FLNG Technical Challenges - IUMI...

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FLNG Technical Challenges Spencer Clark MSc, B.Eng(Hons), C.Eng, C.MarEng, MRINA, MIMarEST Director LWI Middle East Lloyd Warwick International

Transcript of FLNG Technical Challenges - IUMI...

Page 1: FLNG Technical Challenges - IUMI 2017iumi2017.com/pdf/programme/sep19/1005-1025_Spencer_Clark.pdf · Introduction •Floating Units Recap ... Process of converting liquefied natural

FLNG Technical Challenges

Spencer Clark MSc, B.Eng(Hons), C.Eng, C.MarEng, MRINA, MIMarEST

Director LWI Middle East

Lloyd Warwick International

Page 2: FLNG Technical Challenges - IUMI 2017iumi2017.com/pdf/programme/sep19/1005-1025_Spencer_Clark.pdf · Introduction •Floating Units Recap ... Process of converting liquefied natural

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Introduction

• Floating Units Recap

• Known Risks

• What is FLNG?

• New Risks

• Technical Challenges

• Future of FLNG

www.shell.com

[email protected]

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Floating Units Recap

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• Mobile Offshore Units (MOUs)

• Drill Rigs, Semi Sub, Jack Up, Drill Ships

• FLNG / FPSO / FPU / FSU / FSRU

• Remote Locations / Deep Water

• Develop Smaller / Marginal Fields

• New Build vs Tanker Conversion Options

• Relocate Assets to New Field location

• Keep Machinery & Propulsion Systems

• CAPEX Advantages

[email protected]

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FPSOs - Well Understood Risks

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• Ship-like structures

• Turret & Mooring Systems

• Subsea Equipment

• Marine Environment & Wave Loads

• Inspection Regime – Frequency & Quality

[email protected]

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FLNG Demand Growth

[email protected]

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Why FLNG or FSRU?

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• FLNG

– Avoid onshore infrastructure requirements

– Reduced Capital Costs / Time

• FSRU

– Floating LNG Transfer & Gasification

[email protected]

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Why FLNG or FSRU?

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Question

Is there better physical security and cyber protection offshore?

[email protected]

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Regasification

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Process of converting liquefied natural gas (LNG) at −162°C (−260°F) back to natural gas at atmospheric temperature

www.wikipeida.com

Regasification Terminal – Tokyo Gas in Yokohama

[email protected]

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FSRU

www.marineinsight.com [email protected]

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FLNG

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[email protected]

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FLNG Units

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Natural Gas Processing

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• Separation

• Scrubbing

• Dehydration

• Refrigeration, Liquefaction & Separation

• Treatment of LNG

[email protected]

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FLNG Layout

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Natural Gas Composition

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Natural Gas Properties

Boiling Point 0C Melting Point 0C

Nitrogen -196 -210

Oxygen -183 -219

Methane -162 -182

Ethane -88 -183

Propane -43 -188

Butane 0 -140

Pentane 36 -130

Water 100 0

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Natural Gas Properties Liquid Form

• Colourless

• Odourless

• Non-explosive & non-flammable

• 600 times denser than natural gas

• 60% density of diesel

• Causes Cryogenic Embrittlement

As Vapour

• Can be Explosive within flammable range

• Flammable Limits: 5 to 15% in the air

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LNG / FLNG Projects Worldwide

Source: DNVGL 2016

[email protected]

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FLNG Projects

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• Hyundai FLNG - Korea

• MODEC LiBro FLNG – Japan

• Petronas PFLNG Satu & Rotan - Malaysia

[email protected]

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FLNG Projects Worldwide

[email protected]

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Prelude FLNG

[email protected]

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Types of Losses (FPSOs) Incident Consequence Exposure

Magnitude

Static System Damage Repairs to whole / part of system. PD claim + possible LOPI

PD US$50MM LOPI US$75MM

Dynamic Riser Systems Damage Repairs / replacement of riser(s). PD claim + possible LOPI

PD US$50MM LOPI US$100MM

Major Process System Damage Repairs to part of system. FPSO to shipyard PD claim + possible LOPI

PD >US$100MM BI >US$200MM

Mooring System Loss of One Line Continue Operations. Repair line PD claim

PD US$5MM

Mooring System Loss of Two Lines Suspend operations. Repair lines PD claim + possible LOPI

PD US$10MM BI US$20MM

Mooring System Loss of Three+ Lines FPSO exceeds excursion. Damage to turret, risers, static system FPSO to shipyard Extended shutdown for repairs

PD >US$500MM BI >US$500MM

Catastrophic Loss Cost of repairs exceed sum insured CTL + BI Policy Limits?

[email protected]

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Types of Losses (FLNG)

Question

What costs (other than component value) could be seen within a FLNG claim following an operational damage incident?

[email protected]

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Similar Risks to FPSOs

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• Ship or ship-like structure

• Turret mooring arrangement

• Subsea facilities

• Marine Environment & Environmental Loads

• Process System (some parts)

[email protected]

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Similar Risks to FPSOs

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• Vessel Marine Issues – COT, WBT, Corrosion

• Claims management of multiple interests in FPSO and Fields

• Vessel Physical Damage

• Offshore repair campaigns

• LOH / LOPI losses

[email protected]

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FLNG Technical Challenges

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• New Risks:

– FLNG offloading offshore

– Cryogenic transfers (-162 deg C)

– Ship to Ship Transfers

• Large Scale Projects

• LNG Storage:

– Moss Sphere or Membrane Tanks?

[email protected]

Page 26: FLNG Technical Challenges - IUMI 2017iumi2017.com/pdf/programme/sep19/1005-1025_Spencer_Clark.pdf · Introduction •Floating Units Recap ... Process of converting liquefied natural

FLNG Technical Challenges

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• FLNG is new

• Offshore FLNG will be substantially larger than the largest FPSOs and LNG carriers

Belanak FPSO Prelude FLNG - Length: 285m - Length: 480m - Breadth: 58m - Breadth: 75m

[email protected]

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FLNG Technical Challenges

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• Processing Facilities Adapted

– Offshore Environment

– Heave & Roll motions

• Compact Layout Risk & Safety Implications

• Contractor and supplier competency to deliver “first of a kind” projects

• Unknown challenges?

[email protected]

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FLNG Technical Challenges

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• Product off-loading between vessels in open ocean

– Rigid articulated loading arms

– Cryogenic flexibles

[email protected]

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FLNG Safety and Mitigation

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• Selection of liquefaction technology

• Complexity of design & operations vs FPSOs

• Cryogenic liquid spill prevention

• Vapour dispersion

• Storage & handling of refrigerants

• Operations during LNG offloading

[email protected]

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Safety Zones

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FLNG Operational Constraints

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• Topside physical space

• Maintenance challenges

• Refrigeration / compression systems

• Machinery reliability

• Shutdown procedures

• Reduce restart times

• Avoid unplanned liquefaction unit shutdown

[email protected]

Page 32: FLNG Technical Challenges - IUMI 2017iumi2017.com/pdf/programme/sep19/1005-1025_Spencer_Clark.pdf · Introduction •Floating Units Recap ... Process of converting liquefied natural

FLNG Operational Constraints

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• Hydrocarbon Escape - Fire

• Uncontained Vapour Cloud Explosion

• Boiling Liquid Expanding Vapour Explosion

• Rapid Phase Transformation

[email protected]

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Future of FLNG

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[email protected]

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Conclusions

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• The demand for gas is growing

• FLNG is becoming an increasingly viable option

• Globally there are gas reserves to fuel this growth

• However significant challenges and operational uncertainties remain

[email protected]

Page 35: FLNG Technical Challenges - IUMI 2017iumi2017.com/pdf/programme/sep19/1005-1025_Spencer_Clark.pdf · Introduction •Floating Units Recap ... Process of converting liquefied natural

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Spencer Clark MSc, B.Eng(Hons), C.Eng, C.MarEng, MRINA, MIMarEST

Director LWI Middle East

Lloyd Warwick International

[email protected]

Tel: +971 (50) 106 3304

[email protected]