02 Angénieux in focus Capturing iconic moments in our history, one lens at a time

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1 Aerospace Space Ground Transport DEfence Security I think it s just a matter of time before you see people making replacement organs using this sort of technique Phill Dickens, professor of manufacturing technology, University of Nottingham s Additive Manufacturing group 02 Angénieux in focus Capturing iconic moments in our history, one lens at a time 14 Oil & Gas security Protecting physical assets is one thing, but what about virtual ones? 18 Martian Chronicles Our ongoing quest for answers on the Red Planet

2 Spring 2014 CONTENTS » 02 Angénieux: in focus From Academy Award-winning films to the moon landing, one of the world s best-known lens manufacturers has captured some of the most pivotal moments of our lives.» 08 Unmanned but essential Whether in the air or under the sea, unmanned vehicles are becoming increasingly common in military and civil environments.» 10 Big analytics: unlocking data's value It s one thing to collect data but another thing altogether to tap into its potential value. Innovative businesses are turning to new technology to take full advantage.» 14 The ongoing power struggle Security is a growing challenge for the oil and gas sector. How can innovative technology offer new solutions for old problems?» 18 Martian chronicles Is there life on Mars? The answer to this question may be coming sooner than you think, as new programmes get set to crack the secrets of the Red Planet.» 22 The missing link The Gotthard tunnel will be the longest rail tunnel in the world when it opens in 2016 and Thales technology will help trains get from end to end. 14» 24 Life in 3D Imagine if you could print out human organs for transplant. Or create new parts from start to finish at the touch of a button. Additive manufacturing represents a huge potential shift in the way we build our world.» 30 From ideas to incubators An idea is only worth something if it can break free of the original inventor s mind. But where is the best place for it and how do you encourage it to grow?» 34 Flying high The commercially viable cockpit of the future Avionics 2020 is setting new standards in aerospace innovation.» 36 Thales and the First World War As the world remembers the start of the First World War, we highlight some of the pioneers and engineers who used technology to change the tide. Editorial director Keith Ryan Creative director Nick Dixon Publishing director Ian Gerrard Head of production Karen Gardner Account manager Tina Franz Finance director Rachel Stanhope Published by Caspian Media Ltd for Thales. Opinions expressed do not necessarily reflect the policies of Thales. Caspian Media Ltd and Thales accept no responsibility for views expressed by contributors. Caspian M edia Telephone Web

3 01 Which engineer has never longed to create a dream product that pushes back the limits of the possible and builds revenue streams and global market share at the same time? When you re passionate about science and technology, you re bound to want to invent truly aspirational products that not only mark a technological breakthrough but also meet a real need in the marketplace. Which engineer has never longed to create a dream product that pushes back the limits of the possible and builds revenue streams and global market share at the same time? Individual inventors and global technology leaders turn this hope into reality in different ways. Small companies and start-ups are known for their agility, adaptability and creative zest. At the other end of the spectrum, major corporations are able to bring in huge resources, commit to projects over the long term and address complex and multifaceted issues. For Thales, the innovation challenge is to combine the qualities of the start-up with the benefits of the major group. That s why I believe that a successful innovation policy hinges on three key factors. The first and most obvious success factor is technology expertise. An organisation s scientific and technological heritage and its culture of innovation provide a solid foundation for building technologies and technical solutions that set it apart from the competition. On two conditions first, that its R&T effort corresponds to an actual need in the marketplace; and second, that it cooperates with the academic research community as a matter of course in order to secure access to the latest science. For Thales, teaming with top-level research institutes is also a way to foster close ties with research communities in the countries where we intend to grow the business in the future. Next, keeping track of the latest developments around the world is critical. Every day, thousands of highly motivated entrepreneurs are forming companies, inventing new products and services, developing exciting new ideas and transforming their respective markets. To anticipate tomorrow s disruptive technologies, we must also be part of this ecosystem, work with these start-ups and SMEs, and recognise the rising stars that could enhance our own capabilities. Lastly, we must stay permanently in touch with customers and users. Only by listening to them and working with them to understand the issues they face, will we know what adds value for them. This is the logic behind the innovation hubs we are setting up today, where we work with customers and users in new ways, applying collaborative design methods, multi-scale simulations and interactive visualisation techniques to define a distinctive value proposition for Thales in each area. That s how we will be able to define and build the products they need, including those elusive dream products that could truly transform the future. Marko Erman Chief technical officer, Thales Innovation by the numbers #1 80% worldwide in air traffic management. tactical radios have been sold by Thales in over 50 countries during the last 30 years. 800,000 of the world s banking transactions are protected by Thales.

4 02 INNOVATIONS: ANgéNIeux Innovation has always been central to the company s story. We ve got many businesses out of it and, at one point, we were producing more than 70,000 lenses every year Pierre Andurand, president of Thales Angénieux In 1977, former United States President Richard Nixon sat down with British journalist David Frost for what would become a seminal series of television interviews. The cameras recording the historic sessions used Angénieux 15x18 zoom lenses.

5 03 In Brief 1 Angénieux has a long and illustrious history providing lenses that have captured some of our most important moments. 2 Innovation is essential to meet the challenges presented by this fastchanging world. In future, 3 Angénieux will continue its innovative progress by focusing on live 3D television broadcasting. Angénieux: in focus From Academy Awards to iconic moments, the history of one of the world s best known lens manufacturers reflects some of the most pivotal moments of our lives. Christian Doherty Among the assorted prizes and awards available to companies around the world, there aren t many businesses that can claim to have won an Oscar. But French lens maker Angénieux is one of the few, having been awarded an honorary statuette in 1989 for its contribution to the film industry. Company founder Pierre Angénieux received the award in recognition of the enormous technical achievements Angénieux pioneered through its history, leading the way since 1935 in developing lenses and techniques that continue to be used by cinematographers today. It wasn t the organisation s only prestigious industry award of course: the company s engineering team received the Scientific and Engineering Award from the Academy in 2009 in recognition of the optical and mechanical design of the compact and lightweight Angénieux 15-40mm and 28-76mm Optimo Lenses. And that s not forgetting the Emmy that Angénieux won in 2005.

6 04 INNOVATIONS: ANgéNIeux...if you want to truly innovate... you try 10 things and maybe only two or three will succeed but those successes are the ones that will help you make real technological breakthroughs Pierre Andurand, president of Thales Angénieux Precision and accuracy (left to right): Angénieux lenses are put through a rigorous and demanding testing process from start to finish; the first Angénieux factory in Saint-Héand. Celebrated filmmakers from across the world have insisted on using Angénieux products for decades and its pre-eminence in lens technology remains intact to this day. Innovation is fundamental Pierre Andurand, president of Thales Angénieux, oversees the company s balance of delivering excellence in its traditional areas lenses as well as its development of new technologies, in particular in the military (with vision-equipped helmets) and 3D broadcast markets. Innovation has always been central to the company s story, Andurand says. We ve got many businesses out of it and, at one point, we were producing more than 70,000 lenses every year it was a huge volume, from a fairly small company. Since then, Angénieux has branched out beyond its lens business into military and aerospace markets, in part driven by its acquisition by Thales in From its base near Lyon, Andurand oversees one of France s most distinctive and innovative companies. We re not just driven by the tech available, but by what the market needs, Andurand says. This means focusing on where the company s key markets are going and then determining how Angénieux can best serve them by applying recent existing technology developments in better ways. We keep our level of technical expertise very high and cutting edge, while at the same time keeping our customers permanently in mind. Andurand points out, that for a business like Angénieux, remaining at the cutting edge can only be achieved by partnering with similar businesses: We re trying to work within a network of similar sized companies doing complementary work, he explains. This allows us to use the technology where we find it we can t develop it all on our own. Small at heart Andurand believes that despite all of its awards and industry leading status, Angénieux remains at heart a smaller business focused on innovation something that requires bravery and dedication. It s certainly true that when we started some projects, we knew we ran risks, he says. But if you want to truly innovate, then you have to accept that sometimes you will fail. You try 10 things and maybe only two or three will succeed but those successes are the ones that will help you make real technological breakthroughs. Angénieux, he explains, typically dedicates per cent of the company R&D budget to fully innovative projects: We tell our people: you are free to innovate, so go and do it. After a while we look at the returns and check if the market potential is confirmed if it is, then we support it.

7 05 Capturing the moonwalk On 20 July 1969, Angénieux took part in one of the most celebrated achievements in human history and, in so doing, helped millions around the world to experience the moment firsthand as well. On that date, man set foot on the moon for the first time and Angénieux lenses were part of the equipment created to capture the moment, with the footage being broadcast to the world. The company developed a special zoom lens that was small, light, easy to operate and compatible with the Westinghouse camera being sent on the Apollo 10, 11 and 12 missions, equipped with a 25mm sensor. Angénieux transformed the back of the 6 x 12.5 lens into 6 x 25, and adapted it to suit the very specific conditions that were expected on the mission. This included an innovative mechanical lubrication process, as standard lubrication would evaporate and cover the lenses in fine spray. It was also necessary to develop a new way of treating optical surfaces while protecting all the equipment from solar radiation. The resulting images remain some of the most iconic in our collective history.

8 06 INNOVATIONS: ANgéNIeux Angénieux s importance in cinema cannot be overestimated, from classic films like Easy Rider in 1969 (far right) to contemporary Hollywood and now Bollywood films (at right and below). And now the company is set to make its mark in live 3D TV broadcasting using its AB One rig (far right, bottom) which only adds to the innovative possibilities in future. We tell our people: you are free to innovate, so go and do it Pierre Andurand, Thales Angénieux Andurand cites several examples over the past 10 years where Angénieux has sought out partners for new projects to help spread the risk as well as bringing complementary skills and knowledge to the table. It s been very successful, since it gives us the chance to find and develop new technology, he says. We have a very good record for doing just that and, in France the Pacte PME scheme has helped us do so. Pacte PME (or SME Pact ) was launched by the French government in 2005 to develop clusters of technology companies in certain areas by encouraging large companies to work with innovative SMEs. In the Bordeaux area, for example, the main area of expertise has moved beyond winemaking to technical and especially optical businesses. There are 20 or so of these clusters in France and Angénieux has been an enthusiastic participant. In return, the company has received government funding for its collaborative projects, which typically encompass local labs, schools and SMEs. It s been very fruitful, says Andurand. Typically we re talking about a three-year project valued at around 10m. We benefit from the funding and one of the projects that launched in 2009 has helped us develop a new line in 3D equipment. Multidimensional thinking The move into 3D will, Andurand believes, offer Angénieux another avenue to explore in its quest to remain at the cutting edge of optical technology. We ve spent the last couple of years working on the launch of a new 3D TV shooting system including remote-controlled optics and servo-mechanisms directly from the production van and stereographic aids, which is a big development for us. This is only possible thanks to working with others. Angénieux is collaborating with many partners on this project, including Binocle 3D, in an arrangement that allows them to develop and offer complete systems for live 3D shooting. Andurand says that, in addition to working on the technical specifications of the new system, Angénieux engineers have been able to use their understanding of customer needs to focus on the ergonomic side of the new products. It is a reflection, he says, of the intense work that has gone into defining what should be the system s main differentiator. This new 3D broadcasting system needs to be user friendly so we re trying to make it as easy to use as possible. That s a slightly different approach: innovation often only focuses on the technology, but we have made the user experience the central point of our approach. Andurand believes this will be a critical element in promoting 3D TV in the

9 07...we have to keep up with the new standards. It means remaining focused on innovation to keep ourselves ahead of the game Pierre Andurand, Thales Angénieux mainstream. Broadcasters, producers and viewers have to be convinced that 3D is about to leave its disappointing phase behind. 3D isn t new many companies already work with it in the cinema, such as with films like Avatar and Gravity, as well as in TV, Andurand says. But it s fair to say that many people have been disappointed by the results of some very bad productions. For a few years now, we ve heard all about 3D and yet people are still a bit underwhelmed by it. This disappointment is the result of many factors, he says, from bad stereographic construction and poor lighting to uncomfortable 3D glasses. TV has been the same: inconvenient glasses compounded by a lack of content. We are confident that this will change, says Andurand. We have a different vision of what can be done. The potential for 3D broadcasting is tremendous. To become a leader in 3D broadcasting technology, first, a production company will need to use best in class equipment, and we ve been developing that, making it simple. Second, there s broadcasting itself to bring 3D into the home without having to wear glasses, for instance. This part is not in the hands of Angénieux but is expected to be available in a very short time. The demand is there, principally from the economies of China, Russia and the Middle East. We have to be ready with a new solution for the market and we have the chance to do that now, around the world, thanks to Thales backing Angénieux, says Andurand. The big event Of course, 3D in these markets will be encouraged enormously by genuine game changing enhanced content. Andurand admits that he is hoping to use some forthcoming events to demonstrate what the 3D TV experience in the home can deliver: We re positioning ourselves to take advantage of big events where 3D will come to the fore. We re trying to convince Chinese TV channels to cover this year s Asian games with 3D equipment that would be the perfect scenario for this new and innovative technology. All of this is playing out against a backdrop where Japanese TV manufacturers still arguably the most important force in the global TV technology market are pushing the technology ahead in the manufacture of their televisions. The story is similar in South Korea. This means we have to keep up with the new standards. It means remaining focused on innovation to keep ourselves ahead of the game and anticipating technological developments in Japan and Korea. It s interesting because while we are working to keep up with the Japanese, they are trying to impose a very high new standard 4K. It s probably not realistic to meet it before 2025, so it ll be very challenging to keep up. But the tech we ve been developing for the high standards of cinema will allow us to keep pace and match that new TV standard. Matching and exceeding the best of the rest has served the business well for 80 years; there s little sign of Angénieux losing its innovative cutting edge just yet.

10 08 innovations: Unmanned vehicles Unmanned but essential Unmanned vehicles comprise a remarkably dynamic growth sector both in the air and under water. much of this can be attributed to the Us defence industry: the majority of unmanned aerial vehicles (Uavs) are currently deployed in military tasks, such as armed forces protection and intelligence gathering in theatre. however, use of Uavs in the civil sector is on the rise for everything from urban security to hurricane hunting. and if controlled airspace in the Us opens up (the Faa is set to introduce regulations by 2015), the commercial market could soon far outstrip military demand. the same progress is being seen among unmanned naval systems. Unmanned surface vehicles (Usvs) and autonomous Underwater vehicles (auvs) operate from the surface of the water without a crew, and they could also one day replace conventional systems. and as with Uavs, they reduce the risk to human life and increase efficiency. AROUND THE WORLD Us$5.2bn the total estimated value of the annual global market. it is expected to rise to $11.6bn within ten years, reaching a total of over US$89bn. THE main players IN THE UAv market ARE: US: northrop Grumman and General atomics Israel: israel aerospace industries and elbit systems Europe: thales, eads, Finmeccanica and Bae systems URbAN ENvIRONmENT civil applications Uav technology is already being applied to everything from storm surveillance in the Us to urban security in mexico city, important document deliveries in the United arab emirates and rescue operations in canada. ALL AT SEA Us$676.14m the projected value of the global unmanned marine vehicles market by 2017.

11 09 by THE NUmbERS 4,000 UAvs are now operating worldwide. 57 countries are involved in the manufacture of Uavs. 270 companies are responsible for more than 960 distinct UAvs. UNITED STATES: 65% of global spend on Uav technology R&d will come from the Us over the next decade. 51% of drones will be bought by the Us. 7,500 commercial small Uavs are expected to be flying in the Us within the next five years. ISRAEL: sells to 49 countries and is the world s second largest Uav producer and largest exporter, with Uav exports rising from $150m in 2008 to $979m in EU: 400 civil drone applications are in development in the eu. AfRIcA: 22% per annum growth is expected in the african border security Uav market over the next five years. ASIA: 27% per annum growth is expected in the asian border security Uav market in the next five years. 13 European manufacturers make up midcas, a consortium established by the european defence agency, developing a roadmap for the integration of Uavs into european airspace. midcas will help set standards for navigation, air traffic control integration and collision avoidance for Uavs. IN THE AIR 54 thales Watchkeeper Uav systems have now been ordered by the British army, making it europe s largest Uav-based battlefield surveillance programme. Watchkeeper is also the first UAV certified to fly in European Civil Airspace. 30,000 flight hours were successfully completed by Uavs in iraq and afghanistan by april out on the open water, Usvs and auvs offer both civil and military applications, including oceanography, offshore drilling, hydrocarbon exploration, harbour and port security, maritime security, antisubmarine warfare and mine warfare.

12 10 INNOVATIONS: BIg ANAlyTICS Big analytics: unlocking data's value From transport and law enforcement to insurance to healthcare, big data now touches just about everything. But big data per se is nothing without analytics in place to make sense of it all. In Brief 1 Big data may be the story that captured everyone s imagination, but big analytics offer real opportunities. 2 Analysis of the vast quantities of data currently in circulation will transform industries in still unknown ways. The right 3 tools are needed to break through the noise and determine the underlying connections and relationships these could prove invaluable. John Coutts The European Commission is committed to developing the big data economy. The commission s Directorate General for Communications, Networks, Content and Technology DG CONNECT sees intelligent information management and big data as vital to increasing European competitiveness. There is a huge opportunity here, said Neelie Kroes, vice-president of the European Commission responsible for the Digital Agenda for Europe, speaking at the 2013 Big Data Conference in Brussels. Data can revolutionise how we make decisions and it can costeffectively fix many problems, optimising production, managing healthcare or managing resources in general. And it s not just industry hype: according to market analysts IDC, the big data sector is predicted to be worth more than US$32bn in 2017 with annual growth of 27 per cent. The torrent of information produced by just about every human and machine activity on the planet, from Tweets to CCTV, satellites and traffic sensors, represents incredible potential. This vast amount of data could provide insights that could never be gleaned from smaller samples without a pre-knowledge of the population in this context, no exhaustive handling of the full data set is mandatory. Those insights should also be more reliable: instead of pushing data to fit a hypothesis ( hypothesis driven mode ), the data itself should tell the story ( data driven mode ). But handling big data presents big challenges. First, even if a large part of data repositories is still concerned with structured data, it is true that collected and stored data are increasingly unstructured, so conventional methods of analysis cannot be easily used. Second, there s a lot of it. Nobody knows exactly how much, but it s estimated that 90 per cent of the data now in existence has been generated over the last two years. Velocity also presents problems a significant amount of big data is generated in real time and in many cases, there s too much to store. Then there s

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14 12 INNOVATIONS: BIg ANAlyTICS We are now dealing with huge quantities of information and it is not always immediately possible to say whether it is true or not Jean-François Marcotorchino, vice-president and scientific director, Thales Communications & Security the question of veracity: how do you evaluate the quality of huge amounts of unstructured data? Can it be trusted? The dawn of big analytics In response to the changing data landscape, analysts are developing an armoury of new tools and techniques to interact with large and complex data sets to generate results and insights. Back in the data mining era, you were managing a big database with lots of rows and columns, says Jean-François Marcotorchino, vice-president and scientific director with Thales Communications & Security. The way data is being stored now is changing and we have to reinvent the way the whole process is managed in order to handle the data directly, with a new way of making computations. For example: priority must be put on the parallelisation and linearisation of existing and future data mining codes, in addition to new data storage architecture such as NoSQL developed by the big online players: Google, Amazon, Facebook, etc. These advanced data handling techniques and big analytics are opening up new avenues. One of these is social network analysis using advanced number crunching techniques to extract insights from social networks such as Twitter and Facebook. Graph data generated by these social networks is valuable because it reveals correlations between time, place, identity and content, such as text key words, on a vast scale. But fishing for patterns in an ocean of data is no easy task. Facebook, for example, has around 1.3 billion active users, while Twitter has some 620 million. Each user is considered a node for analytics purposes and the number of links between nodes, or users, is counted in the tens of billions. Boiling down all that complexity to a manageable level is the first step. First, we identify communities. The tools we are developing (for example, within our Centai Lab) allow us to do this by detecting links between people without analysing specific comments or content, explains Marcotorchino. The next step is selecting the nodes exchanging key words to help us identify the communities we re looking for. We then examine the semantics that are exchanged to get a better picture of what those communities actually are doing. Coupling big data with big analytics in this way makes it possible to make predictions and spot patterns that would otherwise go unnoticed. Law enforcement is one field where these insights are of particular interest because they can be used to help identify everything from terrorism and civil disorder to fraud. The tools being developed by Thales are already being evaluated in the field by law enforcement agencies in France. US$32bn According to market analysts IDC, the big data sector is anticipated to be worth more than US$32bn in 2017 with annual growth of 27 per cent The digital grapevine As well as improving public safety, big analytics approaches could soon be helping businesses to combat reputational threats. Bad news sometimes maliciously generated travels fast on social networks. Damage limitation tools are needed to help businesses monitor consumer sentiment and respond quickly when things go wrong. Rumours spread on the social net can be very damaging for businesses essentially because the contagion relies on immediacy and speed of data transfer, says Marcotorchino. We have specific applications in mind for companies based on rumour analysis. With so much data now readily available, it s perhaps not surprising that data reliability is emerging as a new frontier. With unstructured data increasingly used in critical applications such as finance, fraud detection and law enforcement the ability to weigh-up the veracity of data is becoming ever more important. We are now dealing with huge quantities of information and it is not always immediately possible to say whether it is true or not, says Marcotorchino. Confidence is vital: people don t always have the time to verify everything, they need simple yes or no answers. If you have automatic cross checking against different databases, you can imagine the potential benefit, but you can also use the Statistical Law of

15 We have to invest in big analytics, not in big data by itself Analytics in the smart city Urban mobility is one area in which big analytics could soon be making a major difference. Public transport authorities and operators gather enormous amounts of data, much of which is generated by transport smartcards. Ticketing systems deployed by Thales, for example, are installed in 100 cities around the world and handle more than 50 million transactions every day. Yet this data is used to just a fraction of its true potential. Big analytic approaches hold the key to getting more out of existing data and opening the doors to a more interconnected future, with deeper insights into passenger behaviour, passenger flows and the ways in which travellers make use of infrastructure and equipment. These can be used to plan better infrastructure, introduce new services, provide targeted passenger information, refine tariffs and even steer customer demand with a far higher degree of certainty than has previously been possible. Large Numbers through potentially, millions of lines of analytic techniques to steer all types can benefit from the crowdsourcing, ie opinions or data, says Marcotorchino. You respondents away from analytics revolution, from law data simultaneously raising up only need deal with a big sample ambivalence and tap into what enforcement agencies seeking to from huge quantities of people. of 100,000 clients of which you they re really thinking. Developed improve detection rates to banks have a complete profile. in conjunction with an industry and insurance companies fighting Getting to the truth Analytic approaches can also partner, Thales passenger survey fraud. And it s a field in which The art of getting the most be used to influence what data is solution for airline operators European expertise is playing an out of large data sets is to generated and help to eliminate uses robust logic and branching increasingly important role. know how much or how little surplus or irrelevant information. techniques that take multiple We have to invest in big you need to analyse to achieve Customer surveys are a case in previous answers into account. analytics, not in big data by itself, a given objective. A business point. In a conventional survey, Surveys are conducted emphasises Marcotorchino. that has already carried out every participant answers the using tablet computers and the Europe does not have the same segmentation of its customers, same questions. Surveys of this solution involves sophisticated level of expertise in database for example, may know enough sort are time consuming to reporting tools including cross architecture as the US. But with about their buying habits to construct and a large number of tabulation, data segmentation big analytics, it s a different formulate an effective marketing questions are needed to get any and trending. This allows airline matter. Thanks to academic campaign without the need to real depth of understanding. Then operators to grow revenues and institutions such as Paris VI in start from scratch. Big sampling there s the risk of participant win loyalty by responding to real France and Imperial College in may be enough. fatigue, with customers either customer needs. the UK, we are at the same level If you have a priori clicking neither agree nor Solutions like these highlight as MIT or Stanford in the US, knowledge of the population, disagree dozens of times or the way innovations in analytics sometimes better. Europe has it s not necessary to go through not completing the survey at all. are enhancing competitiveness the potential to be very well the full database to analyse, Dynamic survey methods use and efficiency. Organisations of positioned in this sphere.

16 14 InnovatIons: oil and gas It took nearly a year to extinguish all of the 600-plus Kuwaiti oil wells set ablaze by retreating Iraqi forces during the first Gulf war in The ongoing power struggle Winning oil and gas is a tough business and security is a growing challenge, both for physical assets and in the digital landscape. How will innovative technology be part of the answer? sebastião salgado/amazonas/nbpictures John Coutts sebastião salgado According to a recent report from Exxon Mobil, Outlook for Energy: A View to 2040, oil, gas and coal will still comprise about 80 per cent of total energy consumption in It s no wonder then that operators are working harder than ever to pinpoint new reserves and to find new ways to squeeze more resources out of existing ones. The rapid pace of global change is only adding to that pressure. Demand is growing due to shifting demographics, economic expansion and urbanisation, particularly in terms of transport, industrial and electricity generation requirements, says Arnaud Rimokh, business development manager with Thales. According to a study by the Paris-based International Energy Agency, the world will have to invest US$16trn or one per cent of global gross domestic product over the next three decades in order to maintain the present level of energy supplies. As a consequence, the industry is investing in the digital oil field, because exploration and production are becoming increasingly complex, says Rimokh. At the Digital Oil Fields Summit held in the UK in 2013, total upstream spending in this arena was expected to rise to more than $700bn in 2013, The total value of digital oil field services was expected to pass US$200bn by 2015, up more than 40 per cent from The digital oil field represents the integration of a huge flow of data in real time, analytics capabilities and scalable IT. It is transforming the efficiency of operations and making it possible for operators to bridge the gulf between upstream and downstream operations. But it s also In Brief 1 Security has always been top of the agenda for the oil and gas sector but technology is adding new challenges. The launch 2 of the digital oil field means both physical and virtual assets must be protected. 3 Advances in technology are helping the industry to protect itself at a time when it is becoming increasingly vulnerable. opening the door to potential new security concerns, as well as resilience, as systems are increasingly networked. With exploration and production becoming more technology and capital intensive, the need for integrated security is now greater than ever. Evolving security challenges As well as dealing with conventional threats, such as unauthorised intrusion, theft and vandalism on physical assets, the oil and gas industry must now contend with a growing array of unconventional threats. These include terrorism, organised crime and cyber attacks.

17 The difficulties faced by the industry are compounded by the fact that oil and gas production is being driven into increasingly remote and challenging environments countries and territories that are not only physically difficult to work in, but to which there is also attached a high level of political risk. Assets are now more widely scattered than ever and there are more of them, making them harder to protect. The global pipeline network, for example, now stretches for more than three million kilometres. While infrastructure remains a primary point of vulnerability, recent changes in terrorist tactics underline the need to provide greater protection for the industry s workforce. This point was brought home by the attack on Algeria s In Amenas gas facility in January 2013, in which employees and civilians were taken hostage and the plant stormed and held by terrorists. It s not only fixed assets that require protection, but also the people who are employed by oil and gas companies, says Jean-Pierre Vidal, product line manager of critical infrastructure protection solutions with Thales. This is a recent development and it presents new risks. Criminal interference with assets poses a different type of problem. Pipeline tapping puncturing a pipeline to siphon off oil

18 16 InnovatIons: oil and gas the object is to provide the operator with a global view of all the assets and then to organise the most effective response Jean-Pierre Vidal, product line manager of critical infrastructure protection solutions, Thales is a case in point: in some countries, tapping is carried out on a large scale. Oil theft not only deprives the operator of revenue, but it can also trigger catastrophic consequences: tapping incidents have been linked to explosions, loss of life and environmental damage. In many cases, oil theft is linked to organised crime, with stolen oil sold on international markets. In addition to the dangers posed by physical attacks, oil and gas enterprises are also vulnerable to cyber threats. These are aimed at companies legacy IT systems, including security systems. Electronic sabotage is being used to target the legacy industrial control systems that supervise and monitor key infrastructure components such as valves and pumps. Meeting new security needs The oil and gas industry has a number of specific security requirements. First, there s the need to guarantee business continuity. Oil and gas production is process-led, with high levels of interdependency: a single incident can have consequences right down the line, so it s essential that every weakness is identified and every vulnerable asset protected. Second, if things do go wrong, operators need to be able to react rapidly and deliver a coordinated response. Effective crisis management relies on a command and control capability that provides relevant common situation awareness a big picture view that can be shared and acted upon. This is of vital importance, particularly in a major incident that is likely to involve both the operator s own security staff and external agencies, such as emergency services or government forces. And with threats multiplying, operators are increasingly interested in security solutions that protect not only single sites, but sites spread out across an entire region or nation. Our approach is to use real-time data to help operators make the best decisions and to anticipate risks and problems, says Rimokh. For that, you need sensors on site, reliable high-speed communications and techniques to exploit, control and filter the data. The solutions we propose are focused on managing that complexity. Thales has a long heritage in oil and gas security with a track record built up over more than 20 years. But its ability to deliver large, complex solutions also draws on its Oil on the move Stretching for nearly 1,000km and running from the Mediterranean coast to Germany, the South European Pipeline is one of Europe s key economic arteries. Thales control and supervision solution for maritime terminal and pipeline operators, la Société du Pipeline Sud-Européen, ensures smooth operations around the clock. Based on Thales modular, easy-to-use SCADA [Supervisory Control and Data Acquisition] software platform, the system manages all secure operations applications for the maritime terminal and all along the length of the pipeline. The solution is tailored to the specific requirements of oil storage and transportation, and allows operators to supervise and control the various devices used to transport the crude oil to pumping stations, valves and delivery terminals. wider expertise in communications, the integration of critical information systems and in cybersecurity, including in challenging military environments. Building the right solution starts on the ground with a thorough evaluation of the customer s infrastructure. Our approach is to develop a complete understanding of the customer s assets. In the case of a pipeline, this means evaluating the threat level with the pipeline operator, as well as the physical environment, the impact of human activities along the route of the pipeline and an assessment of political risk, says Vidal. Every asset is different, so solutions are tailored. This means adopting a multi-sensor approach, he adds. This includes using fibre optic sensors along the length of the pipeline, radar and long-range cameras. We can also deploy mobile sensors, with cameras mounted on vehicles or in UAVs [unmanned aerial vehicles]. The key is to identify the right combination of sensors and to tailor the solution to the specific situation. Thales capabilites and offering are unique in the oil and gas security marketplace in that the company has the specific ability to build and operate UAVs and satellites. These capabilities are increasingly used to provide

19 17 Physical assets can be tempting targets such as when Algeria s In Amenas gas facility was attacked in January 2013 but they are not the only vulnerability. continuous surveillance of critical infrastructure because they cannot easily be compromised. It s easy to cut a cable, notes Vidal. With a satellite, you eliminate that risk and, at the same time, you can easily monitor your environmental impact. Taking control Monitoring technology is just one part of a much bigger security picture. The sensors associated with surveillance, detection systems, access control and perimeter protection produce vast amounts of data. To extract insights, intelligent management, processing and interpretation are vital. Command and control centres are designed to make sense of the deluge of data and alarms in the event of a crisis, reducing information overload and presenting operators with only the data that matters most. The object is to provide the operator with a global view of all the assets and then to organise the most effective response, says Vidal. During the specification phase of any project, we make an assessment of the different kinds of incidents that can arise. For each incident, we develop an appropriate response aligned with the company s operational procedures. In the event of a crisis, command and control teams can call up decision support tools at the click of a mouse. These provide step-by-step guidance on what actions to take and when, with key processes automated to save valuable time. The aim is to help operators respond efficiently in times of crisis, says Vidal. Communication and collaboration tools are vital. Operators need to be able to coordinate their own security forces in the event of an incident. And in the case of serious attack, they also need to be able to share information with government security forces. Thales command and control infrastructure is designed to achieve these objectives quickly and easily. Solutions of this sort are already transforming security in critical industries such as oil and gas. But they have the potential to transform efficiency as well, allowing operators to do more with less and to work with confidence no matter how remote or risky the environment. When we talk about innovation, we re not just talking about security, says Rimokh. We re also talking about using our expertise in research and technology to help oil and gas businesses increase production and deliver more energy. This combination of challenges sits at the heart of the industry s future and it is vital that we all play our part to ensure our power supply remains consistent, safe and secure for years to come. Deep protection Thales is a worldwide leader in underwater acoustic detection and delivers sonar for submarines, surface ship, aircraft and mine warfare. The fiber optic acoustic array, for example, can be used for sensing, multiplexing and transport. The key benefits are long range interrogation capability, deep sea capability, compact and robust underwater arrays. This technology will help improve defence capabilities, such as in the submarine sonar suite, but will also benefit other areas, particularly in terms of maritime surveillance and control. It can also be used in the offshore oil and gas industry for surveillance applications on subsea industrial plants sitting at the bottom of the sea.

20 18 innovations: MiSSion To MaRS Martian chronicles The Red Planet has loomed large in our imaginations for centuries. We are drawn to Mars like moths to a flame, in our ongoing effort to explore the universe and understand our place in it. And yet, how many people are aware that, right now, man-made vehicles roll across its landscape, examining its surface at close range and sending their findings home? Dr Stuart Clark NASA called it their seven minutes of terror. No one who was watching could have disagreed. On 6 August 2012, US$2.5bn worth of spacecraft hit the unpredictable Martian atmosphere at 13,000 miles per hour. Using a heat shield, parachutes and a retro-rocket platform, the Mars rover Curiosity had to lose all that speed and navigate to the surface through unknown weather conditions completely autonomously. Controlling the spacecraft from Earth was impossible Mars is so far away that signals take minutes to cross the gulf. One of the people watching from NASA s Jet Propulsion Laboratory, Pasadena, was Vincenzo Giorgio, Thales Alenia Space vicepresident for science and exploration. He knows as well as anyone that landings on Mars can never be taken for granted. Enormous storms mean that the atmospheric density is changeable, making it essential that both parachutes and retro-rockets work perfectly, the former reducing speed, the latter firing at just the right amount to compensate. Even after decades of space missions there, the historical average is that half of them fail. The last spacecraft to be lost in this way was Europe s Beagle 2 landing in Before that, NASA lost three missions over several years. To the delight of all concerned, things were different in August Curiosity touched down and has been exploring the Martian surface ever since. For more than 500 Martian days (known as sols), using ten onboard instruments, Curiosity has established beyond doubt that Mars was once a habitable world with water running across parts of its surface. ChemCam One of the principal instruments, and the reason for Giorgio s presence at the landing, is ChemCam. Built by Thales, ChemCam s scientific objective is to quickly analyse rocks without the need for Curiosity to trundle over and place an instrument on the sample. To do this, the rover takes aim and fires a pulse of laser energy from ChemCam that heats a tiny fraction of the rock to more than 8,000 C. A small onboard telescope looks at the way the vaporised rock emits light and determines the chemical composition. Scientists on Earth can then decide whether it is worth diverting the rover for a more detailed analysis. ChemCam captured the public s imagination, with many news reports mentioning its rockblasting laser. By November 2013, it had fired 100,000 times. The reality, however, is perhaps not as devastating as some might imagine. At the end of the mission [and an estimated three million firings], we will have vaporised at most one gramme of Mars, says Sylvestre In Brief 1 The Mars missions will help us better understand our own place in the galaxy. 2 New technology allows operators on Earth to control the Curiosity rover currently on the surface of Mars and conduct experiments. 3 Long-term plans for Mars may include manned missions and even a possible return flight though that will not take place for decades yet.

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