Dispute Resolution Support for an FPSO
A South East Asian-based company, the proud owner of a floating production, storage, and offloading (FPSO) vessel, was undertaking a major upgrade to provide operational services for a client in the Middle East
South East Asia
Background
When a disagreement arose between our client, the owner of an FPSO in South East Asia, and an operator over the suitability of material selection for the FPSO processing equipment, first oil was at risk of being delayed. However, OGC Energy's technical expertise stepped in to resolve the dispute and ensure that first oil dates were not compromised.
The Challenge
A Middle East operator had contracted an FPSO for operations in a highly sour field. The FPSO owner upgraded the topside facilities to accommodate the sour production but a dispute ensued regarding the material selection. Oilfield production with H₂S is considered “sour”. It can accelerate corrosion and lead to stress corrosion cracking; a sour hydrocarbon release not only results in loss of production but can also be a fatal risk to human life. The oilfield operator disputed the material selection as it was considered not fit for purpose for the sour conditions. This dispute could have resulted in first oil being delayed with severe financial implications for everyone. The FPSO owner requested OGC Energy's technical support to offer an objective expert view on the material selection.
How OGC Energy Helped The Client
With our extensive experience and technical knowledge, OGC Energy was the ideal partner to settle the dispute surrounding the material selection for a Middle East FPSO. Our Managing Director, Ivan Gutierrez, led the team to carry out a thorough review of the reservoir conditions and the material selection for the FPSO topsides facilities. This review was translated into a comprehensive report that presented technical evidence to demonstrate that the material selection was fit for purpose for the sour oilfield. The report was accepted by the operator and first oil was achieved, without any compromise to the timeline.
Thanks to our technical expertise, the dispute was resolved without any delay or financial implications. Today, the FPSO is in operation and performing optimally, with no reports of failures. This speaks to the unwavering dedication of OGC Energy to delivering outstanding results for our clients and underscores our unparalleled expertise in the field of sour service, which is widely acknowledged across the globe.
How we help you
If you're facing a complex project with materials and corrosion concerns, or a dispute that threatens to derail your project, trust OGC Energy to be your partner in success. With our experience, technical know-how, and objective expert view, we'll help you overcome any challenges and ensure the success of your project. Contact us today to learn more.
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