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August 31, 2018updated 04 Sep 2018 10:28am

August’s top news stories

The Government of India opened the Discovered Small Field Policy bid round-II covering 25 discovered oil and gas reserves that are reportedly worth $14.46bn, and Santos agreed to acquire Quadrant Energy for about $2.15bn. wraps up the key headlines from August 2018.

India opens bidding for $14.46bn oil and gas reserves

The Government of India opened the Discovered Small Field Policy (DSFC) bid round-II covering 25 discovered oil and gas reserves that are reportedly worth Rs1tn ($14.46bn).

The bidding round was launched by the Minister of Petroleum and Natural Gas and Skill Development and Entrepreneurship Dharmendra Pradhan. It will commence this September and is open until December.

Approximately Rs450bn ($6.50bn) are expected in royalties, taxes and profit petroleum during the life of the fields. It is also estimated that the DSFC-II will generate 85,000 jobs.

Australian energy firm Santos to acquire Quadrant Energy for $2.15bn

Australian oil and gas firm Santos agreed to acquire Quadrant Energy in a transaction valued at approximately $2.15bn.

The acquisition will be funded by cash and new debt facilities. As of 30 June, Santos had $.15bn cash on hand.

The agreement also includes any contingent payments linked to Dorado oil / liquids 2C’s resource certification of more than 100 million barrels of oil (mmbbls), as well as a future final investment decision (FID) certification payment and royalties over any future Bedout Basin project revenue.

Kosmos Energy to acquire Deep Gulf Energy for $1.23bn

US-based oil and gas company Kosmos Energy signed an agreement to buy Deep Gulf Energy for almost $1.23bn, from private equity firm First Reserve and other associated shareholders.

The agreement involves a $925m cash sum and $300m worth of Kosmos common shares issued to the First Reserve, management, and other Deep Gulf Energy shareholders.

Marking Kosmos’ foray into the Gulf of Mexico, the acquisition will complement and expand the company’s deepwater Atlantic Margin portfolio focused on infrastructure-led exploration.

UK’s Tekmar Group to acquire Subsea Innovation

UK-based Tekmar Group reached an agreement to acquire Subsea Innovation in a cash and stock transaction valued at approximately £4m.

Subsea Innovation is engaged in the design, manufacture and supply of complex engineered equipment and technology, which is used in the offshore energy market.

The acquired entity provides large equipment handling systems that operate on the back of installation vessels. It also offers pipeline repair clamps to safeguard oil and gas pipelines, and equipment to develop offshore oil and gas projects.

Crowley supplies Shell’s semi-submersible floating production system

Crowley Maritime Corp’s offshore services group delivered Shell’s Appomattox semi-submersible floating production system (FPS) from Kiewit Offshore Services’ construction facility in Ingleside, Texas, US.

Designed for service on the open waters of the US Gulf, the FPS system was towed through the Aransas Channel using Crowley’s Ocean Sky and Ocean Sun tugboats. The company also offered escort services to the deep-water installation site.

The two DP2-class tugboats are able to perform rig moves, platform and floating production installation, storage and offloading (FPSO) unit tows, emergency response and salvage support.

Wood wins services contract for Shell’s Malampaya project

Scotland-based technical and engineering services provider Wood secured a contract from Shell to deliver asset management services to the Malampaya deepwater gas-to-power project in the Philippines.

As per the six-year contract, Wood will provide maintenance services, modifications and shutdown support to Shell’s onshore facilities in Batangas and offshore assets in the Malampaya field, near Palawan Island.

Wood will support the contract through its established local presence in Manila and regional upstream hub in Kuala Lumpur. This contract will create 60 jobs.

AP Moller – Maersk to spin off Maersk Drilling operation

AP Moller – Maersk announced plans to spin off its offshore drilling operation Maersk Drilling and list it on Nasdaq Copenhagen next year, following the evaluation of different options available for the business.

The company concluded that listing Maersk Drilling as a standalone company offers an opportunity for its shareholders to participate in the value creation of a pure play offshore drilling company.

Maersk Drilling provides safe drilling performance under some of the world’s most demanding conditions and has a stronghold in the North Sea.

Cyviz upgrades offshore control room at Neptune Energy’s Gjøa platform

Cyviz upgraded the offshore control room within Neptune Energy’s Gjøa platform located in the North Sea, without disruption to operations.

Following the upgrade, the new control room has improved collaboration, user experience and the management of operations for operators.

The platform operations, including safety, automation, wells and oil and gas production, are monitored from the control room.

Gulf of Mexico oil and gas lease sale generates $178m in high bids

The US Department of Interior (DOI) reported that Gulf of Mexico region-wide oil and gas Lease Sale 251 generated $178m in high bids for 144 tracts covering 801,288 acres in federal waters.

A total of 29 companies submitted $202.6m worth of bids in the lease sale, which involved 14,622 unleased blocks across the Gulf’s Western, Central and Eastern Planning Areas.

These blocks were located 3,231 miles offshore, in water depths ranging from 3m to 3,400m.

DNV GL to support Shell’s Penguins field redevelopment project

DNV GL secured a cross-service contract to support a Shell redevelopment project at Penguins field, located on the UK Continental Shelf.

Under the contract, DNV GL will offer integrated verification and class services to the project for the Penguins floating production storage and offloading (FPSO) vessel.

To implement the Shell redevelopment project, a team in the UK will work in collaboration with DNV GL Offshore Class unit in Norway and the DNV GL yard team in China and the Philippines.

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