An expected surge in Gulf of Mexico decommissioning activity based on low oil price signals will accelerate the decline in shallow water asset stocks and hasten the need for industry to focus on the challenges of deepwater projects.
Regulatory regimes around the world should be aligned to reduce unnecessary cost and uncertainty for oil operators and help their suppliers comply with rules, according to a report by global certification company DNV GL.
Companies extending production beyond platform design life must look to improve information flows between departments to avoid planning and execution issues on modification projects, Conrad De Souza, one of the UK Health and Safety Executive’s most experienced structural integrity experts, said.
Leading experts from Shell, Statoil and Total have warned that equipment suppliers must focus on cost reductions for subsea factories as the low oil price has weakened the business case for moving processing to the sea bed.
Oil price pressure is accelerating improvements in onshore production operations and supply chain processes and is thereby cutting costs per barrel faster than in a higher price environment, according to views gathered by Upstream Intelligence from across the industry.
A move towards digital oilfields could protect offshore operators from the slump in energy prices and equip them with integrated systems that optimize gains from an eventual price recovery, according to speakers at the Data-Driven Production Optimisation Conference held by Upstream Intelligence in Houston on June 16-17.