SOURCE: DNV GL

DNV GL

May 02, 2016 09:26 ET

Collaborative Project to Trim Newbuild Costs Through Standardization Enters Phase 2

HOUSTON,TX--(Marketwired - May 02, 2016) - Unfamiliar specifications and processes often result in rework, delays and misunderstandings, and are adding thousands of engineering hours to the design and construction of offshore oil and gas installations. Cost savings are delivered by addressing variations in owner, operator, and regulatory requirements during engineering and construction phases. Phase one, led by DNV GL, established new proposed international standards for offshore oil and gas projects and a second phase is now underway to further develop the proposed standards named Integrated Offshore Standard Specifications (IOSS) and to test its application.

Initiated in 2015, the Korea-based JIP aims to develop common, globally accepted, best practices for standardized offshore components and equipment in a recommended practice. The first phase successfully focused on the constructability viewpoint and addressed items for structures, piping, and E&I. Phase two will extend the scope to include equipment packages, documentation requirements, and procedures. The IOSS will be developed with the aim to be applied and tested against upcoming offshore development projects.

"In the current climate of low oil prices it is often difficult to sanction projects," says Peter Bjerager, Executive Vice President, DNV GL - Oil & Gas Region Americas. "These new standards will contribute to lowering the cost of projects and ensuring that work moves forward. This JIP represents a new approach to standardization and is truly a global effort in the oil and gas industry. Phase one provided promising results that if successfully applied will push forward projects that may otherwise be put on hold."

In all, phase two of the JIP will include a global constellation of about fifteen partners, of which the majority operates in Region Americas. These partners include oil majors, fabricators, classifications societies, ship yards, and engineering companies.

A signing ceremony for the second phase of this project will take place at the Offshore Technology Conference (OTC) on Wednesday, May 4 in Houston, Texas. Technical seminars on the sharing of information for the JIP will be held within the Korean Pavilion.

"Designers, yards, and suppliers work more efficiently when projects apply standards with which all players are experienced," said Petter Ellingsen, Group Leader Offshore Risk Advisory - Korea. "Our ambition is to establish a standard for oil and gas projects that builds on a well-established approach for classification. Industry estimates for potential cost savings on construction of installations range well into double-figure percentages," he continues.

About DNV GL
As of 12 September 2013, DNV and GL have merged to form DNV GL. Driven by our purpose of safeguarding life, property and the environment, DNV GL enables organizations to advance the safety and sustainability of their business. We provide classification and technical assurance along with software and independent expert advisory services to the maritime, oil & gas and energy industries. We also provide certification services to customers across a wide range of industries. With our origins stretching back to 1864, our reach today is global. Operating in more than 100 countries, our 16,000 professionals are dedicated to helping our customers make the world safer, smarter and greener. 

About DNV GL - Oil & Gas 
In the oil and gas industry, GL Noble Denton and DNV's Oil & Gas business have joined forces to enable safe, reliable and enhanced performance in projects and operations. We provide a broad range of services, such as technical assurance; marine assurance and advisory; risk management advisory and offshore classification. Our 3,500 employees combine industry expertise, multidisciplinary skills and innovation to solve complex challenges for our customers. Together with our partners, we drive the industry forward by developing best practices and standards across the asset lifecycle. 

Contact Information

  • For further information, please contact:
    Raja Roy
    Principal Engineer
    Tel: +1 281 396 1796
    E-mail: Raja.Roy@dnvgl.com

    For media enquiries, please contact:
    Rachel Carmichael
    Communications Manager, Oil & Gas and Maritime - Americas
    Tel: +1 (832) 776-6028
    E-mail: Rachel.Carmichael@dnvgl.com