Subsea Systems Institute:Center of Excellence

Collaboration betweenUniversity of Houston

NASA - JSCRice University

Advisory Board MeetingSeptember 28, 2017

Agenda

1. Introductions2. Advisory Boards

a. Advisory Boardb. Technical Advisory

Committeec. Meeting minutes

3. Budget Update –remaining funds

4. Bucket 5- extension

5. Bucket 1 Opportunity6. Digital Transformation7. Automation & Robotics8. Extreme Environments9. Meeting Wrap-up

SSI: Mission and VisionVision:• Establish Houston as a major center for oil and gas research capabilities in the US• Attract talent for jobs and investment in the Houston and State economy• Support the reputation for Houston and the State of Texas as a global energy hubMission:• Develop the applied science and engineering to identify sound practices and

technologies for the exploration and production of hydrocarbons in deepwaterGulf of Mexico and other challenging environments;

• Serve as the repository for technology development to build public trust in the safety and operation of offshore drilling and production;

• Provide unbiased third party validation to build public trust in the safety and operation of offshore drilling and production.

• Leverage the benefits of SSI long term support (15 years+) to create sustainable programs such as: A repository for data and facilitating actionable outcomes Providing evergreen system engineering, continuing to identify ongoing and

new needs for the changing and adapting industry

SSI ADVISORY BOARD• Jared Ciferno – NETL (Director, Natural Gas & Oil)• Luis Garza-Rios- ExxonMobil URC (Marine & Subsea)• Rod Larson- Oceaneering (CEO)• John Murray- BP• John O'Brien- Chevron (Focus Area Manager)• Sudhir Pai- Schlumberger (Managing Director)• Sid Vinyard- HTC-Asia (Chairman)• John Warren- Petrobras (Senior Legal Counsel)• Kamlesh Lulla- NASA (Director University Research)• Charles McConnell- Rice University (Executive Director EEI)• Ramanan Krishnamoorti- UH Energy (Chief Energy Officer)

TECHNICAL ADVISORY COMMITTEE• John Allen- Allen Energy • Luis Garza-Rios- ExxonMobil URC

(Marine & Subsea (Man))• Jose Gutierrez- Transocean• Roy Long- NETL• Jonah Margulis- Aker Solutions

(Director BD and Sales)• John Murray- BP

• Todd Newell- Oceaneering• Peter Noble- Noble Associates• Anish Simon- Statoil• Brian Skeel- TechnipFMC• Holger Stibbe- Baker Hughes• Tim Thornton- FMC• Lynn Vernon- NASA JSC

AB and TACMeeting Minutes

AB and TACMeeting Minutes

TimelinesTCEQ Funded Projects

• RFP #1– GAD#1: Operational and Administrative

• 10/5/15 – 8/31/18

– GAD#2: Remote High Power for Subsea Emergencies• 5/3/16 – 12/31/17

– GAD#3: A Model-Based Real-Time Annular BOP Monitoring System• 5/3/16 – 12/31/17

– GAD#4: Marine Drilling Hazard Mitigation and Production Facility Monitoring using Seismic and Sonar Imaging

• 5/3/16 – 12/31/16

– GAD#5: Autonomous Underwater Vehicles for Subsea Energy Applications• 6/8/16 – 10/31/17

• RFP #2– GAD#6: Stress Wave Assisted Communications in Subsea Environments

• 6/30/17 – 8/31/18

– GAD#7: Hazard Mitigation and Facility Monitoring Program: Fiber-Optic Seismic Systems• 8/24/17 – 8/31/18

SSI: Balance SheetIncome Allocation Total

Center of Excellence, Bucket 5 RESTORE Funding, 2015 – 2017 $2.018 MM $2.018 MM

Office of Governor, 2015 – 2018 $2.0 MM $4.018 MM

Center of Excellence, Bucket 5 RESTORE Continued Funding, 2017 – 2018

$1.0 MM $5.018 MM

Expenditures

Projects, RFP 1 (GAD #2 – GAD #5) $0.736 MM $0.736 MM

Projects, RFP 2 (GAD #6 & #7) $0.600 MM $1.336 MM

Special Projects (07/17 – 06/18) $0.510 MM $1.846 MM

Professional Services $0.065 MM $1.911 MM

Administration $0.648 MM $2.559 MM

Balance & Pending

Balance on COE Funding $1.034 MM $1.034 MM

Balance on OOG Funding $1.425 MM $2.459 MM

Bucket 1 RESTORE Funding: Economic Dev & Workforce $8.019 MM $10.478 MM

SSI Center of Excellence Funds: 2015 – 2018

2015-2018 Funds Awarded $2018k

Current Projects:• GAD#2: Remote High Power for Subsea $300k

• GAD#3: Real Time BOP Monitoring System $211k

• GAD#4: Drilling & Production Facility Monitoring $125k

• GAD#5: Autonomous Underwater Vehicles $100k

• GAD#6: Subsea Communications $300k

• GAD#7: Fiber-Optic Seismic Systems $300k

Project Management / Administration (Dec 2017) $648k

Remaining Funds $34k

$2018k

Office of the Governor: SSI Grant Award

The OOG has provided SSI with a $2.0M grant award. The primary purpose is to establish SSI test equipment and facilities to support project research and development. The current disposition of the funds is as follows:

• Laboratory testbed for subsea power $500kand monitoring systems

• Fiber Optic Technology for subsea communications, $750kproduction monitoring and seismic acquisition

• Special project awards– Gas-In Riser (Prosperetti; 01/01/17-12/31/17) $50k– Subsea Power Electronics (Rajashekara; 07/01/17 – 06/30/18) $428k– Flange Leak Detection (Song; 07/01/17-9/15/17) $32k

• Professional services– Allen Energy $65k

• Project management/administration $175k$2000k

Gas-In Riser(Andrea Prosperetti)

• Computational study of free gas behavior in marine risers

• Initial formulated mathematical model included liquid compressibility; severely limited the time step and no significant benefit

• Mathematical model revised: compressibility of gas only; liquid treated as incompressible

• Newly developed algorithm, which is more stable and successfully applied to set of equations

• Currently implementing the algorithm for the complete model

Subsea Power Electronics(Kaushik Rajashekara)

• For the development of High Power Density Fault Tolerant Subsea Drives with Advanced Circuit Breaker to support the ongoing development of power requirements for subsea equipment.– Investigation of the existing architectures and to develop

the most efficient system architecture for subsea system.– Development of an integrated electronic circuit

breaker/contractor– Fault tolerant subsea drive system

• This project officially launched September 2017• Personnel and location been established• Database established

Flange Leak Detection(Gangbing Song)

• Perform preliminary testing for subsea flange monitoring– Objective: Develop improved manufacturing and testing methods to

predict performance of API pipe flanges under combination of loading conditions

– Specific tasks: (1) Design pipe flange, (2) Implement instrumentation system for testing, (3) Perform finite element analysis (FEA) for different flange loading conditions, (4) Tensile and leak testing

– Status: API standard flange purchased and fitted; Piezoelectric transducers installed; Initial results show observable changes in electromechanical impedance

• Joint industry meeting held September 21st

– Hosted by The Juke’s Group• Industry: Shell, ConocoPhillips, Anadarko, NOV, BP, Technip-FMC• Rice: Mathew Brake, PhD

SSI Proposal for Future COE Funding: 2018-2019

It is proposed that a TCEQ award to SSI of $1.0M for the financial year 2018 be deployed for projects led by NASA-JSC. The proposed allocation of funds is as follows:• Project #1: Lead NASA - JSC $750k

• Topic 1: Risk Assessment & Management; – Industry Collaborators: IADC; Chevron; • Topic 2: Robotics for Subsea Construction– Industry Collaborators: Oceaneering, GE• Topic 3: Subsea Power– Industry Collaborators: BakerHughes, Schlumberger, Halliburton,

ExxonMobil

• Management and Administration: $250k

RESTORE Act: Direct Component Bucket 1 – $56+ MM (now $85 MM?)

• Workforce / Economic Development to Enhance Offshore Energy Systems • Submitted April 2016; request for $8,019,839• Goals: Workforce development and job creation

– Milestones:• Establish training advisory committee• Develop & deliver training program• Develop certification program• Commence continuing education certificate• Commence risk management program• Prepare technology development reports

• 45-day public comment period ended June 30, 2017• What’s next:

– TCEQ reviews public (over 1400) comments and prepares final MIP-SPL to submit to Treasury– Treasury accepts the MIP-SPL– TCEQ selects projects and submits to Treasury grant applications for each project selected– Treasury issues an award letter approving selected grant application(s)– TCEQ posts the awarded projects on the Texas ESBD and RESTORE web site– TCEQ prepares grant agreements for the awarded projects

Digital Transformation

• Collaboration with Endeavor Management and World Oil

• Upstream Digital Transformation: towards a JIP

• Upstream would include the Find, Develop, and Operate phases of an oil and gas field

• Taxonomy Definition & Standardization of Systems

Robotics & Automation

• Robotic Oil Platform Maintenance and Repair• Bringing Valkyrie and Robonaut 2 to the Oil

and Gas World• Collaboration between NASA (JSC) (lead) with

Kim Hambuchen• Rice U: Marcia O’Malley & Lydia Kavraki• UH: Zheng Chen