Economic Report 2017

Figure 28: Subsea Standardisation Themes

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Applying a fit-for-purpose approach These could include: • Functional versus prescriptive approach • Applying industry standards

Applying alternative methods and technology to provide optimised solutions to: • Design and field architecture • Manufacture • Fabrication • Installation • Scheduling and sequence of work scopes

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Codes, Standards and Specifications

Alternative Methods and Technologies

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Hardware Standardisation

Process

Standardisation of hardware • Standard designs • Develop modular approach and components catalogue • Common interfaces with plug and play capabilities and interchangeability • Reuse capability similar to drilling equipment

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Applying a simplified and streamlined approach to: • Documentation • Review cycles • Reporting • Interface management • Inspection and testing

To aƉƉly the Ĩindings to a UK ^ ƉrosƉect, entrica͛s test Wegasus Ĩield ʹ a three ǁell tieͲďacŬ in the southern Eorth ^ea ʹ ǁas chosen as a case study͘ Using a set oĨ adoƉted assumƉtions during the conceƉt select stage, the grouƉ ide nt ifie d sav ings of up t o 25 p e r ce nt t h r ough t h e ant icip at e d ap p licat ion of t h e sub se a st andar disat ion guide line s. This signiĨicantly imƉroǀed the economics oĨ the Ɖroũect and the ƉrosƉect oĨ Ɖrogression to deǀeloƉment, and oĨĨers the Ɖotential Ĩor cost oƉtimisation Ĩor other similar Ɖroũects͘

Figure 29: Range of Potential Savings from Centrica's West Pegasus Project

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Zange oĨ Wotential ^aǀingsΎ

Wroũect Danagement and ngineering Wrocurement, DanuĨacture and &aďrication

20.4% 24.7 % 14.8 % 28 .3% 16 .3% 33.6 % 20.4% 24.7 %

TransƉortation and Installation

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Ov e r all Sav ings

Ύ eƉendant on selected Ĩield oƉtion

^ource͗ entrica, Oil & Gas UK

heǀron is also aƉƉlying the standardisation ƉrinciƉles to a Ĩuture satellite suďsea tieͲďacŬ to its aƉtain Ĩield, as ar e ot h e r op e r at or s h op ing t o ide nt ify fur t h e r cost - r e duct ion op p or t unit ie s w it h in t h e ir p or t folios.

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C om p anie s h av e also inv e st igat e d h ow t h e sub se a st andar disat ion w or k could b e ap p lie d t o ot h e r ar e as of t h e industry͘ Amec &oster theeler, Ĩor edžamƉle, is aƉƉlying the ƉrinciƉles across its asset liĨe cycle ďusiness and e m b e dding t h e m w it h in it s b usine ss m anage m e nt sy st e m . W h ile anot h e r E T F w or k gr oup is ap p ly ing t h e p r act ice s to engineered Ɖroducts, ǁith a Ĩocus on ǀalǀes͘ A neǁ tool ʹ Guidelines for the Simplification of Engineered Products ʹ is due Ĩor Ɖuďlication later in the year͘

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