Decom North Sea (DNS), the offshore oil & gas decommissioning forum, is staging an event in the north-east of England in partnership with NOF Energy to benefit the growing number of companies in the region targeting decommissioning projects.

With £1billion a year of decommissioning expenditure forecast for the UK North Sea by 2015 and only 7% of projects completed to date, DNS is working to help the UK supply chain win significant levels of this work.

DNS has grown in little more than a year to have 140 members drawn from operators, major contractors, service specialists and technology developers, including a number based in North-east England. Among members in the region are Conitech Beattie, Dutton International, Engineering Resource Solutions and PDL Solutions.

Results of market research confirm the southern North Sea (SNS) will witness the greatest number of decommissioning projects in the North Sea – some 10 to 15 fields per annum through to 2020. In the next decade alone it is forecast that around 120 installations could be decommissioned in the southern North Sea, compared to 80 in the central and northern North Sea, as well as 65 subsea and pipeline installations.

As part of its remit to support and encourage the supply chain, DNS is organising a series of events, seminars and share fairs across the north-east and south-east in England, to help members benefit from the supply chain opportunities within the decommissioning market in these areas.

The latest event is in Newcastle on Tuesday June 14 2011, with Decom North Sea and NOF Energy holding a decommissioning themed networking lunch for both members and non-members. This includes an update on DNS’ activity as well as a presentation from CNR International (UK) Ltd (CNRI) on its decommissioning plans for the Murchison Field and Ninian Northern Platform.

The company has started pre-planning for the decommissioning of the Murchison Field and Ninian Northern platform. At the event, its decommissioning team will be looking at supply chain engagement and industry cooperation. Platform decommissioning detail planning will not begin until CNRI has investigated all alternative uses, completed comparative assessments for the key removal and disposal options and submitted a full decommissioning programme acceptable to the UK Government.

DNS chief executive Brian Nixon said: “The two regions in England forecast to have the greatest potential to benefit from decommissioning are the north-east and south-east of England, where the lion’s share of the supply chain is based.

“We have already seen our members work in partnership to secure projects and a strong example of successful collaboration is in Tyneside where two members of DNS formed a joint partnership this year and re-opened the Swan Hunter Yard in Wallsend, for the onshore dismantling of the Shell Inde field.”

He added: “On being awarded a significant contract from Shell UK for the onshore dismantling of structures from their Indefatigable (Inde) gas field in the southern North Sea, Veolia Environmental Services (UK) Plc with its offshore decommissioning partner, Peterson SBS invested in facilities on North Tyneside. This directly created 35 new jobs as well as opportunities for sub contracting work whilst also contributing at least a million pounds to the local economy.

“The contract began with preparation work in January 2011, with Peterson SBS, planning to offload eight gas field ‘jackets’ (rig legs) and eight topside structures with a total tonnage of around 10,500 from April to October next year with a target recycling rate of 98%. The project brings the Swan Hunter shipyard, which was established in 1860 and ceased shipbuilding last decade, back into service.’’

Additional events are planned for the North-east over the coming months as part of the ongoing programme of events by DNS.

Tags: Decom North Sea