bayu-undan suspension of operations package 1 activities
TRANSCRIPT
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Bayu-Undan Suspension of Operations Package 1 Activities
Supplier Information Session, Dili, Timor-Leste, March 2021
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Agenda
Safety Briefing Timor Plaza Hotel Representative
Opening Address Fernando da Silva, ANPM Director Development & Production
Introduction and Purpose of Information SessionJose Lobato Santos Country Manager / Diretór Nasionál Santos
Bayu-Undan Overview Paul PattrickSantos Operations Lead
Local Participation & Contracting Approach
Gen Wallace & Adam Widdowson Santos Contracts & Procurement
Paul Pattrick Santos Operations Lead
Reinalda Pires, Santos Timor Leste Procurement Officer
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Opening Address / Diskursu Abertura
Fernando da Silva
Director-Development and Production / Diretór Dezenvolvimentu no Produsaun
Development and Production Directorate / Diresaun ba Dezenvolvimentu no Produsaun
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Purpose of Information Session
Jose Lobato Goncalves – Santos Timor-Leste Country Manager / Diretór Nasionál
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+ Santos is a foundation partner in Bayu-Undan
+ 2020: Santos purchased ConocoPhillips interest in Bayu-
Undan and is now Operator and the biggest equity holder
+ Jan 2021: US$235 million investment to drilling three new infill
wells to extend the Bayu-Undan life to ~2023
+ Looking for opportunities to extend Bayu-Undan life further, as
well as other growth opportunities in Timor-Leste
+ Completing a study of Timor-Leste acreage and have pre-
qualified to participate in 2021 acreage release
+ In parallel we are planning for the eventual decommissioning
of Bayu-Undan, which is a large project that will occur over
several years
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Santos in Timor-Leste
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+ Santos is committed to Bayu-Undan delivering jobs, business
opportunities and training to Timor-Leste
+ US$173+ million spent locally by Bayu-Undan; US$18+ million
in 2020
+ 340+ Timorese are employed in Bayu-Undan; 40%+ of our
offshore workforce is Timor-Leste
+ US$20+ billion revenue to the Petroleum Fund; extra revenue
from new wells
+ Bayu-Undan Facility is now located in 100% Timor-Leste
offshore waters
+ Made commitments to support Timor-Leste suppliers to
compete for decommissioning work
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Timor-Leste Participation
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+ Decommissioning is a long-term project in the planning phase
+ Seeking to maximise TL supplier participation
+ Early information to suppliers
+ Use of local infrastructure (e.g. Tibar port)
+ Unbundling of scopes and targeted procurement
+ Encouraging international partnerships
+ Increasing capacity of our Dili office to provide support
+ Establishing an Enterprise Service Support Centre
Santos will give preference to goods and services produced in
Timor-Leste, or provided by contractors operating out of Timor-
Leste, provided they are offered on competitive terms and
conditions compared with other tenderers
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Support Timorese Supplier Participation
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Key Objectives of Today
+ Inform potential business opportunities for Timor-Leste suppliers
+ Types of services that will be required
+ Outline opportunities for Timor-Leste suppliers, and potential for partnerships & alliances
+ Details of where can you find information and who to contact
+ What Santos requires from its suppliers and actions suppliers can take
+ Target audience:
+ Businesses registered in Timor-Leste
+ Business activities related to offshore oil & gas industry or onshore related services
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Bayu-Undan Overview
Paul Pattrick – Operations Lead
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CPP
FSO
WP1
Floating, Storage and Offloading facility (FSO)
Un-manned wellhead platform (WP1)
Processing platforms and living quarters. Gas goes to the Darwin LNG plant and condensate to the FSO for selling
Bayu-Undan Infrastructure
Refer to handout for further detail
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Package 1: Suspension of Operations
Package1Suspension of Operations
~ 6 months
ProductionCessation
~2023
Package1 Suspension of Operations Scope
+ Suspend all wells
+ Clean facility and subsea production systems
+ Disconnect and remove the FSO
+ Set up remote monitoring, shutdown the facilities and de-man the field
• Cessation of Production estimated in 2023, actual date may vary
• Suspension of Operations (Package 1) is time critical
• 2021 activities will focus on detailed planning for Package 1
• Package 1 tendering activities will occur in 2021 and 2022
• Future activity currently being identified, including potential for local participation
Warm Stack
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Package 1: Suspension of Operations
CPP FSOWP1
Suspension of operations:
+ Isolate and disconnect all hydrocarbon sources, de-energise facilities, suspend topside wells
+ Purge, flush and clean topside and subsea facilities
+ De-man platforms
+ Wastes disposal
+ Remove some subsea facilities
+ Tow FSO to disposal yard and dispose
Leave base
in Situ
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Package 1: Suspension of Operations - Vessel Utilisation
Clean and Flush
Subsea RemovalTow Facilities
2x 180t BP TUGS 1x 100t BP Tug 1x TUGS
+ Vessels and tugs will be used for:
+ Cleaning and flushing of subsea facilities and pipelines
+ Removing subsea equipment
+ Towing removed subsea equipment to disposal yard
+ Supporting FSO disconnection and towing
Examples of vessels typically used for these type of activities
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+ Due to start at end of Package 1
+ Topsides items require remote monitoring
+ Platform equipment to remain operational
+ Guard Boat supporting maintenance
+ 30 berth maintenance accommodation
+ 25m personnel gangway
+ 4.5m pedestal
+ Assess to cellar deck
Package 1: Topsides Maintenance during NUI
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Package 1 - Tibar Port Opportunities
+ Tibar Port being developed
+ Construction is currently in progress: estimated operations by mid 2022
+ Opportunity to use part of the port area for:
─ Dismantling yard
─ Marshalling
+ Waste management in country needs to be further developed to unlock potential further opportunities
+ Contractors will be requested to give preference to the use of TL port facilities, subject to it satisfying necessary requirements
Concept >2030 Status Q1 2021
Status Q1 2021
Temporary HLV
Loadin Quay
(Current WD ~4m)
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Local Participation and Contracting
Genevieve Wallace – Contracts & Procurement ManagerAdam Widdowson – Contracts & Procurement AnalystPaul Pattrick – Operations Lead – Bayu UndanReinalda Pires – Dili Procurement Officer
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Suspension of Ops: Planned Tendering for 2021
Timing: 2021 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Vessel - flushing & cleaning spread &
jumper removal / disposal
Removal of Risers, Mid Water Arch and
Turret Buoy
FSO Disposal
Chemical Supply / Offshore Supervision
TL Onshore Disposal Yard
ITT
TL Supplier Engagement
EOI
Notif ITT / Single SourceITT
ITT
ITT
ITT
TL participation
+ Next steps:
+ Today: Provide high level information on package 1 scopes
+ Place ad asking TL suppliers to Express Interest in these scopes.
+ TL participation time has been added to allow for
+ Scopes to be shared with TL suppliers, once they are developed
+ Suppliers to explore partnerships with international suppliers
+ Information flow and networking will be facilitated by Santos until the Enterprise Support Services are available
TL participation
TL participation
TL participation
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+ Package 1 components for dismantling at Tibar Port:
─ 121t Mid-Water Arch (MWA)
─ 300t Submerged Turret Loading Buoy (STLB)
+ Opportunity for a dismantling yard to be developed (provided Tibar Port facilities are demonstrated as structurally suitable)
+ Opportunity for a "marshalling" area to be developed
+ Self Propelled Modular Trailers (SPMT’s) will be required to move the structures from the quay side to a dismantling area to be developed
Package 1 – Tibar Port Opportunities
STLB
MWASPMT (example)
SPMT (example)
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Package 1 - Planned Tendering for 2022
+ Offshore preservation / maintenance personnel
+ Temporary power generation
+ Walk to work gangway
+ Guard / Maintenance vessel
+ Remote Monitoring Equipment including design
+ Diesel procurement and supply offshore
+ Marshalling Space Timor-Leste
+ Tibar Port
+ Waste facility
+ International supply vessel
+ Equipment to support cleaning operations
+ FSO tow
Refer to hand out for full 2021/2022 list
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Targeted Procurement OpportunitiesTibar Port is a key enabler to achieve the following targeted procurement outcomes for Package 1 (2021 & 2022)
Scope Targeted Procurement Opportunity
Diesel Globally traded commodity, limited barrier to entry.
Supply / Guard / FSO tow vessel(s)Targeted Procurement opportunity, as vessels are typically lower specification and readily available in SEA. This scope offers the potential for a TL vendor to partner with
an international provider and build capacity within TL.
Removal and Disposal of MWA, Risers and Turret Buoy
There is an opportunity to apply targeted procurement for the onshore dismantling
element of this scope.
Vessel, flushing and cleaning spread and jumper removal / Disposal
There is an opportunity to apply targeted procurement for the onshore dismantling and
disposal element of this scope.
Temporary equipment to support cleaning operations
Opportunities for TL companies to source and provide offshore rental equipment
Waste facilityStudies ongoing to support targeted procurement of a TL waste facility to take receipt of specific Bayu-Undan waste streams. Various options being considered.
Marshalling Space Timor-LesteTargeted procurement opportunity with respect to TL suppliers providing land, security, and general services and facilities.
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Food and catering supplies
Package 1 Goods Required by Major Contractors
Containment materials
PPE
Cleaning chemicals and acids
Temporary Pumps Low spec valves for flushing
Temporary HosesRigging equipment
Medical Supplies
Flanges and Fittings
Maintenance consumables
Temporary supports and frames for equipment transportation
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Package 1 Services to Major Contractors
Vessels
Temp Hire Equipment
Scrap Metal and Equipment Disposal
General and Hazardous waste disposal
Offshore Container Hire
Catering & cleaning
Industrial cleaning and decontamination
N2 and steam Generator Hire
Warehouse & laydown
Marine vessel maintenance
Mobile plant maintenance
Rigging testing and inspection
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Good oilfield practice requires the following:
+ Health safety and environmental standards
+ Performance
+ Quality of goods
+ Technology considerations
+ Delivery timeframes
+ Local content requirements
+ Considerations for local partnerships
+ Inclusion of targeted procurement
+ Competitive pricing
+ Anti-Corruption legislation
Company Confidential
What do we need from our Suppliers?
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Where can you find information?Advertisements requesting Expressions of Interest:
+ Published in Independente and Timor Post
+ Available on Santos website: https://www.santos.com/procurement/bayu-undan-opportunities/
+ Adverts provide details of scopes of work required and minimum requirements
Actions requested from Timorese Suppliers:
+ Review Advertisements
─ Respond to applicable adverts with details of your capabilities
+ Submit a Supplier Form – available from:
─ Santos website: [email protected]
+ Contact potential international tenders
─ Santos Dili Office can provide details and facilitate contact with international tenderers upon request
─ Explore what you can provide them and partnerships
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Communications
Santos Dili office will provide support to Timorese suppliers in making contact with Tenderers and can facilitate introductory meetings
Bayu-Undan Local Business Register + Timor-Leste suppliers that have registered interest in supplying goods and/or services to Bayu-Undan
+ Issued by Santos with Invitations to Tender
+ Maintained by Procurement Officer in Dili Office
If interested in supplying goods / services to Tenderers:+ Register interest with Reinalda Pires, Dili Procurement Officer
+ Include specific details of the goods / services you can provide and details of your experience
+ Santos will provide details to the tenderers
+ We can help facilitate introductory meeting with tenderers
Tenderers / Contractors may contact International Suppliers directly to explore and offer:+ Goods and services contracting
+ Employment
+ Partnerships and alliances
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Procurement Team:
Reinalda Pires, TL Procurement OfficerEligio Alves, Supply ChainRulison De Jesus, Supply Chain
+ Dili based Procurement support for local supplier participation
+ Focal point for responses to Expression of Interest (EOI) adverts
+ Facilitates meetings between Timorese suppliers and major Bayu-Undan contractors
+ Contact details:
+ Email: [email protected]
+ Office address: Santos NA Timor Leste Pty Ltd, Unit 401, Level 4 -CBD 3, Dili Central Comoro/Timor Plaza Building, Dili, Dili, Timor-Leste
Engineering Team:
Robin Araujo, Engineering SupervisorAntonio Gomes, Project Engineer
+ Contact point for technical discussion
+ Can advise Suppliers if there are potential requirements at Bayu-Undan for goods / services offered
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Company Confidential
Dili Office Procurement & Technical Team
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+ Looking for opportunities to extend Bayu-Undan life further, as well as other growth opportunities in Timor-Leste
+ In parallel we are planning for the eventual decommissioning of Bayu-Undan; a large project that will occur over several years
+ Participation of local Timor-Leste suppliers is a key focus
+ Initial 2021 tender scope will be advertised inviting Expressions of Interest shortly
+ Encourage you to also explore international partnerships
+ Our Dili office is there to help!
+ Facilitating introductory meetings
+ Receiving Supplier Forms and Expressions of Interest
+ Providing Timorese supplier information to relevant tenderers
+ Important to include specific details of the goods / services your business provides
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Company Confidential
Summary
On behalf of the ANPM and Santos, we would like to thank you all for attending this Supplier Information Session today
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Thank you / Questions?
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Annexes (to be added to the handout material only)
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Bayu-Undan Offshore Facilities Overview
+ 14 well slots
+ 1,400 tonne topsides
+ 1,480 tonne four
legged jacket
WP1
DPP
+ 16 well slots
+ 14,100 tonne
topsides
+ 10,500 tonne eight
legged jacket
+ Flare Tower inc
bridge
Gas Export Pipeline
+ 380 km GEP –
prospect of only
removing section
within Timor Leste
being worked (~36km)
FSO
+ 172,500 dwt tanker
+ 230,000m3 product
storage
+ Submerged turret
loading system
with 12 chains/wire
and anchor piles
Infield Pipelines and Umbilicals
+ 41km infield pipelines
both rigid and flexible
+ 20km umbilicals
+ SSIV riser umbilical
+ Spools and Jumpers
Subsea Structures
+ SUDU, SSIV, DWM
+ MDB and Gravity Base
+ STL Buoy and Mooring
Chain
+ 5-off additional buoys
+ 10,850 tonne
topsides
+ 10,000 tonne eight
legged jacket
CUQ
Wells
+ 32 Wells
(23 platform, 9 subsea)
+ + Phase 3C infill wells
Water depth: 78 – 110m
2004
Facilities Operational
2006
Export of dry gas to DLNG
Q1 2023
Mid-case 3CCessation of Production
2018
Phase 3Bwells
2021
Tbc –Phase 3C
wells
2014
Phase 3Awells
2011
Phase 2wells
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Indicative list of all Package 1 contracts to be Tendered in 2021/2022 with local content potential
Package 1 contract scopes and LC application
Certain contracting activities need to commence in 2021 to ensure contracts are awarded to meet early cessation of production
Item
NoSubcontract Description
Local Content
AssessmentTendered in
1Vessel, flushing and cleaning spread and jumper removal / Disposal LCP / TP 2021
2Removal, Dismantle and Disposal of Risers, Mid Water Arch and Turret Buoy LCP / TP 2021
3Enterprise Centre TP 2021
4Wireline package / HP pumping package LCP 2022
5Supply Vessel, which would include Removal and Disposal of Condensate Hose LCP / TP 2022
6Waste Facility Timor-Leste LCP / TP 2022
7Tibar Port TP 2022
8Marshalling Space Timor-Leste TP 2022
9Diesel Procurement and supply offshore LCP / TP 2022
10Guard / Maintenance Vessel LCP / TP 2022
11Temporary power generators LCP / TP 2022
12Offshore preservation / maintenance personnel LCP 2022
13FSO Tow LCP / TP 2022
14Temporary Equipment for Cleaning incl Personnel LCP / TP 2022
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Description Category
1 Catering Supplies Catering
2 Cleaning/Utility Supplies Catering
3 Food Supply Catering
4 Fuel Supply (Diesel) Consumables
5 Temporary Hose supply Consumables
6 Industrial Gasses (Lab & Welding) Consumables
7 Maintenance consumables Consumables
8 Medical Supplies Consumables
9 PPE Supplies Consumables
10 Flanges & Fittings Supply Consumables
11 Gaskets Supply Consumables
12 Industrial Gasses (N2 Quads) Consumables
13 Lab Chemicals Consumables
14 Laboratory Consumables Consumables
15 Valve supply Consumables
16 Decontamination chemicals Decontamination
17 Steel supply for temporaries Fabrication
18 Rigging equipment Supply Vendor
Package 1 Itemised Goods Required with Potential for Local Participation
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Description Category19 Offshore Catering services Catering
20 Offshore Cleaning/utility services Catering
21 FSO Tank cleaning & CSE Services Decontamination
22 Topsides cleaning support services Decontamination
23 Engineering support services Engineering
24 Offshore Container/Tank Hire Equipment
25 Scaffolding Equipment Hire Equipment
26 Temporary buildings Equipment
27 Flange Management Equipment Hire Equipment
28 HVAC Chiller Hire Equipment
29 Nitrogen Generating Equipment Hire Equipment
30 Steam Generating Equipment Hire Equipment
31 Temporary Generator Hire Equipment
32 Temporary Pumps Hire Equipment
33 Tool Hire Equipment
34 Radio Hire Equipment
35 Fabrication of temporaries (Steelwork) Fabrication
36 Environmental Monitoring Dili HSE
37 Health Monitoring Dili HSE
38 Offshore Medic services HSE
39 Scaffold services Labour
40 Flange Management Services Labour
41 Maintenance and decommissioning support services Labour
42 Nitrogen generation Operations & maintenance/services Labour
43 Steam Generation Operations & maintenance/services Labour
44 Laboratory/Testing services Labour
45 Warehousing Onshore Dili Logistics
Package 1 Itemised Services Required with Potential for Local Participation
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Description Category46 Accommodation Dili Logistics
47 Crane and transport service Dili Logistics
48 Decommissioned equipment marshalling yard Logistics
49 Expediting and clearance services Logistics
50 Forklift Hire and maintenance Dili Logistics
51 Logistics Services Logistics
52 Offshore container cleaning Logistics
53 Port services Dili Logistics
54 Hose testing and certification Vendor
55 Hydraulic services Vendor
56 Rigging equipment testing Vendor
57 HVAC Chiller Maintenance/services Vendor
58 Temporary generator Maintenance/services Vendor
59 Offshore support vessels Stage 1 Vessels
60 DS02 & DS05 Subsea disconnection and cleaning Vessels
61 Guard vessel Inc. walk to work system Vessels
62 Construction support vessels FSO mooring and MDB Removal Vessels
63 FSO tow vessel Vessels
64 Scrap equipment disposal broker Waste
65 Hazardous waste disposal Dili Waste
66 General waste disposal Dili Waste
67 Onshore Decontamination services Waste
68 Onshore demolition yard Phase 1 Waste
69 Quarantine waste disposal Dili Waste
70 Scrap metal recycling and disposal Waste
Package 1 Itemised Services Required with Potential for Local Participation