Industry Article: Industry Welcomes Capital-Efficient Solutions

Common core components can help optimize deepwater projects.

Publication: OTC Show Daily
Publication Date: 05/02/2017

Pre-engineered, capital-efficient solutions are carving a niche in the industry product roster in direct response to operators’ need for qualified, field-proven solutions in reduced project cycle time and at lower overall cost. These solutions are yielding positive results for many operators by driving capital and operational efficiencies. Pre-engineered common core components combined with repeatable processes help to reduce risk, especially in deep water, where long lead times and high infrastructure costs can push back initial production and even threaten a project’s economic feasibility.

Shifting away from bespoke solutions

Until recently, operators were very prescriptive on project functional and technical requirements, especially on materials, welding and quality documentation. Over time, suppliers have integrated these operator requirements into their standard offerings. Pre-engineered solutions configured to meet true project needs, enable operators to meet unique project challenges and vastly improve cycle time. Optimization is achieved by standardizing processes, documentation, manufacturing and design across projects for the most efficient use of engineering, project management and plant resources.

Defining capital-efficient solutions

For OneSubsea, the capital-efficient solution approach is a process through which the company standardizes products to meet or exceed industry requirements, as well as 80% to 90% of its customers’ specific requirements. Every standard product offering is created with the goal of meeting or exceeding operator standards of reliability, and significantly improving cost efficiency and lead time.

Capital-efficient solutions follow two concepts—an “assembly kit” strategy of qualified modules, and a “module strategy” that includes a scalable platform outfitted with modules. The standardization approach allows equipment to be engineered, manufactured and delivered globally in as few as six months after a contract has been awarded.

The OneSubsea pre-engineered standard incorporates numerous product lines, including trees, controls, manifolds, flowline connection systems, pumps and wellheads. The manner in which a piece of equipment is standardized is different. For example, it is the components that are defined for manifolds, whereas the core (tree block) forms the basis for standardization on a tree. And then components that are attached to the core are defined.

Increasing reliability and quality

Standardization does not mean less functionality; in fact, the opposite is true. Standardization allows the operator to have the functionality required, delivered by utilizing repeatable, common core components from existing, qualified and field-proven technology from approved vendors who meet OneSubsea requirements. Because many of the processes and much of the equipment has already been proven, opportunities exist to leverage best practices and continuous improvement. The more times a piece of equipment is manufactured or a process is followed, the equipment or process will most likely be improved. Once a process is repeatable, it can then be optimized.

Industry Welcomes Capital-efficient Solutions

The hallmark of capital-efficient solutions includes numerous subsea equipment and components such as, trees, controls, manifolds, flowline connection systems, pumps and wellheads. (Photo courtesy of Schlumberger)

Making projects viable

The OneSubsea approach transformed an uneconomical brownfield project into one that is financially sound. A major operator was experiencing climbing production costs and risks. By employing a range of solutions that included capital-efficient technology, tooling requirements were reduced and equipment delivery was expedited, lowering the potential of project risk. Efficiencies introduced into the subsea production system helped reduce equipment costs by 60% and services costs by 50%.

For operators who are looking to improve subsea field development and project economics, offerings such as the one from OneSubsea introduce a broad range of subsea production systems; subsea umbilicals, risers and flowlines; and tooling components that balance reliability and capital efficiency in one efficient solution. Through heightened utilization of standard, qualified components, capital-efficient solutions drive consistency through manufacturing and performance, helping operators dependably meet their cost and schedule targets in challenging offshore operations. Customized to the field architecture, these capital-efficient solutions can revitalize production from brownfields and maximize recovery from new ones, helping to transform deepwater economics across the life of the asset.




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