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Integrated operations enhance value creation

August 24, 2006, 12:30 CEST

Statoil aims to operate its installations on the Norwegian continental shelf (NCS) even more safely and efficiently by practising integrated operations.

In integrated operations, specialists work closely together in collaboration rooms and in real time, and are thereby able to correct a course as they go along.

"Our ambition is to make the work processes faster, safer and better; that will lead to enhanced value creation and safer operations," said Adolfo Henriquez in his presentation at a press conference during the Offshore Northern Seas (ONS) oil exhibition and conference on 24 August.

Mr Henriquez is manager for integrated operations at Statoil.

"Statoil is at the cutting edge of developments, with the group applying new technology and new collaboration solutions," says Mr Henriquez.

"The result is better dialogue across specialist disciplines and closer cooperation between employees on land and offshore."

Mr Henriquez mentioned several examples of concrete measures within integrated operations that have enhanced value creation.

On the Statfjord field in the North Sea, sand production from the wells is monitored around the clock. The engineers on land are notified by mobile phone if it is necessary to take any action with regard to the sand production.

"New technology means that we can bring the data to the experts, instead of bringing the experts to the data," says Mr Henriquez.

Statoil uses new technology on the Snorre field in the North Sea to monitor rotating equipment. By working more smartly, the period of time between maintenance actions has increased from 750 hours to 4,000 hours. This resulted in value creation of NOK 100 million for Snorre in 2005. At the same time the risk of equipment breaking down is reduced.

When the Snøhvit field in the Barents Sea comes on stream in 2007, it will be remotely controlled from land. This is also an example of how safe, cost-effective operations with high production regularity and minimum staffing can create value.

"New methods entail flexible use of personnel," Mr Henriquez notes. "When work processes are made simpler, personnel may be transferred to other, more demanding projects."

A report issued recently by the Norwegian Oil Industry Association (OLF) concludes that integrated operations can provide at least NOK 250 billion in increased earnings on the NCS by 2015.

"The oil industry in Norway is considered to be a world leader in this field," Mr Henriquez emphasises. "Statoil accounts for nearly 60% of production on the NCS. Success in integrated operations is necessary if the group is to meet its ambitious goals."