to the head of BW Offshore during the crisis, and the FPSO industry clearout “The focus from 2005–2007 was on growth, and

growth at all costs. Everything was peaking at the

same time, and everybody was doing the same

thing. It was a tremendous period – people were

saying that there was no end to the number of

FPSOs needed. If you took the plans of all the

FPSO players and added them up, you could walk

from Oslo to the United States – easily. It was just

the times.

“I came in when all of this crashed to Earth. Then

things went back to the way that business really

is. Business is tough – we have very demanding

clients with large and complicated projects.

Putting projects together is not supposed to be an

industrial happening – it should be a controlled

process. And this is where we excel.

“I actually think that we’re in a good period

now – what we’re doing now is a much more

sensible business. One by-product of the toned-

down market could very well be that a number

of the less-serious FPSO players disappear. They

will have big problems getting financing – not

to mention the trust of their respective clients.

Many of them have failed to deliver on time

and served up large budget overruns. It serves

nobody, really.”

On BW Offshore’s improved financials in 2009 and so far in 2010“We’re not affected by short-term market swings,

as our projects are very long term. Some of the

improvement was in the cards – because we

had taken on projects, completed and delivered

them, and then started to receive revenue – but

where we’ve really made advances is in achieving

better control over the operating costs, and more

predictability. These areas tend to be pushed in

the background during boom times – people are

so busy acquiring new work that they forget

about ‘mundane’ areas like operations.”

On being an industry front-runner “Let’s put it this way – we definitely have the

capability to stretch what’s possible. The mooring

system that we’ve put into place for the BW

Pioneer – the deepest oil development in the world Carl K. Arnet, CEO, BW Offshore

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4

– shows that we have the technical capabilities.

But we’re not going after technical innovation

or pushing boundaries just to do it. We’re very

commercially driven, and are most concerned

with profits on our operations and having a sound

basis for future growth. We do, however, see that

these things go hand in hand. If you have the

technical capabiliities, then you place yourself in

a less competitive category. You’re making your

own market, so to speak.”

On technology ownership vs. supplier purchases from the market“We’re not interested in technology ownership in

a general sense – we’re quite happy to purchase

it from the market. Take pumps , for example.

There’s reasonable competition here, so we don’t

need to own a pump company to get a good deal.

“However, if competition is severely restricted

to the point where there is no competition, or

the technology in question is a very particular

part of our product – like loading, offloading, or

a mooring system – then it’s different. It’s a very

particular type of technology, and there are very

few companies in the world with a track record

here. We would only be able to buy it from our

competitors – and that’s not comfortable. So that’s

why we own APL.”

On BW Offshore’s relationship with subsuppliers“We run a big supply chain for all of our projects –

they’re quite complicated, integrated projects. We

typically have two to three professional companies

in on our projects. We haven’t standardised on

one specific control system for example – we

actually buy from the market. You could always

question whether that’s a smart strategy or not.

But BW Offshore is very commercially driven,

and we are totally dependent on there being a

number of good suppliers out there.”

On Kongsberg Maritime and Norwegian subsuppliers in general “The BW Cidade de São Vicente FPSO required

an extremely quick turnaround – we executed

the project in 11 months – so we’re very pleased

with the perfomance of the subsuppliers here.

Kongsberg Maritime and their control package

played a vital role in this process.

“If there’s one area where Norway is contributing

to the world at large, it’s in the country’s experience

in the area of maritime, offshore and oil and gas,

and its ability to combine these competencies.

This is the strength that Norwegian subsuppliers

should continue to emphasise.”

On the proposed secondary stock listing in Singapore “We’re the first FPSO company going for a dual

listing in Singapore and Oslo, and things are more

or less progressing according to plan, but are just

taking a bit longer than we had initially thought.

The due dilligence carried out in Singapore is

rather complex, and since we operate in so many

jurisdictions and have permanent setups with

tax responsibilities – from the US and Brazil

to Nigeria, Mauritania and beyond –then due

dilligence means that all of these locations need

to be checked. But we should be in place here over

the course of the autumn.

On meeting local content requirements for operations in Brazil “While there isn’t a fixed set of rules, Petrobras

has high expectations regarding local content

for the operation of its offshore Brazil projects.

BW Offshore has reached a level of 80% local

employees in our projects there, something that

we’re very proud of.

“It is a challenge regarding the calibre of

employees and getting them in place in time, but

we were very happy to meet the targets. Most of

our training takes place on the job – we come in

mainly with an international crew, and then we

train people there and replace our international

staff over the course of the year. We’ve done

this without any problems regarding health and

safety. We’re also providing financial support to

local cadet programmes in Brazil in order to have a

greater number of competent personnel there in a

couple of years, which there will be a demand for.”

On the fallout from the Deepwater Horizon incident in the Gulf of Mexico “While it’s too early at this time to say if what

happened there is due to complancy or technical

issues, the incident may significantly impact

offshore developments in the region, and will

definitely increase the price of these.

“The pre-salt area in Brazil is the same type of

formation as in the Gulf of Mexico’s US waters,

tHeMe new directions

BW OFFSHORE

TECHNOLOGY HIGHLIGHTS

• One of the world’s leading floating

production, storage and offloading (fPSO)

contractors and a market leader within

advanced offshore loading and production

systems to the oil and gas industry

• The company has over 25 years of

experience in the industry, and has

successfully delivered 15 fPSO projects and

50 turrets and offshore terminals

• Listed on the Oslo Stock Exchange

and likely listed on the Singapore Stock

Exchange over the course of 2010

• Employs approximately 1100 people in

business centres across Europe, the Asia

Pacific, West Africa and the Americas

• 2009 operating income of uSD 121.4 million

• A part of the BW Group, one of the

world’s largest maritime groups

BW Offshore’s fully owned technology

division, Advanced Production and Loading

(APL), delivers cutting-edge turnkey

solutions for:

• Production vessels, storage vessels

and tankers in a wide range of field

developments

• The company’s BW Pioneer, which is in

operation for Petrobras and represents

the first fPSO in the uS section of the

Gulf of Mexico, is the deepest application

for a APL Submerged Turret Production

(STP) buoy to date. It features a turret and

mooring system at a water depth of 2600

metres

• Through a fast-track conversion project,

BW Offshore delivered the first fPSO –

the BW Cidade de São Vicente – to the

Tupi field, one of the largest in Brazil, to

Petrobras

• The fPSO Yùum K’ak’ Nàab, currently in

operation for PEMEX in the KMZ field in

the Mexican Gulf of Mexico, is the largest

fPSO to date. The vessel has a throughput

of up to 600,000 barrels of oil per day.

“Putting projects together is not supposed to be an industrial happening – it should be a controlled process. And this is where we excel.”Carl K. Arnet, CEO, BW Offshore

Page 7: The Full Picture Magazine 01/10

and I don’t even think that Mexico has started

drilling similar structures. Future developments

will definitely be coming from these deepwater oil

areas. There’s no doubt that the Gulf of Mexico

contains huge quantities of oil – the question is

how economical it is to develop it. This is always

the conundrum that you have to solve – you

have to include the investment, development and

production costs relative to the price of oil at the

expected recovery to see if you have a commercial

project.

“The positive thing you can say about the

incident in the Gulf is that it will hopefully help

bring about an enhanced focus on safety.”

On BW Offshore’s strategic take on the FPSO market “We have typically done vessel conversions, as

this is a very suitable route for a lot of business

cases that we see – but this doesn’t mean that we

wouldn’t do a newbuild. So far they just haven’t

made sense. Take the Cidade de São Vicente vessel,

for example – there’s no way that a newbuild

would have worked with the time involved. We

had a competitive advantage over our competition

because we had access to a conversion unit.

“While we’re set up to own and operate FPSOs

and gain our revenue through lease rates, we’re

not averse to EPC contracts. In fact, we’re doing

one right now for the Papa Terra project. We’re

open to different business models. Right now,

being paid on progress is possibly preferable to

having to finance projects and be paid over time

– not only is it good for the activity level, but it’s

less demanding on our financial capabilities.”

On BW Offshore’s continued success“When you are executing large projects like we

do and take on long contracts handling large

quantities of flammable and polluting substances,

you have to put together a company with a very

clear business strategy, very clear objectives and

a systematic approach. There’s no way you will

succeed in production without a very systematic

health and safety approach that minimises and

mitigates risk. You also have to be careful to find

the right mix of short-term and long-term costs

for all of your technical solutions. Developing the

supply chain – so that you have the right partners

and players in order to obtain your project

objectives on time and at cost – is extremely

important.” ::

5

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6

:: Kongsberg established its Brazilian

daughter company on 1 December 2009 for

two reasons: 1) Ships and rigs with dynamic

positioning and/or integrated control systems

from Kongsberg have jumped from 100 to 250

over five years, and 2) Brazilian authorities and

nationalized companies express a preference

for suppliers that invest in the country, as rules

stipulate a fixed minimum of Brazil-based supply.

Kongsberg has been present in Brazil through

a sales and service representative, REM Industrias,

since the late eighties. This year, the company aims

to combine this Macae-based training location with

its service, sales and administration office in Rio.

kongsBeRg in BRaziLianWith ongoing investment in Brazil, Kongsberg Maritime seeks to anchor its solid position as a provider of mission-critical components to the country’s ship and rig owners.

tHeMe new directions article by the Full Picture Magazine :: Photos by tommy normann

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7

WhoTony Håvelsrud is managing director of Kongsberg

Maritime do Brasil S.A., after spending over

five years in the country as sales manager and

general manager. He is accompanied by a staff

of 35 employees, many of whom have extensive

experience servicing Kongsberg-equipped ships

in Brazil. The company recently hired around a

half-dozen new engineers.

“Everyone in Brazil struggles to find skilled

employees. We’re fortunate; the Kongsberg brand

is so strong that we’ve always had a steady stream

of qualified applicants,” says Håvelsrud.

The marketOf the 250 or so ships and rigs equipped with

Kongsberg components in Brazil, roughly one-

third are owned by Brazilian companies. This

ratio is set to grow, as Petrobras and Transpetro’s

ambitious newbuilding programmes increase

the number of Kongsberg-equipped units to

somewhere between three and four hundred.

“Our challenge will be to maintain or increase our

strong market share in this market. Competition is

toughest at the lower end of DP and ICS; on the

high end of advanced DP and ICS, we have a very

strong position and reputation,” says Håvelsrud.

Business challengesThe relationships between Kongsberg Maritime

in Brazil and in Norway, and with Brazilian

customers, requires constant care. Even if

Kongsberg Maritime is able to sell its products

directly in Brazil, contracts are still signed with

Kongsberg Maritime in Norway.

“It is far cheaper for customers to import the

components, than for us to import them and resell

them. Domestic owners here have exceptions

under the tax law to import what they need,” says

Håvelsrud.

Nonetheless, Håvelsrud states that the Brazilian

company will establish a spare parts inventory in

Brazil. The added speed of replacements will, in

some cases, make up for added costs.

Obtaining visas for foreign specialists to

come and work in Brazil continues to be a time-

consuming affair. With an increased contingent of

local talent, however, Kongsberg will hopefully

be able to meet more and more needs with skilled

Brazilians.

Adding valueLocal presence increases the speed and quality of

service, but Kongsberg is working to add even

greater value for its customers. Two areas stand

out: Training and continuing education.

The manning challenge in Brazil is, if anything,

even worse for DP operators. Kongsberg Maritime

has stepped up DP training, owning one of the

few training centres approved by the Nautical

Institute.

Secondly, Kongsberg Maritime has been working

tightly with shuttle tanker owners and operators

(Petrobras, Transpetro, Teekay and Knutsen OAS)

to make their operations steadily more efficient.

Conclusion“We feel excited and privileged to participate in

what’s happening here in Brazil. The market is

booming and we’re eager to participate in that

growth,” says Håvelsrud.::

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8

tHe HeaRt oF tHe MatteRBW Offshore entered the Brazilian offshore oil production market in 2008; only two years later the company is an established player stepping up its local recruitment and building relationships across the region.

tHeMe new directions article by the Full Picture Magazine :: Photos by tommy normann, Bw offshore, Petrobras

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9

::.“If you had failed, we would have failed.

The heart of an FPSO is the control system, and

BW Cidade de Sao Vicente’s control system is

from Kongsberg. Stakes were high, and it’s been

a success. The FPSO’s up-time is close to 100

percent,” says BW Offshore’s director in Brazil,

Jon Harald Kilde.

The Full Picture magazine met Kilde at the

company’s Rio de Janeiro office (one of three in

Brazil, along with operational offices in Santos

and Macae). He has led BW Offshore’s efforts in

Brazil since it opened an office there in 2008, only

one month before the company won the initial

contract with Petrobras for the FPSO ‘BW Cidade

de Sao Vicente’ (BW CdSV).

The contract itself was of a modest size, but

its significance wasn’t. Following the discovery

of the huge oil deposits in Brazil’s pre-salt Tupi

field, Brazil’s national oil company Petrobras

had promised the Brazilian government to begin

producing the oil within one year. Given the

typical three to ten-year lead-time needed to

engineer, build and start-up production units, this

was no modest promise.

“We had an FPSO available that needed some

modifications to suit life as a pre-production and

testing FPSO at the deepwater Tupi field. We were

able to deliver it in 11 months and it was pivotal

in allowing Petrobras to live up to its promise,”

says Kilde.

You can’t buy the kind of goodwill BW Offshore

earned from this delivery. Early in 2010, BW

Offshore together with its Brazilian partner QUIP

won its second FPSO contract with Petrobras

and partner Chevron for their Papa Terra field

production. The company has signed contracts for

adapting the first FPSO (OSX-1) of Brazil’s hard-

charging independent player OGX, to its first

oilfield Waimea.

The prodigious start with BW CdSV may have

long-term repercussions for the company, as

Brazil’s deepwater fields and low level of pipeline

infrastructure mean more than 40 new FPSOs

will join the 25 already operating there over the

next decades. Along with Petrobras and OGX,

the FuLL PiCtuRe magazine 01/10

Picture BW Cidade de São Vicente with courtesy of Petrobras

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10

international oil companies like Anadarko, Shell

and ExxonMobil are investing heavily in parcels of

Brazil’s offshore fields. OGX’s official plans include

19 FPSOs to develop their 22 oil fields/blocks.

Nationalised challengesFor BW Offshore, the biggest risks to its Brazilian

endeavour are political and organizational.

While Kilde lauds the Brazilian oil regulators as

professional and easy to work with, the potential

for changes at the top and the uncertainty that

goes with it creates some concern.

“Brazil has established stringent requirements

for local production. At the same time, it has laid

an ambitious path for ramping up oil production.

This leads to some interesting paradoxes;

Petrobras convinced the national government in

one instance to allow them to look abroad for

conversion projects because domestic sourcing

would not have met the required delivery times,”

says Kilde.

Current rules require “65 percent” of offshore

deliveries to come from Brazil, but this ratio is

subject to some imaginative mathematics. In

reality, most projects’ Brazilian content is in the

35 percent range - a figure Brazil’s government is

trying to push up to at least 50 percent. With BW

Offshore’s big plans in Brazil, this means it must

put a greater focus on recruiting and sourcing

inside the country.

“We’ve had to reach out to schools in order to

ensure we get a supply of skilled Brazilians that

matches our plans here. We have an obligation

to ensure that at least 80 percent of BW CdSV’s

personnel are Brazilian. We work with universities,

technical schools and Brazil’s merchant marine

training institution (CIAGA),” says Kilde.

Along with people, BW Offshore will need to

secure a good supply of equipment from inside

the country. This brings us back to the comments

about Kongsberg. “The advice I would give to

Kongsberg is to continue investing in its strong

local presence. Relationships and continuity are

valued very highly in this market,” says Kilde. ::

“Stakes were high, and it’s been a success. The fPSO’s up-time is close to 100 percent.”Jan Harald Kilde, BW Offshore’s director in Brazil

tHeMe new directions

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11

the FuLL PiCtuRe magazine 01/10

:: Few of Teekay’s international competitors

in the FPSO and shuttle tanker business have a

longer history in Brazil. The company’s name is

practically synonymous with the introduction

of DP shuttle tankers in the country’s offshore

oil transport chain. Today, 12 of the 16 shuttle

tankers operating off Brazil are Teekay owned,

and they hope to grab a large percent of the 15 or

so new shuttle tanker tenders coming in the next

ten years.

The Full Picture met Alex Tischendorf, the

director of Teekay’s shuttle tanker operation in

Brazil (called Teekay do Brasil Servicos Maritimos

Ltda), at their offices in Rio de Janeiro. He sees

his company growing into its role as a Brazilian

shipowning company, and expanding its

involvement in the local economy.

Here is a selection of Tischendorf’s comments

on the Brazilian market, on the shuttle tanker

business there, on Petrobras, on Kongsberg

Maritime and on the challenges of Teekay’s

operations in Brazil.

When and how did Teekay get its start in

Brazil?

“We started here in Brazil as part of Ugland

Nordic Shipping, prior to Teekay’s acquisition

of that company. In 1999, we began to see the

possibilities that were appearing here in Brazil,

possibilities for DP shuttle tankers. Brazilian oil

and gas production was increasing; they were

going further and further offshore, into deeper

waters with rougher environmental conditions.

When we met Petrobras that first time, they

received us with little interest. They basically said

no. It took us about two years to turn that around.

In the second half of 2001, we started negotiations

with Petrobras for charter of the first DP shuttle

tanker. During those first two years, we did a lot

of lobbying activity to educate them about the

value of the service we can provide. We started by

demonstrating to the exploration and production

people at Petrobras (who are responsible for the

oil coming to shore) the benefits of using DP

shuttle tankers compared to how they had been

doing it with conventional tankers.”

Did you introduce DP shuttle tankers to

Brazil?

“Not entirely. Petrobras would eventually go

to DP shuttle tankers anyway, but they had a

large fleet of conventional tankers in Transpetro

(Petrobras shipping company subsidiary). Once

they started using the shuttle tankers, those

vessels would quickly become obsolete. So there

was a necessary process and acclimatization to go

through.

The world’s largest provider of shuttle tanker services, Teekay, and Kongsberg Maritime team up to provide a unique level of access to DP expertise in Brazil. We talked to Teekay’s director in Brazil about the peculiarities and possibilities of their operations there.

tag teaM witH teekay

article by the Full Picture Magazine :: Photos by tommy normann

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12

“Today, there’s no question of using anything

else. In fact, today they ask for station-keeping

capabilities in excess of what they ask for in the

North Sea. The strategy we laid out in 1999, on

how to influence the market here and open the

door to DP shuttle tanker operations, worked.

And from 2002 to 2007, we supplied Petrobras

with 11 ships. Today we have 12 vessels out of the

16 DP shuttle tankers operating for Petrobras.”

Do you run your Brazilian operations from

Brazil?

“We initially started up operating the vessels from

Norway. In 2003, we hired a Brazilian to assist

locally with the operation and facilitate spare

parts, etc. Then as we started recruiting Brazilians

as crew, we also recruited more people in the office.

In 2009 we moved the whole management of our

Brazil vessel operation from Norway to Brazil.

So now we have a small efficient organization in

Brazil and manage the ships technically and crew

them from here in Rio de Janeiro.”

Do you find it difficult to crew your ships

with Brazilians?

“Very difficult. It is difficult from a recruitment

point of view, with regards to the availability of

trained seafarers. It’s one of our biggest challenges

in Brazil at the moment: qualified people. But we

work closely with other foreign vessel owners here

in Brazil, and with the CIAGA officers’ academy;

together, we run a cadet training programme. So

when they’re done with their education, they

have to do one year as a cadet, where we have

a programme on our ships. The real problem area

is with ratings, such as able seamen, motormen,

wipers, even cooks and catering personnel. There

is no schooling or education for those categories

here in Brazil. We have therefore together with

other shipping companies, including many

Norwegian companies, taken the initiative to

sponsor a one-year training programme for young

Brazilians to become seafarers. The recruitment to

this programme was this year from another social

programme called Bola Pra Frente, which has the

Norwegian government and Kongsberg Maritime

as two of their sponsors. Next year we plan to

extend the recruitment to include other social

programmes here in Rio de Janeiro. The majority

of these social programmes provide support to

young Brazilians until they are in their late teens,

but then they are basically left to themselves. Our

idea is to provide a continuation by providing

them with a profession and a job to go to. This is a

very important programme, not only from a social

perspective but also from a practical perspective,

to be able to operate vessels here in Brazil.”

The company has eleven ratings under training

via this programme, but Tischendorf acknowledges

that Teekay Brazil will need to explore additional

avenues to recruit sufficient ratings for its needs.

“We need to expand the programme. We’d

also like CIAGA to start recruiting larger classes.

Because we’re an international company, we’re an

attractive employer. So in general, we don’t have

problems recruiting. But some years are tougher

than others.”

Are you satisfied by what you’ve seen of the

future generation of Brazilian officers and

ratings?

“Of what we’ve seen so far, we’re very satisfied.

These young people are very motivated and

hard working. The Teekay Foundation, the major

shareholder in Teekay Corporation, sponsors

another project here in Rio directed towards young

children and teenagers. My idea is to connect the

kids from the one project that takes them through

their early teens, and guide them into the next

project, provide them with a profession and

employment in the maritime industry. One of the

purposes is to recruit people, but I also see it as

very, very important that we give something back

to this country because they are bringing us the

profits. We need to give something back. That is

our social responsibility.”

What do you see as the future of Teekay in

Brazil?

“I see Teekay’s future in the same light as the

future of Brazilian offshore oil and gas industry,

because the two go hand in hand. Hopefully,

Brazil will manage to do what we did in Norway.

Because when the oil and gas industry came

to Norway, there was basically no local know-

how about oil and gas. All the know-how was

imported from outside. Then gradually the

Norwegians built up the know-how internally.

Today, Norwegians operate the industry. Some of

it is still foreign-owned, but very much operated

by Norwegians. That’s what I’d like to see here in

Brazil. That it will gradually get more and more

Brazilian in operation. That’s our intention here as

well. We’ll have as few expatriates as possible. I

think in the long term, if you look over the next

ten years, Teekay will have to become a Brazilian

shipowning company as such. It will still be

owned abroad, but very much run as a Brazilian

company.”

In terms of business, how do you see the

growth of Teekay in the market?

“Obviously, the focus on the pre-salt discoveries

has created a lot of attention on Brazil, resulting

in more and more competition. From 2000 to 2007,

there was basically no competition from other

shuttle tanker owners. Today, not just other shuttle

tanker owners, but also other tanker owners see the

opportunities and possibilities, so the competition

has increased considerably over the last 2-3 years.

By 2020, I see the existing fleet of shuttle tankers

doubling to about 30 vessels. And I’d be very happy

if Teekay could have 40-50% of that. Today, we’re

very dominant and I know that that domination

will be difficult to maintain. We’d love to maintain

it, but we need to be realistic. We know Petrobras

wants to see competition; they want to drive down

the charter rates.”

Who is your main competition?

“Now, there are two other foreign companies

owning and operating shuttle tankers here. That’s

Lauritzen and Knutsen. They’re two companies

with shuttle tanker experience. And when it

comes to operating shuttle tankers, experience is

important. Petrobras values experience. They are

dependent on perfect operation; on an operation

that has high performance. We believe, however,

that more companies will enter this market.”

tHeMe new directions

Alex Tischendorf, director of Teekay do Brasil Servicos Maritimos Ltda.

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13

Teekay scored early success with bare-boat

charters to Transpetro, who were very eager to

get shuttle tanker operations underway. As a

company that owns and operates shuttle tankers,

Teekay had the necessary skills to convert

tankers quickly and get them in operation. Now,

Transpetro has issued public bare-boat shuttle

tanker tenders with much longer lead-times;

these allow financial institutions to team up with

shipyards and consultants to offer newbuild

shuttle tankers, in direct competition with the

likes of Teekay and other industrial operators.

“At the same time Petrobras also wants to time-

charter shuttle tankers from the international

market, and this is where the established shuttle

tanker owners have their chance. They probably

do not wish to put all their crude oil transport

business in one basket through Transpetro, as

this, among other things, could expose them to

risks associated with unions and strikes.”

Will it be possible for Teekay to build shuttle

tankers here in Brazil?

“Absolutely, and it’s something we’re following very

closely. The major part of shipbuilding in Brazil the

last few years has been smaller vessels, and the

majority of the shipyards (all but one) are not able

to build the size of vessels we own and operate. It’s

only Atlantico Sul that can build the size of vessels

we need for shuttle tankers. And Transpetro has

filled their orderbooks. So that yard’s capacity is

tied up for the next five to seven years; there’s no

chance for us to build vessels for delivery before

2016 at the earliest. There are projects to create

more shipyards that could build the size of vessels

that we need. But, again, there’s a two-three

year lead-time to build the shipyard. Brazil was a

great shipbuilding nation some years ago, back in

the 70s. Their biggest challenge at the moment is

middle management. The middle management of

the 70s is now senior management, and a void has

developed in that middle management tier.”

How important is DP when marketing shuttle

tankers?

“It’s very important, and for this we have a very

close relationship with Kongsberg. For example,

we’re currently marketing some vessels here in

Brazil and the DP capability of the vessels is es-

sential for whether we’ll be able to conclude the

contracts with Petrobras or not. We’re in dialogue

with Kongsberg to support with DP information,

and Kongsberg assists us when we discuss with

Petrobras.

“One of the challenges we’re facing in Brazil is

the different way that DP operations are done,

with respect to shuttle tankers. It’s a different

way of offloading shuttle tankers from FPSOs

than in the North Sea. So the DP software, and

the procedures, that we have in the North Sea

aren’t easily adaptable. We have to modify them.

Now that Petrobras is moving to more hostile

environments and deeper waters, like in the

Santos Basin, we’re seeing increasing sea states. It

gets pretty rough down there in the winter. And

we also have issues with very strong currents

and changing directions. The way we operate the

vessels needs to be different here than elsewhere.

“Together with Kongsberg, we’ve initiated

regular meetings and seminars to discuss with

Transpetro and Petrobras how we can improve

procedures and increase efficiency of the vessels.

It’s very important, like a joint-industry project,

to improve on the operations. With Teekay as

one of the leading shuttle tanker operators, and

Kongsberg as the leading DP hardware and

software provider, we make a good team.”

And Petrobras appreciates this effort?

“Oh yes. as an example, I had a situation only

last week. Petrobras ran an analysis of one of our

vessels, and wanted some more information on DP

capability. Rather than going through lots of links,

we put Kongsberg in Norway in direct contact

with Petrobras here in Brazil. We said: You two

communicate, make sure you understand what is

required, and then make sure you get it, and we

made sure the information was exchanged. This

has helped us a lot in promoting our vessels, so we

look upon Kongsberg as an important partner in

our work down here.”

How important is Kongsberg’s local presence?

“Local presence is very important and we appreci-

ate very much that Kongsberg is well represented

in Brazil. To have competent service engineers and

spare parts readily available locally is essential for

an efficient operation. The shuttle tanker trade is

very intense and requires all equipment up and

running all the time. But it’s a challenge for every-

body as operations ramp up, with the increase in

activity here in Brazil. To be dependent upon serv-

ice engineers and spare parts to be flown in from

Europe is very time consuming and expensive.

We’ve had discussions with Petrobras when they

are refunding our expenses. They ask why a serv-

ice engineer has to fly business class from Norway,

why they have to pay meal allowances, why we

can’t use local. And we have to explain that there is

no local. It’ll be beneficial for all service companies,

and for us, to have greater local presence.”

How are you trying to step up your Brazilian

supply?

“We’re working hard to increase our local supply;

it’s one of our goals. That’s one of the reasons why

we’ve moved our vessel operation from Norway

to Brazil. We’re planning to use more local

services and facilities than previously. For a large

multinational shipping company, it’s very typical

to have a centralized procurement organization,

which we also have in Teekay. We have, however,

now got acceptance for our idea of using local

supply and service companies due to the special

nature of our operation. So we will do more of our

procurement locally in the future.”

Do you see that the local suppliers are

competitive?

“Yes. We are here, the vessel is here, and if we

can use a local repair firm to fix something, then

it’s far cheaper than flying someone in from

Europe to do it. In terms of general maintenance,

there are qualified companies here, and in

general it’s cheaper to use those. And with

respect to purchasing equipment, if we can find

it here with the same quality, it’s better. Import

is almost always more expensive. So we believe

that doing it locally will pay for itself. We’re

convinced of that.” ::

In the 90s, Teekay expanded from its core op-

erations as crude oil tanker company into DP

shuttle tankers, floating storage and offload-

ing ships (fSOs), gas carriers, product carriers

and floating production ships (fPSOs). Today

the company operates 39 shuttle tankers, 5

fPSOs, 5 fSOs, 83 crude oil tankers, 25 gas

tankers and 12 product tankers all over the

world, with concentrations in the North Sea,

Brazil and Southeast Asia. Through its various

operations, Teekay aims to be a one-stop off-

shore marine solutions provider.

TEEKAY’S ROLE IN THE VALUE CHAIN

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14

:: Estaleiro Atlântico Sul is perched on the

easternmost tip of Brazil, in a small town called

Ipojuca in Brazil’s northeast state of Pernambuco.

This advantageous location means distances to

valuable offshore markets in the Gulf of Mexico,

East Africa and offshore Brazil are short, and steel

and component supplies can arrive cheaply via

major trans-Atlantic shipping routes.

For all of its strategic positioning in terms of

international supply chains, Estaleiro Atlântico

Sul’s most prized location advantages are internal

and domestic. The yard, together with a refinery

and port, are part of an ambitious regional

development programme supported by Brazil’s

national and state governments. In exchange for

low taxes and fast-track bureaucratic treatment,

the yard pledges to pay back in the form of

community and workforce development in its

destitute home state of Pernambuco.

The Full Picture magazine met Commercial

Director and Naval Architect Ricardo Lutz da Cunha

e Menezes of Estaleiro Atlântico Sul, who has been

with the project since early this decade, when the

yard was nothing but a landscape of sand.

“An important part of the story of our

shipyard is one of contributing to the skills and

welfare of the community around us. Many

of the shipbuilding skills at Atlântico Sul come

from southern Brazil, from Brazilian expatriates

returning from Japan and from our technological

partnership with Samsung, but our strength will

come from our ability to develop the potential of

the native workforce in this promising region,”

said Menezes.

A promising startFirst, some facts. Estaleiro Atlântico Sul was

born when three major industrial investors -

the Camargo Correa, Queiro Galvao and PJMR

Empreendimentos groups - joined together with

the intent of launching a new shipyard, in 2005.

This group was attracted to the state of Pernambuco

where regional and national authorities were

setting up the port complex of Suape, which is

meant to be a driving force in regional and national

industrial development.

With full support of technical partner Samsung

Heavy Industries, operations officially began

in mid-2007, and in 2007 the yard won a major

contract: Ten Suezmax tankers for Transpetro,

under Brazilian President Luiz Inacio da Silva’s

PROMEF plan (Program for Modernization and

Expansion of the Fleet).

Atlântico Sul has been constructed with lofty

goals in mind. Among its greatest physical assets

are two goliath gantry cranes, each capable of

lifting 1,500 tons. With these units, the yard will

be able to construct large hull sections, which can

then be lifted onto a construction and welded into

place. Only two other yards in the world (both

in Asia) have cranes of this magnitude, and they

thus lift Atlântico Sul up into the prestigious class

of so-called fourth generation shipyards.

The yard will focus on construction of tankers,

container ships, bulk and cargo carriers, and

offshore platforms and platform hulls. The yard’s

premises cover 16,200 hectares, which includes a

130,000 m2 sheltered production area. The dry-

dock measures 400 by 73 by 12 meters, and two

tHe Citizen CoMPany

Brazilian shipyard giant Estaleiro Atlântico Sul has sprung up practically overnight thanks to support from the national government, a technological partnership with Samsung Heavy Industries and a series of good, early contracts. The company’s ambitious industrial goals are matched by efforts to boost the lot of its home state of Pernambuco.

tHeMe new directions

Ipojuca

BRAZIL

Ricardo Lutz da Cunha e Menezes, Commercial Director and Naval Architect of Estaleiro Atlântico Sul

article by the Full Picture Magazine :: Photos by tommy normann

Page 17: The Full Picture Magazine 01/10

15

the FuLL PiCtuRe magazine 01/10

quays of 730 and 680 meters will provide space

for outfitting of ships and constructing offshore

platforms, respectively.

As of May 2010, the yard had won an expanding

order book of contracts, mostly for Brazilian

national tanker company Transpetro’s PROMEF

newbuildings (ten Suezmax tankers, five Aframax

tankers, four Suezmax shuttle tankers with

dynamic positioning and three Aframax shuttle

tankers with dynamic positioning). It is also

fabricating the lower hull for a Petrobras platform.

Value creationOne of the core assets of the Atlântico Sul shipyard

- access to plentiful manpower - is a variable; that

is, the shipyard’s region has tremendous potential,

but the burden rests on Atlântico Sul’s managers

to undertake the training and management of

these resources to extract the value.

“This region is traditionally a sugar-cane pro-

duction area. That means there have traditionally

been four months of heavy work, followed by

eight without much employment. We come with

an offer of thirteen paychecks a year. This alone

can have tremendous value,” says Menezes.

Atlântico Sul is one of the biggest new job

creators in the region. Despite the national and

regional governments’ efforts to draw employers,

many of these new arrivals are small and bring

with them their own skilled manpower. Atlântico

Sul, on the other hand, employs 3,000 - the

majority of which come from the region. Soon, it

will expand to employ 5,000; indirectly, the yard

will create as many as 30,000 jobs in the area.

One stumbling block of young shipyards is

steel price. If the price of this large capital input to

newbuildings increases abruptly (and, historically,

it has), a new yard’s liquidity can be challenged.

However, due to the long term delivered order,

Transpetro has minimized the construction issue

by negotiating and supplying the steel plates and

stiffeners for the first ships.

Atlântico Sul has dived into this responsibility,

with investments in schools, housing, environ-

mental improvements, social programs and health

packages. Among its most noteworthy efforts, the

yard has prioritized hiring in five of the region’s

poorest municipalities near the Suape port

complex. A housing project, with 1,500 homes, is

being built. And educational investments at the

primary, secondary and technical school level are

meant to provide a long-term stream of skilled

labour streaming to the yard.

“Atlântico Sul has developed a range of social

projects, designed to benefit the communities

around the yard, bringing them new forms of

income, education and growth,” said Menezes.

“Solidarity Life is what we call a voluntary

program where shipyard employees contribute

to community projects. Another project has

targeted Tatuoca Island, near the yard, for social

development. We have already hired 35 people

from this community.”

Additional efforts include a literacy program

called Waves of Reading, a vocational technical

school called Birthplace of Talents and support of

a technical school in the state.

Joining forcesAtlântico Sul’s success depends on careful

management of all of the forces working in its

favour: Support from the authorities, access to

a large local workforce, strong investors and

technical and design support from partners. An

additional resource will be close relationships

with key technology suppliers like Kongsberg

Maritime.

“One of the mandates in the PROMEF program

is that 65 per cent of the ship’s total cost must

come from Brazil. For the time being, much of this

comes from the workforce, ships’ steel, electric

cables, pipes, valves, pumps and such. We rely

on partners like Kongsberg Maritime for advanced

systems like the DP units on the shuttle tankers

we’re building for Transpetro, but we also expect

local content from the foreign companies too”

says Menezes.

At its current stage, with major orders

underway and on the hunt for more, the yard is

going through a lightning-fast professionalization

process. This includes development of strong

managers, certification to ISO’s 19001 and 14001

management and environmental standards, and

the OHS 18001 safety standard and marketing

towards an ever-broader group of international

shipowners.

Menezes himself met with The Full Picture at

Atlântico Sul’s offices in Rio de Janeiro, where

a team of engineers and marketers expand the

yard’s horizons with international linkages.

“We’ve managed to attract a lot of interesting

partners and employees based on our core

investment. Even a whole generation of Brazilian

shipbuilders who have been working in Japan

since the domestic industry collapsed in the 90’s

are finding their way back to Brazil and Atlântico

Sul,” says Menezes.

Full speed aheadIn 2004, Atlântico Sul was more or less a beach.

In May 2010, it launched the first of the ten

Suezmax that it is building for Transpetro. Luiz

Inacio da Silva was on hand to witness the

event and called it a ‘self-affirmation’ for Brazil’s

shipbuilding industry, noting that it was the first

Suezmax tanker built in Brazil for 13 years and

part of the country’s return to the top of the

shipbuilding industry.

Atlântico Sul’s investors have plotted out an

ambitious route for the shipyard. In addition to

the yard’s sheer size and scale, it has one of the

largest flat panel production lines in the industry,

eight plasma cutting machines and a high level of

automation. In other words, the yard is prepared

for greatness.

“We will grow, and this growth will be to the

benefit of our partners and our community. This

is why we call ourselves the citizen company,”

concludes Menezes. ::

SOCIAL FOCUS

Estaleiro Atlântico Sul has launched a number

of social responsibility initiatives directed at its

community in the state of Pernambuco. These

have an impact on the region’s health, educa-

tion, housing, literacy and environment.

Birthplace of Talents: This was the first

social project started by Atlântico Sul, and

involved transforming an old municipal

slaughterhouse into a school that will provide

technical instruction. Inaugurated in July

2007, the school has capacity for 600 stu-

dents, with five classrooms.

Waves of Reading: Employees of Atlântico

Sul and partner organizations have banded

together to create a book collection, which

forms the basis for a literacy program aimed

at the Atlântico Sul community. This library

travels around the region, lending out its col-

lection for stretches of 30 days.

Tatuoca Program: The island of Tatuoca

(home to Atlântico Sul) is home to a relative-

ly deprived community. The yard has started

a literacy, social and job creation program for

the island’s residents. This involved renova-

tion of the community’s Santo Andre com-

munity school.

The Engineer Francisco C. E.

Vasconcelos Training Centre: This is the

first technical school built by a private com-

pany in the state of Pernambuco. Started

by the Atlântico Sul shipyard, the centre

recreates the production environment at the

shipyard in order to prepare residents in the

community for work at a shipyard.

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16

noRskan’sBRaziLianRoots NorSkan Offshore combines all of the offshore

expertise of operations in the North Sea, with equipment, manpower and expertise from Brazil. The result? Brazil’s leading supplier of advanced offshore services. Kongsberg met NorSkan Offshore’s President at their Rio headquarters.

tHeMe new directions article by the Full Picture Magazine :: Photos by tommy normann

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17

:: The President of NorSkan Offshore,

Hans Falnes Ellingsen, shares a vital anecdote

that sheds light on the founding of what is today

Brazil’s most advanced offshore shipowner.

“Helge Møgster of DOF [the owner of NorSkan

Offshore] looked at the offshore market back in

2000 and noticed some striking numbers. At the

time, Brazil was producing around a thousand

barrels per day; Norway was producing close to 3

million,” says Ellingsen. “There were three drilling

rigs working in the North Sea, and 28 in Brazil.”

A few years later, Norway-based DOF bought

a 50 per cent share of Brazil’s NorSkan Offshore,

and has since built the company up into a USD 1

billion operation. All of the company’s advanced

offshore vessels (including pipe-layers, anchor-

handlers and multipurpose ships) are equipped

with Kongsberg dynamic positioning, automation

and control systems.

Brazilian rootsThe Full Picture magazine met Ellingsen at

Norskan’s offices Rio offices in Brazil. Ellingsen

has a long personal relationship with Brazil. He

first came to the country only one and a half

years old. His family returned to Norway only two

years later, but his older sister and brother never

let him forget the times in Rio. As he grew up,

Ellingsen nurtured a desire to return. “It became

an obsession for me to return to Rio de Janeiro.”

His fated return happened when he was 20

years old, as a coincidence. “I took a job on a pipe-

laying vessel, not knowing they would send me to

Rio de Janeiro,” he explained.

He stayed with the vessel in Rio for two years

and then returned home to continue studies in

order to become a Captain. After becoming a

captain, he returned to Rio. “There was always

something that brought me here, even if I didn’t

choose it,” Ellingsen commented.

Ellingsen was working for Solstad Offshore in

1996, when the company won its first contract

in Brazil with Petrobras. At that time, most

Norwegian offshore boats and workers had

never been south of the English Channel. In 2000

Solstad had three Norwegian flagged vessels

operating in Brazil. “This early experience was

very valuable. We learned the ropes on ships

worth USD 2.5 million; today, the ships are worth

over $250 million. That’s what we are investing

in each vessel today; it was a learning curve, and

although I knew Brazil, there was still a lot to

learn in doing business here,” said Ellingsen.

In 2002 DOF came into the picture. They

had been looking at Brazil for quite some time.

The two operated NorSkan Offshore as a joint

venture between DOF and Solstad up to 2005

in Brazil and also in Singapore. At the time, the

two agreed to split this business geographically.

Solstad Offshore, which had first opened up the

Brazilian market, left, in order to take over the

entire business in Singapore. DOF remained as the

sole owner of NorSkan Offshore in Brazil. “DOF is

an ambition company and saw the potential for

growth in Brazil, especially.”

Brazilian operatorToday, DOF has $1 billion invested in Brazil

and seventeen vessels in operation, of which

seven were built in Brazil. The company has five

newbuildings under construction in Brazil and has

plans for more. The rest of the fleet is composed

of foreign vessels operated by NorSkan.

“All the newbuildings are high-end multipur-

pose vessels, loaded with high capacity winches

and advanced ROVs that can go down to 4,000

meters, the latest mapping and survey equip-

ment. We also have a prototype for installing

christmas trees (systems that control oil and gas

flow at the subsea well-head). This is a completely

new concept that can do the job in half the time

a rig takes,” said Ellingsen. Traditionally, christ-

mas trees are installed by semi-submersible rigs,

which are comparatively slow and expensive.

the FuLL PiCtuRe magazine 01/10

Hans Falnes Ellingsen, President, NorSkan Offshore

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18

The NorSkan Offshore vessel arrived in February

2010 for operations in the Santos Basin, and

managed to install nine trees in the first month.

“This should help open the market for several

of these vessels. Because of Tupi and the rest

of the pre-salt areas, demand for equipment is

tremendous and we have positioned ourselves

well. Now we’re investing in the most advanced

vessels ever built in Brazil. They will be equipped

by Brazilian suppliers, built in Brazil and manned

by Brazilians. This makes a difference,” said

Ellingsen.

A social angle to operationsFinding specialized employees in Brazil is a

problem that all companies working here face.

Ellingsen believes that social programs such as

Bola Pra Frente (see the article on Bola Pra Frente

on page 20 of this magazine) are one of the

solutions for acquiring this manpower.

“We understand that to be a Brazilian company

and to be respected as such here in Brazil, we

must look outside the company. We need to look

at our environment and recognize the needs of

this environment,” says Ellingsen.

NorSkan Offshore’s involvement with Bola Pra

Frente started at a fortuitous time. The famous

NEWBUILDINGS

In the last three years NorSkan closed a variety of

contracts. Among them the following ones are to

be highlighted:

SKANDI IPANEMA: An Anchor Handling Tug

Supply Vessel with a three-year contract for OGX,

with an extension option for one more year. This

vessel will be delivered in 2010 and will be the

first Brazilian vessel contracted by OGX.

SKANDI SANTOS: A Subsea Equipment Support

Vessel with a five year-contract for Petrobras,

with an extension option for five more years.

This is the first vessel in the world doing offshore

testing and installation of christmas trees, the

contract is together with Aker Oilfield Services.

SKANDI VITORIA: A Pipe Laying Support Vessel

with a four-year contract for Petrobras, with

extension option of four more years. This is the

most advanced offshore vessel built in Brazil,

made through a joint venture with Technip. This

vessel will operate as a pipe-layer for Petrobras

on depths down to at least 2000m.

tHeMe new directions

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19

Brazilian football player Jorginho who had

founded the project was worried that the kids

who didn’t have a chance to continue football

careers would go back to the street.

Jorginho sought to give these kids training in

specialized trades through the program; that is

how the partnership began. It started with English

classes and this year Bola Pra Frente, with the

support of companies such as NorSkan, will train

thirty teenagers to work as seafarers through a

partnership with CIAGA, the Brazilian merchant

marine academy.

Through another partnership with SENAI (a

Brazilian trade training institution), NorSkan

Offshore is training forty teenagers for positions

onshore. “I see that 99 per cent of the kids that

have the chance are eager and enthusiastic to

study. They want to do this”, said Ellingsen.

Together, NorSkan and Kongsberg Maritime

are also investing in an apprentice program for

the kids from Bola Pra Frente to work in their

offices. So far, NorSkan has been able to place

five of these apprentices in their offices and

eight new seafarers from the program aboard

their ships.

“I get emotional when I see these things. We

are trying and if everyone tries within their

circle of influence, the world will be better, but

someone needs to go first and show the way,”

said Captain Ellingsen, with the emotion vivid in

his eyes. He is also happy to announce that the

seafarers that show the most potential will be

selected to further their education to eventually

become officers. ::

COMPANY HISTORY

NorSkan Offshore Ltda. represents the DOf

Group’s activity in Brazil. It is the management

company for all the group’s vessel operations

in the region. With more growth anticipated in

the region, NorSkan Offshore expects to grow

from 330 to 640 employees in 2010. NorSkan

has been a supplier to Petrobras since 2003.

In 2007 and again in 2008, the company won

the General Safety Award for its operations

with Petrobras.

NorSkan Offshore was established in Brazil

in the year 2000 due to the bright outlook

forecast for the Brazilian offshore oil and

gas industry. Today NorSkan Offshore and

the DOf Group operate one of the largest

and most diversified fleets of state-of-the-

art Brazilian-flagged vessels. The fleet is

considered to be the most technologically

advanced in the Brazilian offshore industry.

furthermore, NorSkan Offshore is the largest

Norwegian capital company in its segment in

Brazil. The company has long term-contracts

with several large customers like Petrobras,

Shell, Chevron, British Gas, OGX and Statoil.

“Because of Tupi and the rest of the pre-salt areas, demand for equipment is tremendous”Hans Falnes Ellingsen, President, NorSkan Offshore

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20

:: After a successful football career and

with a desire to help the community in which

he grew up, Jorge de Amorin Campos (Jorginho)

built the Instituto Bola Pra Frente with his own

resources. The building was inaugurated in June

2000, and the school has been enormously

successful. To achieve this, Bola Pra Frente makes

use of the fascination of sports and the image

of famous athletes. One such famous athlete is

Jorginho himself.

“It all began when I was 11 years old. I dreamt

that I had built a Disneyland in the field where I

used to play football in Guadeloupe, a poor region

of Rio de Janeiro,” explains Jorginho. “Once I

became a professional player, I spent a portion

of the money I earned on achieving the dream

of helping my community. I purchased the land

of the field where I used to play football, and

on June 29, 2000, we opened Bola Pra Frente

Institute. It was the best investment of my life,

because the Institute has transformed many lives,

giving the opportunity of a better future to 920

children and teenagers.”

Dream, Learn, WorkKongsberg Maritime first got in contact with Bola

Pra Frente about four years ago, as a result of a

social responsibility project together with five

other Norwegian companies in Rio. Together, the

six companies have established the Rio-based

non-profit organisation, ‘Dream, Learn, Work’,

which is working with several projects, and Bola

Pra Frente is one of them.

”Most of the children who are here have very

difficult situations at home. We are trying to give

them dreams and goals, and to help them achieve

these. The help we are getting from Kongsberg

Maritime is a very important part of achieving

this,” says Susana Moreira, Executive Director at

Bola pra Frente.

Kongsberg Maritime’s donation has contributed

to a new classroom at Bola Pra Frente. This was

accomplished in co-operation with the Norwegian

government and the Norwegian Shipowners’

Association. In addition, the sponsorship from

Kongsberg Maritime has contributed to school

material, sports equipment, technical equipment

and three trips to Rio.

General Manager of Kongsberg Maritime do

Brasil Tony Andre Håvelsrud hopes to see some of

the children working for Kongsberg Maritime one

day. “Next year we are bringing 20-25 of the oldest

Bola Pra Frente students to our training centre in

Macae, where we will give them an introductory

course in Dynamic Positioning and information

about Kongsberg Maritime. I hope this will give

these children new dreams and enable them to see

new possibilities. We are also planning on giving

a couple of the graduating students an internship

with us,” he says.

Football to the classroomIn order to attend the institute, children have

to be enrolled at school and have satisfactory

attendance in class. Bola Pra Frente offers them

extra tuition in English and mathematics, in

Ten years ago, Brazilian football champion Jorginho carried out his dream of building a school in his local community. Today, Kongsberg Maritime is one of several companies sponsoring the school.

LeaRningto DReaM

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Page 23: The Full Picture Magazine 01/10

21

addition to sports. This helps keep the children

off the streets. Bola Pra Frente has created a

methodology that takes education to the football

pitch, and football to the classroom. Football is

an essential part of every Brazilian child’s life,

especially those from the underprivileged classes.

It helps them to perform in skills related not only

to sports but in other important areas of life

including family, school and community.

“Initially, the institute offered only sports.

Over time, we created our methodology, which

uses sport as a tool for social inclusion. Today,

our focus is on education while we use sport

for publicity in order to attract children and

teenagers. We have three projects that have

achieved excellent results. The project Craque de

Bola e Escola (Expert of Ball and School) offers

sports and education to children from 6 to 9 years

old. The project Artilheiro (marksman) offers

sports, arts and culture for children and teenagers

from 10 to 14 years old, and the project Campeão

de Cidadania (Citizenship Champion) offers sport

and professional training for teenagers from 15 to

17 years old,” says Jorginho.

A boost for our teamJorghino is very pleased with the partnership

between Bola Pra Frente and the Dream, Learn,

Work organisation: “Certainly, the support of

the Norwegian companies means growth. It is a

major boost for our team. This partnership makes

possible English classes for our students, which

creates new opportunities in the labour market,

in addition to the construction of classrooms

and other projects that are already underway. I

am very happy and grateful to these companies.

I hope, with all my heart, that this partnership

grows, because it allows many children to continue

dreaming in the same way that I dreamt,” adds

Jorginho. ::

www.bolaprafrente.org.br

the FuLL PiCtuRe magazine 01/10

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22

suCCessHoMegRown

When Seadrill came to Brazil, it started by building up a Brazilian organization under Brazilian leadership. This decision has paid off in many ways over the past two years. The company now has four rigs operating there, with plans for many more.

tHeMe new directions article by the Full Picture Magazine :: Photos by tommy normann

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23

:: The Full Picture Magazine met Eduardo

Antonello, the Brazilian director of Seadrill’s

operations in Brazil, at the company’s new

offices in Rio de Janeiro. From here, we have a

breathtaking view of the entrance to Guanabara

Bay, where rigs, drillships, tankers and offshore

support vessels shuttle in and out to service the

pre-salt oil discoveries over one hundred miles

directly offshore.

Seadrill’s have been among those rigs that have

come to help energy companies in Brazil drill down

to oil deposits deep in the Santos Basin. Today

four Seadrill rigs - West Polaris, West Taurus,

West Eminence and West Orion - are chartered to

operate in the pre-salt region; three of them for

Petrobras and the fourth one for ExxonMobil.

Antonello’s rightfully proud of Seadrill’s rapid

pace of achievement in the Brazilian market, and

the way in which the company has done it. While

many operators show up with rigs manned up

to 95 percent by foreigners, Seadrill’s rigs are all

manned by a majority of Brazilians.

A question of peopleThe combination of a firm belief in what the

Brazilian economy and its people can achieve with

Seadrill’s famed operational excellence is showing

tremendous success here. This bodes well in a

market that will probably see 40+ new drilling rig

tenders made available over the next 5-10 years.

Like any market under tremendous expansion,

one of the key factors limiting growth is access

to skilled labour. And, as in many other markets

around the world, Brazil’s government is keen to

see its own citizens fill that resource gap. In the

short term, this creates scarcity.

“Getting the right people and holding on to

them is one of the biggest challenges we have.

We face a situation of cannibalism, whereby

undifferentiated demand creates a pure bidding

war for manpower and everyone snatches the

skilled guy from underneath everyone else, and

this is not healthy business,” says Antonello.

Seadrill was not the first drilling rig operator

into this market. In fact, it was among the latest

to get into Brazil, as major competitors like

Transocean, Pride Drilling and Diamond Offshore

had been operating there prior to 2008.

“We have the newest fleet of rigs and drillships

of our competitors, but that’s only a short-term

advantage. Other operators will eventually come

along with a newer rig, so we can’t rely on that

to hold on to people,” says Antonello. “In order to

create a more lasting difference, we are focusing

on issues around performance, safety and

motivation. Our values-based approach aims to

give something above and beyond the salary; it’s

a matter of mutual appreciation.”

Seadrill has also been able to wrangle some

of the best contracts from the market, which

gives it the financial muscle to complement this

management approach. Further, the company has

kicked off a number of initiatives to find and keep

the most skilled engineers and technicians.

“One of our most interesting projects is

the STAR trainee programme. Through this

the FuLL PiCtuRe magazine 01/10

Eduardo Antonello, Seadrill

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24

tHeMe new directions

programme, we have pre-screened hundreds

of skilled engineers and gotten them started

in training for Seadrill operations. The final

group of 19 candidates has now been narrowed

down to just six, who will get fast-track career

development,” says Antonello.

Seadrill’s operations in Brazil have frequently

broken symbolic barriers - moves that get noticed

by Brazil’s government watchdogs. First and

foremost, the company hired a Brazilian to lead

its business there. Secondly, the company had

upped its proportion of Brazilian workers to over

50 per cent within its first year of operations,

even if 30 per cent was the requirement. Lastly,

the company has stayed ahead of the paperwork

curve with extensive planning.

“Without careful and detailed planning,

companies may bring a rig to Brazil and stay

several months struggling to go through the

necessary permits and approvals, as well as the

intensive sequence of acceptance tests performed

by Petrobras,“ says Antonello.

Pre-salt logisticsAnother intransigent difficulty of Brazil’s pre-salt

oil fields is logistics. With many of the operations

as far as 350 kilometres away from Rio (the field’s

shore base), it is difficult to ferry people, supplies

and spares as quickly and cost-efficiently as at

many other offshore theatres.

“It’s difficult because you have lots of crew

changes. Just the business of moving people

is huge. Brazilians work 14 days on, 14 days

off. Foreigners work 28 on and 28 off. We have

Brazilian employees living all over the country.

The picture very quickly becomes complex,” says

Antonello.

Local buildsWith the demand for complex offshore tonnage

like semi-submersible drilling rigs, drillships and

floating production units so high in Brazil, many

wonder when and how the domestic shipyards

and fabrication yards will be able to supply them.

Seadrill Brazil is uniquely positioned to weigh

those opportunities.

“We have also looked closely into building rigs

in Brazil, evaluating shipyards and the players

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25

the FuLL PiCtuRe magazine 01/10

involved. There has been a tremendous amount of

speculation in the shipbuilding industry in Brazil.

You have some companies trying to win one rig

order to finance construction of an entire yard.

We’ve decided to wait to properly understand

how this industry will develop and who will be the

serious players to partner with,” says Antonello.

The demands and risks to building rigs are

high. Seadrill has delivered the largest number

of newbuilds since 2000 and with the best on-

time and on-budget records, and understands

how much it takes to reach these figures. Having

a partner with extensive know-how and a solid

proven design is strategic for the construction of

the yards and respective drilling units. Just getting

the appropriate operational and environmental

licenses can be time-consuming processes and

impact the entire delivery schedule. Qualified

labour is also scarce and new yards must have a

solid agenda to recruit and train a large quantity

of people within a short time-frame, so they can

be ready when you first start cutting steel. And

there is tremendous pressure around deadlines.

“If none of the competing yards had ever built

a DP rig, the purchasing party must understand

very well this business to carefully evaluate if

they can really deliver their first unit on-time

within budgeted figures and with the appropriate

building quality; otherwise, the game can become

very costly” says Antonello.

So far, the answer is unknown. Antonello

expects that one of the big rig builders in Asia,

such as Jurong, Hyundai, Daewoo, STX or

another may succeed in building a rig in Brazil on

the back of a large series. “The complexity and

costs of a modern design drillship are very high

even in Korea; but I believe we will eventually be

able to compete, especially if we manage to reach

and train skilled personnel with the right level of

commitment to make this a success history.

Nonetheless, Antonello remains bullish on the

technological prospects coming out of Brazil:

“This is a big country with lots of resources and

200 million people. With the right leadership, you

can make it happen here. Brazil is building jets,

helicopters and BMW motorcycles 30 per cent

cheaper than imports. Things like rigs will come.”

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26

Seadrill Limited was established 10 May 2005, based in Bermuda with an offshore drilling fleet consisting of three jack-up rigs, two fPSOs, four newly built jack-up rigs and two newly built semi-submersible rigs. That same year Seadrill Limited was listed on the Oslo Stock Exchange (ticker SDRL). Seadrill is an international offshore drilling contractor providing services within drilling and well services. Together with partners, the company owns 40 drilling units. Seadrill’s versatile fleet includes harsh-environment semi-submersibles, jack-ups, shallow and deepwater tender rigs and deepwater drillships. In addition, Seadrill provides platform drilling, well intervention and engineering services.In January 2006, Seadrill acquired the Norwegian drilling contractor Smedvig, which originated from a long line of shipowning activities dating all the way back to 1915. This combination, under the Seadrill Limited banner is acknowledged as one of the world’s fastest growing drilling contractors.Seadrill´s offshore drilling fleet is considered one of the most modern in the world due to its emphasis on investing in technically demanding segments of the offshore drilling industry.

SEADRILL LIMITED

tHeMe new directions

Seadrill’s LeadershipToday Seadrill’s drilling rigs demand the highest

day rates of any of their kind operating in

Brazil. With high rates, though, come high

expectations, and charterers like Petrobras and

ExxonMobil have put the pressure on Seadrill to

perform. During Seadrill’s first year of operation

for Petrobras, the company reported uptime of

roughly 90 per cent. Maintaining that kind of

performance will demand rigorous leadership

and commitment from Seadrill’s management

and employees throughout the company.

“Our performance on the first contract has

opened up many new doors to us. The rules

we operate under are strict, but no stricter

than those we face operating off of Norway.

Our ability to capitalize on new opportunities

depends on building up the right skills right here

in Brazil,” says Antonello.

Heavy investment in talent and leadership by

Seadrill in Brazil are meant to obtain those skills

and keep them. And, with that, the company

stands a good chance of succeeding in Brazil

during the coming decade. ::

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27

the FuLL PiCtuRe magazine 01/10

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28

tHe HanD-PiCkeD Rig

Sevan Marine, the company known for devel-oping characteristically round offshore floaters, is launching a deepwater drilling version of its design with two lengthy contracts in Brazil with Petrobras. A carefully selected team of experts will be on hand to ensure the rigs’ success.

tHeMe new directions article by the Full Picture Magazine :: Photos by tommy normann

Page 31: The Full Picture Magazine 01/10

29

::.The newly built Sevan Driller recently

arrived in Rio de Janeiro and Billy Glover,

Operations Manager for the Sevan Marine Drilling

Units, spoke to Full Picture about the rig, and

the handpicked team of drilling specialists he put

together to break it in.

The highly experienced driller has broken in a

couple of rigs before, and he has no doubt that

there will be issues to address with this one too.

His confidence in the team of professionals he

chose to run the rig buoys his spirits: “I’ve worked

personally with all the managers on this rig. I

know what they’re capable of, and I know I can

rely on them,” he says.

Success with the Sevan Driller is critical for two

reasons. It is the first drilling rig built for Sevan

Marine and its success will support confidence in

the deepwater market due to the unique design

of the unit ; the company has earned its name

developing signature round floaters for offshore

oil production . Sevan has another firm six year

contract with Petrobras to work in Brazil for the

drilling rig – Sevan Brazil

In addition to the faith Glover places in his

people, he knows that the rigs are being equipped

with technology from the top shelf. “That’s why

we chose Kongsberg, right? It’s the best. That’s

the kind of equipment that we’re using on these

rigs, all of it is the best. Nothing less,” says Glover.

From the drill-floor upBorn in 1959, Glover started in the oil business at

the age of 20 as a roustabout in the North Sea. He

worked his way up, filling positions on a drilling

unit all the way up to Rig Superintendant during

his 31 year career. In 2002 he started to work

onshore in Angola as the manager for Ocean Rig’s

Leiv Eriksson for over 5 years.

“In September 2007, I was given the opportunity

the FuLL PiCtuRe magazine 01/10

“That’s why we chose Kongsberg, right? It’s the best. That’s the kind of equipment that we’re using on these rigs, all of it is the best.”Billy Glover, Operations Manager for the Sevan Marine Drilling units

Page 32: The Full Picture Magazine 01/10

30

to join Sevan and took it with open arms. One of

the main reasons that I chose to come to Sevan

was the chance to work with its Vice President

of Operations, Willy Tørhaug and Vice President

of QHSE Dag Eggan. I’d worked with them both

before in two previous companies and I have

great relationships with them both and their

professionalism and experience in this business is

of the highest quality,” says Glover.

On joining Sevan, one of Glover’s first tasks was

to pick a crew; this process took him two years.

Glover said that he handpicked the crew from the

best in the business. He had personally worked

with 70 per cent of them before; the remainder

had received strong recommendations from his

own personal network.

All the managers and rig supervisors in the

team worked with Glover before. This core base

team includes the operations manager, QHSE

manager, technical manager, marine manager,

Subsea manager, operation engineering manager

and supply chain manager. They have all been

involved with various offshore drilling-related

operations for up to 30 years, and have been

involved for eight to twelve years in deepwater

operations. These included new build projects and

start-ups in operations such as Pride Africa, Pride

Angola, Leiv Eriksson and Eirik Raude.

“The challenge and motivation for us in coming

to Sevan Marine was the feeling of being involved

in something new, something a bit exciting with

dynamic, ambitious management. This is a new

company trying to grow. We are setting up the

whole system. We were given a blank piece of

paper to write the procedures, build the QHSE

system and make the maintenance system, and

that’s what we’ve been doing for the last two and a

half years. That was fun, starting from the ground

up, and being able to put your own personality

into how you do things,” says Glover.

A special rigSevan Driller is designed to include the most

advanced drilling capabilities in the industry. It

is also based on Sevan Marine’s own patented

technology that guarantees extraordinary stability

and can easily withstand a force ten gale.

The unit has a capacity to drill wells of up to

40,000 feet in water depths of up to 10,000 feet,

storage capacity for 10,000 feet of risers, a variable

tHeMe new directions

Sevan Marine ASA (Sevan Marine) is an independent energy utility company founded in 2001. It is engaged in the building, owning and operating of floating units for offshore applications. Its operations are based in Arendal, Asker, Trondheim, Porsgrunn and Bergen, Norway and in Rio de Janeiro and Aracaju, Brazil, Aberdeen and Singapore. The company’s subsidiaries include Sevan Production AS (100%) and Sevan Marine do Brasil Ltda.

The Group operates in four business segments: floating Production, Drilling, Equipment and Systems and Corporate. floating Production consists of the design, engineering, construction and operation of the Sevan platforms. Drilling consists of engineering, construction, hookup, completion and commissioning of drilling units operating in ultra deep water and harsh environment. Equipment and Systems consists of the provision of services and equipment to the processing plants for the Sevan platforms. Corporate comprises general administration and marketing activities.

Sevan Marine do Brasil opened up the first regional office at the beginning of September 2006. Located at the city of Aracaju, in the Sergipe state, in Northeast Brazil, the office houses the headquarters of Piranema Serviços de Petroleo, a company that will provide operational support to the activities of the Piranema, first production unit of the Sevan Marine Group, under contract to Petrobras. The Sevan Piranema is the world’s first cylinder shaped fPSO and is based on Sevan’s unique and patented technology.

COMPANY HISTORY

Left to Right: Kristian Skagemo – Drilling equipment SpecialistBilly Glover – Operations managerStephen Knight – Senior Logistics coordinatorAndy Whitelaw – Subsea managerPeter Watson – QHSE SupervisorIan Raitt – Technical managerChris Grove – Special projects managerErwin Huysmans – Special projects manager

Page 33: The Full Picture Magazine 01/10

31

deck load of 15,000 metric tons and a deck area of

5,800 m², as well as high storage capacity of bulk

materials. The Sevan Driller is equipped with an

internal storage capacity of up to 150,000 barrels

of oil. All of the drilling modules are supported

by the hull structure, which is double-sided,

including a double bottom.

Sevan Driller will normally operate with a crew

of 150 and is fitted with a Kongsberg Maritime

KPOS-21 and a KPOS-11 Dynamic Positioning

System. The DP operator stations and computers

communicate with each other on a dual network.

Integrated into the KPOS 21 system is a Riser

Management System (RMS). The Sevan Driller

also combines the high deck load capacity of a

drillship with the stability of a semi-submersible

rig and has a transit speed 7-9 knots, powered by

eight thrusters. The unit is designed to achieve

higher cost-efficiency than its drillship and semi-

submersible counterparts.

Operations in BrazilThe Sevan Driller will start operations with 58 per

cent of its crew from Brazil, and the company is

actively training Brazilians in mid-level positions.

These will eventually replace many senior-level

expatriates, who will take over positions on the

second rig, scheduled to leave China in 2012 and

already contracted to Petrobras.

In November 2009, Sevan Driller was delivered

from the Cosco Qidong Shipyard in China, less

than 30 months from the start of its construction.

Sevan Driller arrived in Rio de Janeiro, Brazil

on Saturday March 27 2010 after a 10,000

mile voyage from China. The ultra deepwater

drilling unit has undergone customs clearance

and acceptance testing by Petrobras in Rio de

janerio and Macae prior to the commencement of

operations under its six year contract. It has now

sailed to Vitoria in order to drill its first well at the

Campos Basin, in 1,800 meters of water. This first

drilling operation in the Campos Basin is expected

to take 160 days, with another 30 days for well

testing. The Sevan Driller will then sail to the

Santos Basin to start drilling new wells there for

the rest of the contract.

According to Glover, the main challenge in

Brazil (other than finding experienced Brazilian

employees) is to have vital equipment in stock.

Even though the main suppliers all have offices

in Macae, they normally don’t have equipment

stock available, so they need to import it; this

takes time and can have a negative influence

on operations. “Another challenge is technical

support, such as engineers from main equipment

suppliers, but it is encouraging to see that

companies like Kongsberg and AKER now have

professionals on the ground here,” he says.

“Response has always been very positive from

Kongsberg; you get to know who to talk to and

the relationship builds.” ::

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32

squeezing tHRougH tHe BosPHoRus Call it precision navigation with a drilling rig. When the Leiv Eiriksson drill-ing rig had to be towed through Turkey’s Bosphorus Strait, a team from Kongsberg was ready to tackle any risk.

tHeMe new directions article by the Full Picture Magazine :: Photos by scanpix

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33

:: Bosphorus is the name of the strait that

connects the Black Sea to the Mediterranean. The

channel was formed around 7,600 years ago when

the Mediterranean and the Marmara Sea forced

their way through land to the Black Sea. The

resulting flood may have inspired stories of the

Great Flood in the Bible.

Towing a massive drilling rig through the narrow

strait should rank as one of the world’s great

passages. Leiv Eiriksson is the largest rig ever to

be piloted through these historical waters, and the

sailing would not have been possible without the

help of Dynamic Positioning from Kongsberg.

Prepared for the worstEvery year, 50,000 vessels pass through the

Bosphorus strait, which cuts the metropolis

of Istanbul in two. From the harbours on the

innermost shores of the Black Sea, crude oil and

gas are shipped out to the world markets. It is

very rare for the strait to be closed to all traffic,

but this was the case when Leiv Eiriksson was due

to sail through the Bosphorus.

“The current was most definitely our greatest

challenge while planning the operation because

it does not follow the channel in a straight line

but runs in a zig-zag pattern. Our major concern

was the side current, as it could push us towards

the shallow waters. If we had run aground in the

middle of the strait, it would have been front page

news,” explains Stein Svendsen from the company

leading the operation, Ocean Rig.

At 7 A.M. on New Year’s Eve 2009, Stein Svendsen

and the rest of the crew are on the bridge of the

Leiv Eiriksson, gazing down the strait. The air is

still cool and hazy after a cold night. But as Leiv

Eiriksson sets its course for the mouth of the strait,

the sea and air turn red in the morning sunrise.

The operation they are about to execute is

colossal. There are so many uncertainties. Despite

this, the crew are remarkably calm. They’ve

been through it all before - in a state-of-the-art

Kongsberg simulator.

Rugged and salty training“The drilling rig is equipped with the very best

navigation equipment from Kongsberg Maritime.

We used the simulator to prepare the crew for

all kinds of potential situations, such as loss of

engine power. We were also able to carry out

exercises in precise communication procedures

between the rig and tugboat,” explains Anders

Hovde of Kongsberg Maritime.

Vebjørn Gulbrandsen was one of the participants

who completed the training in the simulator at

in Kongsberg, Norway: “Our simulator training

the FuLL PiCtuRe magazine 01/10

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34

allowed us to remain calm. We didn’t have to worry

about what might happen because we were well

prepared for all eventualities. We’d all completed

drills in every different task, in case one of us

became incapacitated during an emergency. That

gave us an extra feeling of security,” he explains.

A helping handOn the day of the transit, something rare happens.

99% of the time the current in the Bosphorus Strait

flows from the Black Sea into the Mediterranean.

On 31 December, the surface current is going in

the opposite direction. This is good news.

In order to enter the strait, the Leiv Eiriksson has

to empty its ballast tanks, allowing it to creep over

the shallow waters on the southern side of the

strait. The Leiv Eiriksson slides with the current

past the well-known landmark - the Sultan

Ahmed mosque, which towers over the mouth of

the strait.

Once the rig is into the strait itself, the ballast

tanks are refilled with water. Because the rig must

pass under two bridges, it needs to sit lower in the

water. Filling ballast in the middle of the current

is a critical phase of the operation. The Dynamic

Positioning system is changed from manual to

NEW DIFFERENTIAL POSITIONING SYSTEM TESTED

The sophisticated new DPS 4D Differential

Positioning system from Kongsberg Seatex

was successfully tested during the navigation

of Leiv Eiriksson through the Bosphorus Strait.

Leiv Eiriksson is one of the first vessels to apply

DPS 4D, which uses the latest advances in GPS/

GLONASS technology, aided by inertial tech-

nology utilizing Kongsberg Seatex’s new high

performance Motion Reference unit, MRu 5+, to

optimise signal tracking, integrity and availability

for Dynamic Positioning (DP) applications under

challenging GNSS conditions.

Ocean Rig reports that DPS 4D provided continu-

ous, accurate position data during the transit of

the Bosphorus Strait, demonstrating integrity and

availability of position data at all times.

“The Bosphorus Strait is known as a hazardous

area for navigation. While bridges and other

obstacles interfered with other satellite-based

reference systems onboard, we were able to ref-

erence our position continuously, because we had

DPS 4D. The availability of position data helps to

improve safety and efficiency of operations and

I’m confident that DPS 4D will enhance future

navigation and manoeuvring operations for Leiv

Eiriksson,” comments Stein Egil Svendsen, Marine

Manager at Ocean Rig.

KONGSBERG DPS 4D utilises all available satellite

navigation signals by combining GPS/GLONASS

and MRu 5+ into a single system. The MRu 5+

measurements effectively bridge gaps in the

satellite signal caused by physical obstructions,

ionospheric activity and shadowing from nearby

objects that may reduce signal availability. RAIM

(Receiver Autonomous Integrity Monitoring),

enhanced by data from MRu 5+, also provides

an assessment of the reliability of position and

velocity data under challenging GNSS conditions.

DPS 4D is also designed to utilise all frequencies

in systems available today as well as future GNSS

signals and future global satellite navigation sys-

tems such as GALILEO.

tHeMe new directions

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35

automatic control. It is paramount that the rig

remains in the same position during the ballast

procedure.

“All four tugboats kept a taut line throughout the

operation to help stabilise, which, in combination

with the powerful current, posed a challenge for

the positioning system,” explains Svendsen.

20 cm under the maximum height With the ballast tanks full, Leiv Eiriksson

continues into the strait. The route has been

carefully planned in advance. Each metre has been

programmed into the rig’s K-Bridge Integrated

Bridge System, a complete navigational system

from Kongsberg Maritime, used on ships all over

the world.

“Once the ballast tanks were full, the rig

had a draft of 30 metres. We had to follow an

extremely narrow corridor to avoid submerged

shipwrecks and shallow sandbanks. On our

sailing through the Bosphorus Strait, we had 6

metres clearance up to the bridge and only a few

metres clearance of the seabed. We were just

20 cm under the maximum height permitted by

Turkish authorities,” confirms Svendsen.

TV starsJoining the crew on the sailing was the British

production company, Original Productions,

creators of “The Deadliest Catch” on Discovery

Channel. The documentary they filmed on the

sailing has already been broadcast by a number

of international TV stations. In Norway, the

documentary will be broadcast on Viasat 4 as part

of the Nordsjøliv series (North Sea Life). The film

also shows how the crew trained in the simulator

in Kongsberg.

After 7 hours and 30 km in narrow waters, the

Black Sea finally receives Leiv Eiriksson. There

is a definite feeling of relief onboard the rig. All

they have to do now is set the heading for their

destination – the fields where Ocean Rig plans

to drill for oil and gas over the next three years.

Svein Svendsen and the rest of the crew describe

an overwhelming feeling of having taken part

in something momentous, with the safety of

knowing that the rig is equipped with the most

advanced navigation equipment in the world

and the feeling of mastering the technology and

succeeding as a team. They are already looking

forward to the return trip. ::

FACTS

The Bosphorus Strait

•36 metres deep at its shallowest point

midstream

•The world’s shallowest strait used by

international shipping

•forms the border between Europe and Asia

•750 metres at its narrowest. The shipping

channel is 200 metres wide at its narrowest

point.

•Around 30 km long

•The surface current travels in the opposite

direction to the undercurrent

•Currents up to 10 knots have been

measured

Leiv Eiriksson

•36,000 tons

•Length 120 metres

•Beam 85 metres

•Transit speed 7 knots

•Draft of 30 metres with full ballast

•One of the largest drilling rigs in the world

Dynamic Positioning

Method to keep ship and rig in the same

position over the seabed using the ships’s

own propellers/thrusters. Also used for

precise manoeuvring. A computer onboard

the ship collects data on wave height,

current, wind, ship’s heading and position.

By using extremely advance cybernetics,

the computer predicts changes before

they actually occur. The computer sends

command signals to the ship’s propellers,

rudder and thrusters, which allow the

computer to compensate in advance for

changes in the environment around the

ship and thereby ensure precise and secure

maneuvering or operations.

Figures

•The rig and tugboats stretched out over

600 metres

•The rig was just 20 cm under the maximum

permitted height for vessels crossing the

Bosphorus Strait

•Had to pass over shipwrecks with a

clearance of 40 metres

•Three new 80-ton thrusters had to be

assembled for the crossing of the Strait

the FuLL PiCtuRe magazine 01/10

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Swedish company Marine Mätteknik AB has a goal of being at the forefront of marine survey services and a three-step upgrade of the survey research vessel M/V Franklin reflects the importance of this strategy.

uPgRaDingFRankLin

tHeMe new directions article by the Full Picture Magazine :: Photos by Jonas Borg

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:: The Full Picture Magazine met Fleet

Manager of the Swedish research company,

Marine Mätteknik AB (MMT), Svante Johansson

onboard M/V Franklin in Stockholm’s harbour.

M/V Franklin is the largest in a series of five

survey research vessels owned by the company.

Fully equipped for seabed survey in water depths

between 10 – 2000 meters, M/V Franklin has

a proven track record covering hydrographical

surveys, ROV operations, geotechnical sampling,

geophysical seabed mapping and environmental

assignments undertaking a variety of survey

projects worldwide. Dating back to 1985, by 2009

the vessel was ready for an upgrade.

“Vessels like these have an almost unlimited

lifespan. The systems onboard, however, need

to be replaced at certain intervals. Shortly after

our company bought Franklin in 2005, we

started planning a three-step upgrading process.

We already knew that some of the systems had

reached the end of their lifecycle, and a refit was

necessary for the continued operation of the

vessel,” explains Johansson.

Fastest growing companyDating back to 1976, MMT is a fairly young com-

pany within the marine survey market. Its track

record however, shows projects going on in all

corners of the world. Among the typical tasks

performed by the company are bathymetrical

area surveys for chart production and route sur-

veys for telecom fibre cables, power cables and

pipelines. Geophysical site surveys are performed

for various offshore infrastructures, archaeologi-

cal objects, wrecks and for ammunition searches.

MMT also performs environmental mapping

projects in lakes, rivers and costal areas as well as

offshore in deep water. The company employs a

staff of project managers, marine geologists, geo-

physicists, biologists, oceanographers, engineers,

technicians and ship’s crew. In 2009 it expanded

its fleet by acquiring M/V Icebeam and won the

annual GASELL award for the fastest growing

company in Västra Götaland County, Sweden.

the FuLL PiCtuRe magazine 01/10

left to right: Torben Marthinsen – Senior project manager in Kongsberg Maritime’s refit department Svante Johansson – Fleet manager of Marine Mätteknik Torstein Hånes – Field Enginner in Kongsberg Maritime, who has been working onboard during the upgrade of M/V Franklin.

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38

“We have expanded significantly during the

past five years and have gained customers all over

the world in different projects. We employ vessel

crew as well as survey personnel. Our goal is to

keep our market share and be in the forefront

within survey equipment and vessels in order to

meet a highly technical – and knowledge intensive

market,” says Johansson.

ROVs in demandA special area of commitment for MMT in

achieving their goal, is the use of Remotely

Operated Vehicles (ROV) for seabed mapping

and object detection. M/V Franklin already

boasts two ROVs used in the search for metallic

objects beneath the seabed and verification of

objects detected by other instruments. Last

year, the company acquired two additional

Mochian ROVs for its latest addition, M/V

Icebeam. Among other projects, these will be

used during an ROV Munition Screening Survey

contract for the Nord Stream gas pipeline

between Russia and Germany scheduled for

completion in 2011.

“We are experiencing an increasing demand for

ROVs by our clients, so this is an area in which

we are aiming to expand,” comments Johansson.

Looking for referencesKeeping their vessels up to date is vital for the

continued success of the company. A three step-

upgrade of M/V Franklin was therefore necessary,

including the alarm system first, machine and en-

gine systems second and an upgrade of its DP-class

third. Kongsberg Maritime was chosen to deliver its

K-Chief 500 marine automation system, including

power management and AutoChief C20 main pro-

pulsion control. As part of the upgrade, AutoChief

C20 was fully integrated with a TC-500 thruster

control system and interfaced to the DP system

onboard once the vessel was upgraded to DP class.

“We always look for references when choosing

a vendor. Kongsberg Maritime had some good

testimonials in combination with a favourable

delivery time and price. Although we are a

relatively small company, they have always taken

good care of us,” says Johansson.

Includes all functionsAll systems delivered by Kongsberg Maritime in

connection with the upgrade were installed and

commissioned successfully during only three

weeks of dry docking at Götaverket in Sweden.

“This is a very complex refit project because it

involves a large part of the functions onboard the

vessel,” says senior project manager in Kongsberg

Maritime’s refit department, Torben Marthinsen.

As the project manager from Kongsberg Maritime

during the upgrade of M/V Franklin, he

emphasizes good planning as a key to success.

“Since we only had three weeks to complete

deconstruction, installation and commissioning,

a carefully planned time schedule was crucial

for the success of the project. M/V Franklin is

quite a small vessel, making it impossible to have

too many people working onboard at the same

time. We solved this efficiently by having only

one engineer onboard and a good project team

providing support from Horten,” he explains, also

pointing out some of the challenges met when

upgrading a vessel as old as M/V Franklin.

“Since the boat is quite old, you never know what

you will find. For instance, the drawings may not

always be in accordance with the actual systems

onboard, and you have to be ready and willing to

adjust the original plan,” said Marthinsen.

Controlling speedOne special feature of this upgrade is cruise control

for improved speed management, enabling M/V

Franklin to keep a steady pace when towing cables.

Prior to the installation, speed was controlled

tHeMe new directions

Page 41: The Full Picture Magazine 01/10

39

manually. The new cruise control will reduce the

fuel emissions, providing reductions in both the

environmental impact and the operational costs of

the vessel.

“The ‘cruise control’ is a very useful feature as it

makes the speed control between four to six knots

more precise when towing equipment. Since speed

is crucial for the quality of data gathering, this

feature should be mandatory equipment onboard

all survey vessels,” comments Johansson.

Kongsberg – a preferred vendorAlthough Kongsberg Maritime’s delivery was

a first with regards to automation systems, it is

not an unfamiliar name with MMT. As a survey

company specialising in delivering high resolution

bathymetry data, MMT’s fleet already boasts

several products from Kongsberg’s subsea

product range. Only during the past year, the

company purchased three new EM3002 dual

head multibeam systems, one of which is installed

on the new M/V Icebeam. The first Kongsberg

Multibeam was installed on one of MMT’s vessels

in the mid-nineties and MMT has since operated

different Kongsberg Maritime multibeam systems

at various locations worldwide. The latest purchase

means that a total of eight modern Kongsberg

Maritime Multibeam systems are installed on

MMT’s fleet of survey vessels and ROVs.

“It is a dream to be able to have all the systems

from the same vendor, but unfortunately that

is not the case today. However, it will be very

interesting for us to see the complete solutions

Kongsberg has to offer for survey vessels in the

future. I absolutely believe that vendors that

are able to provide complete solutions and who

succeed at integrating their systems have a great

advantage in the market,” says Johansson.

Making a superb ship even betterWith such good results in recent years, Johansson

is optimistic with regards to the future of MMT

and is confident that the upgrades were necessary

for reaching the company’s goals.

“This upgrade will prolong the lifetime and

improve the performance of M/V Franklin. With

these new investments, we have made a superb

ship even better.” ::

the FuLL PiCtuRe magazine 01/10

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40

attention to DetaiLYacht owners and captains demand the latest, most advanced technology for their vessels, with attention to aes-thetics. This poses extra challenges to the supplier. Northern Star is a case in point.

tHeMe new directions article by the Full Picture Magazine :: Photos by tor aas-Haug

Page 43: The Full Picture Magazine 01/10

41

:: What first strikes you onboard the

Northern Star is the peaceful atmosphere.

Although in the process of commissioning,

the crew members seem fully focused on their

allocated task. The second thing you notice is the

great attention to detail. Nothing onboard this

yacht is left to chance. From the ship’s deck to

the seating arrangements, everything is carefully

planned and tastefully designed. Even on the

ship’s bridge, all systems are flush mounted into

the same panel to match in colour and style.

“It is very important to us that our systems are

functional, user-friendly and 100 per cent reliable.

This requires a lot of careful planning and close

co-operation with the shipyard and suppliers,”

says the captain of Northern Star, Craig Franks.

Handpicked crewPowered by two 2000-kilowatt Caterpillar engines,

Northern Star has a cruising speed of 15 knots

and a top speed of 18 knots. She measures 75.6

metres long and 13.5 metres abeam. In addition to

the owner’s suite, the vessel contains five spacious

cabins, giving a total capacity of 12 guests. Each

of the guest cabins has its own en-suite bathroom

with individual design and artwork. There is also

a luxurious dining area, a sky lounge, a common

room, meeting rooms and a beauty parlour with

facilities such as a hairdresser and a massage

therapist. In order to keep the vessel looking new

and clean, shoes are forbidden onboard, even in

the engine room.

The crew quarters are also carefully planned.

To cater for guests and keep the vessel afloat,

Northern Star has a crew of 22, who reside in

modern two-berth cabins, with access to a mess

hall, a common area and a gym.

“Each crew member is sourced and interviewed

by the Captain, and the recruitment process

happens by word of mouth. We prefer that the

crew stay onboard for a 12 month contract, but

this varies. Most of the crew members are young

people who are interested in travelling and seeing

the world,” explains Franks.

Ice classWhen signing up for duty aboard a luxury yacht,

you might expect to be somewhere exotic, like

the Caribbean. This is the case for the Northern

Star for half of the time. Unlike many of its peers,

this yacht is equipped to sail in arctic waters. A

steel reinforcement in the bow and forward part

of the hull enables the Northern Star to cruise

safely in ice-strewn waters. Indeed, cruising in the

footsteps of Norwegian explorer Roald Amundsen

through the North-West passage off the coast of

Canada is one of the ambitions of the owner of

the vessel.

“Since our owner has a special interest in

adventure travel, this ship is designed to go to

the four corners of the world. It has some special

features, such as a large fuel capacity for long-

range cruising and extra insulation for extreme

climates and cold water,” says Franks.

In order to get the best suitable systems for

voyaging in such harsh conditions, the yacht own-

er looked at equipment suppliers for the offshore

market. Subsequently, Kongsberg Maritime was

chosen to deliver systems for navigation, DP and

thrusters control. Kongsberg Maritime has sup-

plied an integrated package with multifunctional

bridge displays, a stationkeeping joystick system,

track-keeping autopilot and a comprehensive

bridge manoeuvring system, controlling both of

the engines, gearboxes and rudders, together with

the aft pump-jet and bow tunnel thrusters. All of

this equipment is fit for the operation of large off-

shore vessels that depend on reliable systems for

all conditions and climates.

“The owner of the Northern Star has a good un-

derstanding of ships and has been personally in-

volved in the decision-making process. He wanted

to use the offshore market as a reference when

choosing systems for the Northern Star, and rec-

ommended that we look at equipment from Kongs-

berg Maritime. We did some research in the market

and found that Kongsberg Maritime’s solutions are

way ahead of the competition,” says Franks.

the FuLL PiCtuRe magazine 01/10

“We did some research in the market and found that Kongsberg Maritime’s solutions are way ahead of the competition.” Craig Franks, Captain on the Northern Star

Craig Franks onboard The Northern Star

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42

Focus on appearanceThe Northern Star was built by Lürssen Yachts in

Germany and was completed during the autumn

of 2009. By the time she left the shipyard, nearly

4 years had passed since the project was initiated.

According to sales manager in Kongsberg Maritime,

Roger Trinterud, this is not unusual for yachts.

“Because of the focus on appearance, it might

take several attempts before the results are

satisfactory to the owner. This focus on style is

very different from what we are used to, so our

equipment had to be adjusted compared to a

normal offshore or merchant vessel delivery. It

had to be tailormade to meet the demands of the

client,” says Trinterud.

“Take the bridge console as an example; all of

the panels are recessed and flush mounted into

the aluminium. When panels from other suppliers

were not approved by the client, the yard provided

one that was tailormade, based on a blind panel

from Kongsberg Maritime,” adda Trinterud.

One particular challenge encountered during

installation on such a comparatively small vessel

was lack of space, which forced the project

team to get creative. “This vessel is a lot smaller

than the types of vessels we usually supply.

Combined with the emphasis on aesthetics, the

lack of space was a challenge. We solved this by

placing electronics in panels above the ceiling and

redesigning our cabinets,” explains Trinterud.

Prestigious contractsDuring the past few years, Kongsberg Maritime

has delivered systems to approximately 50

percent of the mega-yacht market. Although not

the largest contracts in sum, they are of great

symbolic value.

“There are not many yachts of this type and

size built every year, but about half of them

have Kongsberg equipment onboard. Since

yacht owners often want the latest equipment,

winning these contracts is testimony that we are

at the forefront of maritime technology. Yachts

often require special features or pose specific

challenges, to which the client will sometimes

suggest the solutions. This has an educational

effect for Kongsberg Maritime, pushing us to

see new possibilities and to reach new levels,”

explained Trinterud. ::

tHeMe new directions

Project engineer Jonas Beyer Strømquis during commissioning.

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43

:: Before Transocean’s Sedco 706 set course

for Brazil last year to drill for oil on a five-year

contract with Chevron, she underwent a year of

upgrades at the Keppel FELS Yard in Singapore.

The aim was to retrofit her into a dynamically

positioned (DP) class 2 semi-submersible rig,

capable of operating in moderate environmental

conditions and in water depths down to 6500ft.

In order to achieve this, major structural works

were carried out, including a pontoon and column

extension in order to contain more drilling fluids.

Mark Vermeulen, Commissioning Engineer at

Transocean elaborates: “This upgrade included

a completely new drilling system, a new piping

system as well as new marine and ballast systems.

When we started the rebuilding project, only the

pontoons and columns were left. In order to keep

the stability of the rig, extra blisters were added

to the columns and the pontoons were extended

to be able to deal with all the new equipment.”

Keeping the valueAs the world’s largest offshore drilling contractor,

Transocean leases floating, mobile drill rigs, as

well as the equipment and personnel needed for

operation, to oil and gas companies worldwide.

The company launched its first jack-up drilling

rig in 1954. Since then, Transocean has had a

long history of ‘firsts’: among them, the latest

generation of ultra-deepwater semi-submersible

rigs and drillships, of which the upgraded Sedco

700 rigs make up an important part.

“For Transocean, upgrading is a way of

ensuring that our assets stay valuable and our

fleet stays up to date. By adding new technology

to ships, they become compatible with current

applications and requirements,” says Vermeulen.

In addition to the cost saving, Vermeulen sees

several advantages of refitting, compared to

building completely new rigs.

“One advantage is saving time. Production

time is reduced, meaning that you’ll get a much

faster return on investment for the conversion. A

newbuild may give you new facilities that might

not be possible with a refit, but it takes so much

more time.”

Safety firstDeepwater drilling takes place far from the coast

in water depths of more than 4,500 ft. Semi-

submersibles, such as Transocean’s Sedco 700

the FuLL PiCtuRe magazine 01/10

seDCo Rigs a BLank sLate To meet market demands for deepwater drilling, Transocean chose to upgrade two of its Sedco 700 series drilling rigs to dynamically positioned class 2 semi-submersible rigs. The process was so comprehensive the rigs were classified as newbuilds.

article by the Full Picture Magazine :: Photos by tor aas-Haug and transocean

Page 46: The Full Picture Magazine 01/10

44

series, are fitted with large, buoyant pontoon

structures below the water surface and columns

passing through the water surface supporting

the platform deck at a significant height above

the sea surface. Keeping the position of a

semi-submersible rig during oil drilling and gas

exploration is of critical importance for safety.

In order to achieve this, the Sedco 706 semi-

submersible rig relies heavily on its Dynamic

Positioning (DP) system for automatic station

keeping; it previously relied on anchors.

As a result of the upgrade, Sedco 706 now

features a DP class 2 system provided by

Kongsberg Maritime. The upgrade also consisted

of systems for power management, thruster

control, vessel control & auxiliary as well as

fire and gas with emergency shutdown from

Kongsberg Maritime.

“The Kongsberg systems contribute to the

safety of the people onboard and the management

of the rigs,” says Vermeulen. “We are now dealing

with automated systems that monitor and provide

supervisory control and operation, ensuring that

we protect the environment, the people and the

equipment onboard. Compared to where they

were before the conversions, these rigs have made

a huge step forward with regards to automated

protection and control.”

Like a football fieldWhen winning a refit contract, Kongsberg

Maritime usually sends an expert to perform a

site survey and prepare a site report including a

suggested system layout, a detailed project plan

and a cost analysis. This forms the basis for the

delivery contract, before the engineering phase,

installation, commissioning and training. The refit

of Sedco 706 however, was slightly different.

“I usually go onboard the vessels at the

beginning of a project to perform a site survey,

but in this case everything had been taken away,

so there was nothing to see. Instead we made a

detailed project plan with the site team from

Transocean and adjusted the scope of supply,”

says project manager at Kongsberg Maritime,

Håkon Hvidsten.

“When I went onboard the 706 for the first

time, it looked like a football field on top. There

was nothing there. It was so large that although

there were close to 1400 people working onboard

at peak time, I hardly saw a single person.”

Double conversionThe retrofit of the Sedco 706 is the second in a

double conversion contract. Transocean had

already upgraded its Sedco 702, with mainly the

same team from Kongsberg Maritime involved.

The lessons learnt from this first conversion

became the basis for the Sedco 706 project.

“The original engineering was planned so that

the two rigs would have an identical conversion,

starting from the same position and basically

ending in the same position. It was intended as

tHeMe new directions

KONGSBERG MARITIME EqUIPMENT ON SEDCO 706

•Dynamic Position (DP) system including 3 operator stations, DP logger, multiple DP reference system and DP controllers

•Power Management System including a history station providing facilities for long-term storage of alarms, events and time-series

•Thrusters Control System

•SVC (Vessel Control) & Auxiliary System including 12 SVC operator stations

•fire and Gas with Emergency Shutdown System (ESD) including multiple ESD matrix panels

Left to right: Stig Lauvmo - project engineer for KM during the Sedco refit; Erik Svanberg - KM project engineer, software responsible on the Sedco refit; Håkon Hvidsten - project manager, KM; Kent Robin Berglund - hardware responsible during the Sedco refits, KM; Mark Vernmeulen - comissioning engineer, Transocean

Page 47: The Full Picture Magazine 01/10

45

a duplicate conversion one after the other, but

they ended up with large differences. On the

706 we agreed to have only two main points

of contact with Kongsberg Maritime, so that

anything within our organisation related to

the Kongsberg systems went through us. This

narrowing down of the contact lines made a

huge difference for the efficiency of the project,”

explains Vermeulen.

Local involvementAnother main difference between the two

conversions was that with the 702, most of the

work was done from Kongsberg’s main office

in Norway. During the conversion of the 706, a

local team in Singapore took care of most of the

same work. This is the first time a refit project

has been run entirely from this local Kongsberg

Maritime office.

“We have a large office in Singapore”, says

Hvidsten. “In general, the 702 was run by

Norwegian engineers with assistance from the

local office. At that time, the Singaporean office

was still undergoing extensive training to reach

the level they needed to be at, so when 706 came

along, they were more than prepared to run the

project.”

This local involvement was a result of a specific

request from Transocean in order to minimise the

travelling time and expenses of the engineers

if support was needed, and to ensure local

competence for future projects.

“For each engineer in the project, there is cost

involved. We wanted the flexibility to increase the

work force if required. This would be easier and

less expensive from the local office. By increasing

skills locally, you also increase the possibility that

they can take care of future projects without

always relying on heavy support from Norway.

I think that this turned out to be a benefit for

everybody because it has been driving local

employees to reach the level that you want to

see for your branch offices,” Vermeulen says, also

emphasising local involvement as an advantage in

the training of staff.

“A lot of our staff members need training and

if there is a local, regional office it reduces our

travelling costs in connection with courses.”

A better companyHvidsten describes the benefit of these refit

projects to Kongsberg Maritime: “This is an

extensive contract comprising many of our

products, including automation, DP and safety

systems. Transocean is an important customer and

it’s always interesting to work with the leading

companies within their field. You always know

they have high technological demands pushing

our project group to perform better. Working in

these types of projects contributes to making us a

better company.” ::

the FuLL PiCtuRe magazine 01/10

A HISTORY OF FIRSTS

TRANSOCEAN TODAY

•Transocean holds 80 per cent of the past 23 deepwater drilling records

•first offshore jackup drilling rig •first self-propelled jackup •first turret-moored drillship •first dynamically positioned drillship for

exploration •first dynamically positioned semisubmersible •first fourth-generation semisubmersible •first rig to drill year-round in the North Sea •first semisubmersible for sub-Arctic, year-

round operations in the Barents Sea •first semisubmersible for year-round drilling•West of the Shetland Islands in more than

4,000 feet of water •first deepwater semisubmersibles with

patented Tri-Act derrick •first ultra-deepwater drillship with patented

dual-activity drilling system

•More than 21,000 employees in 30 countries•Largest offshore driller with 138 mobile

offshore drilling units, plus an additional eight newbuild rigs

•Largest jackup rig driller with 65 units •Largest “floating” rig driller with 70 drillships

and semisubmersible rigs •Largest deepwater driller with 36 rigs that can

operate in water depths of 4,500 feet or greater •Largest offshore driller by equity market

capitalization

Page 48: The Full Picture Magazine 01/10

46

:: With the 250 kilometre Swedish coastline

as its workplace, the Swedish Coast Guard

undertakes a wide variety of tasks in order to

secure a healthy and safe environment. When

the Baltic Sea is covered with ice during winter,

it is the Coast Guard that comes to the rescue of

vessels trapped in the floating ice rafts. And in the

case of oil spills, the Coast Guard is responsible for

cleaning up. In addition, it fights fires, monitors

the coastal environment and oversees the speed

limit for private vessels. Considering the fact that

it controls approximately 40% of the Baltic Sea,

the Swedish Coast Guard has a lot on its hands.

“Our main responsibilities are to ensure a

cleaner, safer and more sustainable environment

at sea,” explains Åke Dagnevik, Newbuilding

Director at the Swedish Coast Guard. “To do

this, we perform a number of tasks mainly for

the merchant fleet, but we also deal with private

vessels, ensuring speed limits and alcohol limits

are upheld. In short, we rescue, help and protect

at sea, so we are involved in anything that

happens along the Swedish coastline.”

Greater risksThe Swedish Coast Guard is a civilian authority

under the jurisdiction of the Ministry of Defence.

Their overall goals are decided by the Swedish

Parliament, while the government makes

decisions on more detailed aspects. The Swedish

Coast Guard started up in 1638, with two beach

riders working to prevent smuggling and wrecks.

Today the Coast Guard owns a fleet of modern

vessels that patrol year-round.

“The situation in the Baltic Sea has changed

a lot over the years. After the fall of the Soviet

Union, traffic increased, especially by Russian

tankers since the Russians have increased their

oil and gas business. The risk of oil spills and of

other accidents has increased and Sweden has to

take responsibility for its part of these waters.

Consequently, the Swedish government decided

to improve our fleet with larger vessels capable

of handling larger situations,” explains Dagnevik.

New combination vesselsAs a result of this decision, the Coast Guard

recently ordered the replacement of four of its

older vessels with brand new, environmental

ships, which will be built at the Peene Werft in

Wolgast, Germany. The goal is to place one in

each of the Coast Guard’s regions. The first of

these four vessels is scheduled for delivery in

April 2011, with the rest following at four month

intervals. The entire delivery will be completed

during 2012.

tHe Coast guaRD Supervising, rescuing and providing assistance at sea 24 hours a day, 365 days a year along the entire Swedish coastline requires the latest, most reliable equipment. That’s why the Swedish Coast Guard recently renewed its fleet.

tHeMe new directions article by the Full Picture Magazine :: Photos by tor aas-Haug

Torbjörn Lindholm - maintanance manager, Swedish Coast GuardTorgny Andersson - project manager, Swedish Coast Guard Åke Dagnevik - Newbuilding deirector, Swedisch Coast GuardThomas Karlsson - maintanance engineer, Swedish Coast GuardStåle Furuberg - sales manager, Kongsberg MaritimeStein Dahle - project manager, Kongsberg Maritime

Page 49: The Full Picture Magazine 01/10

47

These newbuildings are so-called combination

vessels; in addition to environmental protection,

they will be involved in all the regular tasks of

the Coast Guard, such as sea traffic monitoring,

border control, fishery and customs control at

sea. They are advanced environmental protection

vessels and can recover and store up to 250 m³

of oil in their own tanks. They are also equipped

for sea rescue in all kinds of weather and have

the possibility of fighting fires both at sea and in

harbours.

“Our existing vessels are already 30 years

old, and are therefore not functioning optimally.

The newbuildings will enable us to manage our

tasks better by assisting in our daily operations

along the coast, and undertaking environmental

tasks. They are better and more modern and will

generally have increased capabilities of cleaning

up oil after a spill. They also have better and more

modern equipment for surveillance,” explains

Dagnevik.

In addition to replacing four of the older vessels,

the Coast Guard recently added three combination

vessels to its fleet. Two of these were completed

by May 2009, and the last one was completed in

June this year. Like the prospective newbuildings,

these too are capable of handling large volumes of

oil, and are equipped with improved functionality

for towing and fire-fighting at sea. Additionally,

they are specially adapted for assisting in chemical

spills, which is a new feature to the fleet.

Full Picture deliveryKongsberg Maritime was first chosen as a vendor

for the three new vessels that have already

been completed. This co-operation proved so

successful that, when the Coast Guard looked

for suppliers for its four scheduled newbuildings,

Kongsberg Maritime was chosen once again. Both

contracts include a wide variety of the products in

Kongsberg Maritime’s extensive portfolio.

“We are thrilled to have been chosen for this

delivery. These vessels are highly advanced and

among the best of their kind,” says sales manager

in Kongsberg Maritime, Ståle Furuberg.

“The Swedish Coast Guard is an important

reference for us because its poses very strict

technical demands on its equipment, especially

with regards to the ability of sharing information

across different systems. The Swedish Coast

Guard has chosen an integrated solution that

enables information exchange between the

various systems onboard. This fits very well into

our own philosophy of providing the Full Picture.”

All seven vessels will include Kongsberg

Maritime’s K-Bridge Integrated Bridge System.

This is designed specifically for easy operation to

allow maximum time for observation and decision

making, something that will greatly improve the

working conditions for staff onboard. The vessels

are also fitted with the K-Chief marine automation

system for monitoring and control.

“These modern systems monitor everything

onboard the vessel. I know what it’s like to be on

the bridge not knowing what to do. If we can get

a system like this to remain stable, this will mean a

lot for the comfort and working conditions of the

crew,” says Dagnevik.

The delivery from Kongsberg Maritime also

covers a range of other systems, such as Dynamic

Positioning to keep the vessels stable during the

clean up of oil spills, cJoy joystick control system,

Seatex DPS, K-Thrust thruster control, Mission

Recorder, EM-3002D Multi-Beam Echo Sounder

and MRU.

“This is the first time that we have installed a

fully integrated system. Experience has taught

us that it is an advantage to use the same vendor

for different systems. That way, you ensure

efficient communication,” says Dagnevik. “We

chose Kongsberg Maritime because it has a good

reputation in the market, and has the funds

necessary to invest in new technology. The

company is also open to discussions regarding its

solutions and our demands.”

MultibeamA completely new feature for the Coast Guard on

all seven of its new ships is the use of multibeam

echo sounders. Kongsberg Maritime’s EM-3002D

Multi-Beam Echo Sounder is installed onboard all

of the newbuildings already in operation.

“The use of multibeam echo sounders is a

completely new concept for us,” says Dagnevik.

“They will be a great help when searching for

containers and oil and have already assisted in

locating containers with poisonous gases, a task

previously performed by divers and ROVs. With

the new mutibeams from Kongsberg Maritime, we

can perform these searches a lot more efficiently.”

Construction across bordersThe complexity of this Full Picture Delivery by

Kongsberg Maritime has required the involvement

of several diverse departments and locations.

During the newbuilding project last year, the

project management was run from Norway,

while the commissioning was done by Kongsberg

Martitime’s office in Poland.

“Both of these deliveries involve many different

parts of our company. The assistance from our

Polish office for the delivery last year proved

highly efficient since they are located closer to the

construction site. Consequently, they are likely to

become part of the second contract as well,” says

Ståle Furuberg.

The Coast Guard is very pleased with this

solution. “The commissioning engineers in Poland

proved highly competent with good knowledge of

the project, and they did an excellent job with our

three newbuildings,” Dagnevik says.

With three new vessels and four more scheduled

for construction, the Swedish Coast Guard is well

equipped to provide a safe environment along

the Swedish coastline, and Dagnevik has great

confidence in the new and modern facilities

onboard the vessels.

“With the introduction of such a large amount

of new vessels, we phase out a great deal of

problems, but we also get some new challenges,

such as more modern electronics that will require

a lot of training of our staff. However, we hope to

meet these challenges so that we can keep these

vessels operating for another 30 years.” ::

the FuLL PiCtuRe magazine 01/10

FACTS

The Swedish Coast Guard works for:A cleaner sea - The Coast Guard is on permanent standby for environmental protection and prevents environmental crime at sea via environmental surveillance Increased safety at sea - The Coast Guard works to enhance people’s safety, is responsible for border control at sea and is on permanent standby for search and rescue. Sustainable future fishing - The Coast Guard monitors fisheries at sea

During 2008, the Swedish Coast Guard’s operations included:• 35 oil response operations and one chemical

response operation• 269 search and rescue missions• 315 oil spill observations that led to 166

preliminary investigations• 138 diving assignments• extensive national and international co-

operation• contributing to limiting crime and increasing

safety at sea

“These modern systems monitor everything onboard the vessel.” Åke Dagnevik, Newbuilding Director, Swedish Coast Guard.

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48

tHeMe new directions

:: The world of oil & gas production moves

at an incredible pace. Technology and innovative

thinking makes the industry dynamic, fluid and

focused on overcoming challenges. The Gjøa

project, which lies in North Sea blocks 35/9 and

36/7 – approx. 100 miles North West of Bergen –

is the perfect example.

The field, which has been developed by Statoil

and will be operated by GDF SUEZ E&P Norge,

was proven in 1989 and reserves are estimated

to be 82 million barrels of oil and condensate

and 40 billion cubic metres of gas. With its Vega

satellite, Gjøa is the largest current North Sea

development, so this combined with its location in

a new area for oil & gas production means that the

technical excellence employed to bring the project

to fruition has been immense.

The Gjøa field has been developed with a

semi-submersible production platform and five

sub-sea templates, and is expected to be online

before the end of 2010. Three main contracts

were awarded by Statoil in 2006 to build the

technically advanced platform; Aker Solutions

was given the task of producing the platform

deck and the mating of the topside and hull.

Leirvik Module Technology was contracted to

build the living quarters whilst Samsung Heavy

Industries in South Korea was chosen to build

the hull. With the primary work underway,

Statoil and Aker Solutions selected Kongsberg

Maritime to provide a large package of systems,

not least the Safety & Automation System (SAS),

which, with over 40,000 I/Os is one of the most

extensive of its kind ever installed.

Power UpAs is common in newbuild oil & gas platforms,

and indeed offshore vessels, the Gjøa platform

is packed with sophisticated technology and

innovations. Perhaps the most talked about is

the fact that the platform is the first ever to be

powered entirely by electricity from land, using

a 100km power cable to a shore side transformer

station at Mongstad, just North of Bergen.

Statoil believes that electrifying new installations

on the Norwegian continental shelf is one of the

most important measures to reduce further carbon

emissions from Norwegian oil & gas production.

Specifically for the Gjøa platform, it will mean

a reduction in emissions to the environment

of 250,000 tonnes of carbon dioxide per year

(equivalent to the annual emissions from 100,000

cars per year) and with the electrification of the

Troll A platform and Kollsnes also, Statoil is a

front runner with a view to reducing emissions of

nitrogen oxides and carbon dioxide.

The power cable also houses fibres that are an

intrinsic part of the Gjøa platform’s SAS network.

Within the transformer station in Mongstad is an

SAS console that provides safety monitoring, alarm

and shutdown and can be remotely operated from

onboard the platform. Should there be a problem

that would require the power to be shutdown,

for instance a fire in a critical area onboard, then

the SAS can automatically or manually turn the

power off at the transformer station without any

BReakinggRounD

The Gjøa development shares its name with the first vessel to transit the North West passage. Like the Gjøa before it, the new Gjøa platform is breaking new ground – it opens a new sector of the North Sea to oil & gas production and is the first floating production platform to be completely powered from land…

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49

the FuLL PiCtuRe magazine 01/10

personnel having to be present there. Although

the likelihood of this happening is slim, an

important part of the SAS aboard the platform is

to ensure that every eventuality is prepared for.

The direct connection to the power transformer

station, although undoubtedly the longest leg, is

only a small portion of the SAS network itself. A

total of 190 cabinets, 102 real-time computers

and about 50 operator stations have been

tested, delivered, installed and commissioned by

Kongsberg Maritime so far. Staggered delivery

dates have led to 48 hardware and 60 software

FATs (Factory Acceptance Test).

The platform has a dedicated SAS Office which

is currently manned by Kongsberg engineers and

the system is controlled by GDF SUEZ operators

in a sophisticated central control room. There

are approximately 50 consoles located at various

positions onboard, enabling authorised personnel

to enter the system whilst away from the central

control room or the SAS office.

Remote ControlThis in itself is an extensive SAS for any vessel or

platform, but operator GDF SUEZ also had strong

requirements to enable remote access to all of the

data from the platform, so that it could support

operations and maintenance from its centre in

Stavanger and so that its suppliers, whom the

company relies on to provide technical expertise

can act without having to be onboard. For

instance, it’s possible for Kongsberg engineers to

sit in their own offices and do updates, diagnostics

and follow up of the systems.

“We want to move as much of the work as

possible from offshore to onshore because it’s

safer and cheaper. To do that we need all the data

from the platform onshore, so we need quite a

high bandwidth, which is why we run on fibre.

We have many more signals than we had on

older platforms because these days there is much

more data available,” explains Årstein Bringsvor,

Automation, Electrical and Telecom Team Leader

for the Gjøa operation phase, GDF SUEZ.

“Together with Kongsberg, we have tried to

make a very segregated network so there is no

possibility to endanger the SAS. The remote

access is paying dividends, even before the field

is online. Today for instance there is limited

capacity onboard for beds and cabins whilst

work is still being carried out. So what we are

doing right now is having two Kongsberg

people onboard doing maintenance and updated

commissioning on the sub systems, whilst have

we four Kongsberg people in Oslo doing remote

work,” continues Årstein.

Third PartyIn addition to the SAS, Kongsberg also supplied

and integrated a number of key third party

systems and applications. In fact, 15 major sub

suppliers have made important contributions

to the project. Kongsberg introduced a large

screen display based on IFE ‘Dull screen’ concept

and have integrated the Emerson AMS with the

SAS. The project has been the first to take into

use the new PROFISafe communication, the new

earth fault detection system, the new internode

signaling concept and the TUV approval of IEC

61508 for AIM 8.3 all delivered from Kongsberg

Maritime’s R&D department and mandatory to

fulfill the contract obligations.

“One innovation was to introduce the Emerson

Management System to the equation. The AMS

can get a lot of information from valves and

transmitters so rather than going out with a

handheld HART communicator you can do remote

diagnostics and enable automatic diagnostics,”

says Årstein. “Instead of just adding it to the top

of the SAS, Kongsberg did a lot of work in routing

the traffic through the network. We can now use

it within the SAS but in a safe fashion, which will

be a great operational benefit when we go online.”

“We have quite a lot of condition monitoring

systems too. They are third party products but

several of them have been supplied, implemented

and configured by Kongsberg. Together we have

set up availability of information from these sub-

systems. For instance Turbo Watch, a condition

monitoring system delivered through Kongsberg

actually gets a lot of input from the SAS system,

which is only possible because we made a specific

effort to ensure that the data was available.”

Embracing ChangeRoald Amundsen’s Gjøa spent the first 28 year’s

of its life as a herring fishing vessel. The famous

explorer spent the majority of his inheritance to

buy her from the original owner and following

a training expedition from Tromsø through the

Barents sea in 1901, he realised that she would

need to change for the purposes of transiting the

North West Passage.

Although adding a 13hp paraffin engine and

upgrading her ice sheathing may seem trivial

in comparison, the attitude to change that

Amundsen and his team showed, reflects that

of the teams from Statoil, Aker, GDF SUEZ and

Kongsberg Maritime during production of the

modern day Gjøa.

The original concept for the SAS aboard the

Gjøa platform was that it would be based on the

successful design of Statoil’s Kristin platform,

which was already in operation. As development

of the Gjøa platform and its systems progressed

though, a different path was forged, which tested

the teams’ ability to deal with change on several

levels.

“Kongsberg was always able to fulfill our

requests for changes to the original plans as the

project progressed,” says Johannes Haga, SAS

lead, Statoil. “There are several Kongsberg people

integrated in the Statoil commissioning team. The

personnel have been very good and we have

experienced good co-operation between us, and

also with the people at HQ in Kongsberg.”

Årstein adds: “From my point of view we

have had very good co-operation. I really like

the attitude of Kongsberg. They try to solve

problems and not get bogged down in too much

discussion and this is the general feeling I get from

other members of the project.”

According to Arnt Ole Lia, Sr. Project Manager,

Kongsberg Maritime, when considering the extent

of the solution supplied by Kongsberg it’s easy to

understand how everyone involved in the project

needed to stay fluid, cooperative and to work with

flexibility.

“The Gjøa project has come through several

challenges and changes throughout the last 3

½ year’s. Thanks to competent, flexible project

participants willing to complete their tasks even

though from time to time it influenced their

private life more than it is natural to expect from

them, the Gjøa platform will go online with a SAS

that has been changed and improved over that of

the original vision. We couldn’t have addressed all

the changes without the good attitude of Statoil,

GDF SUEZ and Aker Solutions, and indeed without

the excellent assistance and cooperation from the

Kongsberg R&D and Product departments at

crucial phases of the project.” ::

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50

:: At ONS 2010 Kongsberg Maritime

presented the latest version of the K-Master

aft bridge workstation in combination with the

sophisticated and unique Kongsberg Offshore

Vessel Simulator, configured for anchor handling

operations training. This setup shows not only the

extensive and varied capabilities of K-Master in a

realistic offshore environment, but is a particularly

impressive demonstration of how the workstation

can contribute to bringing vital anchor handling

simulation closer to real life, therefore enabling

safer and more efficient offshore operations…

Seated in RealityThe K-Master aft bridge workstation was launched

at Nor-Shipping 2009. As the first system of

its kind it garnered a huge amount of attention

and feedback to the concept was unanimously

positive. K-Master provides unique access to all

major control systems within easy reach of the

seated operator and ensures complete situational

awareness for intuitive navigation, control and

manoeuvring for critical offshore operations such

as anchor handling. It consolidates the traditional

bridge consoles into literally a single operator

chair, which houses integrated multiple computer

consoles in its armrests. Total ship operation takes

place from this chair, with the main information

displays close to the seated operator to ensure that

all critical data is viewable. This is a vital safety

development, especially due to the intense nature

of ship operation, especially anchor handling on

the aft bridge.

K-Master can include a wide variety of

sub-systems, including Dynamic Positioning,

independent DP joystick, thruster control,

integRateDReaLityThe full picture goes full circle when we apply our simulation and training solutions to our real-life ship systems. Take for instance the integration of the hi-fidelity KONGSBERG Offshore Vessel Simulator with the cutting-edge K-Master aft bridge workstation…

tHeMe new directions

Page 53: The Full Picture Magazine 01/10

machinery automation and cargo control, chart

radar and conning display, and bridge auxiliaries.

The sheer breadth of functionality at the

fingertips of the operator is astounding, and its

design ensures that each and every sub-system

can be operated safely and efficiently.

At ONS 2010, a brand new twin K-Master

configuration was introduced. It demonstrates

a complete anchor handling vessel aft bridge,

arranged in compliance with the DNV NAUT-OSV

class notation. With one workstation for ship

handling and one for aft support/winch operation,

two operators can experience the challenges of

cooperation in a demanding operational scenario

– a scenario generated, controlled and visualized

by the Kongsberg Offshore Vessel Simulator.

The K-Master for ship handling is equipped with

DP control functions as well as levers for manual

control of thrusters and propulsion, together with

an independent DP backup joystick system. In

addition there is access to navigation displays

and machinery automation displays. It is also

possible to monitor status information from the

anchor handling winch system on this station.

Similarly, the K-Master station for winch control

is equipped with dedicated panels for remote

control of shark jaws and guide pins, along with

levers and software panels for bridge control

and monitoring of the anchor handling winch

system. CCTV camera selection for presentation

on overhead CCTV displays makes it possible to

observe parts of the winch system that can not

otherwise be observed from the bridge.

The systems controlled from the workstation

for ship handling can also be monitored from

the winch control station, and it is possible to

activate the joystick manoeuvring back-up

mode for situations where the ship handling

operator is unavailable to continue his task. Both

workstations have software controls for remote

control of bridge auxiliary equipment such as

deck lights and window wipers/ washers.

A Natural EdgeRealism is the fundamental goal in the development

of any simulation project, because the closer to real-

life a simulator is, the better the training experience

is for the student. As Kongsberg Maritime is

leading the way in the development of real-life

systems, we have a natural edge in developing

realistic simulators. We have a wide range of real-

life ship equipment, we know the applications

and operations, and our simulation department

possesses extensive expertise when it comes to

modelling and visualising the environment and the

physical behaviour of vessel and equipment.

51

the FuLL PiCtuRe magazine 01/10

SIMULATION DEMONSTRATION

The vessel represented in the K-Master/Offshore Vessel Simulator configuration at ONS 2010 was a common anchor handler hull equipped with twin bow tunnel thrusters, twin aft tunnel thrusters, twin propulsion engines with shaft generators and twin rudders in addition to auxiliary engines for additional power generation. The deck equipment is two sets of shark jaws with guide pins and one set of stop pins. The winch system is an assembly with one anchor handling winch and two smaller winches powered via a clutch system from in total, four electric motors.

An overview of the demonstration set up at ONS 2010 is shown below. The workstation for ship handling is on the right, winch handling to the left.

K-Master applications controlled/simulated from the Anchor Handling Workstation include:•Winch clutch system remote control and

monitoring•Winch status monitoring

•Winch motor and drum remote control and monitoring

•K-Pos (DP) backup•Deck equipment remote control for shark jaws,

guide pins and stop pins

K-Master applications controlled/simulated from Ship Handling Workstation:•K-Pos (DP)•K-Chief (Automation)•K-Thrust (Thruster Control)•K-Bridge (Conning)•K-Bridge (Chart Radar)•DP Position reference systems (DGPS, HiPAP,

RADius)•Radio systems•Window Wipers•Window Washers•Deck lights•Search lights

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52

“With K-Master and the new Offshore Vessel

Simulator, we cover all aspects of offshore

aft bridge simulation,” comments Søren Einar

Veierland, Business Manager, Kongsberg

Maritime – Simulation & Training Department.

“We can provide high quality simulation for

anchor handling and winch control, dynamic

positioning with K-Pos, power management,

in addition to navigation and forthcoming

K-Master functionalities such as cargo transfer

and ballast control. Essentially, by integrating

our offshore vessel simulator with K-Master,

we are providing a complete offshore vessel

simulator in an environment that is identical to

the vessel in real-life.”

This is what makes this development so

important for the offshore industry. The need

for personnel training in the offshore sector

today is significant. Simulation for training,

procedures, mission planning, decision support

and crises and accidents represent the needs of

the industry and are therefore integrated parts

of the simulator training that we develop and

deploy successfully. Due to escalating costs,

many possible risks and difficult access to

offshore marine assets for ‘live’ training with

real equipment in real environments, simulation

under realistic circumstances is a safer and

more cost-efficient training solution. And the

Kongsberg Offshore Vessel Simulator integrated

with K-Master is about as realistic as it gets.

The Sharp EndThe Offshore Vessel Simulator can provide training

across a wide range of offshore operations, either

as a custom solution specific to each facility or

based on the K-Master workstation. In order to

create a realistic anchor handling exercise, the

simulator needs to simultaneously represent a

number of critical systems most of which interact

with each other, and which are controlled from

the K-Master workstations exactly as during

real-life operations. This means that interfaces

between K-Master’s various applications and the

simulation are implemented across all functions.

The simulation is controlled from a powerful

instructor station which is equally essential when

planning and executing exercises of a training

program. The scenario comes to life through an

extensive visual system generating a realistic

‘out of the window’ view from the bridge. The

simulated vessels all react and behave in the

same way that they would at sea. Equipment can

be controlled exactly as it would be onboard. The

environment, from the geographical accuracy of

the exercise areas through to the hydrodynamic

modelling of the water is all state-of-the-art.

And all of this can be viewed in real-time, in hi-

res with incredible detail.

The integration of K-Master into the Offshore

Vessel Simulator has been a combined effort

between personnel in the Kongsberg Maritime

simulation and offshore departments, all

determined to achieve the highest level of

realism in the end product.

“The results of this co-operation are very

impressive,” says Veierland. “Trainees can

experience first hand exactly what it is like to

be at the sharp end of offshore vessel operation

using the K-Master workstation. Separately,

K-Master offers enhanced offshore operations

whilst the Offshore Vessel Simulator ensures

that personnel can carry out their jobs safely

and with competence. Together, K-Master

and the Offshore Vessel Simulator represent

a high performance training solution to meet

the demands of the offshore industry for cost

effective, high quality simulation,” concludes

Søren. ::

OFFSHORE VESSEL SIMULATOR INSTRUCTOR STATION

The demonstration system at ONS 2010 also featured a powerful, flexible instructor station designed to enhance the quality of simulation training by providing complete, intuitive and user-friendly control of student exercises. It enables the instructor to develop customised exercise modules for individuals, teams or a combination of both, with fully controllable areas such as:• Initial Condition – define all the variables at the

start of the exercise (ship model, exercise area, targets, equipment on deck, etc)

• Student Station Configuration – define what information is accessible and visible to students

• Actions – derived from input variables and malfunctions, which can be initiated instantaneously, or preprogrammed as part of

the exercise. E.g. engine breakdown, loose or stuck wire in the winch etc

• underwater view – realistic behaviour of the chain and anchor below the water to monitor the student’s performance

• Men on deck control – control movement and actions of vessel deck crew

• Crane operation control – role of crane operator on drilling rig or onboard vessel, including communication with the bridge

• Rig winch operators – role of the winch operator on the drilling rig

• Tow master – role of the tow master on the drilling rig

• Assessment – monitor and assess alarms, and any of the variables in the simulation.

“Physically replicating a vessel’s navigation and automation systems in a training facility on dry land is a fine art.”- Terje Heierstad

tHeMe new directions

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53

:: The thriving LNG and offshore industry

in the Middle East region has resulted in new

contracts for suppliers world wide. For Kongsberg

Maritime, this is no different. A recent integrated

system delivery to 18 of Qatargas’ new LNG vessels

is one example of the growing need for support on

Kongsberg Maritime products in this region and

with the newly established Kongsberg Maritime

Middle East DMCOO, Kongsberg Maritime is well

prepared for the challenges ahead.

“There are many opportunities in this region,

especially within products related to LNG, but

also within the offshore industry. We have a

considerable position as a supplier to the merchant

fleet, and our goal is to build a strong office that

can provide support and service for all KM products

to the entire Middle East region,” says the new

General Manager for DMCOO in Dubai, Halvard

Sagdahl. “The fact that we are now present with

our own staff in Dubai will be a great advantage

to our customers. They will no longer need to wait

for expertise from the head office or any of our

other locations world wide because that expertise

is situated right here in Dubai.”

Building local competenceThe new company was officially opened in June

this year and is a Dubai Maritime City Freezone

company, with offices in Falcon House, Dubai In-

vestment Park. In order to get the office up and

running in time, local staff received extensive

training by instructors from Kongsberg Mari-

time’s head office. The purpose of this is to en-

sure a highly competent group of local staff that

can support vessels and yards in the Gulf Co-

operation Council (GCC) region. As a result, the

company currently has nearly thirty employees

dedicated to the support of all products provided

by Kongsberg Maritime, including advanced au-

tomation systems, alarm and monitoring systems,

machinery control systems, dynamic positioning

systems, navigation systems and hydro acoustic

control systems including underwater navigation

and seabed mapping systems.

A well established playerThe new company will take orders for service

and systems aboard all kinds of vessels, such as

offshore vessels, merchant ships including LNG

(Liquid Natural Gas) tankers and other specialized

vessels operating in the GCC. It will also handle a

wide variety of projects at shipyards for project en-

gineering, installation, commissioning and sea tri-

als. In short; their staff will have the qualifications

needed to provide the same high levels of service

and support that was previously provided from

Kongsberg Maritime HQ or other global offices.

Vice President Global Customer Support, Geir

Håøy, sees the expansion in the Middle East as a

natural addition to Kongsberg Maritime’s global

network of Customer Support: “We are already a

well established player in the Middle East since the

mid 1970’s. Our new company in Dubai has been

set up to be closer to the customers in this busy and

growing market. It is an integrated part of our global

customer support network and will further improve

both our presence and support to shipowners and

yards in this region and world wide.”

Joint ventureThe new company is a joint venture and part

owned by long term Kongsberg Maritime partner

in the Middle East, Unique Systems. For several

years, Unique Systems has been the sales and

service agent for all Kongsberg Maritime prod-

ucts in the Middle East, which has contributed to

the establishment of Kongsberg Maritime in this

region’s market over several years. Kongsberg

Maritime will maintain the close co-operation

with Unique Systems, and they will continue as

the sales agent in Middle East for products pro-

vided by Kongsberg Maritime.

“Unique Systems has done a very good job for

us for many years and we look forward to con-

tinuing this working relationship in order to gain

new market shares in the Middle East region,”

says Sagdahl. ::

the FuLL PiCtuRe magazine 01/10

new CoMPany in DuBaiIn order to meet increasing market demands in the Middle East, Kongsberg Maritime recently established Kongsberg Maritime Middle East DMCCO in Dubai. For customers, this means a number of improvements and benefits, including lower service costs and shorter delivery times.

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54

:: With offices in 22 countries, Kongsberg

Maritime already has a strong team of 470

customer support staff at their facilities in Norway,

Singapore, Brazil and the USA. To meet the

growing demands, the already thriving Customer

Support operations in Rio de Janeiro and New

Orleans will both be strengthened with new staff.

In addition, the newly established Kongsberg

Maritime Middle East DMCCO in Dubai will

provide support to the entire Middle East region.

Executive Vice President for Customer Support,

Geir Håøy, hopes that this expansion will provide

even more efficient Customer Support.

“The expansions in Rio and New Orleans are

based on increasing demands in the market,”

comments Håøy. “Our Customer Support strategy

in these key markets is to continue to grow our

local organisation with the right competence and

to be closer to our customers. In addition we have

our pool of international resources available that

can assist in periods of excessively high demand.

Kongsberg Maritime has grown considerably in

recent years, accordingly we are committed to

utilising all our available resources worldwide to

serve our customers.”

Potential in the Gulf of MexicoIn the Gulf of Mexico, which is currently attended

by a 50 strong Customer Support office in New

Orleans, there are approximately 90 rigs in

operation. This makes an expanded Customer

Support function a high priority for Kongsberg

Maritime. The office covers the product areas

of DP, reference systems, offshore automation,

merchant automation and process control.

“Our goal is to complete as much as possible of

the service for this region locally, thus saving the

client the delays of having to wait for qualified

help from our head office in Norway. Our office in

New Orleans has both qualified first line engineers

who can perform hardware support, and systems

engineers who can assist with more complex

tasks,” says Bent Erik Bjørkli, Regional Manager

Customer Support, North America, Kongsberg

Maritime Inc, New Orleans.

Expansion in Brazil Since 1997, the number of vessels based in Brazil

with Kongsberg Maritime systems onboard has

more than trebled and is likely to reach three

to four hundred by 2012. The offshore oil & gas

platform segment is also growing rapidly in the

region, with approximately 24 present and 7

more rigs expected to come into operation in

Brazilian waters during 2010. The Rio office is also

responsible for providing Customer Support in

other South American countries.

The Customer support expansion at the Rio office

is ongoing, and the team will be strengthened

by five local technicians and two experienced

international technicians within two months,

giving a total of 23 employees on the operational

side. The team in Rio is experienced in service

& support across a wide range of Kongsberg

Maritime products and systems, including; all

Dynamic Positioning hardware and software,

reference systems and sensors and also the

majority of Automation and Merchant systems. ::

woRLD wiDe exPansion oF CustoMeR suPPoRtKongsberg Maritime is expanding its customer support offering world wide. The newly opened Kongsberg Maritime Middle East DMCCO in Dubai and improved facilities in Brazil and the Gulf of Mexico will bring Kongsberg Maritime even closer to the customer.

tHeMe new directions

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55

:: The upgrade of the well-used training

facility in SIngapore saw it being moved to the

former workshop and factory acceptance test

area at the site. The centre now includes an extra

training room (NAV Training Room) and training

lab in addition to improved recreation and ICT for

students.

According to Training Manager Siow Choon

Meng, the additional facilities will enable a

number of new courses to be offered at the

training centre: “With the new classroom and

laboratory, we can now conduct courses such as

the HiPAP Technical as well as PowerSim.”

Wong Kok Fai, who is a Senior Instructor

specializing in K-Bridge courses is also looking

forward to being able to provide a complete

navigation course using the facilities: “We are

expecting the delivery of the K-Bridge and

K-Chief simulators, and classroom computers

soon. When they arrive, we will have full training

facilities for navigation in Singapore.”

In 2009, a total of 265 participants attended

courses at the training centre in Singapore and

with the new centre and equipment the team is

confident that this number will increase in 2010.

A total of 9 classes have been conducted in the

new training centre since the completion of the

improvements late 2009.

Kongsberg Maritime Singapore can not only

offer more courses at the new training centre but

also a more comfortable and conducive learning

environment. Students and customers are now

presented with ample room to relax between

classes in the café area and surf the web at a new

surfing station. ::

new tRaining CentRein singaPoRe

Kongsberg Maritime officially opened an upgraded training centre in Singapore in March.

the FuLL PiCtuRe magazine 01/10

Page 58: The Full Picture Magazine 01/10

:: Some 40+ young men from some of the

least fortunate parts of Brazil came to Europe in

July with a dream. They return one month later

with gold.

The Karanba project was started in Brazil in

2006 by Tommy Nilsen, who – with the help of

supporters like Kongsberg Maritime – designed a

project using football to give poor youngsters from

Rio de Janeiro a leg up in life. Today Karanba is

giving dozens of young men greater opportunities

and hope.

Team Karanba are winners in many respects.

First of all, these are young men born into poverty

in Brazil and given little chance to better their

condition. Through the project called Karanba,

they get coaching and guidance to reach for

something different; football’s just the vehicle.

And they have been crowned champions of

European youth soccer this summer, after winning

two huge youth football tournaments (Norway

Cup and Gothia Cup) and losing the final of a third

in penalty kicks (Dana Cup).

We congratulate Karanba on their success

in Europe this summer, and back them further

as they generate momentum for progress and

development. ::

www.karanba.com

56

a CHanCe to DReaM

Karanba’s the name of a social project designed to use football to give young Brazilians in tough circumstances a chance to succeed. And the Kongsberg-backed team Karanba recently marched to victory across Scandinavia!

tHeMe new directions

Page 59: The Full Picture Magazine 01/10

the Full PiCtuRe magazine 02/07

Norway

louisiana (uSA)

Singapore

Brazil

germany

Scotland

england

China

texas (uSA)

Newfoundland (Canada)British Columbia (Canada)

Washington (uSA)

Connecticut (uSA)South Korea

the Netherlands

italy

Nova Scotia (Canada)

Szczecin

Mumbai

Massachusetts (uSA)utah (uSA)

global support

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World-wide main contact Call +47 815 35 [email protected]

Regional Support Centres 24hEurope, Africa & Middle East (Norway)Kongsberg Maritime AS24h Hotline: +47 815 35 [email protected]

North America (Louisiana)Kongsberg Maritime inc.24h Hotline: +1 504 234 [email protected]

South America (Brazil)Kongsberg Maritime do Brazil24h Hotline: +55 21 9965 [email protected]

Far East & Oceania (Singapore)Kongsberg Maritime Pte. ltd.24h Hotline: +65 9862 [email protected]

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the Full PiCtuRe magazine 01/09

Rio Oil & Gaswww.riooilegas.com.brSept. 13-16

Kongsberg MaritimeSimulator Agent Conferencewww.kongsberg.comSept. 21

Kongsberg MaritimeSimulator Armed Services Briefwww.kongsberg.comSept. 21

UUVSwww.uuvs.netSept. 21-22

Kongsberg MaritimeSimulator User Conferencewww.kongsberg.comSept. 22-24

Monaco Yacht Showwww.monacoyachtshow.comSept. 22-24

Kongsberg MaritimeAUV Conferencewww.kongsberg.comOct. 4-8

Euronaval 2010www.euronaval.frOct. 25-29

Hydro 2010www.hydro2010.comNov. 2-5

MASTwww.mastconfex.comNov. 9-11

Subsea Surveywww.subseasurvey.comNov. 9-11

OSEAwww.oilpubs.com/osoNov. 30 - dec. 3

Workboat Showwww.workboatshow.comdec. 1-3

FEMME 2011April 12-15

Expo

dubai

Page 60: The Full Picture Magazine 01/10

The FULL PICTURE magazine 01/07

Kongsberg Maritime AS

Kirkegårdsveien 45

P.O. Box 483

NO-3601 Kongsberg

NORWAY

SAY: PR

& Com

munications

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01/10


Picture Ideas for Magazine

Picture Ideas for Magazine

PAINTING THE FULL PICTURE

PAINTING THE FULL PICTURE

Picture Perfect Magazine Premiere Issue

Picture Perfect Magazine Premiere Issue

The Big Picture Magazine: Issue 1

The Big Picture Magazine: Issue 1

LINKING DATA TO GET THE FULL PICTURE

LINKING DATA TO GET THE FULL PICTURE

info juin 2013 magazine letters cover picture

info juin 2013 magazine letters cover picture

View Full Magazine

View Full Magazine

Motion Picture Magazine, February, 1925 No 1

Motion Picture Magazine, February, 1925 No 1

SLIDE SWITCHES (FULL PITCH) · SLIDE SWITCHES (FULL PITCH) CFS ... Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping

SLIDE SWITCHES (FULL PITCH) · SLIDE SWITCHES (FULL PITCH) CFS ... Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping Magazine Taping

Full magazine pdf final

Full magazine pdf final

(Magazine) Fashion Magazine - Fashion Men Wear Full Manual

(Magazine) Fashion Magazine - Fashion Men Wear Full Manual

The full picture exhibition booklet

The full picture exhibition booklet

The Big Picture Magazine Issue 7

The Big Picture Magazine Issue 7

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The Big Picture Magazine Issue 22

Andre Leon Talley: A.L.T. from Picture Magazine

Andre Leon Talley: A.L.T. from Picture Magazine

KERRANG! FULL MAGAZINE DECONSTRUCTION

KERRANG! FULL MAGAZINE DECONSTRUCTION

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Read full Magazine

Full Circle Magazine #92

Full Circle Magazine #92

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The Big Picture Magazine: Issue 5

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full magazine draft