Maintenance and Operational Excellence Magnus Drøpping Maintenance Management Engineer ESRA

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1 Maintenance and Operational Excellence Magnus Drøpping Maintenance Management Engineer ESRA

2 Contents» TKPJ info» Asset integrity management» Vessel Lifetime Plan» Case examples» Concluding remarks 2

3 Teekay Corporation» Founded 1973 by the late Torben Karlshoej» Transnational company with 6,800 employees» Transporter of more than 10% of the world s seaborne oil Trondheim Stavanger & Oslo Glasgow/Aberdeen Vancouver Houston London Stamford Hamburg Hamilton Madrid Amsterdam Luxembourg Delhi Manila Tokyo Mumbai Macaé Rio de Janeiro Singapore Perth Sydney 3

4 The Teekay Fleet Terminal Offshore Conventional 10 FPSO s 40 Shuttle Tankers 5 FSO s 62 Crude Oil Tankers 26 Gas Tankers 9 Product Tankers Total of 153 Vessels 4

5 Teekay Petrojarl A Major Player 5

6 Teekay Petrojarl - FPSO Fleet & Customers Petrojarl Banff (CNR) Petrojarl Foinaven (BP) Petrojarl Knarr (BG Norge) Petrojarl Varg (Talisman) Sevan Voyageur (E.ON Ruhrgas) Petrojarl I (StatoilHydro) Sevan Hummingbird (Centrica Energy) Petrojarl Cidade de Itajai (Petrobras) Petrojarl Cidade de Rio das Ostras (Petrobras) 6 Sevan Piranema (Petrobras)

7 Asset Integrity Management in TKPJ Our definitions:» Asset Integrity is the ability of the asset to perform its required function effectively & efficiently whilst safeguarding health, safety & the environment» Asset Integrity Management is the means of ensuring that the people, systems, processes & resources are in place, are fit for purpose, and are being applied effectively over the whole lifecycle of the asset 7

8 Asset Integrity Management in TKPJ Asset Integrity Management Objectives : 1. To reduce risk for major accidents to an accepted level 2. To ensure maximal production 3. To optimise maintenance and operation costs 8

9 Teekay Maintenance Management 9

10 Key Asset Integrity Challenge Areas for TKPJ Harsh environment & challenging operations Significant prolongations to expected duration of contracts from extended tail-end production Re-deployment of units How to handle unforeseen events How to obtain the full picture of the integrity of the vessels? 10

11 Solution? Many different sources for asset integrity information RBI Contractor VLTP Residual Lifetime Estimation Technical Condition Obsolescence Manning estimate Cost estimate Operations/ Maintenance Engineering Class CMMS Subcontractors 11

12 Utilization of LifeTimePlan» State of the vessel (major 10 Y activities)» Technical condition» Remaining lifetime» Repair/Modification/Renewal evaluation» Long term planning of activities» Budget process» Input to Asset Tracker (business model)» Input to docking planning 12

13 TKPJ Vessel Lifetime Plan 13

14 Examples of VLTP 14

15 Case Petrojarl Foinaven On Foinaven field since 1996 New contract in years extension on field without going to dock Extensive upgrade activities 16

16 PJF justification for accommodation and lifeboats 19

17 Case Petrojarl Banff Incident in December anchor chains broke in storm beyond design criteria At yard in September 2012 Back on field Mid 2013 Field abandonment date is uncertain Opportunities: What to do during yard stay? Estimated residual lifetime and obsolescence are issues 20

18 Case Petrojarl I Over 25 years in service on 10 fields Old lady with a lot of ageing issues Leaving Glitne field Q A number of opportunities are considered for re-deployment Very important to have a good overview of the asset integrity status. 21

19 Cash-flow A pragmatic view on FPSO Asset Management Initial Investment as a new build project or a tanker conversion project Redeployment of vessel with necessary upgrading & field specific modification works Revenue Revenue Time CAPEX OPEX RISKEX CAPEX OPEX RISKEX Maximizing Profit = Max {Revenue - CAPEX - OPEX - RISKEX} 22

20 TKPJ Business model in redeployments Invitation to tender/ Design basis TKPJ Finance Model IRR Depreciation CAPEX Model OPEX Model Select, FEED, Tender Another field /FEED Vessel Lifetime Plan Residual Lifetime Estimation Technical Condition Obsolescence Manning estimate Cost estimate Operation budget Year 1 4 year outlook 23

21 Future development Support Application Database server ORACLE V. 10 Business applications Agresso PtW ProArc.. Mechanical Equipment Index PIMS TKTRDB07 TRDDSHPR/TKPJ/FIELD STAR IPS Synergi OSIsoft PI Back Office - Database Containers [tbl_data_(name)] Web Portal FIELD_ID COMMON_KEY FIELD_CODE FIELD_NAME..Etc. Modification VO LifeTime Insurance Action Tracker New(??) Publish Ref_FIELD_ID Ref_FIELD_ID Ref_FIELD_ID Ref_FIELD_ID Ref_FIELD_ID Ref_FIELD_ID MOD_ID MOD_Name VO_ID VO_Name LT_ID LT_Name Insurance_ID Insurance_Name AT_ID AT_Name New(??)_ID New(??)_Name Reporting Users Roles Permission Security dsa MOD_Title.. Database Objects (tbl_object_name) Ref_(Container Name)_ID Objcet_ID. VO_Title.. LT_Title.. Objects tables Data tables with reference to contaniers tbl_obj_workflow tbl_obj_references tbl_obj_revisionlog Tbl_Obj_Link Tbl_Obj_Notes... insurance_title.. Database Drop-Down (tbl_code_name) Ref_(Container Name)_ID Code_ID. Code tables Setup tables with reference to database contaniers and Objects tbl_code_workflowtype tbl_code_referencestype tbl_code_area Tbl_Code_SystemNumber Tbl_Code_StatusType... At_Title.. New(??)_Title.. 24

22 » Improving further within the areas of Asset Management and Integrity Management is seen as key to strengthen our position as World Class Operator of mobile production units. Concluding Remarks» Success is not expected to come easy and will require strong focus on organizational agility and good leadership. 27

23 Thank You for Your Attention! 28

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