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HighSenergyJames McCallum thrives on challenge

WORLD PETROLEUM CONGRESS CURTAIN SET TO RISE IN QATAR

THE HEAT IS ON GEOTHERMAL: YES OR NO?

FUELLING CHANGEDU’S SUSTAINABILITY REPORT

O I L & G A S • F U T U R E F U E L S • E X P L O R A T I O N • L I F E S T Y L E

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The name ‘Bentley’ and the ‘B’ in wings device are registered trademarks. © October 2011 Bentley Motors Limited. Model shown: Bentley Continental GTC.

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CONTENTS | ISSUE 05 | 2011

DECEMBER 2011 ENERGY LIFE 03

09Opinion: Geothermal energy: why are we waiting?

11Intelligence: Latest energy news from the region and around the world

18Country File: the UAECelebrating 40 years of a nation – and the rise of its oil sector

22 2012: a road mapAn assessment of the key oil & gas issues in the coming year

24 Geothermal drilling The pros, cons and opportunities of Geothermal

28 World Petroleum CongressKeynote event makes ground-breaking debut in Qatar

30CommentLibya’s personnel issues and Egypt’s reluctance to change are not helping the sector

32 Cover Story: SenergyAn exclusive interview with CEO, James McCallum

38 Fuelling the changeDu’s Sustainable Development Report

42 World Future Energy Summit Preview of the leading renewable energy event in Abu Dhabi

44 Finance: wealth management Barclays inheritance report highlighting the Middle East

46 First line of defence How to implement effective perimeter security

50 The last word Year-end rankings of the world’s Top 50 energy companies

58 Drive: Crewe’s missile We road test the fabulous Bentley Continental GTC

62 Ride: A taste for adventureHarley-Davidson’s new models and the legendary Al Hajjar Rally

66 EventsTop occasions in the energy sector for December and January

CONTENTS

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It’s about people. That’s why Schlumberger hires people around the world—developing their talents through both local and international experience. The result? Proven worldwide best practices deployed to solve your local challenges.

It’s about technology. With 25 research and development centers located around the world, our goal is to continually deliver new technology to meet your complex reservoir challenges.

It’s about results. Harnessing our employees’ ingenuity—and backing them with global expertise and innovative technology—delivers Measurable Impact*. Let us prove it.

www.slb.com/MeasurableImpact*M

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WELCOME | ISSUE 05 | 2011

04 ENERGY LIFE DECEMBER 2011

December 2011

Editorial Paul Godfrey [email protected] Tel: +971 4 390 3940

Contributors Phil MooreMatt GermanVictoria Connolly

Design Jayakrishnan [email protected]

Advertising Tel: +971 4 390 3940 [email protected]

Business Development Fakhruddin [email protected]

Associate Publisher Michael Dawes Tel: +971 56 644 0469 [email protected]

Published By Auto Trader Publishing FZ-LLC PO Box 94866, Office 209, Building 5, Dubai Media City, Tel: +971 4 390 3940 Fax: +971 4 390 8286 Registered at Dubai Media CityManaging Director Matthew German Registered at Dubai Media CityPrinted at Masar Printing and Publishing

While we were interviewing James McCallum, chief executive officer of Senergy, he said something that abso-lutely stuck in my mind: that

these days, the word ‘consultant’ carries with it a very mixed bag of connotations. It implies that you’re not around for the whole journey and that you’re probably pleased with yourself for knowing a good deal that your client doesn’t. I liked these comments because they actually tell us a lot about the way the industry itself has changed. 40 years ago, the global majors would work as ‘consultants’ to the govern-ments of the MENA states. In exchange for their expertise (which was, after all, world-class), they would be rewarded with a 50/50 - or perhaps even 60/40 - share. Today, the world has shifted on its axis: an NOC can have phenomenal expertise and when it brings in a major (or more likely, a niche specialist), the deal might be 4/96. Take it or leave it.Who would have thought this change was possible? Here’s another example: if you’d asked people five years ago about what would happen to the oil price if the economies of the United States and Europe were depressed, they would have said unanimously that it would collapse. Yet, due to the massive growth of China, India, south-east Asia and South America, demand for oil has never been greater. As 2012 beckons, the energy industry is seeing many changes and the question is this: can businesses learn to thrive in the climate’s economic vortices or will they lose direction and fail to find their niche?

Energy Life Middle East is here to document the outcomes.On a lighter note, I’m sure you will join me in giving a very warm welcome to our new editor, Paul Godfrey. In this, his debut issue, we not only feature a number of technical articles focusing on key industry issues, but showcase a ground-breaking report from Barclays Wealth on personal finance and inheritance issues. You’ll also find a terrific profile of Harley-Davidson’s latest models and rally days, a review of the stunning Bentley Continental GTC and an enticing travel profile from the wild heartlands of Turkey. Not to mention a visit to the Dubai Pre-Owned Boat Show, with its panorama of 85 pristine yachts.

Enjoy the issue!

Regards

Michael [email protected]

A NOTE FROM THE PUBLISHER

The publisher regrets that it cannot accept liability for any error or omissions printed, however caused. The opinions and views contained in this publication are not necessarily those of the publisher. Readers are advised to seek specialist advice before acting on information published here, which is provided for general use and may not be appropriate for the readers’ particular circumstances. The ownership of trademarks is acknowledged. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing.

SUBSCRIBE FOR FREE www.energylifeme.com

WELCOMER

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DECEMBER 2011

HighSenergyJames McCallum thrives on challenge

WORLD PETROLEUM CONGRESS: CURTAIN SET TO RISE IN QATAR

THE HEAT IS ON: GEOTHERMAL: YES OR NO?

FUELLING CHANGE: DU’S SUSTAINABILITY REPORT

O I L & G A S • F U T U R E F U E L S • E X P L O R A T I O N • L I F E S T Y L E

It’s about people. That’s why Schlumberger hires people around the world—developing their talents through both local and international experience. The result? Proven worldwide best practices deployed to solve your local challenges.

It’s about technology. With 25 research and development centers located around the world, our goal is to continually deliver new technology to meet your complex reservoir challenges.

It’s about results. Harnessing our employees’ ingenuity—and backing them with global expertise and innovative technology—delivers Measurable Impact*. Let us prove it.

www.slb.com/MeasurableImpact

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OPINIONIn 2006 I was invited on a tour of the UK’s

Harworth Colliery, which had been moth-balled six months before and had already become a curiosity piece signposting a bygone industrial heritage. I naively commented that, presumably, the mine had run out of coal - only to be shocked by the answer. “No sir”, came the reply. “There’s enough coal for another 25 years’ operating; and if we opened two new seams, there would be enough for 220 years. There’s at least 40 million tonnes, and tests show there could be 50 per cent more than that”. The problem was, of course, that in increasingly compet-itive world markets it had simply become too costly to continue to support the mine’s infrastructure - let alone invest in the subter-ranean highways necessary to dig out more coal. Yet here we are, five years later, and UK Coal are (guess what?) excavating fresh highways. With an additional investment of GBP30 million, they will reopen the colliery - and it makes sense to get the enhancements done now.

I mention this because it seems that when it comes to decision-making, we’re in a not dissimilar position with geothermal energy (on which, see our article on pp. 24-26). On the one hand, it all seems to make sense: it’s green, there are huge amounts of it, the processing doesn’t leave much of a carbon footprint and research about the chemistry has been going on for 40 years. Then again, it’s all a bit difficult, because - low and behold - it exists in rather tricky places that tend to be on the furthest outcrops of the word’s geography. This in turn requires enhanced technologies and that means, yes, more money. It’s clear that what’s really needed here is the will to commit to the whole idea of geothermal as a valuable power source.

The actual technical impediments aren’t that awesome compared to problems that

have been quite routinely overcome in the past. It’s a question of deciding that the incen-tive is worthwhile. Imagine the logistical and technical challenges that Freeport-McMoRan overcame at Grasberg; or the problems that AngloGold Ashanti triumph over every day at TauTona. Working at the edges of feasible technology and human endurance, it would be inconceivable to see them baulk over the hurdles that are proposed as being so massive in the geothermal sector. I’m tempted to use the same phrase that you’ll see in our comments section in respect to the current situation in Egypt: ‘can we get a move on, please?’

From one extreme to the otherIf the investment and wholesale exploita-tion of geothermal requires a certain force of will, I can recommend a good manage-ment consultant: it’s called the United Arab Emirates (UAE). Now celebrating the 40th anniversary of its foundation and - in every sense - standing tall as the region’s economic star, the nation’s oil wealth has created a trading hub which finds itself ideally placed to take advantage of the world’s shifting economic balance. What is particularly smart about the UAE is that it has used its fossil fuel income to create massive sustain-able business hubs that are, quite simply, the envy of the world. The UAE’s ‘Free Zone’ concept has already been cloned (or shall we say ‘copied’?) by seven other nations, although I think it’s fair to say few of them will have the stomach - or the budget - for the UAE’s extraordinary investment in the commensurate business infrastructure. Note as well that all this happened against a back-ground of plentiful, continuing oil supply, not because of its impending shortage. Abu Dhabi currently exploits only 18 of the 67 fields available and continues to hold its own in

THE MEANS, BUT NOT THE WILL

IT’S CLEAR THAT WHAT’S REALLY NEEDED HERE IS THE WILL TO COMMIT TO THE WHOLE IDEA OF GEOTHERMAL AS A VALUABLE POWER SOURCE. THE ACTUAL TECHNICAL IMPEDIMENTS AREN’T THAT AWESOME COMPARED TO PROBLEMS THAT HAVE BEEN QUITE ROUTINELY OVERCOME IN THE PAST.

the ever-shifting demographics of the world’s top producers. You can find out more about the UAE’s oil history on pp.18-20; I hope you enjoy the article and, indeed, reading the December issue of Energy Life Middle East.

Paul GodfreyEditor, Energy Life [email protected]

OPINION | ISSUE 05 | 2011


Supported byOrganized by Gold SponsorsPlatinum SponsorsOfficial Airline

HOW to make profits of AED537 million on an AED6.2 billion revenue? Ask TAQA (the Abu Dhabi National Energy Company), which has more than doubled quarterly profits over Q3 2010. The key factors responsible? Better and higher production levels, operational expansion and high oil prices are all prime movers, along with TAQA’s commitment to enhancing working practices and high-end technology investment. The oil and gas divi-sion, in particular, saw spectacular growth: a 71 per cent Q3 increase over 2010, with Q3 revenues leaping from AED1.7 billion to AED3 billion in 2011.

H.E. Abdulla Saif Al Nuaimi, (pictured) vice chairman of TAQA, commented: “TAQA’s growth and exceptional operational perfor-mance is evident in this positive set of results, which reflect the continued commitment of the Board and management team in building TAQA into a world-class, diversified energy company.”TAQA’s distinguishing features include a highly diverse geographical profile - with

AFTER opening its first Middle East base in 2010, HB Rentals has experienced burgeoning success, with a cluster of contracts from key UAE operators, and - most recently - winning a major commission from Abu Dhabi-based Gulf Marine Services (GMS). HB Rentals will provide 10 eight-men accommodation modules and two recreation rooms - in addition to stairways and

operations spreading from the North Sea to Malaysia - and diverse, multi-tiered financing options. The latter includes a strategic investment agree-ment with Western Zagros Resources Ltd., whereby TAQA will purchase shares worth CDN$46.6 million, equivalent to 19.9 per cent of the company.

This will help fund Western Zagros’ major programme in the Kurdish region of Iraq, the development of which has long been a key strategic objective.

TAQA CEO Carl Sheldon spoke about the regional strategies underlying the compa-ny’s roadmap: “Global demand for fuel and power continues to grow, with Middle Eastern markets, in particular, demonstrating attrac-tive supply/demand dynamics. TAQA’s oper-ational excellence and experience positions us well to meet this demand. The recently announced Western Zagros deal in the Kurdish region of Iraq is an example of us growing our footprint in the IMENA region and entering new countries with attractive market dynamics.”

walkways - for the GMS vessel ‘Endeavour’.One of the factors for HB Rentals’ success is

the firm’s commitment to providing full instal-lation support, offering complete connectivity and drastically reducing the workload of the commissioning party. This is proving attractive at a time when many competitors are looking to reduce costs by paring away

exactly this kind of hands-on support.Rami Miled, business development

manager, emphasised that: “with more than 30 years of experience, and a fleet of more than 500 units, we are more than prepared to continue our investment programme to meet the demands of the region’s buoyant energy market.”

Abu Dhabi: the envy of the energy industry

HB Rentals’ ‘Endeavour’ finds success despite changing markets

Syrian oil exports ‘almost impossible’

INTELLIGENCE Kuwait energy set to benefit 13Success for Max Petroleum 14Albania leads the way 15BP sells mature assets 16

SANCTIONS BITE IN SYRIA

THE international community is currently considering whether to widen the sanctions already in place against Syria; It is estimated, for example, that the regime has killed some 3,500 protestors in the last nine months. Oil sanctions are intended to bite hard against a ruling elite used to enjoying the proceeds of a sector producing more than 30 per cent of the nation’s revenue.

Various sources inside Syria confirm that the sanctions are making oil exports ‘almost impossible’. Prior to the civil unrest, about 120,000 barrels per day were reserved for export, with the majority destined for Europe. UK firm Gulfsands have recently announced that there was a sharp drop in October’s production figures, with Polish oil firm Kulczyk Oil actually suspending operations. Meanwhile, Reuters were approached by two internal sources claiming that production at Shell’s joint venture was severely affected, in addition to there being a substantial impact on Total’s regional investment portfolio. Not an encouraging picture, and reports as of November 20 suggest further deterioration.

TAQA DOUBLES Q3 PROFITS

‘ONE-STOP’ SOLUTION PROVES POPULAR

Supported byOrganized by Gold SponsorsPlatinum SponsorsOfficial Airline


LOCAL | INTELLIGENCE

KUWAIT ENERGY EVALUATES EXPLORATION QUALITYSECURITY DEBATE RAGES


THERE is no doubt that Libya’s oil recovery has been much more rapid than many industry pundits thought possible. The reality is, however, that for production to return to previous levels, a great many personnel will have to be persuaded to return. This means personnel at every level; and it also means the re-instatement of secu-rity personnel to protect individuals, plants and compounds. The new Libyan government is reluctant to let IOCs bring private security companies with them - even to remote oilfields in the ‘empty’ quarter of the region’s far south.

Meanwhile, the government is training its own security protection forces. These are unlikely, however, to have much (or any) expe-rience of dealing with expats, or, indeed, of working n the context of oilfields or secure residential compounds. There is also concern that their numbers are likely to be drawn from former rebel forces whose training has little relevance to the new job at hand.

The process of bringing a large-scale work-force back into Libya is also being delayed by the considerable damage caused by the looting of residential properties and compounds: the question being “Where is there to live? Espe-cially in a secure environment?” All of these factors are currently slowing up the oil reha-bilitation process, although the National Oil Corporation (NOC) believes that Libya’s oil exports are expected to reach an aaverage of 350,000 b/d in November. NOC will market 14 cargoes from the eastern oilfields, while the Arabian Gulf Oil Company (AGOCO) is likely to sell two more cargoes shortly. The NOC also has plans to restart the Ra’s Lanuf refinery (Libya;s largest) before January 1. NOC’s marketing in November will include crude from the al-Jurf, Abu Attifel, Amna, Sirtica and Zueltina oilfields. The El-Sharara find was recently re-started with considerable success, but its output until the end of the year will be directed to the Zamiya refinery to help end domestic fuel shortages.

IRAQ’S licensing directorate offered 12 explora-tion blocks under the fourth round field auction - and Kuwait Energy is currently assessing viability. The firm, which has buoyant operations in Yemen, Ukraine, Oman, Egypt and Russia and in its Q3 financial statement showed unaudited

July-September revenues of US$47.9 million. As well as showing a signifi-cant 33.8 per cent increase over Q3 2010, revenue is also up 3 per cent on the second quarter of this year.

The Iraqi fields are already tried and tested stomping grounds for Kuwait Energy, with fields being developed following the award of technical services contracts in the third round of auctions. Production is currently running at 13,568 boe per day - an increase of 5.2 per cent over Q2 and 3 per cent up on 2010.

Sara Akbar, Kuwait Energy’s CEO (pictured), commented that: “the company is continuing to focus on the MENA region and within our existing operations.” Meanwhile, proven and probable reserves in the new Iraq fields are 48.8 million boe as of year-end 2010.

Local firm set to benefit from fourth-round field auctions

Resistance to foreign personnel may halt Libya’s oil recovery

LOCAL | INTELLIGENCE

IRAQ SPAWNS M&A FEVER

Genel keen to conclude DNO deal

EVER since Exxon defied Bagh-dad’s blacklisting policy and acquired no fewer than six exploration blocks, the region has become a veritable hive of activity - providing a cata-lyst for a number of proposed mergers and acquisitions. Turkish firm Genel Enerji is a case in point, with its declared intention to acquire DNO.

CEO of Genel Enerji, Mehmet Sepil (pictured), commented that: “DNO is our natural partner so it makes a lot of sense if we can take them into Genel. We are interested in a few companies, but there are no detailed talks at this point.”

In reality, DNO is pushing ahead with an acquisition itself, merging the MENA assets of the UAE’s RAK petroleum, although the latter is not seen as an attractive target to the

large would-be predators. For example, Tony Haywood, Genel’s CEO-in-waiting, believes that: “Everyone in the industry would say the same as I: the assets of DNO International are much more interesting than RAK Petro-leum. Just now we must await the results of this merger, but it’s clear that DNO Interna-tional could be interesting to us eventually.”

Current industry attention has seen increases in DNO’s share price, although buoyancy in the value of independents makes the Kurdistan sector less attractive for acquisitively-mobded businesses. Mehemet Sepil recently remarked that: “The Exxon story was probably great news for everybody but not for us. I really wish they had come six months later.”

SUCCESS IN EAST KYZYCHAR

M&A DEVELOPMENTS IN AUSTRALIA

WAY OF THE DRAGON

LEADING CONSULTANCY BUILDS TEAM

AMONG continual rumours of fresh fields in a variety of ‘Stan locations, Max Petroleum has now begun testing the KZIE-1 discovery well in the East Kyzychar 1 Field. Flowing 42˚ oil at a rate of 1,484 b/d, the field is a key component in the cluster of fields together allowing Max Petroleum to reach record levels of produc-tion, peaking at 5,625 b/d on November 19. Company averages since September are a cred-itable 3,235 b/d.

Max Petroleum president and CEO Michael B. Young sees the ‘Stan performance as a

BEACH Energy recently launched an uncondi-tional offer for Adelaide Energy, with the price

THE Dzheitune (Lam) A/162 well is completed and now subject to initial testing. The Dragon Oil well was drilled to a depth of 2,970 metres, with initial tests for production running at 1,096 b/d. Dragon Oil’s CEO, Abdul Jaleel Al Khalifa, commented that: “Dragon Oil is on track to complete 13 wells within the 2011 drilling programme: 11 wells have been success-

of AUS$0.20 per share being declared final and held open until December 22. In reality, Beach has - since November 11 - a majority controlling interest of 79.1 per cent, and Adelaide Energy’s directors now unanimously recommend that shareholders accept the Beach offer.

The proposed takeover sees a ‘natural’ fusion of complementary businesses: Beach has to achieve 90 per cent share ownership to seal its acquisition - both companies are confident that this will be reached by close of offer.

major benchmark for the company: “This is a historic milestone.. We have more than doubled the company’s daily production since June 30, with the wells providing in excess of 1,000 b/d each. We currently have four of our six commercial discoveries in production and plan to have all six producing by December 31. This steep ramp up in production will have significant impact on our cash flow generated from operations, as we actively pursue our ongoing exploration and appraisal drilling programme in Blocks A & E.”

Max Petroleum doubles ’Stan production in four months

Beach Energy launches unconditional offer - and the clock is ticking

Turkmenistan development well tests successfully - programme nearly complete

SBC steps up world networking capacity

fully put into production with the remaining two wells, the Dzheitune (Lam) 13.163 and 28/164 development wells to be completed in the next few weeks. By the end of this year, we will have completed a record number of wells, which will out us on course to exit the year at a production level of approximately 70,000 barrels of oil per day.”


GLOBAL | INTELLIGENCE

SCHLUMBERGER’S management consul-tancy division, SBC, is further expanding its global presence. Six new vice presidents are being appointed, as well as enhancements to the international office network. While offices in Beijing, the United Arab Emirates and London are being upgraded and bringing on board additional staff, the Rio de Janeiro office has recently moved to a larger and more central location and is now handling all Southern Cone jurisdictions. Meanwhile, a new office is being launched in Moscow, putting the consultancy close to the ground in one of the most rapidly developing markets.

SBC global managing director, Antoine Rostand, commented: “The management challenges faced by our industry are becom-ingly increasingly complex as we move to deeper waters, unconventional resources and new sources of primary energy. Energy decision-makers need a trusted adviser that truly understands the complexities and solu-tions to the biggest industry challenges. The recent office expansions and the talent we have just harnessed further affirm SBC’s status as the true management consulting adviser with the strategies and operational insight, global reach and practical experience needed to provide a material impact on the oil and gas sector.”

The new appointees are:

Tamias Seregi - Moscow

David Williams - London

Friedrich Portner - Abu Dhabi

David Rabley - Singapore

Alan Trench - Rio de Janeiro

Min Cao – Beijing

STABLE FINDS IN THE CARIBBEANTRANSITION ECONOMY FIRST TO ACT

TOP-NAME ALLIANCE IN SUBCONTINENT

ALBANIA has become the first host government to start talks on the Trans Adriatic Pipeline (TAP), aimed at transporting Caspian gas to Italy through Greece and Albania.

The TAP construction consortium comprises Norway’s Statoil, Germa-ny’s E.ON Ruhrgas and Swiss EGL. Together, they aim to build a 1.5 billion euro pipeline carrying 10 bcm of Caspian gas a year along a 520-km route. In a recent statement, Albania and TAP together said: “The parties endeavour to conclude

Albania leads the way with commitment to the TAP

12.1 million barrel resources discovered in Trinidad

BP and Reliance to form India Gas Solutions joint venture

INDIA - currently Asia’s third-largest economy (after China and Japan) – is to see a new 50/50 Joint Venture (JV) between home-owned Reliance Industries and global giant BP. The

aim is to create a full infrastructure for trans-porting and marketing natural gas, as well as import liquefied natural gas (LNG). The JV was first mooted in February, with BP acquiring a

30 per cent stake in 23 of Reliance’s oil blocks - at a total value exceeding US$7.2 billion. The new JV also takes over supply contracts to customers using gas from the major block off India’s east coast, KG D6 - which has seen falling gas output in recent months.

To kick-start the JV, 30 employees will be seconded from both firms; the board will have six members equally representing Reliance and BP. Reliance executive director P.M.S. Prasad said: “Demand for gas has been growing at an exponential rate and we anticipate national gas to emerge as the preferred choice of fuel.”

the negotiations in compli-ance with the overall time-table governed by the Shah Deniz Stage II project in Azer-baijan”. Albania’s Minister of Trade, Economy and Energy, Nasip Naço (pictured) said the pipeline would play a key role in meeting the needs of the energy-starved Balkan country. Significantly, the TAP project so far lacks intergov-ernmental approval between the three countries it will

pass through, although it was included in an agreement signed in 2009 between Italy and Albania.


GLOBAL | INTELLIGENCE

AS part of the Beach Marcelle Incremental Production Service Contract (IPSC), Los Bajos Oil (a wholly-owned subsidiary of Range Resources) has - in partnership with Petrotrin - uncovered PI reserves of 12.8 million barrels of oil. Under the terms of the IPSC, in-ground reserves belong to Petrotrin, the state-owned oil provider of Trinidad and Tobago, although they are then able to be developed and distrib-uted by the contract partner. The mature oil fields have been discovered following exten-sive independent engineering studies, resulting from the secondary recovery potential identified in the Beach Marcelle Block. Range Resources is looking to start first-phase development in early 2012.

IN the aftermath of Macondo, BP’s strategy has been to up-scale resources on key sites and accelerate divestment of mature, lower-yielding assets. Now, Stone Energy has agreed to pay BP US$204 million in cash for the mature Gulf of Mexico fields Pompano and Mica. BP will sell its 25 per cent operated working interest in the Pompano field and assets and 50 per cent non-open working interest in the Mica field. Also included in the deal is a 51 per cent working interest in Mississippi Canyon Block 29 and a variety of smaller leases in the region.

After divesting interests in Pompano and Mica, BP will retain seven GoM production

SNC-Lavalin has won the contract to provide the massive, 20,000 tonne substructure for one of the UK’s largest offshore developments.. The North Sea jacket - one of the biggest ever manufactured – will be installed by barge and go on to support no fewer than 50 wells. It will provide the substructure for a massive produc-tion, drilling and quarters facility. The scale of the project is ideal for SNC-Lavalin, currently one of the world’s leading engineering and construction groups, with offices in Canada and 40 other international territories.

Executive vice-president of SNC-Lavalin Group Inc., Andy Mackintosh, explained: “We’re very pleased to be working with Statoil on this project, which it considers one of its landmark offshore UK development projects. Securing this development contract for one of the largest North Sea jackets in recent times demonstrates the depth of our expertise in a globally competitive market.”

THE second round of the 2010 Offshore Petro-leum Exploration Release (OPEAR) will bring Western Australia investments of AUS$380 million. The permits have been awarded to Shell, Woodside, Mitsui E&P, Cottesloe Oil and Gas, Strike Energy, WHL Energy and Santos. A total of 33 work programme bids were received

platforms, working with some of the world’s largest deepwater oil and gas fields. Key assets include Thunder Horse, Mad Dog and Atlantis - representing the world’s second-largest deep-water cluster. BP group chief executive Bob Dudley (pictured) said: “We continue to make

progress in our divestment programme as we focus on BP’s areas of strength around the world. The sale of these mature assets will enable us to concentrate our efforts on the major production hubs and significant growth opportunities that BP has in the Gulf of Mexico.”

BP TO SELL POMPANO AND MICA

Stone Energy offshore to acquire BP’s mature GoM assets

MARINER DEVELOPMENT UNDERWAY

Statoil UK awards contract for 20,000 tonne substructure

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BETTER MOMENTUM FOR AUSTRALIA’S OFFSHORE

Nine new exploration permits for offshore Western Australia

for 12 release areas of the second round of 2010 OPEAR, which closed on may 12, 2011.

Australia’s Minister for Resources and Energy, Martin Ferguson, AM MP (pictured), said: “Liquefied natural gas is forecast to be Australia’s fastest-growing energy export. On the other hand, Australia will have a AUS$16 billion trade deficit in crude oil, refining products and LPG, which is also rising. These permits add greater momentum to offshore development, potentially reducing our dependence on fuel imports and strength-ening our energy security. Continued expansion of offshore areas is required to maintain a robust offshore petroleum industry. Equally important to the future of the industry is ensuring that the highest standards of safety for both workers and the environment are applied from early explor-atory activities right through to production and transport.”


INTELLIGENCE | GLOBAL

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On D e c e m b e r 2 , t he United Arab Emirates (UA E) celebrates its 40th anniversary. The immensely rapid progress has been driven principally

by the oil wealth of the largest emirate, Abu Dhabi, where oil was first discovered 61 years ago and has enabled the nation to become the region’s shining star – a commercial powerhouse pioneering business, social and cultural initiatives that are second to none. How did this all happen? Energy Life Middle East plots the changes…

The status quo: a player on the world sceneThe UAE’s total oil output is a steady 2.5 million bpd. This output has proved one of the most consistent in the world, scarcely changing since 2005. To put the figures in perspective, the UAE’s production compares to Kuwait’s figure of 2.51 million bdo and Qatar’s output of 820,000 bdo.

Abu Dhabi’s oil is considered light, with gravities in the 34–40 degree API range (just to be technical, the specifications from each field are: Murban 39 degrees, Lower Zakum 40, Umm Shaif 37 and Upper Zakum 37). The quality of Abu Dhabi crude has been one of

the key factors influencing market reception, as has the nation’s secure supply and settled status. Together, these advantages have led to long-term evergreen contracts with major customers, especially in the Far East - Abu Dhabi is by far the biggest supplier of crude oil to Japan, for example. In addition, proven recoverable reserves of natural gas in the UAE are estimated at 6 trillion cubic metres, or 4 per cent of the world total. This makes the UAE’s gas reserves the third largest in the Middle East (after Iran and Qatar) and the fourth largest in the world (with Russia holding the biggest reserve).

Oil is the heartbeat of the UAE

Spirit of the Union:

H.H. SHEIKH ZAYED BIN SULTAN AL NAHYAN

COUNTRY FOCUS


How it began – a story of ‘household names’American and British companies began their first active oil exploration programmes in the 1920s and 1930s; but it wasn’t until after World War II that large-scale production began. You’ll often hear about the huge influence that Britain and the USA had over these territories at this time; and indeed, the price of oil and its regional production quotas were actually controlled by a cartel of seven powerful companies: Exxon, Shall, Chevron, Texaco, Mobil, BP and Gulf. (They were even known as the ‘seven sisters’!). Together, they kept the price of oil at about US$2.50

per barrel for more than a decade. The cartel was only broken when, in the 1960s, the Organization of Petroleum Exporting Countries (OPEC) was formed to regulate the production of crude oil and to introduce more realistic pricing.

Oddly, the tremendous history of the oil and gas industries in the region got off to a poor start. While the first oil concession n Abu Dhabi was granted in 1939 to Trucial Coast Oil Development Company (with the company awarded exploration rights to the whole of the emirate’s land area and part of its offshore for 75 years), the first oil well wasn’t

Spirit of the Union:

drilled until 1950 at Ra’s Sadr, north-east of Abu Dhabi. It was an inauspicious start for the oil sector, because the well proved to be dry. Not for another decade were major discoveries made, although the Trucial States (the areas which became the UAE in 1971 after the British withdrew from the Gulf) swiftly made up for lost time. The first commercial oilfield was discovered at Bab in 1960, followed by finds at Bu Hasa in 1962, Asab in 1965 and Sahil in 1972. In 1962, the Trucial Coast Oil Development Company became the Abu Dhabi Petroleum Company (ADPC).

Meanwhile, there was big news happening

UNITED ARAB EMIRATES


offshore. In 1953, an exploration and development agreement was signed with d’Arcy Oil company, and then promptly re-assigned two years later to a new venture - Abu Dhabi Marine Areas (ADMA). (ADMA was in fact owned by a cluster of foreign entities, including Total and BP). The first offshore discovery was made at Umm Shaif in 1958 - and it was immediately seen as being big enough to justify the building of a sophisticated production and processing centre and large export terminal. The initial consignment of Umm Shaif crude left Das Island in 1962. Three years later, there was a momentous breakthrough: ADMA discovered the Zakum oilfield, which was immediately developed and entered production in 1967. Today, we know that the field we call Upper Zakum is one of the largest offshore fields in the world, stretching over 750 square kilometres and containing reserves of 50 billion barrels. Current capacity is 550,000 bpd.

The rise of ADNOCWith the creation of the UAE in 1971, one of the new government’s first strategic steps was to establish a national oil company. The Abu Dhabi National Oil Company (ADNOC) was slated to take over the state’s interests in all oil and gas agendas. One of its first steps was to take 25 per cent holdings in two concessionary companies, ADPC and ADMA.

In 1974, it raised its stake in each company to 60 per cent. Subsequently, ADNOC proved to be an extremely astute presence with a series of strategic moves that did a great deal to rationalize the regional industry and maximize profits at each point of the production process. For example, it – • Signed a fresh agreement with ADMA

in 1977, whereby ADMA became the Abu Dhabi Marine Operating Company (ADMA-OPCO), whose other sharehoiders were the same as ADMA’s, ie, BP (14.66 per cent); Total (13.33 per cent) and JODCO (12 per cent).

• The agreement with ADPC was signed in September 1978 and created the Abu Dhabi Company for Onshore Oil Operations (ADCO), whose other shareholders were BP, Royal Dutch Shell, Total (9.5 per cent each), Exxon and Mobil (now ExxonMobil, but then they had 4.74 per cent each), and Partex (2.5 per cent).

• ADNOC then set up Zakum Development Company (ZADCO), a joint venture in which it has an 88 per cent stake in association with JODCO (12 per cent), to develop part of the Zakum field.

These three affiliates, ADCO, ADMA-OPCO and ZADCO are responsible for all exploration, development and production on their concessions: together, they account for approximately 90 per cent of the emirate’s

output of oil and gas. There are other companies on the scene, though: for example, The Total Abu al-Bukhoosh Oil Company was formed in 1973 to develop the offshore Abu al-Bukhoosh oilfield, discovered in 1969, which came on-stream in June 1974. The original owners of the company were Total (51 per cent), the US’s Charter Oil (24.5 per cent), Canada’s Sunningdale Oil (12.25 per cent) and Amerada Hess of the US (12.25 per cent). In 1991, Charter Oil sold some of its stake to Total, leaving the latter with a 65.7 per cent stake, and later sold the rest the same way. Sunningdale Oil, meanwhile, sold its shares to Amerada Hess, giving it 25 per cent

“ THE QUALITY OF ABU DHABI CRUDE HAS BEEN ONE OF THE KEY FACTORS INFLUENCING MARKET RECEPTION, AS HAS THE NATION’S SECURE SUPPLY AND SETTLED STATUS. ”

COUNTRY FOCUS


of the shares, with the remainder owned by Total. In 1996, Amerada Hess sold its shares to Japan Indonesia Petroleum.

The future: the age of the strategic allianceAbu Dhabi’s biggest asset - Upper Zakum - is also the catalyst for changing working practices. The field’s sub-sea base is low pressure with complex porous rock formations, requiring the application of high-end technological and engineering skills. In order to accelerate progress in the technically challenging field, Abu Dhabi has reinforced its effort by bringing in foreign expertise in the form of US company ExxonMobil as an equity partner.

ExxonMobil, the world’s largest privately-owned oil company, has been awarded a 28.8% stake in Zakum Development, which is charged with developing the field. Japan Oil Development also has a 12% interest with Abu Dhabi National Oil Company, holding 60%. Links with international oil majors have also been forged by Abu Dhabi’s International Petroleum Investment Company, which has recently extended its partnership with Occidental Petroleum in the development of upstream and downstream ventures in areas both in and outside the Middle East.

Directing the changesADNOC - and indeed every other oil company

working in the UAE - has its substantial power and status channelled by The Supreme Petroleum Council (SPC). Set up in June 1988, the SPC remains responsible for all the oil and gas policies and activities throughout the emirates. As such, it also has direct management control over ADNOC itself. The importance of the oil sector for Abu Dhabi is best illustrated by the fact that the Chair of the SPC is His Highness Sheikh Khalifa Bin Zayed Al Nahyan, President of the UAE.

At a time when the quest for fresh resources is driving many nations and oil companies into ever more extreme climates and regions, the SPC has no such concerns: it knows that the future is bright. Abu Dhabi is currently exploiting only 18 of the 67 potential fields available - and at a time when there is much talk about the new potentialities of Russia and the ‘Stans, it remains perfectly positioned to process and distribute the proceeds.

UNITED ARAB EMIRATES


2012A road map from Energy Life Middle EastAfter looking at 40 years of the UAE, it’s fitting to turn the telescope around and focus on the trends that look most likely to impact the coming year. Suffice it to say, at both the global and local Middle East and North African levels, the future of the oil and gas sector is set to be a period of change and exploration, questing to offset burgeoning technical costs and environmental factors against potentially rich discoveries and returns. This is our assessment of the key industry talking points as we head towards 2012.

ENERGY 2012


The future in a word: growthFuture global oil consumption is expected to register a substantial growth. Recently published energy reports project a gradual increase reaching an expected 38 million barrels per day (mbpd) in 2030, as compared to the 80 mbpd level in 2003. Most of this increase in demand will originate in developing countries including China and India where oil consumption is expected to grow at the rate of 3.8 and 2.4 per cent respectively; this is against the world average of 1.4 per cent. High oil and gas prices have prompted increased investments in the exploration and production (E&P) sector posing new challenges for the industry. These include:

• Increased cost of operations due to high service costs

• Exposure to logistically difficult terrain • Shortage of technical manpower

Note that despite the depressed state of the North American and European economies, the demand for oil has continued to grow. This is due to the rapid rise in demand not only from the emerging super-economies of China and the Indian Subcontinent, but from relatively new players, such as Cambodia and Vietnam. The latter, for example, is considered to offer the world’s premier opportunity for retail developers, whose planned mega malls, arcades and department stores will necessitate considerable quantities of power. Cambodia and Vietnam together are also planning no less than six new major free zones, all based around port and air facilities that will each rank in the world’s top 50.

The world’s balance of power is changingCommensurate with the current economic climate, in terms of refining capacity globally there appears to be negligible increase in the production capacities of the major developed markets such as the USA and European based countries. Developing countries such as the Middle East, China and India are fast emerging as refining hubs.

It is indeed hazardous to predict what will happen to oil prices over a five year period; but current assessments indicate that oil prices will remain high. The impact of high oil prices on the world economy has been

somewhat offset because the industrialised countries have - pure and simply - become adjusted to higher prices.

Natural Gas: the perennial No. 3?Natural gas has termed as the fuel of the 21st century. Natural gas, the third largest contributor to the global energy basket, is projected to increase at a faster rate than any other energy source. The global gas market is undergoing a period of rapid development resulting in the emergence of new dynamic models. Leading this growth in the global gas sector are the Asian markets with particular focus on the ‘usual suspects’ - developing countries such as China and India.

In the MENA region, gas-rich Qatar, in conjunction with Royal Dutch Shell PLC, has this month officially initiated the multi-billion-dollar Pearl gas-to-liquids, or GTL, plant that will convert natural gas into high quality transport fuels and lubricants. The project, which was inaugurated officially by Qatar’s emir, Sheik Hamad bin Khalifa Al Thani, will use chemical processes to convert cheap and abundant natural gas from the Gulf Arab state’s North Field into high-value transport fuels such as diesel, lubricants and feedstocks. Pearl GTL is the biggest GTL plant in the world and is Shell’s largest single project to date, with an estimated price tag of between US$18 billion and US$19 billion.

Egypt’s state-owned gas company Egas plans to hold a bidding round for natural gas exploration early next year, the petroleum minister said at the end of November. In October, the Egyptian General Petroleum Corporation (EGPC) said it would hold its first bidding round to explore for oil and gas since the uprising that toppled President Hosni Mubarak; tenders from international companies have been invited.

“We have an on-going bid round for EGPC. Another bid round will be announced for Egas… early next year,” Abdullah Ghorab told reporters on the side-lines of an industry event in Doha. Egypt’s current oil and condensate production is currently in the range of 700,000 barrels per day (bpd), while gas output is around 6 billion cubic metres, said Ghorab.

Finding new reservesAnd finally the biggest challenge to the oil

and gas sector for 2012: it’s getting harder and harder to find oil and gas. Industry has made significant new discoveries over the last few years but they have been made in either deepsea conditions, at greater depths inland and at more substantial distances from the consuming markets (the latter being the most challenging economic factor of all). The challenge for the oil and gas sector is to tap into new resources in a manner that is both economically efficient and environmentally sound, in an attempt to address the conflict between increase in demand and decrease in natural supply.

The search for an alternative in the MENA regionDespite having considerable solar and wind potential, renewable energy makes a minimal contribution to power generation across most of the MENA region, and in particular in the GCC, where traditionally low-cost oil and gas production has stifled its development. However, according to the latest research report by MEED Insight, ‘MENA Renewable Energy 2012’, states across the region are now planning a substantial increase in renewable energy capacity over the coming decade to meet high power demand growth, limit the use of oil and gas feedstock in power generation, and take advantage of a forecast drop in solar and wind generated electricity in other markets.

The real test cases here are Libya and Egypt: they will only be able to focus on power delivery if they are able to resolve their governmental, legislative and constitutional issues. Both nations face record levels of youth unemployment and desperately need reforms in their civic infrastructures - in other words, they need money from energy exports. If the changes cannot be delivered by early Q2, they face a vicious circle: faltering economies that need energy cash, but are, perversely, unable to invest because of the economic landscape. They are in need of alternatives; but alternative energy may be low on the list.

ROAD MAP


Geothermal drillingThroughout 2012, we’ll be showcasing the companies and individuals paving the way in one of the truly innovative areas of world energy exploration - the geothermal sector, ie, energy generated by heat stored beneath the Earth. If ever there was a case of a sector in the making, surely this is it? Geothermal pleases everyone: it’s ‘green’ energy in the extreme yet uses drilling technology remarkably similar

to that required by ultra high pressure, high temperature oil or gas exploration (HPHT). Geothermal also represents phenomenal financial rewards: in the next five years, Indonesia, Bolivia and Russian Kamchatka could attract investments approaching US$60 billion. So what are the pros and cons, the technologies and the opportunities? Energy Life Middle East presents the following factfile.

feel the heat

DRILLING


DRILLING


Ge ot he r m a l e ne r g y i s already tried and tested. As well as providing 18 per cent of Iceland’s energy requirement, it is beginning to be exploited in New

Zealand, Japan, Italy, Philippines and the USA (mostly in California and Nevada). It’s clean and safe for the surrounding environment and has an entirely natural provenance - the gas pockets held deep beneath volcanised rock formations, as well as underlaying the substrata of currently active geysers and volcanoes. As an indicator of the potential of geothermal as an active, major power source, it’s projected that geothermal energy could supply the United States with more than 30,000 MW of power by 2025 – and go on to provide 10 per cent of that country’s electricity by the year 2050. Key facts about geothermal include -

• It’s sustainable because hot water can be re-injected into the ground.

• It’s extremely price competitive in suitable areas.

• Geothermal energy suitable areas aren’t widely spread.

• Geothermal energy exploits uses three basic types of geothermal power plants: dry steam, flash steam and binary power plant.

• Geothermal energy use has very low emissions of greenhouse gases: about three percent of the carbon dioxide emissions of a fossil power station.

• It is widely used in California, with more than 30 geothermal power plants currently producing more than 90 per cent of the geothermal electricity in the USA.

• Geothermal energy is an extremely efficient (almost 100 per cent) energy source where the only real source of losing energy is from turbine friction.

• Geothermal energy’s advantage is also the fact that geothermal power plants run continuously day and night with an uptime typically exceeding 95%.

• Geothermal energy’s advantage is also the fact that geothermal power stations are relatively small, and have a lesser impact on the environment than, eg, hydroelectric plants. They can also be ‘clustered’ together cost-effectively.

So what’s the problem?With all these glittering selling points (and we’ve forgotten to mention that this is also a super-abundant, super-clean power source), surely we should all be knee-deep in affordable geothermally-sourced power by now? Well, there are a number of factors that have hitherto led to a level of hesitancy on the part of the global majors. For example, one drawback is that, by definition, geothermal reserves are found in some of the world’s most inhospitable regions. Intensely glaciated volcanic terrains (Iceland, New Zealand, Greenland); high mountain plateaus (the Andes and the ‘ring of fire’); and the world’s most remote jungles (Indonesia and Brazil) are all examples. Yet none of these are any worse than the terrains that, for example, mining firms have already overcome for decades. Look, for example, at the technologies used by Indonesia’s Grasberg gold and copper mine - located 4,100 metres above sea level on the foothills of south-east Asia’s highest mountain, Carstensz Pyramid (Puncak Jaya) and several days’ journey from the nearest inhabited community. Or the open-cast diamond mines of eastern Siberia (eg, Mirny), where intensely dangerous work takes place in sub-zero conditions and metres of snow for six months of the year - yet within a context providing a complete micro-culture for thousands of employees.

Critics have also cited the recent decision to stop geothermal exploration in Sonoma, where there was considerable concern among the populus that the situation in Basel (where there had been minor earth tremors as a result of fracturing deep bedrock) would repeat itself, even though no fracturing was in fact slated to take place. Yet this, surely, was a special case? It’s understandable that any attempt to extract power along the San Andreas fault - where the geothermal reserves lay - will cause an uproar; the wonder is that the project ever got started at all. At the end of the day, the United States still remains an avid proponent of geothermal: the Department of Energy’s Geothermal Technologies Program is the oldest in the world, founded in 1976.

Evolving the technologyGeothermal is found principally in areas with a spectacular history of volcanic activity; this involves boring through rocks that are among the hardest in the world, entailing extremely

GEOTHERMAL


slow rates of penetration. A recent Bloomberg survey showed that when Chevron drilled 84 geothermal wells in Indonesia, it typically took up to 90 days to drill the required average depth of 10,560 ft. Time is money, of course: each well cost in the region of US$7 million.

Yet the challenges of prolonged drilling in a super-hard environment are not unique to geothermal: HPHT wells confront these issues on a daily basis. Indeed, it is the drill-bit research being done to speed and simplify HPHT drilling that will in turn make geothermal procedures a good deal more matter-of-fact. For example, industry pundit Jim Redden recently explained how Sandia National Laboratories (SNL) are already working on developing fourth-generation hard-rock roller-cone PDC bit technologies, in liaison with TerraTek: “to develop and test a variety of high-temperature seals and lubricants for roller-cone bits, as well as well as unsealed steel-tooth bits for extending operational life in hot and abrasive environments. Researchers are also looking at rock-cutter interaction and frictional treating of cutters with an aim to advance the use of PDC bits in hard-rock geothermal drilling.”

Also destined to play a role in keeping the costs down is the development of ever more high-tech drilling fluids - crucial in combating lost circulation. Here, we are likely to see water-based drilling muds come to the fore, as opposed to invert-emulsion systems. At Texas Tech University, for example, testing is already under way on a variety of new formulas, all designed to be phenomenally heat-resistant, able to function without excessive degradation in temperatures beyond 450˚ F.

The reality is that there would be no appetite for research if the geothermal sector wasn’t perceived as powerfully attractive. Moreover, the technical conundrums are already being broken down, leaving a much more manageable scenario – especially since any particular geothermal source is relatively compact and doesn’t require a massive support infrastructure (the opposite, for example, of oil and gas fields in the North Sea or the Gulf of Mexico).

Of course, there will be a ‘switch-over’ cost to any business committed to exploring the sector: but if harvesting geothermal energy seems expensive, just try not doing it.

Arabian Ranches Golf Club & The Montgomerie, DubaiWelcomes you to golf membership in 2012

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Membership also includes discounts in selected food and beverage outlets of Emaar Hospitality Leisure Clubs and The Address Hotels + Resorts, preferential green fees for your guests, discounts in the Pro Shop and golf lessons. Now that is an early festive gift for you!

For more information, please contact ARGC Membership on +971 4 366 3000 ext. 316 or email [email protected] TMD Membership on + 971 4 390 5600 or email [email protected]

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Arabian Ranches Golf Club | The Montgomerie, DubaiP.O. Box 36700, Dubai, United Arab Emirateswww.arabianranchesgolfdubai.com | www.themontgomerie.com Facebook & Twitter

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DRILLING


Arabian Ranches Golf Club & The Montgomerie, DubaiWelcomes you to golf membership in 2012

Take advantage of this golf membership offer with golf access to 2 of the leading golf clubs in the region. Choose your home club as either Arabian Ranches Golf Club or The Montgomerie, Dubai and benefit from reciprocal playing rights and an unparalleled club experience from as little as AED 15,995 and AED 24,000 respectively.* This is an exclusive offer to golfers who want to feel part of a golf club with a club and social atmosphere.

Membership also includes discounts in selected food and beverage outlets of Emaar Hospitality Leisure Clubs and The Address Hotels + Resorts, preferential green fees for your guests, discounts in the Pro Shop and golf lessons. Now that is an early festive gift for you!

For more information, please contact ARGC Membership on +971 4 366 3000 ext. 316 or email [email protected] TMD Membership on + 971 4 390 5600 or email [email protected]

* Terms and conditions apply.

Arabian Ranches Golf Club | The Montgomerie, DubaiP.O. Box 36700, Dubai, United Arab Emirateswww.arabianranchesgolfdubai.com | www.themontgomerie.com Facebook & Twitter

Find and follow us on

The facts speak for themselves: the 20th World Petroleum Congress has more than 4,500 registered delegates, 500 presenters and 600 media representatives ensuring that

the keynote messages make their way around the world. Simply put, it’s the biggest and best event of its kind ever held.

Alongside the conference, there’s the stunning World Petroleum Exhibition. It’s an opportunity to discover exhibits from the national committees of the World Petroleum Council – so you’ll find that the word’s most prestigious national oil and gas companies are all present. So are the key suppliers, service companies and manufacturers. In fact, this is the only global exhibition dedicated exclu-sively to the oil, gas and energy industry.

A first for the regionThis is the first time since 1933 - when the event started - that the triennial World Petroleum Congress has been hosted in the Middle East, and it’s fitting that the venue is the sublimely innovative Qatar National Convention Centre – with its world-famous, iconic design and cutting-edge facilities, all in the context of a green technology venue. (In fact, it’s is the first facility of its kind that’s been built to the gold certification of the U.S. Green Building Council’s Leadership in Energy

and Environment Design).Issa Bin Shahin Al-Ghanim (pictured),

chairman of the Organising Committee, comments that: “The World Petroleum Congress being hosted in Doha is a great achievement for the State of Qatar and it also underscores the region’s growing role in global energy. We represent the people of the region with great honour.”

The theme of this year’s congress is ‘Energy Solutions for All: Promoting Cooperation, Innovation and Investment’. The Congress Programme Committee has created a compre-hensive programme that covers the topics of real significance to the industry.

What to attend?Note that the conference programme is in five sections - and they each have a terrific range of forums, best practice keynotes and roundtables.

The five modules are:• Natural gas: the energy that makes the

difference• New exploration and production frontiers

and technologies• From the well to the consumer: innovations

in refining, transportation, fuel technology and petrochemistry

• Complementary energy sources• Sustainability commitment: environment,

social, economy, governance

A showcase of industry leadersThe event is attended by the biggest names in the industry, including prominent ministers from the region including HE Dr. Mohammed Bin Saleh Al Sada, Minister of Energy and Industry, Qatar; HE Mohamed Al Hamli, Minister of Energy, United Arab Emirates; HE Dr. Mohammad Mohsen Al Busairi, Minister of Oil, State Minister of National Assembly Affairs, Chairman of Kuwait Petroleum Corporation, Kuwait; HE Dr. Mohammed Bin Hamad Al Rumhy, Minister of Oil & Gas, Sultanate of Oman;

HE Dr. Abdul Hussain Bin Ali Mirza,

Historyin the makingWPC debuts in the Middle East

PREVIEW


PREVIEW

Minister of Oil & Gas Affairs, Kingdom of Bahrain; and HE Rostam Ghasemi, Minister of Petroleum, Iran.

Following the Opening Plenary with oil and gas ministers from the Middle East, Exxon-Mobil’s CEO Rex Tillerson and Shell’s CEO Peter Voser will be joining Qatar’s Minister of Energy and Industry, HE Dr. Mohammed Bin Saleh Al-Sada, in a high-level presentation of Qatar’s role in the future energy landscape. Other names participating in the Congress include Robert Dudley from BP, Russia’s Energy Minister Sergei Schmatko, Christophe de Margerie from Total, José Sergio Gabrielli from Brazil’s Petrobras, and Nobel Peace Prize recipient FW de Klerk from South Africa.

Summarising the high quality of the agenda and the world-class panellists and speakers, Ali Al-Sidiky, Congress Programme

Committee National Representative for Qatar, said: “The programme is designed to address the most important issues in the energy sector today and elicit constructive responses from people who specialise in these specific subjects. The World Petroleum Congress has always been privileged to hear their opinions. Some of these opinions voiced at previous WPCs have grown into much greater ideas that have helped shape global energy circles in unimaginable ways… We are also proud to say that the panellists and speakers at the 20th WPC are undeniably amongst the most prominent experts in the world.”

Assessing key trendsNew technology has made the transport of fuel, condensates and other products to global locations more efficient, whilst modern

reservoir management and recovery solutions are changing the way we procure and preserve energy. As a result, the industry’s long list of best practices has become longer, ultimately benefiting the world. This is important too, particularly to delegates at the 20th WPC, which is why one of the major features at each WPC is the inclusion of best practice presentations.

“Oil and gas are omnipresent in the global energy value chain and so are the members of the World Petroleum Council who represent over 95 per cent of all entities in the global market. We are also proud to say that the panelists and speakers at the 20th WPC are undeniably among the most prominent experts in the world,” said Mr. Al-Sidiky. “When the brightest minds in the world tell stories of trial, error and eventual success, you can be sure that people will listen.”

Strictly carbon neutralThe 20th WPC will also be a carbon neutral event. On behalf of the organising committee, international law firm Baker & McKenzie has purchased and retired 6,270 tons of estimated carbon dioxide emissions in the voluntary carbon market to offset all the pre-event estimated scope 1 and 2 emissions associated with the event.

“THIS IS THE FIRST TIME SINCE 1933 - WHEN THE EVENT STARTED - THAT THE TRIENNIAL WORLD PETROLEUM CONGRESS HAS BEEN HOSTED IN THE MIDDLE EAST ”

WPC debuts in the Middle East

THE 20TH WPC


COMMENT

One hundred years ago, the world’s newspapers were talking about something called ‘The Scramble for Africa’. The European powers were eager to

re-draw the map of Africa, each trying to ensure that the bulk of the diamond, copper and gold was on their side of the border. With acrimonious history like this far from being a dim and distant memory, it’s understandable that the MENA countries of the Arab Spring might be unwilling to see the big oil firms fully reinstate the infrastructures and personnel they had prior to the outbreak of civil unrest. It’s especially in Libya, of course, where we’re seeing the interim government, the Transi-tional National Council (TNC), refusing to let the oil companies bring in their own security companies, insisting that their newly-trained civil teams will be more than capable of doing the job at hand.

There are rights and wrongs on both sides here: the oil and energy multinationals are indeed the power-players of the modern day (no fewer that 22 of them are featured in the Forbes list of the world’s top 100 organisations). Plus, they do indeed have a level of influence that goes far beyond any one government or political agenda. Not to mention too, that the Libyan government

no doubt has its worries compounded by the current state of affairs in Iraq, where government interests have had to be reintro-duced post facto. Yet when is all is said and done, the ability to maintain a secure plant is fundamental. The Libyan civil war saw a level of commercial and residential looting - the damage may take years to repair - and the oil companies are 100 per cent right to fear that the government is not as yet fully stable or settled. Despite the successful re-start of some key fields, the energy sector needs to protect itself and good perimeter security is one of the key means of doing so (on which see our article on pp. 46-47).

A new threatAnother worrying note: Libya is now faced with the vexed issue of what to do with the substantial militia forces who should to all purposes be disbanded, but - as the govern-ments of Croatia and Angola will vouch - this may be easier said than done. Wayward militias are always likely to spark their own agendas and if they do so, the oil fields are a good tool for leveraging bargaining power. On November 20, the New York Times commented that:

“Noting reports of sporadic clashes between militias as well as vigilante revenge killings, many civilian leaders, along with some

fighters, say the militias’ shift from merely dragging their feet about surrendering weapons to actively asserting a continuing political role poses a stark challenge to the council’s fragile authority.”

Especially in the light of this extremely worrying context, it is imperative that the oil companies are allowed to reinstate the security firms of their own choosing. The TNC’s alternative is to use a security resource that is:• Not fully trained • Has little (or no) experience in the oil and

energy sectors• Has little (or no) experience of perimeter

management• Has little (or no) experience of dealing

with expatriates• Is recruited at least in part from rebel forces

Perimeter security is vital not only for peace of mind and the protection of staff, assets and valuables, but in order to instill a full and proper corporate culture - no easy task in a remote desert setting, with an international workforce and complex shift patterns.

It’s easy to see the concerns of the TNC: the last thing they want is to create a licence for ‘private armies’ or to feel that no sooner have the finally welded the country together than they are inviting large numbers of unaf-filiated expatriates, who are not fulfilling any technical role and will have no particular allegiance to the new national cause. Yet certain compromises will have to be made: the Libyan energy reserves are too important to jeopardise by amateurish attempts to ‘fudge’ the issue - both sides please take heed here - and the party to whom they are most important is of course the Libyan government.

Let’s hope that sanity prevails and the right level of security can be put in place for plants and individuals: the opportunity exists to create a strong, workable template. Rome wasn’t built in a day, but the Libyan oil industry was built over a long, arduous 70 years: it would be a shame to see them wasted.


Security is king

COMMENT

At time of going to press, Cairo’s Tahrir Square has again dissolved into violence and bloodshed, with two protestors dead and more than 600 injured and hospi-

talized. The hostilities followed attempts by the police to remove tents and shelters erected by thousands of demonstrators staging a ‘sit in’ protesting about the continued power of the military. With the country still awaiting its first elections, increasing numbers are becoming frustrated by the painfully slow pace of change. Moreover, while the army has always been positioned as the ‘people’s friend’, it’s worth mentioning that the head of the present military junta is no other than Field Marshal Mohamed Hussein Tantawi - who served with deposed President Hosni Mubarak as military chief and defence minister for more than 20 years. Which just adds more fuel to the view that beneath the surface, not too much has changed.

Three recent news items show the damage that this state of limbo and sporadic violence is doing to the oil industry – • Canada’s Methanex Corp, the world’s

largest methanol supplier, has said it will shut down its plant in Egypt due to political unrest in the country. Vancouver-based Methanex, which supplies methanol to markets in the Americas, Asia-Pacific and Europe, said it will re-start the plant when (and only when) order has been restored in the area. Methanex only started commercial operations at the plant in March.

• The first crude from the offshore Northwest October block in the northern Gulf of Suez is likely to be delayed, according to Kazutoshi Hoyano, a vice president at Japan’s AOC Holdings. “The drilling of the two wells has been finished, and we are considering whether to move on to the next stage. We will likely see a delay under the current circumstances.” The Egyptian General Petroleum Corporation (EGPC) has a 50 per cent shared interest in the

field, which was previously estimated to have capacity of 6,000 b/d.

• The 190 km-long trans-Suez pipelines have now been blown up six times, leading the government to install an advanced early warning detection system. According to Magdi Tawfik, head of the government-owned Egyptian Company for Natural Gas, following the latest attack, the pipes are “now operating partially”.

The good news – or is it?The irony is that Egypt is actually a net oil importer, only providing about 65 per cent of domestic consumption - and delays in production are likely to hit the nation’s balance sheet very hard. What’s more, the timing couldn’t be worse, coinciding with the appraisal stages of a number of new finds. For example – • TransGlobe Energy Corporation is about

to start official appraisals of the Boraq oil and gas discovery, a 558,120-acre deposit with an estimated yield potential of 1,700 b/d (at gravity 38-40).

• Exciting new finds in the South Sinai include a discovery by Belayim Petroleum Company that is already in stage one

production. The head of Belayim, Madhat al-Sayyad, believes the field will reach 2,270 b/d, and has reserves in the order of 5.5 million barrels of crude. Production started immediately after the well was detected. This is the first find in the Sinai for 55 years. It’s located 40km south of Abu Rudais City.

A similarly encouraging scenario charac-terizes the gas sector, with BP Egypt recently making its third recent find, the Salmon gas discovery, 50 km to the north of Damietta in the north Elburg Offshore Concession, Nile Delta. This follows the much-publicised Satis-1 and Satis-3 discoveries. Hesham Mekawi, President and General Manager of BP Egypt stated “The success of Salmon highlights the great potential of the shallow reservoirs within the Nile Delta, and helps unlock additional resources in surrounding acreage.”

As long as there are delays in creating a new regime, Egypt’s oil and gas sectors cannot fulfil their potential. The real risk here is that the situation deteriorates further, leading to the freezing of current operations and/or wholesale pull-out. The message for the interim government is a simple one: ‘get a move on’.


Can we get a move on, please?

The glass half-full

For a relatively young company, Senergy seems to have great ambition. Just look at the following quote (attributed to you!) on your website: “Our goal is to become the leading

global technical expert and knowledge provider across the energy sector.” Isn’t this quite a leap? The point is that we haven’t suddenly become

ambitious: we always were. Remember, we’re only six years old - and we were started, quite literally around a kitchen table, by four people working from a clean sheet of paper! From

James McCallum is chief executive officer of Senergy, one of a select cluster of ‘new generation’ businesses able to deliver knowledge solutions across the hydrocarbon and alternative energy sectors. Combining practicality with out-of-the-box problem-solving, James McCallum’s career has taken him on an exciting journey that has spanned the last three decades. He spoke to Energy Life Middle East about the Senergy mindset and the company’s six years of pursuing technical excellence, challenging convention and knowledge-partnering with some of the biggest brands in the business.

“LIFE IS ABOUT MAINTAINING A BALANCE IN ALL YOU DO.”

COVERSTORY


SENERGY


Day One we focused on organic and acquis-itive expansion, following three simple steps: • Look for a segmented knowledge space

consistent with our business model• Look for a leading company in that space• Conduct due diligence on the company

and its culture. If it is aligned with our vision for Senergy, acquire it and build from that platform

Although we were only founded in 2005, we now we have a Global turnover of GBP125 million from 550 technical specialists working from 17 offices worldwide. We’re a driven business aiming to do things to the highest of standards at all times.

How would you describe the way the business works? Other companies with an ostensibly similar vision call themselves ‘consultants’. Is that a fair description of Senergy? In the old days, maybe we’d have been

called ‘consultants’. But there’s a mixed bag of connotations with that word; it tends to imply that you’re only around on a temporary basis, and that you’re proud of yourself for knowing something the client doesn’t. That’s not the way we work. We’re a ‘knowledge partner’. Companies say to us: ‘We are here and we want to end up over there; how do we achieve that?’ We work with their existing teams to develop the optimum solution. Very importantly we can work in an integrated way across the full project life cycle of any upstream energy development from the initial evaluation of the opportunity, identifying its associated risks, challenges and potential then working with the client through to full delivery and operation.

Our people represent a terrific breadth and depth of skills and competencies. One of the challenges for our industry in deliv-ering exemplary performance is that smaller companies in particular, have historically been limited to working with individuals that they may not even know or trust. Clearly it’s always been incredibly unlikely that any one person would possess a full range of world-class abilities. Furthermore as the demo-graphic time bomb now facing our industry hits, there simply won’t be enough people to support the needs of the industry. The answer lies in connectivity to the required

knowledge. Senergy gives our clients dedi-cated contacts and the added assurance that they have access and connection to some of the best minds from each technical discipline in the industry.

You’re one of the few businesses that works seamlessly across the upstream segment of the energy sector, including alternative energy. To your way of thinking, is alter-native energy as big a priority for you as hydrocarbons? We don’t limit our focus to any one sector of

the industry. How can we? It’s always seemed foolish to me to take the view that primary energy demand will stick with hydrocarbons until they run out. Of course we have to start diversifying now. We’re at a major inflexion point in world energy supply and demand: Senergy reflects this: we’re a diversified energy services company. Right now, there are hundreds and thousands of entrepreneurial client companies competing for opportunities; we are one of the few knowledge suppliers that bring technical expertise across the board to assist their internal teams to make informed investment decisions.

Countries around the world need to become more balanced in ensuring security of energy supply. By the way of an example, it’s a little-known fact that 40 per cent of Europe’s potential renewable energy supply could be derived from around Britain’s shores. Britain is the windiest place in Europe and ideal for wind farm technology. It also has some of Europe’s most powerful ocean currents, surging along the west of Scotland close to the Orkneys: these are huge potential energy sources; to ignore this and pursue the hydro-carbons resource alone of the UKCS would be irresponsible. I have personal experience with alternative technology – being recently intimately involved with the financing and building of two of the world’s leading offshore wind structures.

How important is the Middle East for your business? The Middle East is very important for us.

Look how the world is changing; we see huge development in China, South America and India. The old ways of working to a Northern Hemisphere business model apply less and less these days: the industry will increas-

ingly come to rely on ‘knowledge hubs’. The Middle East is very likely to be one of them. The fact that I moved my family here - living in Dubai with a major office in Abu Dhabi - shows the importance Senergy puts on devel-opments in this region.

The scale of global developments is so enormous that despite the difficulties expe-rienced by the economies of the US and Northern Europe, the demand for oil has not stopped growing. China, India, the Middle East - they can’t continue to develop without generating energy. This is why I believe there’s never been a more exciting time to be an entrepreneur in the energy sector helping to meet that need head on.

What about your project management services for seismic data? As a leading subsurface knowledge engine

you would expect that we would work a great deal with seismic specification, processing and interpretation. These days, we also do

COVERSTORY


a lot of work for our clients using gravity and magnetic analysis; this can save them substantial sums at the front end of the asset identification process. We’re able to use specialized interpretation ability to help inform their investment decisions in remote areas. Senergy can work with each client from ‘first principles’ right the way through to contract specification.

How do you see the industry changing? What will Senergy be like in five years’ time? In terms of priorities, it’s clear that one

of the industry’s immediate needs is to do everything possible to ensure that a disaster like Macondo is well understood and every-thing possible is done to avoid a repeat. Across the investment and delivery process the industry has to do more to optimize the application of knowledge and become a lot more sophisticated in risk identification, mitigation and management. I also foresee a time when many more companies used to competing with each other will be working closely together: for example, we already work with sometime competitors where we can see effective overlaps between skill sets. The reality is that everyone is different, with

different abilities and requirements: from a corporate perspective, we need to under-stand what each of us brings to the equation. There’s no way that you’ll see the vast prolifer-ation of companies all offering largely similar services in five years’ time.

As for Senergy, five years from now, we’ll be recognised for the value we deliver to our clients through our partnering philosophy. I also think there are four key factors we’ll be identified with; we will –• Have become a recognised global brand

associated with Technical Excellence• Be a trusted Knowledge Partner to our

clients and suppliers• Have a clearly differentiated Senergy

‘culture’• Be busy preparing the next chapter in

Senergy’s story

Tell us a little about yourself, James; does your personal life reflect any of the char-acter traits we see in your working life? Well, I hope you can tell I’m very much a

‘glass half-full’ kind of person. An optimist. I’m driven by challenge and I chase perfor-mance. That’s been a theme throughout the last thirty years.

I have three young children and a wonderful

life partner in my wife Gemma, not surpris-ingly they are the most important things in my life. I’m also involved in charity work; the projects I support have a tendency to reflect my professional interests – for example I’ve worked with a charity that brings water to displaced communities. I’m also committed to a charity in Peru, which helps homeless street kids get an education.

I really believe that life is all about main-taining a balance in all you do; that’s as true for work is it is for your personal life. Having spent three decades in the world’s most exciting industry, I can say that one of the biggest mistakes the energy sector makes is that it just doesn’t tell its story. We’re so bound up in doing the job that we forget to tell people about the amazing breakthroughs, new innovations and technologies, and the positive impact they have on our communities and society. Then we wonder why we can’t inspire a new generation of people to come and join us. I take every opportunity to get out there and tell everyone how incredible this industry is; I believe we all have a respon-sibility to tell the story, and as CEO of an exciting young energy services business that means leading by example, it’s not optional, it’s in my job description.

SENERGY


Choosing the Right Club Starts Here

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dubaigolf.com

Membership at Dubai Creek Golf & Yacht Club offers so much more than unlimited use of the 18 hole championship course, you will also receive a host of other benefits including access to the facilities at Emirates Golf Club. 2012 membership at Dubai Creek is now available from AED24,500* inclusive of the following benefits:

• Access to the 18 hole championship course• Unlimited Night Golf on the Faldo course at Emirates Golf Club• Daytime access to the Faldo course from Sunday to Wednesday• Complimentary cart hire• Use of the par 3 courses and practice facilities at Dubai Creek and Emirates Golf Club• Enjoy the recreation facilities and swimming pools at Dubai Creek and Emirates Golf Club• Dining and Pro Shop discounts at Dubai Creek and Emirates Golf Club

Additional membership categories including family, corporate and Dubai Golf membership are also available.

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iadc.indd 1 8/18/11 11:38 AM

Fuellingchange

The UAE’s primary telecoms innovator, du, has just released its first Sustainable Development Report. It’s chastening reading for energy providers because it shows how a major business can utilise energy-efficiency from the bottom-up - not just as an after-thought to quell the conscience. Yet it’s also a powerful and engaging template for change, highlighting market opportunities and strategies for profit in a fuel-prudent future.

Fuellingchange

OSMAN SULTAN, CEO, DU

DU

38 ENERGY LIFE DECEMBER 2011 38 ENERGY LIFE DECEMBER 2011

Du created the sustainable development report for three reasons:• To introduce replicable regional standards• To establish industry

benchmarks for transparency, respon-sibility and accountability

• To provide inspiration for other Companies to self-evaluate and adopt more sustainable development

Reinforcing these messages, du’s CEO, Osman Sultan, commented that: “This is a landmark achievement for us, and a demonstration to our peers of how much it is possible to accomplish in just under five years of oper-ation. For us, sustainable development is not merely an optional addition to our way of working; we embraced our role as a conscious corporate citizen before the du brand was even announced…”

So, the Sustainable Development Report details the ways in which du contributes to the UAE’s community, environment and people, in addition to in-house schemes for the benefit of employees. In doing so, of course, it touches on a very broad raft of activities, which fall loosely into two key categories:

1.Ethical working practices and investment in the community

2.Fuel and energy-specific initiatives

While it’s the latter that we’ll be focusing on

here, du’s investment in the community is - to say the least - impressive and ambitious, and it’s worth highlighting the following actions:

• The Masar Development Programme, du’s unique graduate trainee scheme. It offers Emiratis the necessary in-depth training to allow them to integrate seamlessly into the telecommunications business, providing them with real-time on-the-job experience.

• The Life Skills course, offering essential vocational skills to university students with no obligation for them to join du upon completion.

• Free Ramadan meals for the community -‘Ramadan Mawaed Al Rahman’ - which this year alone involved handing out 90,000 meals to those in need.

• Drop of Life blood drive, supporting patients suffering from Thalassemia.

• Supporting leading educational facilities - such as Zayed University - via the provision of hi-tech media labs for specialist course work.

A practical mantra for changeIt’s a truism that the energy sector is (and has always been) a twin brother of the technology sector. By virtue of their interdependency, the two have always pushed each other for change upon change. So, alter the way we use technology (and evolve the technology itself) and we can also shift the way that energy is produced and required. For example, we could potentially reduce annual man-made global

emissions by 15 per cent by 2020 and deliver energy-efficient savings to businesses worth a shocking AED2,300 billion (US$626 billion).

Initiatives to reduce carbon footprint and have the smallest possible impact upon the environment are a key concern for du; several initiatives are in place under the heading ‘Green du’ to ensure this is the case. For years, industry observers have wondered why the GCC nations haven’t invested more generously in the region’s most abundant resource - light. The reality is that now, businesses like du are leading the way when it comes to developing solar power to industrial and national grid levels. For example, du has established a fully-functioning, solar-powered project on Sir Bu Nair island. It is reckoned that within three years, it will cost the same to produce one watt of electricity from a solar resource of this kind as it would from conventional fossil fuels.

“IT IS RECKONED THAT WITHIN THREE YEARS, IT WILL COST THE SAME TO PRODUCE ONE WATT OF ELECTRICITY FROM A SOLAR RESOURCE OF THIS KIND AS IT WOULD FROM CONVENTIONAL FOSSIL FUELS.”

SUSTAINABILITY


Continuing the message of fuel-efficiency, the Report notes that the company’s fleet uses low-carbon emission vehicles and energy management controller systems are being installed in more than 100 base transceiver station sites across the country, cutting energy consumption by up to 50 per cent! This in turn dramatically reduces CO2 and other emissions. Recycling is another key initiative: all the paper used in du’s offices is recycled by Union Mills, and du is part of the HP Planet Partners scheme to recycle old printer cartidges. Plastic, aluminium and other recyclables are handled appropriately, too.

Fuel philosophiesThe initiatives mentioned above are in fact the results of du’s deep-seated strategies for fuel efficiency - and for actively encouraging major changes in energy use in the world at large.

The Sustainable Development Report highlights three macro-level programmes. These are:

De-materialisationThis is the substitution of energy-hungry products and services with ‘low carbon’ alter-natives, e.g. the way in which replacing face-to-face meetings with video conferencing, or paper with e-billing, can help cut carbon emissions. Currently, the largest opportunity

for de-materialisation (or virtualisation) is teleworking – where people work from home rather than commute to an office.

Smart grids and smart power systems These can help improve energy distribution and energy use patterns. A ‘smart grid’ is a set of software and hardware tools that enables generators to distribute power more efficiently. This means fewer power stations are needed, fewer harmful emis-sions are produced - and the customer is more firmly in control of their energy use. Smart products, such as intelligent electricity meters, allow consumers to track how much energy they use. This in turn helps the power company to better understand the patterns of energy cpnsumption. Meanwhile, ‘demand management’ systems automate the feedback process by allowing appliances such as refrig-erators to reduce their load at peak times. Buildings equipped with solar energy can even act as a source of energy to the power grid when the demand is low. Grid-connected systems of this kind will generate electricity for the home or business, and revenue from the excess power is fed back to the grid.

Smart logistics and transportGlobal goods transportation is growing rapidly as a result of globalisation and global

economic growth. As fuel costs and taxes rise, the need to run more efficient logistics operations is increasingly important. Infor-mation and communication technologies (ICT) can improve the efficiency of logistics operations in a number of ways. These include software to improve the design of transport networks, allowing, for example, centralised distribution matrices, and the ability to run management systems facilitating flexible home delivery. Smart transportation systems are a powerful way of organising traffic more efficiently and reducing CO2 emissions. The ‘vision’ here is that, In the future, we’ll be able to predict traffic patterns and prevent jams before they even arise.

Writing the next chapterWhile the Report consistently emphasizes du’s beliefs in active corporate citizenship (and after all, du has been a signatory to the United Nations Global Compact since 2008), what is especially significant is the emphasis on a ‘bottom-up’ approach. While good corporate citizenship my involve a number of ‘nice to haves’, the Report never confuses these with the importance of grass-roots, billion-dollar imperatives rooted firmly in basics like energy consumption and fuel efficiency. This stance puts du in the vanguard of innovation in a region which has historically taken the view that ever-abundant fuel is a fact of life. It also poses powerful challenges to energy providers, who must - increasingly - establish bespoke customer strategies and develop new profit centres as more and more businesses have the means (and the inclination) to do more with less.

What do we with our waste

“THIS STANCE PUTS DU IN THE VANGUARD OF INNOVATION IN A REGION WHICH HAS HISTORICALLY TAKEN THE VIEW THAT EVER-ABUNDANT FUEL IS A FACT OF LIFE. IT ALSO POSES POWERFUL CHALLENGES TO ENERGY PROVIDER”

DU


Innovation is key

The world’s most influential leaders in renewable energy, including heads of state, policy makers, government officials, business leaders, and academics, will gather in Abu

Dhabi for the World Future Energy Summit 2012 (WFES). Already more than 3,000 VIPs have confirmed attendance, including Hilary Clinton, United States Secretary of State; Angela Merkel, German Chancellor; and José Manuel Barroso, President of the European Commission.

Held under the patronage of His Highness General Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and

Deputy Supreme Commander of the UAE Armed Forces, and hosted by Masdar, Abu Dhabi’s multi-faceted renewable energy company, the WFES will examine the role of innovation in speeding the adoption and deployment of renewable energy and the importance of maintaining the significant progress that is being made in improving energy efficiency.

Over 26,000 attendees, including 3,000 delegates, 650 exhibiting companies, and 20 national pavilions, are expected to participate at the Summit.

To ensure that the real challenges in renewable energy and sustainability are discussed, the WFES programme will high-

light the impact current economic challenges and reduced government subsidies in many countries may have on future growth in the sector.

Moreover, the event will focus on inno-vation as the critical factor in mitigating future energy challenges. Innovation is seen as key to making clean energy technologies commercially viable and achieving energy efficiency.

Showcasing the ways forwardAccording to the International Energy Agency, more than 50 per cent of projected energy demand between 1970 and 2010 was saved through energy efficiency measures.

THE MESSAGE OF THE WORLD FUTURE ENERGY SUMMIT 2012

PREVIEW


Advanced clean technologies showcased at WFES aim to continue this trend.

Dr Sultan Al Jaber, Managing Director and CEO of Masdar, said: “Through the World Future Energy Summit, Abu Dhabi seeks to build bridges and create a platform for open dialogue. Our work is at a crucial stage – momentum has to be maintained in our endeavor to find solutions to future energy needs. WFES is the place for like-minded countries, companies and individuals to discuss this important topic and to encourage and action innovation.”

Established as one of the main events on the global future energy calendar, the summit brings project owners and solution providers together with investors and buyers from across the public and private sectors.

ViewpointsThe theme of ‘Powering Sustainable Inno-vation’ will be the central topic addressed by more than 150 international speakers representing all viewpoints in the energy and sustainability debate.

Alongside the international conference, the Summit also hosts a large-scale exhibition with companies from all over the world promoting their latest products and services.

This year, in line with its theme, the summit will include ‘Innovate@WFES’, a new platform targeting startup companies developing clean technologies in solar, wind, water, smart grids, bio-fuels, lighting, transport and energy storage.

Commenting on the significance of the fifth World Future Energy Summit, Frederic Theux, President of Reed Exhibitions, organ-izers of WFES, said: “The need for a clean energy future is no longer in question. The only question is how we achieve it. The World Future Energy Summit continues to play a valuable role in engaging the global community in driving innovation, trade and investment opportunities.

“WFES is a dedicated platform for real debate and the development of ideas and relationships that will enable knowledge sharing and the realization of a sustainable energy future for generations to come.”

The World Future Energy Summit 2012 runs from January 16-19 at Abu Dhabi National Exhibition Centre.

WORLD FUTURE ENERGY SUMMIT 2012


Welcome to our new regular feature that’s designed to give practical guidance and insight into a wide range of money management topics. We start with one of the key issues in personal finance: inheritance planning. Will you pass on assets to the family, and if so, how?

According to a major new survey, no less than 78 per cent of high net worth parents in the Middle East trust their children implicitly to inherit their wealth. A remarkable figure that no doubt says a great deal about the power of the traditional family network. Yet these findings contrast dramatically with the picture elsewhere in the world, especially in the most developed ‘western’ societies, where people tend to be more cynical about family ties. In Australia, only 59 per cent of parents feel this way. In the USA, the figure is 61 per cent; and Europe, 62 per cent. (On the other hand, Africa is close behind the Middle East, with 77 per cent willing to trust their children - and so is Latin America at 75 per cent).The report, produced by Barclays Wealth and called ‘The Transfer of Trust: Wealth and Succession in a Changing World’ makes fascinating reading for every parent who’s worked hard to accumulate modest wealth. Will you pass on your hard-won assets or not? In contrast to the trusting approach we see in the Middle East and Africa, the reality remains, that globally, 35 per cent of respondents disagree: they simply don’t trust their children to look after their inheritance! Of all those surveyed, 29 per cent of global wealthy believe that inheritance places an ‘unnecessary burden’ on the next generation - and indeed, that was particularly the view of respondents in India (50 per cent); Latin America (44 per cent); and Hong Kong (38 per cent). Parents do seem to have genuine concerns about this topic, but it simply isn’t an issue amongst those living and working in the Middle East.

Money Matters

FINANCE


KARL FEILDER | COVER STORY

Getting the help of a professional adviserOne of the most surprising results of the survey is that only 50 per cent of respondents plan to get professional financial advice when it comes to allocating wealth and assets in their will. Rory Gilbert, managing director and head of Middle East and North Africa for International Private Banking, Barclays Wealth, commented that: “Regionally, 90 per cent of Middle East respondents place a high priority on setting up a trust fund for their children to secure their future. However, when it comes to seeking professional advice in developing an inheritance plan for their offspring, respondents are evenly split on their views.”

Rich and unhappy?The report found that earned wealth as opposed to inherited wealth is key to financial happiness. This is just as true for the first-generation wealthy as it is for their children. Psychologically, the fact of being busy and engaged in challenging work tends to prevent many of the syndromes affecting those who inherit large sums. Earned wealth is much more likely to result in happiness than inherited wealth. The paradox is, though, that globally, 96 per cent of respondents remain committed to passing on their wealth!The results also show that wealth causes conflict in the family: 40 per cent of global wealthy have had direct experience of family wealth leading to disputes. The figure peaks in India, in fact, with 61 per cent of those surveyed saying that issues surrounding family wealth have led to conflict. There’s also a high percentage who feel this way in Singapore (53 per cent); Hong Kong (51 per cent); and Monaco (51 per cent). Again, though, the picture is dramatically different in the Middle East: only 11 per cent of respondents said they had experienced family tensions as a result of wealth.

More wealth, more disputes!It’s important not to over-emphasise the role of inherited wealth in provoking family tensions: the reality is that 60 per cent of global wealthy haven’t experienced family conflict due to wealth succession.On those occasions, however, where wealth does lead to family disputes, the moral is: the more money, the more the disputes. If you have more than GBP10 million (US$15.8 million), 44 per cent of you will have encoun-tered these problems. What’s more, amongst those families with inherited wealth, 46 per cent are likely to have had wealth-related conflicts with their offspring.The reverse is true, however, with earned wealth. In this case, the higher your income, the less the chances of family conflict. Globally, amongst those with a salary less than GBP100,000 (US$158,000), 47 per cent have experienced conflict, whereas those earning over GBP500,000 (US$789,000), that figure drops to 37 per cent.Ironically, those with more children are less likely to have problems of this kind. Globally, 47 per cent of respondents with no children

say they’ve seen wealth lead to family conflict, whereas for those with four children or more, that figure drops to 32 per cent.Catherine Gunn, director, Wealth Advisory, Barclays, added that: “In the case of wealth that has been inherited, tensions around entitlement may lead to disputes. However, it is surprising just how many wealthy respondents report experiencing such conflict and the impact that source of wealth can have on this, with wealthier respondents more likely to have encountered such conflict.”

Keeping it in the familyWhatever the problems and possible tensions caused by passing on family assets, the world’s wealthy remain committed to doing so - only four per cent say that their children won’t inherit. Nonetheless, 50 per cent of respondents say that they need a good level of professional financial advice before they take any action. The question is, did the 70 per cent who divided their wealth up equally between their children have that guidance or not?

“OF ALL THOSE SURVEYED, 29 PER CENT OF GLOBAL WEALTHY BELIEVE THAT INHERITANCE PLACES AN ‘UNNECESSARY BURDEN’ ON THE NEXT GENERATION ”

“60 PER CENT OF GLOBAL WEALTHY HAVEN’T EXPERIENCED FAMILY CONFLICT DUE TO WEALTH SUCCESSION.”

RORY GILBERT, MD AND HEAD OF MENA FOR INTERNATIONAL PRIVATE BANKING, BARCLAYS WEATH

INHERITANCE


Debate is currently raging in Libya about the new government’s resistance to allowing private security firms to return to the war-ravaged country. Oil firms

are concerned that premises and personnel alike will not be able to work in a safe and secure environment without the presence of tried and tested security providers. The Libyan government is currently training its own security teams, but there are worries about lack of relevant experience and the likelihood of divided loyalties among many of those being trained. The government has

remained steadfast and - worryingly - its policy relates even to relatively large plants in vulnerable locations.

Whatever the rights and wrongs, the fact remains that perimeter security is one of the most important factors in effective plant management, protecting manpower and machinery and creating a company haven where working practices can be monitored and enhanced without unwarranted inter-ruptions to schedules and risk management protocols. In this context, it’s as important in the century-old oilfields of southeastern Texas as it is in the Kurdish territories of Iraq or the snow-bound plateaus of Kamchatka.

Paul Godfrey, a Fellow of the Institute of Risk Management, looks at some of the basic criteria for implementing and maintaining a strong perimeter defence. The criteria and recommendations are taken from his publi-cation, ‘Security matters: requirements for cordons and fencing in commercial properties’ (HMSO, 2005).

The whole point of perimeter security is that it gives you time to identify and stop potential incoming problems before they happen. A

well-established perimeter comprises four vital elements –• A high fence around the entire circum-

ference of the plant.• A lockable gate with security on-site 24/7.• An ‘approach’ zone of roughly 200 metres

in depth, allowing hazards to be identified before arrival at the fence.

• CCTV surveillance with correctly-posi-tioned cameras.

Each of these elements is extremely important in itself; but it is the combination of all four that best enables correct perimeter governance and accurate loss prevention, day in, day out. All four factors involve established protocols and standards that have been established by custom and practice for several decades - although improvements in technology mean that site protection and monitoring is progressively less labour-intensive and costly.

FencingThe fence should be positioned at least 100 metres beyond any buildings, cabins or facilities in the compound, providing a ‘no man’s land’ cordon that is easy to monitor. The fencing should be made of welded wire mesh, comprising plain, low carbon, galvanized wires conforming to BS1052 and DIN1548.

Certain countries will have legal restric-tions on fence heights and the use, eg, of barbed wire. This may be especially the case if the plant is adjacent to a large public highway or a suburban community. If there

First lineof defence

SECURITY


KARL FEILDER | COVER STORY

are no restrictions in force, the ‘classic’ height for fencing is six metres, with an inverted, outward-facing top section (so that anyone climbing the fence is forced outwards). Posts should be placed at 15 metre intervals - any more than this and the fencing risks becoming too slack and unstable. The preferred material for posts is reinforced concrete, sunk to a level of two metres. Reinforced concrete offers better resistance to ‘ram raids’ than steel.

Gates and points of ingressIf possible, restrict the number of gates to no more than two. Any more, and you are introducing points of weakness and the need for additional staffing that will in turn require complex shift rotas. When visitors arrive at a perimeter gate, security staff should (politely) ask the driver to stop. They must ask the purpose of the visit and enquire if the visitor has the contact number of a member of staff inside the building. The visitor should be asked to complete a simple form, giving their full name, phone number, name of person being visited, number plate details and time of arrival. In the case of staff, an ID badge should be clearly presented for inspection.

The advantage of this approach is that all the dialogue is taking place at least 100 metres from the plant itself; there is a good chance that all but the best-prepared intruders will be deterred straight away. One more point: the gate must never be opened until the routine check is completed. How many plants do you visit where the questions take place when you already half way into the premises?

The approach zoneThere should be a security ‘funnel’ leading to the gates, whereby - for approximately 200 metres - all incoming traffic and visitors can be clearly seen. The preferred approach route should be clearly marked with red and white bollards; at night, this same area should be lit as brightly as budgets will allow. Parking should never be allowed outside the perimeter fencing in the approach zone; it will be far too easy for undetected vehicles (or vehicles carrying incendiary devices) to park close to the fencing or park overnight. All car parking should be within the gated area and brightly lit and monitored - both by CCTV and patrolling staff.

The role of CCTVWhile regarded as something of a ‘luxury’ a decade ago, CCTV has become dramatically more affordable, and its range of functions can play a compelling role in loss prevention and damage limitation. When installing/upgrading a system, three important criteria should be kept in mind:1.Effective surveillance begins in the

approach zone; well-placed CCTV cameras can be a powerful deterrent - and seeing what is happening beyond the perimeter gives you a lead-time to cope with incoming problems.

2.Place CCTV cameras at 50 metre intervals around the perimeter and at the gates and security checkpoints. Staff should be briefed never to hesitate to ask visitors to leave their vehicles and stand clearly in front of the camera if there is any cause for concern or lack of ID.

3.There’s no point in CCTV unless there is someone there to watch it. Always ensure that there is sufficient staff allocation to watch CCTV footage both night and day. Watching re-played scenes after a crime has been committed my help you catch the criminal but it may be too late ever to re-build a life or recoup the value of stolen

goods. There should also be an alert facility for the first signs of trouble.

In plain sightAll too many plants use the area adjacent to the perimeter fencing as an ‘overspill’ zone for air conditioner fan units, LPG tanks, mainte-nance sheds and workers’ mess modules. At all times, however, the area next to the fencing should be kept as clear as possible - because otherwise, it may simply be impossible to detect intruders or be aware that the fence or its security cordon have in any way been compromised. Similarly, if you are planning to extend the plant’s facilities, remember that the proposed expansion should only take place if there is adequate room to extend the security fencing by a commensurate margin - and without new facilities butting against the existing perimeter.

Good perimeter security isn’t rocket science - and a level of forethought can create an extremely practical and workable line of defence. It’s a chastening thought to remember that if intruders do gain access to your operation, it’s because the security cordon you created wasn’t good enough. If security sometimes has a high price, consider the lack of it…

SECURITY


First, the good news. In an update to its recent monthly report, ‘Growing economic uncertainties impact oil price volatility’, OPEC has announced that it sees the global economy

growing by 3.7% in 2012 (up from 3.6% in 2011). Commensurate global oil demand is expected to increase by 1.19 million daily barrels, or 1.36%, to 89.01 million barrels per day.

There’s a key US caveat here: OPEC believes that, despite the burgeoning presence of China and the Indian Subcontinent, any fluctuation in the performance of the US will play a major role in influencing world demand - with its retail petroleum prices being one of the key factors. Expectations are that the US economy will keep growing in 2012 - but only just. 1.8% is the OPEC projection for the coming year.

This figure reflects the fact that, in OPEC’s eyes, the US is still suffering the effects of the financial crisis: while there’s no doubt that an element of stability is returning to labour markets and manufacturing, OPEC thinks the US is in need of additional govern-mental support. The office of OPEC president Rostan Qasemi commented that: “Growth seems only to be possible with the backing of the government or the Federal Reserve Board (FED), providing supportive monetary measures”. Rostan Qasemi, in his ‘day job’ as Iran’s Oil Minister, is of course not generally perceived as a close friend of US interests.

A dose of realism for ChinaNow the bad news. China’s outlook, too, is a little less than rosy. OPEC believes that government measures to put the brakes on inflation will impact the energy sector: demand in 2012 is expected to average 9.43 million barrels a day, and is estimated to grow 0.48 million barrels or 5.13% to 9.92 million barrels per day.

Meanwhile, if the Indian subcontinent wants to continue its powerful growth, it’s got to resolve its licensing restrictions on

OPEC sees the faltering US economy as a key factor in an indifferent 2012

foreign companies entering the market. Not an easy or quick process. Expect to see many foreign interests hit a ‘glass ceiling’ which can only have a detrimental effect on oil demand.

What next for the oil price?In a nutshell, the oil price matters so much because, as industry pundit Agostino Fontevecchia recently commented: “It’s a true indicator of the balance between supply and demand”. He added that: “Demand for OPEC oil will remain unchanged in 2012, at 26.89 million barrels per day, as the downward adjustment in global demand outpaced the downward revision in non-OPEC supply (forecasted at 53.46 million barrels per day). Thus, markets will remain tight through the year, despite substantially lower demand growth than expected”.

According to OPEC, global oil demand in 2011 has averaged 87.7 million barrels per day, up 0.88 million barrels per day from previous estimates, which had already been through multiple downward revisions. There are two key factors to watch here: one of the highlights has been the downward trend of Brent crude: down more than 10 per cent in the last 6 months. WTI has tumbled almost 20 per cent in the same time period.

Notwithstanding, OPEC isn’t suggesting doom and gloom for 2012: rather, a year when the runaway successes of China and the Indian subcontinent won’t always offer a universal panacea; and where a commitment to ‘slow and steady’ wins the race.

In a new regular feature focusing on OPEC strategies, we highlight the most recent announcements on economic growth and demand for oil in 2012.

- From our correspondent in Vienna.

Progress, but not as we know it…

Following the success of the 2011 The EIC Middle East Golf Championship, the Par 72 Baker-Finch designed Arabian Ranches Golf Club will once again play host to The EIC Middle East Golf Championship.

THE EIC 2012 GOLF CHAMPIONSHIP1st March 2012

Arabian Ranches Golf Course, Dubai.www.the-eicgolf.com

>>>>>>>>>>>>>>>>

FOR MORE DETAILS PLEASE VISIT WWW.THE-EIC.COM

energizing your business

EIC Trade MissionsThe EIC is organising an oil and gas trade mission to Algeria. 28 January - 3 February 2012

Missioners will have the opportunity to attend organised group meetings with key local players, as well as incorpo-rating briefing meetings presented by qualified speakers with in-market experience and the opportunity to network with local companies at an EIC organised reception.

Why Algeria?As one of the major oil and gas producing countries of Africa, Algeria has one of the key economies in the region. Providing approximately a 32% contribution to the national income, the oil and gas sector plays a major role in the country’s growth.

Algeria offers lots of opportunities in all aspects of the energy industry. Some of these include cross-country pipeline projects such as the upcoming $ 20 billion Trans-Saharan Gas Pipeline project, $ 4.3 billion Algeria-Sardinia-Italy Gas Pipeline, or upstream developments such as $3 billion Bir Seba oil field development, $1.8 billion Ledjmet Block 405b development, or downstream developments such as $3 billion Arzew Petro-chemical Plant project. Besides the developments in the hydrocarbon sector, the Algerian government recently announced ambitious plans for renewables which should constitute 40 % of the Algeria’s energy mix by 2020.

Full benefits of participation:

EIC TRADE MISSION TO ALGERIA 28 January – 3 February 2012

BOOKING NOW The EIC is organising an oil and gas trade mission to Algeria. Missioners will have the opportunity to attend organised group meetings with key local players, as well as incorporating briefing meetings presented by qualified speakers with in-market experience and the opportunity to network with local companies at an EIC organised reception. Why Algeria? As one of the major oil and gas producing countries of Africa, Algeria h as one of the key economies in the region. Providing approximately a 32% contribution to the national income, the oil and gas sector plays a major role in the country’s growth. Algeria offers lots of opportunities in all aspects of the energy industry. Some of these include cross-country pipeline projects such as the upcoming $ 20 billion Trans-Saharan Gas Pipeline project, $ 4.3 billion Algeria-Sardinia-Italy Gas Pipeline, or upstream developments such as $3 billion Bir Seba oil field development, $1.8 billion Ledjmet Block 405b development, or downstream developments such as $3 billion Arzew Petrochemical Plant project. Besides the developments in the hydrocarbon sector, the Algerian government recently announced ambitious plans for renewables which should constitute 40 % of the Algeria’s energy mix by 2020. Apart from the energy investment plans the government is also planning to invest $268 billion in infrastructure between 2010 and 2014.

For further details on the trade mission to Algeria please contact: Susan Brown OR Harriet Fray Events Manager (Overseas) Events Administrator [email protected] [email protected] The EIC, 89 Albert Embankment, London, SE1 7TP Tel: +44 (0) 20 7091 8600 Fax: +44 (0) 20 7091 8601

www.the-eic.com

Supported by:

Full benefits of participation: • Opportunity to participate in pre-arranged group meetings, reception sessions. • Logistical assistance from an EIC Mission Manager and support/advice on markets from EIC Dubai. • Inclusion in mission brochure (circulated in advance of mission). • Assistance with travel arrangements through travel partners. • Shared logistical costs (for example, brochure, ground transport, etc). • A chance to network and exchange information with other missioners.

• Opportunity to participate in pre-arranged group meetings, reception sessions.

• Logistical assistance from an EIC Mission Manager and support/advice on markets from EIC Dubai.

• Inclusion in mission brochure (circulated in advance of mission).

• Assistance with travel arrange-ments through travel partners.

• Shared logistical costs (for example, brochure, ground trans-port, etc).

• A chance to network and exchange information with other missioners.

OPEC BULLETIN


Following the success of the 2011 The EIC Middle East Golf Championship, the Par 72 Baker-Finch designed Arabian Ranches Golf Club will once again play host to The EIC Middle East Golf Championship.

THE EIC 2012 GOLF CHAMPIONSHIP1st March 2012

Arabian Ranches Golf Course, Dubai.www.the-eicgolf.com

>>>>>>>>>>>>>>>>

FOR MORE DETAILS PLEASE VISIT WWW.THE-EIC.COM

energizing your business

EIC Trade MissionsThe EIC is organising an oil and gas trade mission to Algeria. 28 January - 3 February 2012

Missioners will have the opportunity to attend organised group meetings with key local players, as well as incorpo-rating briefing meetings presented by qualified speakers with in-market experience and the opportunity to network with local companies at an EIC organised reception.

Why Algeria?As one of the major oil and gas producing countries of Africa, Algeria has one of the key economies in the region. Providing approximately a 32% contribution to the national income, the oil and gas sector plays a major role in the country’s growth.

Algeria offers lots of opportunities in all aspects of the energy industry. Some of these include cross-country pipeline projects such as the upcoming $ 20 billion Trans-Saharan Gas Pipeline project, $ 4.3 billion Algeria-Sardinia-Italy Gas Pipeline, or upstream developments such as $3 billion Bir Seba oil field development, $1.8 billion Ledjmet Block 405b development, or downstream developments such as $3 billion Arzew Petro-chemical Plant project. Besides the developments in the hydrocarbon sector, the Algerian government recently announced ambitious plans for renewables which should constitute 40 % of the Algeria’s energy mix by 2020.

Full benefits of participation:

EIC TRADE MISSION TO ALGERIA 28 January – 3 February 2012

BOOKING NOW The EIC is organising an oil and gas trade mission to Algeria. Missioners will have the opportunity to attend organised group meetings with key local players, as well as incorporating briefing meetings presented by qualified speakers with in-market experience and the opportunity to network with local companies at an EIC organised reception. Why Algeria? As one of the major oil and gas producing countries of Africa, Algeria h as one of the key economies in the region. Providing approximately a 32% contribution to the national income, the oil and gas sector plays a major role in the country’s growth. Algeria offers lots of opportunities in all aspects of the energy industry. Some of these include cross-country pipeline projects such as the upcoming $ 20 billion Trans-Saharan Gas Pipeline project, $ 4.3 billion Algeria-Sardinia-Italy Gas Pipeline, or upstream developments such as $3 billion Bir Seba oil field development, $1.8 billion Ledjmet Block 405b development, or downstream developments such as $3 billion Arzew Petrochemical Plant project. Besides the developments in the hydrocarbon sector, the Algerian government recently announced ambitious plans for renewables which should constitute 40 % of the Algeria’s energy mix by 2020. Apart from the energy investment plans the government is also planning to invest $268 billion in infrastructure between 2010 and 2014.

For further details on the trade mission to Algeria please contact: Susan Brown OR Harriet Fray Events Manager (Overseas) Events Administrator [email protected] [email protected] The EIC, 89 Albert Embankment, London, SE1 7TP Tel: +44 (0) 20 7091 8600 Fax: +44 (0) 20 7091 8601

www.the-eic.com

Supported by:

Full benefits of participation: • Opportunity to participate in pre-arranged group meetings, reception sessions. • Logistical assistance from an EIC Mission Manager and support/advice on markets from EIC Dubai. • Inclusion in mission brochure (circulated in advance of mission). • Assistance with travel arrangements through travel partners. • Shared logistical costs (for example, brochure, ground transport, etc). • A chance to network and exchange information with other missioners.

• Opportunity to participate in pre-arranged group meetings, reception sessions.

• Logistical assistance from an EIC Mission Manager and support/advice on markets from EIC Dubai.

• Inclusion in mission brochure (circulated in advance of mission).

• Assistance with travel arrange-ments through travel partners.

• Shared logistical costs (for example, brochure, ground trans-port, etc).

• A chance to network and exchange information with other missioners.

2011


THE LAST WORD

It’s only fitting to end the year with a review of the world’s Top 50 best-performing energy businesses. We show the latest figures available. Note that the list includes absolute rankings - and is a useful way of comparing

discipline specialists, for example, with the global majors. In this respect, Schlumberger’s performance is striking - up seven places; while, assessed for the first time on the esti-mated value of its E & P product only, BHP

Billiton comes in at 24. At the absolute top, in the war amongst the super majors, E x x o n M o b i l rega i n s No.1 ranking from PetroChina.

SL NO.

2009 RANK COMPANY NAME MARKET CAP

($US BN)% SHARE HQ COUNTRY TICKER/EXCH.

1 2 EXXONMOBIL 368.7 7 % US XOM US

2 1 PETROCHINA 303.3 -16 % CHINA 601857 CH

3 4 PETROBRAS 228.9 -23 % BRAZIL PETR3 BZ

4 5 ROYAL DUTCH SHELL 207.9 9 % NETHERLANDS RDSA NA

5 8 CHEVRON 183.6 19 % US CVX US

6 10 GAZPROM 149.4 4 % RUSSIA GSPBEX RU

7 6 BP 136.4 -25 % UK BP/ LN

8 9 TOTAL 124.5 -18 % FRANCE FP FP

9 16 SCHLUMBERGER 113.9 28 % US SLB US

10 19 CNOOC 106.0 51 % HONG KONG 883 HK

11 7 SINOPEC 101.6 -41 % CHINA 600028 CH

12 18 CONOCOPHILLIPS 100.1 33 % US COP US

13 25 ECOPETROL 87.0 77 % COLOMBIA ECOPETL CB

14 11 ENI 86.8 -15 % ITALY ENI IM

15 12 GDF SUEZ 80.7 -17 % FRANCE GSZ FP

16 20 OCCIDENTAL 79.7 21 % US OXY US

17 17 RELIANCE 77.5 1 % INDIA RIL IN

18 13 ROSNEFT 76.2 -15 % RUSSIA ROSN RU

19 15 STATOIL 74.9 -6 % NORWAY STL NO


World’s top 50

TOP 50

20 21 BG 68.4 12 % UK BG/ LN

21 24 ONGC 61.6 14 % INDIA ONGC IN

22 14 E.ON 60.9 -27 % GERMANY EOAN GR

23 22 SUNCOR 60.2 9 % CANADA SU CN

24 BHP BILLITON 20 % AUSTRALIA BHP AU

25 27 CAN NAT 48.5 24 % CANADA CNQ CN

26 26 LUKOIL 48.5 1 % RUSSIA LKOH RU

27 28 APACHE 43.5 16 % US APA US

28 36 TNK-BP 40.8 58 % RUSSIA TNBP RU

29 33 OGX 38.9 23 % BRAZIL OGXP3 BZ

30 35 ANADARKO 37.7 22 % US APC US

31 32 SURGUTNEFTEGAZ 37.7 18 % RUSSIA SNGS RM

32 37 HALLIBURTON 37.1 36 % US HAL US

33 23 RWE 37.1 -32 % GERMANY RWE GR

34 29 IMPERIAL OIL 34.6 6 % CANADA IMO CN

35 34 WOODSIDE 34.1 3 % AUSTRALIA WPL AU

36 31 DEVON 33.9 7 % US DVN US

37 30 REPSOL YPF 33.8 3 % SPAIN REP SM

38 41 SASOL 33.7 30 % SOUTH AFRICA SOL SJ

39 NOVATEK 33.3 94 % RUSSIA NOTK RM

40 44 FORMOSA PETROCHEMICAL 32.3 32 % TAIWAN 6505 TT

41 42 TENARIS 28.9 15 % LUXEMBOURG TS US

42 NATL OILWELL VARCO 28.2 53 % US NOV US

43 47 CENTRICA 26.6 14 % UK CNA LN

44 48 MARATHON 26.3 19 % US MRO US

45 HESS 25.8 27 % US HES US

46 CENOVUS 25.1 33 % CANADA CVE CN

47 BAKER HUGHES 24.7 41 % US BHI US

48 46 HUSKY 23.8 -6 % CANADA HSE CN

49 43 EOG RESOURCES 23.2 -6 % US EOG US

50 TALISMAN 22.7 19 % CANADA TLM CN

Source: Bloomberg, PFC Energy estimates as of 12/31/2010.Share price growth based on primary exchange tickers in $US.Prices for thinly traded companies are as of year’s last trade.


INSIDE | LIFESTYLE


LIFESTYLE LIFESTYLE

DESTINATION Turkey - Profile of the Toros mountains

DRIVE Bentley - Five star luxury with the top down

RIDE Harley-Davidson - Rally to Jebel Hafeet

SAILING Dubai’s pre-owned boat show - Glamour with good value

54 58 62 64

Just an hour’s drive from the beach, there’s a remote, fascinating world waiting to explore... Book your tickets and come with us.

HIDDEN TURKEY’S

TREASURES


DESTINATION

SPONSORED BY

www.deluxmiddleeast .com

deLuxMIDDLE EAST

“A NATURAL WONDER APPROXIMATELY 20 KILOMETRES LONG AND 600 METRES HIGH.”

So you have a few days free for an adventure in the sun. You’ve done the sea and sand to death; you’re intrigued by something more rugged, but you simply don’t have time to sort out a raft of vaccinations and paperwork. One destination that truly offers the best of both worlds is Turkey. The world’s twelfth largest country,

Turkey’s land mass is nearly 900,000 square kilometres. The tradi-tional bridge between Europe and Asia, Turkey has always been a strategic ‘right of way’ - caught up in the world’s greatest wars for thousands of years, it’s also been home to some of the greatest cities and cultures. Turkey is full of hidden treasures. Step off the beaten track and you can explore tree top hideaways, stunning gorge walks and evidence of an ancient civilization - a very different Turkey from the normal brochure shots, it’s stunningly beautiful and historically magnificent. Plus, you’ll still be only one hour’s drive from the beach.

I consider myself to be a bit of a fraud when it comes to being a sun worshiper. I’m just not one of those people who likes to lie still for

long, no matter how compelling the podcast or trashy the holiday novel. Why am I telling you this? Well it’s my limited tolerance to lying still and feeling the warm sand between my toes that led me to discover the hidden Turkish delight that is the Saklikent Gorge.

Situated near the Toros Mountains between Fethiye and Kas, and east of Esençay Valley, Saklikent, meaning “hidden city” in Turkish, is a natural wonder approximately 20 kilometers long and 600 meters high. It is the second largest gorge in Europe and the longest and deepest in Turkey - and it’s stunning. Concealed by a countryside of rolling green hills adorned with wild flowers and olive trees, you don’t actually experience the magnifi-cence of the gorge until you are walking over the precariously flimsy chain bridge that leads to the entrance. On entering one feels a little like a character from Jules Verne’s adventure, Journey to the Centre of the Earth. As the walls of the gorge play with the light and alter the temperature, the sounds of the limestone breathing and the gentle trickle of water that echoes along the walkway, creates a feeling of


TURKEY

“THE BEAUTIFULLY SCULPTURED LIMESTONE WALLS ARE SO STEEP THAT THE SUN NEVER REACHES THE FLOOR.”

adventure and the unknown. Formed by the sliding of base plates and the erosion of water, the beautifully sculptured limestone walls are so steep that the sun never reaches the floor and after April when most of the snow from the Taurus Mountains has melted and passed through the gorge on its way to the Xanthos River, four kilometers of the canyon is walkable. Summer however is the best time to visit as the chasm is deliciously cool and shady. Before the summer months, however, only the brave (and possibly fur-clad) traveller can be seen wading through the bracing icy waters that fill the bottom of the canyon. As you reach the end of the four kilometer walkway and the warmth of the summer sun gently reheats the skin, shrieks of delight can be heard, as the sound of visitors kayaking down the white water rapids on their way back to base camp provides a delightful contrast to the soothing natural sounds within the gorge. At the bottom of the river, base camp consists of tree houses, simple wooden structures suspended within woodland where travelers can spend an evening in a peaceful and restful atmosphere enjoying the natural surroundings, listening to the sounds of the birds, wildlife and the river.

After a morning of gorge walking there really is only one place to rest one’s legs and satiate one’s appetite. With dining rooms made up


DESTINATION

of shaded woodland dells nestled along natural mountain springs, lunch at the Yakapark restaurant feels like dining in Middle Earth. Local delicacies and mezze are served on simple earthen ware dishes and freshly caught local trout sizzle on a large open grill. Take a refreshing dip in one of the icy cold plunge pools and if you are brave enough to stay in the water for more than 15 minutes your lunch is complimentary!

Pay attention – here’s the culture…After lunch take a short drive to explore the magnificence of the ancient Lycian civilization. As one of the six principal cities of Lycia, and one of the most powerful, Tlos once bore the title under the Roman empire of ‘the very brilliant metropolis of the Lycian nation’. It’s one of the oldest and largest settlements of Lycia, and known as ‘Tlawa’ in Lycian inscriptions. Nestling in fields of pomegranate and olive trees, Tlos lies on the east side of the Xanthos valley, and is dominated by its acropolis - a stunning structure rediscovered by Charles Fellowes in 1838. Built into the hillside, structures such as the Tomb of Bellerophon tell stories of Greek mythological heroes. Pictured riding Pegasus, the winged horse, legend has it that Beller-ophon was punished by the Lycian king Lobates for an improper love

affair; the hero was sent to kill the Chimaera, a fire-breathing monster. With the aid of Pegasus, a gift from Athena, Bellerophon slew the monster from the air and then married the king’s daughter. From their offspring came the later rulers of Lycia. Today the Chimaera continues to exist as a perpetually-burning fire in eastern Lycia near Olympos.

Climb to the top of the hill and it is easy to imagine the hustle and bustle of an ancient principle town. A place of business, enter-tainment and family life. A place where ancient peoples lived, worked and played. The influence of many cultures upon Tlos has resulted in an interesting collection of structures. It is a romantic place with lush nature, many of the buildings are vine-covered, especially the large bath house and stadium. With its stunning mountainous backdrop it’s difficult not to feel inspired and transported back to the ancient world.

As the small winding country lanes take us back to the Turkey of holiday brochures and postcards I feel as though I have stumbled upon a secret world, a landscape that has remained largely untainted by modernity. Part of me wants to tell the world about hidden Turkey; but part of me also wants to keep it hidden, protected just for a little while longer.


TURKEY

CREWE’S MISSILECROATIA SPIN IS HEAVEN BENT

By Matt German

DRIVE


DRIVE


First and business class passengers on the A380 don’t turn left, they go up in a lift to the top deck of the plane, above steerage. When boarding an aircraft, walking into business-or first class takes

you down a path to one of life’s little luxuries. It’s a path not only to wider seats, more

legroom and a glass of bubbles on take-off, but to a whole first class world of designer pens, expensive watches, bespoke suits, penthouses in London and New York ... and a Bentley. Also throw in taking an exotic vehicle for a spin somewhere like Croatia’s coastline which retains a sublime indifference to time.

With breathtaking scenery the roads seems to lead up to the sky. It demands a spectacular and special car to enjoy it. Cue the Bentley Continental GTC.

A couple of those Bentley Continental GTCs rolled out of the factory at Crewe in the UK and found their way to Croatia where they waited patiently for me to arrive and take them for a spin along the Istrian Peninsula.

I remember once asking a Rolls-Royce (!) representative which was the direct competitor for one of their cars … “a yacht” was the reply. Bentley, with its history entwined with Rolls-Royce, is in a similar position. For the latest Bentley Continental GT Convertible the only competition is keeping your money tucked safely under your mattress.

The GTC is an open-roofed grand tourer, almost a supercar. That’s a small niche. Alternatives? The Ferrari FF is hard-topped and much more expensive. The Rolls-Royce Phantom convertible? Different price bracket again. Mercedes doesn’t do a model with four seats and without a roof that can compare to the GTC.

Personally I love convertibles so the GTC is

my Bentley of choice. Drop the roof to allow everyone to admire your carefully selected opulent interior and cruise the beautiful Adriatic Coast road. Winding roads and plenty of chances to open up the W12 car.

Bentley is motoring royalty. Bentleys are usually found cruising up to the red carpet at film premieres, at Premier League training grounds or garden parties of the rich and famous. But here in Croatia it oozes the coolest of the 1960s at every turn. You expect to see Brigitte Bardot or Grace Kelly coming the other way, also with the roof down. Owning an expensive car is an experience, a lifestyle choice, similar to flying first class. Simply driving a lump of metal to work and back is only the end product. Big brands now want you to fall in love with the process of ownership, customer loyalty and pride in the badge is imperative.

Bentley allows the buyer to decide on every tiny detail when styling their car. Like a Saville Row tailor creating a suit Bentley will bespoke your car.

The interior of this car is a work of art and puts Bentley in a different league.

If you have plans to own a Bentley a visit to Crewe is highly recommended. Here they will guide you through the build process and sit you down in a lovely lounge to select the touches that make the car your own. There are so many options to choose from, not just colours or fabrics but what colours and fabrics go where in your car.

On a factory tour you can sense the workers pride at making today’s history. Generations of families have worked here. Everything at Bentley’s Crewe operation is hands on, from the women hand stitching the steering wheel (colour of cotton is up to you) to workers studying the cow hides for imperfections. Grains in the wood are carefully sourced

CREWE’S MISSILE

BENTLEY CONTINENTAL GTC




SECTION SPONSORED BY

A R A B I A NM TORM A G A Z I N E

and matched and checked for any odd shapes appearing when fitted in the car.As Bentleys roll off the production line you can see what other owners have chosen for their interior and the exteriors paint selections. You can guess at what matches and what doesn’t. Bentley have on hand a team of experts who’ll help you with your choices of fabrics and colours if you require a little bit of guidance. They’ll tell you if the bright pink leather doesn’t work with the cobalt blue carpet, but if that’s what you want they’ll build it. You can arrange to re-visit the factory as your car passes down the production line and watch as the first breath of life kicks in and the car is driven off ready for delivery.

The Bentley is floating around in no-man’s land, a bubble where no-one else exists. If you’re going to spend around $200,000 on a car then there are alternatives, but none as good. The Porsche Panamera is less expensive, but not in the same league, the Mercedes SLS is a great convertible, but has only two seats. The Ferrari 458 tin-top is great if your journey is no more than an hour and you don’t have to go over any pot holes or speed bumps.

In Croatia, the land that time is just remem-bering, I drove the GTC over some great roads but some were still in need of attention. The GTC barely noticed and I cruised along perfectly content. The Bentley Continental GTC is not really a true 2+2 as I wouldn’t want to be in the back seats for very long but will

DRIVE


take four adults according to the brochure.Once you sit inside a GTC, even with the

roof open, you’re in that GTC bubble. The financial meltdown doesn’t exit, it’s all sunny days, white smiles and long lunches.

I don’t think I need to tell you too much about how the car drives. It’s amazing - heavy, powerful, commanding, fast and comfy. It’s a car that hoovers up the tarmac with a top speed of 314kph and hits 0-100kph in 4.4 seconds. Behind the wheel though the speed is not that important, you want to slow down to take in the admiring glances. While the car goes wild and loves life in the fast lane, it never loses control.

What’s new for 2011? There is now a different, more sporty feel to the GTC thanks to a 40:60 rear torque bias. The body is more cut and sculptured thanks to design cues from the GT Coupe. It has not deviated too far from the successful first generation and you can even spot design elements of past Bentleys. New headlights, distinguish the new car along with the double horseshoe motif at the rear.

Plenty of time has been spent in the wind tunnel to improve the aerodynamics. The new model has a wider track, is slightly longer and has a higher waistline. Like the previous generation there are no unsightly bumpers, and even antennas are hidden away. And, mercifully, the roof is fabric, a work of genius on its own. There is a new

6-litre engine with twin turbos, 567bhp, faster gear changes, optional 21-inch wheels, a neck warmer in the front seats, wind deflector that sits behind the front seats stopping most of the wind but leaving enough to know you’re in an open top. While power might be up emissions have been reduced and fuel economy is higher.

Naim has been given the important job of entertaining and they’ve developed a serious piece of music kit, complete with all important iPod connector. The touch screen control centre is easy to use when playing with your music or using the navigation, which makes a refreshing change for German auto manu-facturers.

It’s not all about how great The Bentley Continental GTC drives, it’s just as much about how great this car makes you feel.

“PLENTY OF TIME HAS BEEN SPENT IN THE WIND TUNNEL TO IMPROVE THE AERODYNAMICS”



Before we take you on a lifestyle getaway to one the world’s best biking destinations, let’s get back to basics and look at the new Harley-Davidson models for 2012. There are five

to choose from:• StreetBob• FatBob• SuperGlideCustom• WideGlide• BlackLine

A TASTE FOR ADVENTURE

Whileyou’llfindallthecharacteristicHarleyfeatures-up-scalecruisersandinter-statetourers is, after all, is where the brand really catches the imagination - note that 2012 sees the introduction of a brand new engine. Harley isoneofthebrandspioneeringtheup-shifttobigger-capacity,easy-ridingmachines,andfor2012,there’sanall-new1584ccpower-train.Withmorepoweron-tap,oneofthekey benefits is virtually boundless torque – you’ll find mid-range cruising less fussy on gear-shiftsandtheupperratiosarefarmoreflexible.

As with all Harleys, there’s more to the bikethansimplythestatistics:aselectionof awesome carriagework finishes includes metallics and matts (better get an order in now for that one) and there’s the largest acces-soriesportfolioofanybikebrand.

Backing the regionIf you’re a Harley man (or girl), you’re in

goodcompany.There’sadisproportionatelyhighnumberofHarleyridersintheGCC:

prorata,it’sintheHarleycapitaloftheworld. Marketing Manager of Harley-

Davidson MENA, Elsa Abi Nader, comments that: “Interests in the

brand remain strong among riders and non-riders of all generations

throughout the MENA region… Thecustomersarepassionate

peoplewhoshareourlovefor the brand, freedom and

self-expression.”Soit’snowonderthatHarley-Davidson

Middle East and North Africa (MENA) recently openedaregionalofficeinDubai,inthefash-ionableandcentrally-locatedJumeirahLakesTowers. This will act as a hub for the regional dealer network, reducing order lead times and generating lifestyle marketing data about owners and would-be owners - which means a customized bike range and an offer that’s best-suited to local needs.

TheopeningwasevenattendedbyH.E.MohammedBenSulayem,thePresidentoftheAutomobileandTouringCluboftheUnitedArabEmirates.Hemadetheinterestingpointthat: “to Harley Davidson, it’s about much morethansimplyridingabike;it’salsoasocialactivitythatcanhelppromotesafetyontheroadsforbikers.”

If you’re new to biking, having the regional hub means you’ll find it that much easier to‘plugin’tothebikescene-anditmeansyourpurchaseisbacked-upbyfullyjoined-upservice.

The main event: the 3rd Al Hajjar Rally.HowaboutthreedayspushingyourHarleytothelimitonsomeofthemostpanoramic,dramatic roads in the Middle East – and staying in the ultimate getaway lifestyle retreat,theGrandMercureHotel,AlAin(for the uninitiated, that’s the dazzling hotel perchedatthesummitofthetoweringJebelHafeet,oneofthehighestpointsintheUAE,

IF YOU’RE A HARLEY-DAVIDSON OWNER, OR SIMPLY AN AVID FAN OF THE BRAND, THE LAST THREE MONTHS HAVE GIVEN YOU A SMORGASBORD OF OCCASIONS TO ENJOY. WHETHER ROCKETING AROUND ON THE OH-SO-PERFECT ROADS OF JEBEL HAFEET - WITH ALL THAT CHROMIUM PLATE GLINTING IN THE MOUNTAIN SUNLIGHT - OR ATTENDING THE LAUNCH OF FIVE BRILLIANT NEW BIKES, THERE WERE MORE THAN A FEW TREATS FOR HOG ENTHUSIASTS. SO TAKE A BREAK FROM YOUR WORKING DAY AND DISCOVER A DIFFERENT KIND OF ENERGY SECTOR: ONE WHERE THE MOTTO IS ‘LIVE TO RIDE - RIDE TO LIVE’.

RIDE


with views exceeding 60 km!).Well,that’sexactlywhatthe3rdAlHajjar

Rallywasallabout.FromOctober20-22,hundredsofHarleyridersenjoyednotonlynear-perfectconditionsforgroupandsoloriding (there were no fewer than six organized rides,forexample),buteverydaywaspackedwithliveentertainments,includingasuper-lative bike show. Also, if you like your rugby, this was seventh-heaven - because the three dayswerecarefullyplannedtogiveyouaspecialthirddaywatchingtheRugbyWorldCupfinallive!

TheRallyisaperfectoccasionforbuildingmore advanced bike skills in relatively car-free conditions.Groupsare ledbyhardenedexpertsandinvolvejustabouteverykindofHarleyyoucanimagine-fromex-policeElectraGlidesthroughtosalt-flatracerslastseen at Bonneville in 1964. Al Ain and Jebel Hafeet are the gateways to the dramatic, once-volcanicHajjarmountains:black,sinisterand

awe-inspiring,theyfeaturethousandsofkilo-metresoftwisting,windingroadspresentingvarying levels of challenge: from a beginners’ haven to the motorcycling equivalent of a ‘black run’ - and then some!

The event is also the biggest head-turner intheUAE:everywherethelow-rumblingHarleys go attracts a ton of attention. Each caféstopbecomesangreatopportunitytotell teenagers and admirers about the biking scene - and the en masse ride out to Jebel Hafeetisoneoftheworld’smosttriumphantbike cruises.

Whenyou’dfinallyhadenoughbiking(perishthethought!),thehotelhadavarietyofbrilliantthemedpartynights-andtherewerealsotop-billingmovieafternoons.Notto mention a challenging golf tournament among the lush Al Ain greenery! The Rally aims to combine high-octane adventure with laid-backfun:andat915metresuponJebelHafeet,it’sagreatdoseoflifeatthetop!

HARLEY IS ONE OF THE BRANDS PIONEERING THE UP-SHIFT TO BIGGER-CAPACITY, EASY-RIDING MACHINES, AND FOR 2012, THERE’S AN ALL-NEW 1584CC POWERTRAIN.

HARLEY DAVIDSON



WWW.AUTOTRADERUAE.COM

If you’re into boats, the glamour - and sheer good value - of the Dubai Pre-Owned Boat Show is unmissable. The event draws literally thousands of visitors and for full effect, it’s located in the stunning Dubai Creek

Marina. Sponsored by Midex Airlines and offi-cially inaugurated by HH Shaikh Mansour bin Mohammed bin Rashid Al Maktoum, the show is a treasure trove for the region’s prospective and existing boat owners.

As well as a portfolio of 85 glittering pre-owned boats for sale, visitors were able to take part in a variety of exciting activities on the water, including a daredevil Jet Ski competition.

Despite all the fun, business remained a key focus and the event proved to be a

phenomenal success - with 22 boats sold at a combined price of over AED 26 million. The highly sought-after Princess 50 was snatched off the market on the first day, at the compet-itive price of AED 4 million. Separately, the top two buyers bought boats totalling AED 7.5 million respectively, including a pristine Azimut 62 for AED 4 million.

Sales were not limited to boats alone, as the event provided a ‘one stop-shop’ with a complete range of retail offerings from the marine and leisure industries. Speaking on the event’s success, Mustafa Al-Hashimi, club manager of Dubai Creek Golf and Yacht Club said: “Following the successful debut of the Dubai Pre-Owned Boat Show last year, we are thrilled to see that this year’s event has surpassed the last. The show was eagerly

Dubai’s pre-owned princesses

WATER GREAT SHOW

SAILING



www.boat traderuae.com

received not only by boating enthusiasts from around the region, but many families from the local community. With boat sales topping AED 26 million, the overwhelming demand for the second Dubai Pre-Owned Boat Show truly demonstrates that there is a strong and growing appetite for pre-owned boats in the region which this event is able to satisfy, and we very much look forward to building on this success for next year’s event. Having increased the exhibitor area this year by 20% we successfully served as a platform to directly engage buyers and sellers of pre-owned boats, marine equipment and boating services. ”

A key exhibitor was Sultan Bin Al-Sheikh Bin Mohammed Bin Mejren, founder of Samawy Marine Boat Manufacturing Company, who added: “We are pleased with what the show has achieved in terms of our sales; it was a huge success, bringing

a great business environment to an informal atmosphere with a truly exquisite display of boats and yachts, including those made to international standards. As someone who has been a member of the Dubai Creek Golf & Yacht Club for more than 18 years, it was good to feel the familiar community spirit and excitement over the three days at the creek club.”

The Dubai Pre-Owned Boat Show took place from November 17-19 at Dubai Creek Marina, sponsored by Midex Airlines, and showcased 85 boats to the value of 55 million, ranging from 25ft to 88ft and from 30,000AED to 22 million AED. Buyers were able to conveniently ‘buy and sail it home’ with key partners such as Arabian Scandi-navian Insurance Co. (ASCANA) on site to provide special offers on boat insurance, and Gulf Finance to offer marine finance for buyers.

PRE-OWNED BOAT SHOW


EVENTSIf you are holding an industry relevant event, please get in touch via email on [email protected]

November 29 - December 1Denver, Colo., United StatesGlobal Tight Oil Summitwww.theenergyexchange.co.uk

December 1Houston, TX, USASecond Annual North American LNG Exports Conferencewww.zeuslibrary.com/NALNG2011/index.asp

December 1Beijing, ChinaCBI Coal Year-End Ceremony 2011www.cbichina.org.com

December 1 – December 2SingaporeBunker Fuel Blending Technology and Economicswww.cconnection.org

December 1 – December 2Aberdeen, UKDEA (e) Technical Oil & Gas Conference on Downhole Drilling Technologywww.dea-europe.com

December 4 – December 8Doha, Qatar20th World Petroleum Congresswww.20wpc.com

December 5 – December 8Accra, GhanaAGI Ghana Oil & Gas Exhibition and Conference 2011www.exhibitionsafrica.com

December 7 – December 8Beijing, China5th China Bitumen Traders’ Conference 2011www.cbichina.com

December 8 – December 9Shanghai, ChinaFPSO China Summitwww.fpsochinasummit.com

December 9 – December 10Beijing, ChinaExtraction and separation of metal oreswww.cbichina.com

December 10 – December 13Cairo, EgyptElectricx 2011www.oilegypt.com

December 10 – December 12Cairo, EgyptWind-Tec 2011www.oilegypt.com

December 10 – December 13Cairo, EgyptSmart-Tec 2011www.oilegypt.com

December 11 – December 14Muscat, OmanNuclear Energy Asia 2011www.theenergyexchange.co.uk

December 12 – December 13New York, NY, United StatesPIRA Natural Gas Markets Conferencewww.pira.com

December 12 – December 14Houston, TX, United StatesPipeline Integrity Summit 2011www.pipelineintegrityusa.com

December 14 – December 15New York, NY, United StatesPIRA Coal and Emissions Markets Conferencewww.pira.com

December 14 – December 15Houston, TX, United StatesDeloitte Oil & Gas Conferencewww.deloitteconference.com

January 16 – January 19Abu Dhabi, United Arab EmiratesWorld Future Energy Summitwww.worldfutureenergysummit.com

January 18 – January 19Houston, TX, United StatesPipe Tech Americas Summitwww.pipetechamericas.com

January 22 – January 25Baltimore, MD, United StatesInternational Forum Process Analytical Technology Annual Meetingwww.ifpac.com

January 23 – January 25Muscat, OmanAsian Solar Engineering Forumwww.theenergyexchange.co.uk

January 23 – January 24Fort Worth, TX, United StatesAdvances in Drilling Muds Technologieswww.api.org

January 23 – January 27Fort Worth, TX, United StatesAPI Exploration and Production Winter Standards Meetingwww.api.org

January 24 – January 27Vienna, AustriaEuropean Gas Conferencewww.theenergyexchange.co.uk

January 25 – January 26Fort Worth, TX, United StatesJoint Committee on Oil & Gas Pipeline Welding Practicewww.api.org

January 27 – January 28Beijing, ChinaChinese mineralogist forumwww.cbichina.com

JANUARY 2012

Climbing Arabian Motors 202x275mm.ai 1 11/27/11 2:36 PM


ENERGY LIFE EVENTS | DECEMBER 2011

Climbing Arabian Motors 202x275mm.ai 1 11/27/11 2:36 PM

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