DNV GL © 2014 SAFER, SMARTER, GREENER DNV GL © 2014

Win Win – Wind-powered water injection

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Are Kaspersen

DNV GL © 2014

DNV GL is committed to innovation

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Investing 5% of our revenue in

research & innovation every year

Collaborating with industry partners

and external experts

Currently running 70 JIPs/JDPs

Sharing knowledge through standards

and recommended practices

Providing foresight and initiate

competence building and innovation

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Our 2050 vision

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WIN WIN – WIND-POWERED

WATER INJECTION JOINT INDUSTRY PROJECT (JIP)

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Production cost increases towards end of lifetime of field

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Source: NPD

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Increased oil recovery will give better resource utilization and improved economics

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Source: NPD

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CO2 emissions on NCS are increasing

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Source: NPD

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Tail-end oilfields are the largest polluters

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Source: Teknisk Ukeblad

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Wind-powered water injection provides a promising opportunity to increase oil recovery and reduce costs and emissions

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Wind-powered water injection brings economic and technical benefits both to the oil and gas and the wind industries

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For a step-out distance of 20 – 30 km or more the stand-alone system is economically competitive

• Enhanced oil recovery: With half of the original oil still remaining in the North sea

reservoirs, wind-powered subsea water injection could be a cost efficient and clean means to

maximise production rates.

• Cost reduction: When the distance from the host platform to the WI template is large,

stand-alone systems could provide a cost effective alternative, considering cable costs and

power demand on host platform. In cases where power is needed and space on the platform

is not available, this solution can save the need for costly retrofitting

• Flexibility: Stand-alone systems could more easily be located at the sites where boosting

has the most effect. The floating wind turbines are flexible with respect to water depth and

distance from platform.

• Technology development: Wind-powered water injection can serve as a stepping stone,

both for commercialization of floating wind technology, and as the first step towards an

autonomous offshore power system that can be used for a larger number of applications

• Reduced need for alternative power: Wind-powered water injection reduces the need for

associated gas in relation to the power demanding WI activities, hence extending the

lifetime of the existing solution. It can also reduce the need for power from shore in

electrification cases

• Cleaner power generation: WI is a power consuming activity. By less dependence on gas

turbines on the platform, oil recovery can be achieved without increased emissions.

Enhanced oil recovery

Cost reduction

Flexibility

New technology

Cleaner power generation

Reduced need for

conventional power

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The main focus of the JIP is to undertake an in-depth technical feasibility study of the wind-powered water injection system

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Floating wind

turbine system

design

Production

regularity

Power outages

and black start

capability

Economic and

regulatory

aspects

Reservoir

characteristics

and well system

Operational

challenges and

pump

intermittency

Control system

and safety

barriers

Maintenance

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Key opportunities

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No space or power

Long step-out distances

Marginal developments

No realistic alternatives

Save cable costs

Add flexibility for smaller

deployments

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Wind-powered water injection is an important niche market…

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Wind-powered

water injection

Existing platforms are mainly run by gas turbines. NCS alone has an

estimated total installed capacity of 3000 MW and a power

consumption of 19 TWh/year. Currently, opportunities are limited to

special cases, of which a few potential ones are identified

Marginal

fields

Existing

platforms

Future

electrification?

On NCS there are more than 80 discoveries currently not developed,

most of which are marginal and where the business case for Win Win

is likely to be good. Future activities in the Barents Sea with high

requirements to clean production and far distances are likely to create

further opportunities

In Norway there is a strong regulatory push for reduced emissions and electrification of platforms. Win Win is the first step to making wind power an alternative to power from shore electrification. The large Utsira area which will be developed alone has an estimated need for 200 MW capacity. Through the efforts initiating the Win Win JIP, DNV GL knows that wind power is on the opportunity list of a number of oil operators.

The JIP also has participants from UK and the US – a global market

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Off-grid /

weak grid

wind-power

in remote

areas

…which can open doors to larger markets

Offshore wind

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Floating

offshore wind

Wind-

powered

water

injection

• 2 GW are expected installed in 2015.

• Another 20-60 GW of installed capacity

forecasted by 2020.

• Can the JIP contribute to innovation and

further cost-reduction in the industry?

• Technology maturing

• Estimated ~500 MW by 2020

• 10 GW forecasted by 2030

• Wind-powered water injection can help

accelerating development and give

participants a head start

• Off-grid applications already being considered for island communities and

oil platforms

• Successful deployment of Win Win may open a new range of application

for stand-alone wind power

DNV GL © 2014

DNV GL kicks off Joint Industry Project (JIP) Win Win

Objective

Evaluate the potential for wind powered water injection as stand-alone system and integrated with the platform

Assess technical and economic feasibility

Approach

Technical feasibility study: Screen relevant

technologies

Identify technical risks

Assess technical feasibility

Economic feasibility study: Identify cost elements

Define cases and build cash flow model

Analyse cases in model

Deliverables

Technical report

Technical and economic feasibility

Public report

High level findings

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DNV GL works with the industry to jointly evaluate the technical and economic feasibility of wind powered subsea water injection systems.

Currently, 6 partners have joined the JIP

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SAFER, SMARTER, GREENER

www.dnvgl.com

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Contact:

Are Kaspersen

Are.Kaspersen@dnvgl.com

+47 416 33 831