You are on page 1of 21

Newco

Newco Sherpa Offshore  Newco will be based in Singapore and is formed to fill a

Sherpa Offshore

  • Newco will be based in Singapore and is formed to fill a unique space in the Offshore sector for an independent/non- aligned expertise to support Oil Majors and Vessel Operators looking to capitalize on the “dash to gas” which is changing the energy scene world wide but particularly in Asia which is set to be at the heart of both production and consumption of NG.

  • Newco will design, build and operate vessels in the sector

Objectives

Objectives Sherpa Offshore  Newco will focus on the potential of LNG made available from the

Sherpa Offshore

  • Newco will focus on the potential of LNG made available from the production base to fuel the vessels and rigs associated with the development of the gas field. Initially, the Platform Support and Multi-Purpose Offshore Vessels, but also Tugs, Bunkering Barges and Rig Platform power generation.

  • Newco will work with established companies in the sector , nationally and internationally, to focus on equipment and system design and manufacturing capabilities and to harness Singapore's investment in higher education institutions.

Sherpa Offshore “The Future Is Only 3 Years Away, and It's Located in the Pacific” Liquefied

Sherpa Offshore

“The Future Is Only 3 Years Away, and It's Located in the Pacific”

Liquefied natural gas is only set to grow in importance. According to Chevron, demand will double by 2025. That's why the company, along with

Apache Corp, ExxonMobil, and Royal Dutch Shell, is

completing $80 billion worth of LNG projects off the coast of Australia.

Daily Finance

  • 16 th March 2014

The big picture

The big picture Sherpa Offshore  A useless by-product of crude oil production until the second

Sherpa Offshore

  • A useless by-product of crude oil production until the second half of the 20th century, natural gas now accounts for 22 percent of the world's energy consumption. And the demand is growing.

  • At a geopolitical level the massive reserves of natural gas made available by the fracking process will create a new infrastructure for the consumption of gas as a primary fuel source for power generation and transportation.

Asia remains a growing consumer, particularly with (1) China’s latest Five-Year Plan calling for an increase in natural gas usage, (2) Japan replacing lost nuclear capacity with gas-

fired plants, and (3) Indonesia committing to increased gas

use for power generation, road vehicles, and ships.

The future

The future Sherpa Offshore Source ABS 6/26/2014 6
Sherpa Offshore Source ABS
Sherpa Offshore
Source ABS

The Cost Benefits

The Cost Benefits Sherpa Offshore  With dwindling reserves and more expensive extraction costs, oil prices

Sherpa Offshore

  • With dwindling reserves and more expensive extraction costs, oil prices are forecast to remain above $100bbl. In

The Cost Benefits Sherpa Offshore  With dwindling reserves and more expensive extraction costs, oil prices

contrast, current NG reserves have a 250

years outlook at expected consumption

rates.

  • Whilst the price of LNG currently varies throughout the world, this position is forecast to stabilise at a significantly lower cost per Btu than crude oil.

  • This scenario will clearly support the development of LNG as a marine fuel, however the Newco proposition is that the fuel will be a bi-product of the gas production process and available at source. The price allocated to the fuel can therefore be considered as part of the field operating cost somewhat independent of international trading prices.

7

6/26/2014

The security of supply

The security of supply Sherpa Offshore  The economic advantage of utilising LNG fuel for vessels

Sherpa Offshore

  • The economic advantage of utilising LNG fuel for vessels supporting offshore gas fields makes a solid financial proposition when the higher CAPEX versus lower OPEX is played across the life of the project … be taken directly from the export train.

..

especially

when the LNG fuel can

  • The economics become compelling in a future scenario when the availability and cost of supplying oil fuels (particularly low sulphur fuels) to remote sites is factored-in and the capital cost and space penalty of scrubbers.

  • These conditions are reflected in the major gas field developments in Asia Pacific which have the potential for a paradigm shift in creating a responsible market for future LNG powered Offshore Support Vessels which are cost effective, self- sustainable and environmentally friendly.

The security of supply Sherpa Offshore  The economic advantage of utilising LNG fuel for vessels

The technology

The technology Sherpa Offshore  LNG fuel is safe.  It has been carried as a

Sherpa Offshore

  • LNG fuel is safe.

  • It has been carried as a cargo for over 50 years without a

9
9

serious mishap.

  • It has a high ignition temperature (> 500 °C), does not burn (it has to evaporate first) and has a low flame rate at atmospheric pressure.

  • The technology associated with its use as a fuel is understood

6/26/2014

The environmental benefit

The environmental benefit Sherpa Offshore The world’s 16 largest ships emit as much as all 800

Sherpa Offshore

The world’s 16 largest ships emit as much as all

800 million cars in the world; One ship can emit 5000 tons of sulphur per year

(source: The Guardian)

If the shipping industry were a country, it would be the 7th largest producer of CO2 in the world.

6/26/2014

(source: Shipefficiency.org)

10
10

Saving the planet

Saving the planet Sherpa Offshore Three primary solutions are available to address increasingly strict emissions requirements,
Sherpa Offshore Three primary solutions are available to address increasingly strict emissions requirements, • • •
Sherpa Offshore
Three primary solutions are available to address increasingly strict
emissions requirements,
Ultra-low sulphur fuels,
Exhaust gas scrubbers,
Use of LNG as a fuel.
Although requiring more expensive upfront capital expense or
conversion costs, there is a strong body of opinion which concludes
that LNG fuel represents the only practical solution to addressing future
IMO targets for emission limits
LNG reduces
CO2/GHG by 20%-25%;
SOx and particulates by 100%
NOx by 85%-90%

The good guys

6/26/2014
6/26/2014
The good guys 6/26/2014 Sherpa Offshore 12

Sherpa Offshore

12

Latest movers

Latest movers Sherpa Offshore 6/26/2014 13

Sherpa Offshore

Latest movers Sherpa Offshore 6/26/2014 13

Getting in on the act

Getting in on the act Sherpa Offshore 6/26/2014 14

Sherpa Offshore

Getting in on the act Sherpa Offshore 6/26/2014 14
Getting in on the act Sherpa Offshore 6/26/2014 14
6/26/2014 14
6/26/2014
14

The bigger picture

The bigger picture Sherpa Offshore 6/26/2014 15

Sherpa Offshore

The bigger picture Sherpa Offshore 6/26/2014 15

Local knowledge

Local knowledge Sherpa Offshore Thai Oil 4 1300 m3 LPG Carrier (2 cylindrical tanks x 650

Sherpa Offshore

Local knowledge Sherpa Offshore Thai Oil 4 1300 m3 LPG Carrier (2 cylindrical tanks x 650

Thai Oil 4 1300 m3 LPG Carrier

(2 cylindrical tanks x 650 m3) ABS +A1 Liquefied Gas Carrier +AMS Built Keppel Singmarine 1973

Local knowledge Sherpa Offshore Thai Oil 4 1300 m3 LPG Carrier (2 cylindrical tanks x 650

6/26/2014

Lewek Constallation

Ultra deep-water Pipelay / Construction Vessel / DP3

LIFTING CAPACITY

:3000 TONNES

SUBSEA PIPE LAYING DEPTH :3000 M DNV CLASS NOTATION DNV 1A1 Ship Shaped Pipelaying Vessel, Dynapos Autro, ICE-1A, Clean DESIGN, Held-SH, Crane, EC0, BIS, COMF (V3, C3), NAUT-OSV (A) Built Triyards 2014

www.navnautik.com

16

LNG Infrastructure Support Vessels

LNG Infrastructure Support Vessels Sherpa Offshore Ship-ship bunkering – source Teekay Shipping LNG ESCORT TUG (WITH

Sherpa Offshore

Ship-ship bunkering source Teekay Shipping

LNG Infrastructure Support Vessels Sherpa Offshore Ship-ship bunkering – source Teekay Shipping LNG ESCORT TUG (WITH
LNG ESCORT TUG (WITH INTERCHANGABLE LNG ISO CONTAINERS) 6/26/2014
LNG ESCORT TUG
(WITH INTERCHANGABLE LNG
ISO CONTAINERS)
6/26/2014
5000 m3 LNG/ 5000 m3 MDO/HFO COMBINED BUNKERING VESSEL
5000 m3 LNG/ 5000 m3 MDO/HFO
COMBINED BUNKERING VESSEL

ABS / BV / DNV-GL / LRS ESP, Liquid Gas Carrier, Ship Type 2G, LNG, Independent Type C, Min Temp 164o C, Oil Tanker FP>60o C, Unrestricted Navigation, Clean Design, In Water Survey

LNG Infrastructure Support Vessels Sherpa Offshore Ship-ship bunkering – source Teekay Shipping LNG ESCORT TUG (WITH

Singapore’s investment in Offshore

Technologies

Singapore’s investment in Offshore Technologies Sherpa Offshore Intellectual Property Newco’s objectives are congruent with Singapore's technology

Sherpa Offshore

Singapore’s investment in Offshore Technologies Sherpa Offshore Intellectual Property Newco’s objectives are congruent with Singapore's technology
Intellectual Property
Intellectual Property

Newco’s objectives are congruent with Singapore's technology investment plans

A key measure of success will be the identification and registration of patents

which will underpin the Company’s and the Country’s reputation as a pioneer in

developing LNG as a responsible fuel

Singapore Maritime institute (SMI):

Singapore Maritime institute (SMI): Sherpa Offshore • 350SGD Million for R&D, education, training and policy •

Sherpa Offshore

Singapore Maritime institute (SMI): Sherpa Offshore • 350SGD Million for R&D, education, training and policy •

350SGD Million for R&D, education, training and policy Support up to 100% of the approved direct costs Public-private partnerships R&D to be conducted in Singapore Support granted through open thematic grant call Project driven

Singapore Maritime institute (SMI): Sherpa Offshore • 350SGD Million for R&D, education, training and policy •

Maritime institutes are formed at major universities to drive and coordinate research

• Maritime institutes are formed at major universities to drive and coordinate research
• Maritime institutes are formed at major universities to drive and coordinate research
• Maritime institutes are formed at major universities to drive and coordinate research
Singapore Maritime institute (SMI): Sherpa Offshore • 350SGD Million for R&D, education, training and policy •

Educate workforce for the offshore industry NUS: Master of Science in Offshore Technology Ngee Ann: Diploma in Marine & Offshore Technology

Singapore Maritime institute (SMI): Sherpa Offshore • 350SGD Million for R&D, education, training and policy •

Development of Marine & Offshore testing facilities in Singapore Set up of simulator facilities Towing tank, wind tunnel, Centre of Innovation Marine & Offshore Technology at Ngee Ann Low Speed water tunnel, small engine test room, steel structures testing facility at NTU DNV, ABS, Lloyds setting up own R&D institutes with up to 50 engineers

Thinking outside of the box

Thinking outside of the box Sherpa Offshore Our challenge is to persuade the producers to think

Sherpa Offshore

Thinking outside of the box Sherpa Offshore Our challenge is to persuade the producers to think

Our challenge is to persuade the producers to think differently about the field investment opportunities

A personal view

A personal view Sherpa Offshore Welcome to The Society For Gas as a Marine Fuel The

Sherpa Offshore

A personal view Sherpa Offshore Welcome to The Society For Gas as a Marine Fuel The

Welcome to The Society For Gas as a Marine Fuel The Society For Gas as a Marine Fuel (SGMF) encourages the safe and responsible operations of vessels using LNG as fuel and all marine activities relating to the supply of LNG used for fuel

A personal view Sherpa Offshore Welcome to The Society For Gas as a Marine Fuel The

Singapore is one of the worlds leading bunkering centers and is investing in LNG bunkering facilities.

Pavilion Gas are focused on “moving molecules” My personal view is that

we need to go further and establish a similar body charged with coordinating the investment in downstream technology and support

capabilities.

Thank you from both of us

Thank you from both of us Sherpa Offshore 6/26/2014 22
Thank you from both of us Sherpa Offshore 6/26/2014 22

Sherpa Offshore