The first phase of a DNV-GL-led joint industry project (JIP) with South Korean shipyards to promote a global standard for engineering and construction of offshore oil and gas installations has delivered four recommended practices (RPs). The outcome of the JIP will be reduced complexity, less rework and delays and greater predictability. This will help reduce cost and increase quality further, enabling more projects to move forward.
Phase 1 of the JIP has comprised DNV GL, Hyundai Heavy Industries (HHI), Daewoo Shipbuilding and Marine Engineering Co. (DSME), Samsung Heavy Industries (SHI), the Korea Offshore and Shipbuilding Association and the Korea Marine Equipment Research Institute.
The RPs provide guidance for meeting requirements in multiple recognized standards applied globally. The RPs also provide guidance and propose new standards in areas where no standards exist. They aim to reduce variations and unique requirements for every project and thereby to reduce the general cost level and delays in offshore oil and gas projects. The RPs are:
“The RPs are the first in a series to reduce cost and increase predictability without compromising quality and safety in international offshore development projects. DNV GL is working closely with oil companies, engineering houses and fabricators to develop the submitted
RPs further for global application,” Hans Petter Ellingsen, group leader for offshore risk advisory, Korea, DNV GL - Oil & Gas said.
"We are delighted to further develop the strong relationship and collaboration we have with Korean shipyards. Together we are addressing the challenge of a high cost level by using international standards more widely in offshore oil and gas projects. When we have common challenges, we also have common opportunities. Standardization has potential to significantly reduce cost levels and enables the industry to move forward,” Remi Eriksen, group president and CEO of DNV GL said.
“South Korean shipyards are market leaders for construction of floating and fixed offshore oil and gas installations and HHI has been on the forefront to drive initiatives to reduce the general cost level for the oil and gas industry. A major part of these efforts is to drive efficiencies through greater standardization. Standardization will provide an opportunity to enhance efficiency and competitiveness of whole value chains in the oil and gas industry and induce environmental improvement by minimizing the surplus resources. These RPs are a very positive and radical step forward which will help to reduce inefficiencies in design and construction as well as to increase predictability and quality even further," Kil Seon Choi, chairman & CEO of HHI said.
The second phase of the JIP is already underway and will deliver extended recommended practices for equipment packages, documentation requirements, and procedures.
Image of a Korean shipyard, from DNV GL.
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