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2 PiPelines international | Dec ember 2010
issue 006 | December 2010
The publishers welcome editorial contributions from interested
parties. However, the publishers do not accept responsibility
for the content of these contributions and the views contained
therein which will not necessarily be the views of the publish-
ers. The publishers do not accept responsibility for any claims
made by advertisers.
Unless explicitly stated otherwise in writing, by providing edito-
rial material to Great Southern Press (GSP), including text and
images you are providing permission for that material to be sub-
sequently used by GSP, whole or in part, edited or un changed,
alone or in combination with other material in any publication
or format in print or online or howsoever distributed, whether
produced by GSP and its agents and associates or another party
to whom GSP has provided permission.
www.pipelinesinternational.com
REGULARS
4 From the Editor18 Pipes & people64 Advertisers Index Subscriptionform Comingin future issues
AROUND THE WORLD
6 Enbridge set to expand NorthAmericas crude oil pipeline network
8 Leighton awarded pipelay contractoshore Iraq
11 Colombia moves toward constructionof its longest oil pipeline
12 OPAL Germanys pipeline gem13 GSPL to construct Indias two longest
pipelines
14 World Wrap16 Project briefs
REGION REVIEW: EUROpE
19 Energy security and pipeline politics inEurope
pIpELINE EqUIpmENT
24 A pipelayer for every season: choosingthe right equipment for your next
challenge
INDUSTRy NEWS
28 Padding machines WorldWide30 Inside and out:
benets of pipeline coating
32 Weld smarter: CRC-Evans new weldingsystem with laser vision technology
SWAmp TERRAIN
34 Getting the job done in swamp, marshand wetland terrain
37 Punj Lloyd: specialising in swamppipeline construction
pROjEcTS
39 Oando nearing completionon Nigerian pipeline
TEcHNIcAL
42 Dealing with the technicalities of CO2pipelines
pIGGING
44 Cleaning pigs maintaining pipeline integrity
47 Fitness-for-service assessment ofunpiggable pipelines
48 Kick start a successful business year atPPIM 2011
ENGINEERING
50 A snapshot of engineering contractorsand their capabilities
mEET THE ASSOcIATION
52 Committed to corrosion prevention:NACE International
HISTORy
54 The Salaya Mathura Pipeline System
SAFETy
56 HSE keeping UKs pipelines safe
pRODUcTS AND SERVIcES
57 PLM and ek pass team-up to providepipeline training
57 Emerson launches Shafer SH Seriesgas-over-oil pipeline actuator
57 Maats and Liebherr developenvironmentally-friendly equipment
57 Galaxy pencil brushes on trial in Gulfof Suez
EVENT REVIEWS
58 Industry converges on Calgary for IPC 2010
59 Pipeline convention down under60 Rehabilitation conference hits the target
EVENTS
62 Get to the p remier CO2 transportationevent in June 2011
62 Solve the unpiggable pipeline puzzle inHouston this March
63 Be the best in the business, meet thebest in the business
12 28 39
contents
UNITED KINGDOm
(Editorial and Technical)PO Box 21Beaconseld, Bucks HP9 1NSUnited KingdomTel: +44 1494 675139Fax: +44 1494 670155
UNITED STATES
(Sales)11111 Katy Freeway, Suite 910Houston, Texas 77079United States of AmericaTel: +1 713 973 5773Fax: +1 713 973 5777
AUSTRALIA
(Sales and Subscriptions)GPO Box 4967Melbourne, Victoria 3001AustraliaTel: +61 3 9248 5100
Fax: +61 3 9602 2708
PIPE COATING DIVISION
Incident and Injury Free
www.wascoenergy.com
DEEP CONNECTIONS
From a single location in Asia, strategically located at the crossroads of the worlds major shipping
No matter how deep, no matter where, were there. Wasco Energy. We make things happen.
KUANTAN
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4 PiPelines international | Dec ember 2010
Many were injured to various degrees
and eight people died in the gas
pipeline explosion at around
6:11 pm on 9 September in San Bruno,
California. The Pacic Gas and Electric (PG&E)
Line 132 Pipeline ruptured at a road intersection
in the small town in the southern suburbs of
San Francisco, releasing approximately
1.7 MMcm of gas, destroying 37 houses and
damaging 18 more.
The eect of events such as these has the
potential to impact surrounding communities
in increasingly devastating ways. The scenario
is becoming every pipeline operators worst
nightmare as owners and operators deal with
issues of encroachment.
In this case since 1956, but in many other
cases around the world for varying lengths of
time, communities have expanded to spreadinto areas that were open countryside at the
time of the pipelines construction.
The 30 inch diameter X42 steel pipeline
with 0.375 inch wall-thickness was constructed
in 1956, originally coated with hot-applied
asphalt, and was cathodically protected.
According to the operator, the pipelines
specied maximum operating pressure (MOP)
was 2,586 kPa and the maximum allowable
operating pressure (MAOP) for the line was
2,759 kPa.
According to the US National
Transportation Safety Boards (NTSB)
preliminary review of the incident, a short
while prior to the accident PG&E was working
on its uninterruptable power supply (UPS)
system at its Milpitas Terminal, around
63 km southeast of the accident site.
The report states:
During the course of this work, the power
supply from the UPS system to the SCADA system
malfunctioned so that instead of supplying an
output of 24 volts, the UPS system supplied
7 volts or less to the SCADA system. Because
of this anomaly, the electronic signal to theregulating valve for Line 132 was lost, resulting
in the valve moving from partially open to fully
open, as it had been designed to do. The pipeline
pressure then increased to 2,662 kPa. The
over-protection valve, which was pneumatically
activated and did not require electronic input,
maintained the pressure at 2,662 kPa.
At about 5:45 pm, the SCADA system
indicated that the pressure at PG&Es Martin
Station downstream of the rupture location
exceeded 2,586 kPa. The SCADA system showed
that the pressure at the station continued to rise
until it reached 2,689 kPa at about 6:00 pm, and
at 6:08 pm, the pressure dropped to 2,662kPa;
at 6:11 pm, the pressure at Martin Station
decreased to 2,492 kPa; within one minute, the
pressure dropped further to 1,999 kPa.
PG&E dispatched a crew at 6:45 pm to
isolate the ruptured pipe section by closing the
nearest mainline valves. The upstream valve was
closed at about 7:20 pm, and the downstream
valve (at Healy Station) was closed at about
7:40 pm. Once the ruptured section was isolated
and the gas ow was stopped, the resulting re
from the damaged pipeline self-extinguished.
Later that evening, PG&E isolated the gas
distribution system serving residences in the
area, and within a minute of stopping the gas
ow at about 11:30 pm, res from escaping
natural gas at damaged houses went out.
The NTSB reports that its initial
investigation of the pipe segments i nvolved
have shown that there were longitudinal
fractures in the rst and second pup
of the ruptured segment, and a partialcircumferential fracture at the girth weld
between these two pups. There was also a
complete circumferential fracture at the girth
weld between the fourth and fth pups in the
ruptured segment. The longitudinal fracture in
the rst pup continued into the pipe, ending in
a circumferential fracture in the middle of the
pipe.
It will take some time for the NTSB
investigation to establish the nal cause of
this incident. Meanwhile, PG&E has reacted
fast and responsibly, and has rapidly set up
considerable funding to help the residents of
San Bruno. The company has also introduced
its Pipeline 2020 programme, the ve areas of
which will strengthen the utilitys
67,425 km of gas distribution pipelines, and
10,300 km of gas transmission pipelines,
through a combination of targeted investments,
research and development, improved processes
and procedures, and tighter co-ordination
with public agencies according to a company
statement.
With relation to encroachment, it is
certainly not unknown for developers to have
no idea that they are constructing new homesacross hazardous pipelines. Vigilant operators
are well aware of this issue, and work hard
to maintain safe distances and rights-of-way.
Increased internal inspection, route walking
and overying are all carried out, but the
problem of how to manage a pipeline that
was in the country and is now in the town is
becoming seriously signicant.
The issue of encroachment is certain to be a
key industry issue now and in the future.
John Tiratsoo
Editor-in-Chief
from the eDitor
Cover shows constructionworks on the OPAL
Pipeline in Germany.
Editor-in-Chief: John TiratsooAssociateEditor: Lyndsie Mewett
ProductManager: Scott Pearce
Journalists: Stephanie Clancy
SalesManager: Tim Thompson
SeniorAccountManager: David Marsh
SalesRepresentatie: David Entringer
DesignManager: Michelle Bottger
Designers: Lela Sablic
Venysia Kurniawan
Benjamin Lazaro
Publisher: Chris Bland
ISSN: 1837-1167
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6 PiPelines international | Dec ember 2010
arounD the worlD
Enbridge will construct two new crude oil pipelines in Alberta, Canada, totalling 206 km, and has alsolaunched an open season through its subsidiaries for the Bakken E xpansion Programme, which willinclude the construction of approximately 266 km of crude oil pipeline in Canada and the USA.
Enbridge set to expand NorthAmericas crude oil pipeline network
The Wood Buffalo PipelineEnbridge has entered into an agreement
with Suncor Energy to construct the 95 km,
30 inch diameter Wood Bualo Pipeline in
Alberta.
The pipeline will connect Enbridges
Athabasca Terminal situated adjacent toSuncors oil sands plant to the Cheecham
Terminal, the origin point of Enbridges
Waupisoo Pipeline, which delivers crude
oil from several oil sands projects to the
Edmonton mainline hub.
The new pipeline will parallel Enbridges
existing Athabasca Pipeline between the
Athabasca and Cheecham terminals.
An application has been led with the
Alberta Energy Resources and Conservation
Board and is pending regulatory approval.
Tenders for the construction of the
pipeline are expected to be announced early
2011, and subject to obtaining regulatory
approval, right-of-way (RoW) clearing and
crossings construction is expected to begin
in the third quarter of 2011 with construction
of the pipeline expected to begin in mid-2012.
The pipelines planned in-service date is
mid-2013.
Norealis PipelineEnbridge will construct a 112 km,
24 inch diameter pipeline from Hartley to the
companys Cheecham Terminal as part of
Huskys Sunrise Oil Sands Project, located inAlberta.
Under the contract Enbridge will also
construct a new originating terminal at
Hartley, additional tankage at Cheecham, and
provide additional pipeline transportation
services on its existing Regional Oil Sands
System for up to 90,000 bbl/d of diluted
bitumen produced from Phase 1 of the Sunrise
project.
The estimated cost of the project is
approximately $US475 million with an initial
capacity of 90,000 bbl/d, expandable to
270,000 bbl/d.
Subject to obtaining regulatory approval,
RoW clearing is expected to begin in late
2011/early 2012. Pipeline construction is
planned to begin in July 2012, starting with
the Clearwater River crossing. The facilities
are expected to be in-service in the latter half
of 2013.
Pre-qualication for the pump station
and terminal facilities tenders will start in
June 2011, as will pre-qualication for thepipeline construction tender, with the tender
of the pipeline construction to occur in
September 2011.
Bakken Expansion ProgrammeEnbridge has launched a binding open
season to solicit additional shipper interest
in the Bakken Expansion Programme a
series of projects to expand crude oil
pipeline capacity in North Dakota, USA, and
Saskatchewan, Canada, to meet the crude
oil transportation needs of Williston Basin
producers.
In North Dakota Enbridge has proposed
the Beaver Lodge Loop Project, which will
involve the construction of a 72 km,
12 or 16 inch diameter looping pipeline along
the existing Enbridge North Dakota System
from the existing Beaver Lodge Station near
Tioga to Berthold. The looping pipeline is
expected to increase the capacity along the
72 km segment to approximately 315,000
bbl/d of oil. Tankage and new pump stations
will also be constructed and the pipeline
project will be undertaken by Enbridge
Pipelines (North Dakota) LLC a subsidiaryof Enbridge Energy Partners. The project is
expected to be completed by the rst quarter
of 2013.
The South of the River Truck Injection
(SORTI) and Dunn projects will consist of the
construction of a new 8 or 10 inch gathering
pipeline system to expand the Enbridge North
Dakota System, starting approximately
72 km south of its Beaver Lodge Station. The
project also consists of two new stations and
the associated work to prepare for two new
truck facilities.
The proposed expansion of Line 26/EX-02,
including added facilities in North Dakota,
Saskatchewan, and Manitoba, will include an
expansion of the US portion of the Portal Link
(Line 26) by EEP, and the construction of two
new pumping stations and enhancements ofthe pipeline north of Berthold. It is expected
that the project will begin construction in
mid-2011 and be operational by early 2013.
The Canadian portion of the Portal
Link (Line EX-02) will be extended
with the construction of a new 121 km,
16 inch diameter pipeline from Steelman,
Saskatchewan, to the Enbridge terminal at
Cromer, Manitoba. Enbridge said that it is
anticipated that the Canadian section of the
project will begin construction mid-2012 and
be completed and in-service in early 2013.
Tenders for both the US and Canadian
portions of the project are expected to be
announced between the second quarter of
2011 and the rst quarter of 2012.
TWP-077
TWP-080
TWP-083
TWP-086
TWP-089
TWP-092
TWP-095
RGE-03W4RGE-06W4R GE -1 2W 4 R GE -9 W4
SUNRISE
ENERGY SITE
PROPOSED
NEWTERMINAL
Athabasca River
63
ATHABASCA
TERMINAL
FORT MacKAY
FORT McMURRAY
ANZAC
69
881
QUIGLEY
CHARD
CONKLIN
Clearwater River
Christina River
GordonLake
NOREALISPIPELINE
CHEECHAM
TERMINAL
Christina Lake
Bohn LakeChristina River
PROPOSED NOREALIS PIPELINE
WOODLAND PIPELINE-CONSTRUCTION
TO BEGINLATE2010
WAUPISOO PIPELINE
ATHABASCA PIPELINE
SteepbankRiver
GregoireLake
WOODLAND
PUMPSTATION
September2010
PROPOSEDNOREALIS PIPELINEPROJECT
The Norealis Pipeline route.
Call for Papers:Submission Deadline
December 17, 2010
Rio de Janeiro Brazil
Information:Phone.: (+55 21) 2112-9000Fax: (+55 21) 2220-1596e-mail: [email protected]
Organization / RealizationParticipation
www.riopipeline.com.br
11/10
September 20-22
Pipeline20112011
RioRioPipeline
Conference & ExpositionConference & Exposition
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8 PiPelines international | Dec ember 2010
arounD the worlD
The scope of work to be carried out under
the contract includes the installation
and commissioning of two 48 inch
diameter parallel pipelines, with
10 km onshore and 40 km oshore, which
will link the new Fao onshore terminal to
the new single point moorings (SPMs). In
addition, Leighton will install and commission
approximately 20 km of in-eld pipelines and
the shore crossing for a third pipeline to be
installed during future expansions.
Leighton Oshore will also be responsible
for the:
Installation of SPMs complete with subsea
pipeline end manifolds;
Fabrication and installation of a subsea
valve manifold; and,
Dredging works to achieve pipeline burial.
The project will provide enhanced export
facilities from the Fao Terminal near Al
Basrah, and forms a major part of the South
Oil Companys strategic redevelopment
programme for Iraq.
Leighton Oshore will use its vessels,
Eclipse, Stealth andMynx, to complete the
project.
The contract forms part of the Iraq
Crude Oil Export Expansion Project which is
developing oshore loading facilities to enable
export capability of 4.5 MMbbl/d of oil.
Leighton Offshore has signed an engineering, procurement and construction contract with Iraqs SouthOil Company to install 120 km of onshore and offshore pipelines and three single point moorings inthe Persian Gulf, offshore Iraq.
Leighton awarded pipelaycontract offshore Iraq
Leighton Offshores Stealthvessel, which will beused to complete work for SOC in the Persian Gulf. TRAININ
201
January 2528 Subsea Production Systems Engineering (Aberdeen)
January 31February 4
Defect Assessment in Pipelines (Amsterdam)
January 31
February 4 In-line Inspection of Pipelines (Amsterdam)
February 1February 3
Subsea Pipeline Engineering Course (Amsterdam)
February 1415 Defect Assessment in Pipelines (Houston)
February 1415DOT Pipeline Safety Regulations Overview and Guidelines for Compliance(Houston)
February 1415 Pigging & Inline Inspection (Houston)
February 1415 Pipeline Repair Methods / InService Welding (Houston)
February 1415Introduction to Excavation Inspection & Applied NDE for Pipeline IntegrityAssessment (Houston)
February 1415 Performing Pipeline Rehabilitation (Houston)
February 1415 Stress Corrosion Cracking in Pipelines (Houston)
February 1415 Advanced Pipeline Risk Management (Houston)
March 1718 Microbiological Corrosion in Pipelines (Houston)
March 2125 Onshore Pipeline Engineering (Houston)
April 2529 Deepwater Riser Engineering Course (Houston)
April 2529 Subsea Pipeline Engineering Course (Houston)
JAN 2011
FEB 2011
MAR 2011
APR 2011
Training courses 2011
Are you up to speed?102000 0
Working with a faculty of some 38 leading industry experts, Clarion and Tiratsoo Technical areprivileged to provide some of the best available industry based technical training courses for
those working in the oil and gas pipeline industry, both onshore and offshore.
Complete syllabus and registration details for each course are available at:
www.clarion.org
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10 PiPelines international | December 2010 PiPelines international | December 2010 11
A new company has been incorporated in Colombia to construct and operate a new oil pipeline, whichwill run from the Casanare Department to the port of Coveas in order to facilitate oil exports from theLlanos region, considered one of the most prospective regions in Colombia.
The proposed Bicentennial Pipeline
will be owned and operated by
newly-formed company, Oleoducto
Bicentenario de Colombia.
The shareholders of the company are
Ecopetrol (55 per cent), Pacic Rubiales
(32.88 per cent), Petrominerales (9.65 per
cent), Hocol (0.96 per cent), C&C Energa,
Rancho Hermoso Canacol Energy Ltd and
Vetra Exploracion & Produccion Colombia
SAS (0.5 per cent each).
The pipeline will consist of 42 inch and
36 inch diameter pipe, and have a capacity
of 450,000 bbl/d of crude oil.
The project will be constructed in three
stages. The rst stage includes the laying of
226 km of pipe from Araguaney to Banadia
as well as infrastructure upgrades at the port
of Coveas.
Stage two of the project will see 387 km
of pipe laid from Banada to Ayacuch, while
the nal stage will see construction of the
310 km section from Ayacucho to Coveas.
The entire project is estimated to cost
$US4.2 billion.
An Ecopetrol spokesperson said that the
bidding for the engineering, procurement
and construction contact has closed and
that the contract will be awarded soon.
The pipeline is expected to be
operational by 2012.
Building an export industryColombias crude oil production forecast
for 201015 shows that the countrys total
production will continue to increase rapidly
to gures of nearly 1.3 MMbbl/d in 2013.
Ecopetrols Executive Downstream
Vice President Pedro Rosales said The
production forecasts of recent years have
been far exceeded by reality due to the
increase in investments in exploration and
production in Colombia and a success rate
higher than expected.
This increase has necessitated the
upgrade of existing pipeline infrastructure
as well as the construction of new export
pipelines to export the oil.
Nestoil has completed commissioning activities on Spread A of the 97 km Nembe Creek Oil Pipeline,which transports crude oil from the Bonny Export Terminal to Nigerias Atlantic coast as part of aprogramme to replace ageing pipelines in the Niger River delta.
Colombia moves toward constructionof its longest oil pipeline
arounD the worlD
The existing Nembe Creek trunkline
collects crude oil from 14 oil pumping
stations across the Nembe Creek,
Krakama, Awoba, Ekulama and San
Bartholomew oil elds and transport it to the
Cawthorne Channel eld and Shell Petroleum
Development Company (SPDC) of Nigerias
Bonny Export Terminal for dehydration and
export.
The replacement pipeline has a
greater capacity than the existing pipeline
to accommodate a planned production
increase, and security of the pipeline has
been improved to stop crude oil theft.
As a result of deterioration in the integrity
of the existing trunkline due to the harsh
Niger Delta environment, vandalism and age-
related deterioration, the replacement project
was initiated to improve, modernise and
restore the technical integrity of the facilities.
The project involved the construction of
three sections of pipeline including:
5 km of 12 inch diameter pipeline fromthe Nembe Creek III manifold to the
Nembe Creek tie-in manifold;
44 km of 24 inch diameter pipeline from
Nembe Creek to San Bartholomew; and,
46 km of 30 inch diameter pipeline from
San Bartholomew to Cawthorne Channel.
Spread A involved the construction of
a 49 km pipeline, consisting of the 12 inch
diameter, 5 km segment and the 24 inch
diameter, 44 km segment. This section is
located in the harsh mangrove swamp terrain
of the Niger Delta region of Nigeria, and
traverses ve neighbourhoods consisting of
approximately 100 communities in both the
Bayelsa and Rivers states in the Niger Delta
region.
The installation required six major river
crossings, the longest being approximately
1.1 km. Another 44 river and creek crossings
of various sizes required extensive dredging
activities, and the fabrication and site
installation of one main tie-in manifold, six
block valve platforms, four pig traps and
associated piping.
The new line runs parallel to the existing
Nembe Creek Pipeline, within an expanded
right-of-way (RoW). The existing line is now
to be decommissioned.
The contract for Spread B of the pipeline
46 km of 30 inch diameter pipeline from
San Bartholomew to Cawthorne Channel
was awarded to Saipem in 2007.
Beneting the communityThe replacement project is being
undertaken by a joint venture comprising of
the Nigerian National Petroleum Corporation
(55 per cent), SPDC Ltd (30 per cent), Total
E&P Nigeria Ltd (10 per cent) and the
Nigerian Agip Oil Company Ltd (5 per cent).
The Nembe Creek Pipeline construction
is currently the largest single project under
the SPDC joint ventures ongoing asset
integrity programme that has replaced
more than 1,000 km of major pipelines and
owlines in the last ve years.
arounD the worlD
Maintaining Nigeriaspipeline integrity
River Niger
T he loc at io n o f S he ll Pe tr ol eu m D eve lo pm en t C om pa ny of Nig er ias Bon ny Ex por t Te rm in al. M ap of th e p ro pos ed Bi ce nt en ni al Pi pe li ne .
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Indias Petroleum and Natural Gas Regulatory Board (PNGRB) hasawarded a contract to a consortium led by Gujarat State PetronetLtd (GSPL) to build and operate two cross-country natural gaspipelines.
GSPL to construct Indiastwo longest pipelines
OPAL Germanys pipeline gem
T
he 1,585 km Mallavaram Bhilwara
Pipeline will transport gas from the
D6 gas elds in the Krishna GodavariBasin on the east coast of Andhra Pradesh to
Bhilwara in Rajasthan.
The pipeline will have the capacity to
transport 30 MMcm/d of gas.
The GSPL consortium has also been
awarded the contract to construct and
operate the 1,670 km Mehsana Bhatinda
Pipeline, which will connect west India to
the north of the country and will transport a
mix of domestic and imported gas.
The consortium expects to commission
both pipelines between 2013 and mid-2014.The pipelines are expected to cost
$US1.3 billion each.
GSPL holds a 52 per cent interest in the
consortium, Indian Oil Corporation has a
26 per cent stake, and Hindustan Petroleum
Corporation Limited and Bharat Petroleum
Corporation Limited each hold interests of
11 per cent.
The 470 km OPAL project is being
built by Wingas on behalf of OPAL
NEL Transport GmbH and E.ON
Ruhrgas AG. It will run from the German
Baltic Sea coast through Mecklenburg-West
Pomerania, Brandenburg and Saxony
to the Czech Republic. With a 56 inch
diameter and a capacity of 36 Bcm/a, the
OPAL Pipeline is the largest natural gas
pipeline to be laid in Europe.
We are very satisfied with the progress
of the construction work so far, said
Managing Director of OPAL NEL Transport
Bernd Vogel.
Despite the long winter and difficult
weather conditions at the start of the year,
we are on schedule. We want to bring OPAL
on stream in October 2011 together with the
Nord Stream Pipeline, he said.
A signicant portion of the construction
work in Mecklenburg-West Pomerania and
Saxony is expected to be completed toward
the end of the year.
There are currently 2,500 people
working on the entire pipeline track
between Greifswald and the Ore
Mountains.
The builders will have to cross
172 roads, four highways, 27 rail lines and
39 rivers and streams before completing
the construction work.
The topsoil has been removed from
more than 400 km of the pipeline track;
over 400 km of pipe has been welded
together, said Wingas Chief Construction
Manager Michael Muth, detailing the
progress of construction work.
Mr Muth is confident that the pipeline
will be completed on schedule. We have
already begun recultivating the farmland
in some areas.
Construction crews on the Ostsee Pipeline Anbindungs Leitung (OPAL), which will connect Germanyand Europe to the major natural gas reserves in Siberia via the Nord Stream Pipeline, have reachedthe Czech Republic border a year after the commencement of construction.
Pipeline works underway on the OPAL Pipeline.
arounD the worlD
12 PiPelines international | Dec ember 2010
Despite the long winter and difficult weather conditions
at the start of the year, we are on schedule. We want to
bring OPAL on stream in October 2011 together with the
Nord Stream Pipeline.
opal net transport managing director bernd vogel
GSPLs pipeline network in India.
PiPelines international | December 2010 13
www.pipeinst.org
Recognizing your skills and status
Providing a professional network
Promoting pipeline engineering
Theglobalorganization
for oil and gas
pipeline engineers
SIGN UP TODAY!
. :
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PiPelines international | December 2010 15
worlD wraP
www.pipelinesinternational.com
worlD wraP
14 PiPelines international | Dec ember 2010To stay informed on all this news and more, subscribe to the Pipelines International Update
Construction kicks off on Chinese section of Myanmar China PipelineConstruction has begun on the Chinese portion of the Myanmar
China Pipeline project in Anning City, located in southwest China's
Yunnan Province. China National Petroleum Corporation will build
and operate the pipeline, which is anticipated to be completed in
2013. The pipeline project involves the construction of a 2,402 km
oil pipeline and a 2,500 km gas pipeline running between the
two countries.
Construction commences on South StreamPipeline in SerbiaConstruction on the South Stream Pipeline has
begun in the southeastern Serbian town of Nis.
The 120 km Serbian section of the pipeline will
transport gas 52 km from Nis to Leskovac, and
then on to Vranje. The Nis to Leskovac section is
expected to be completed by May 2011.
Georgia and Iraq to feed Nabucco PipelineTwo pipelines are planned to be constructed to the Turkish Georgian
border and the Turkish Iraqi border respectively, to supply gas into the
proposed 3,300 km Nabucco Pipeline. The planned routes of the feeder
pipelines oer a wide range of supply sources for the pipeline, which will
receive gas from Azerbaijan, Turkmenistan and Iraq. A decision on the
feeder pipelines was made after the projects shareholders agreed on a
modication of the original feeder line concept, which included sourcing
gas from Iran.
GAIL commences construction of new gas pipeline
The Gas Authority of India Limited (GAIL) has commencedconstruction of its Karanpur Moradabad Kashipur
Rudrapur Pipeline at Kashipur in India. The new pipeline will
extend 182 km from a point at Karanpur on GAILs 24 inch
diameter Auraiya Sahajahanpur Babrala Dadri Pipeline
to Rudrapur. With a planned capacity of 2.5 MMcm/d of gas, the
pipeline will supply gas to a planned power plant in Kashipur,
Uttarakhand and to industrial customers in Moradabad,
Kashipur and Rudrapur.
Agreements signed for TAPI PipelineRepresentatives of the four countries involved in the Turkmenistan
Afghanistan Pakistan India (TAPI) gas pipeline project have
signed a Heads of Agreement (HoA) for a Gas Sales Purchase
Agreement. The four countries have also signed a Gas Pipeline
Framework Agreement, following a Steering Committee Meeting,
which was held in Turkmenistan. Valued at more than $US3 billion,
the 1,680 km TAPI gas pipeline will have a total transmission
capacity of 90 MMcm/d of gas.
Willbros to build export pipelinesCB&I has awarded Willbros Group an engineering,
procurement and construction contract for
72 km of export pipelines associated with a new
gas processing plant to be built in California, USA.
The new gas plant, to be owned and operated by
Occidental of Elk Hills Inc., will be constructed by
CB&I. The project is scheduled for completion in
the rst half of 2012.
Leighton Offshore wins pipeline contractLeighton Oshore has signed an engineering
procurement and construction contract with
Iraqs South Oil Company for the installation
and commissioning of two 48 inch diameter
parallel pipelines, with 10 km onshore and 40 km
oshore in the Persian Gulf, oshore Iraq. In
addition, Leighton will install and commission
approximately 20 km of ineld pipelines and the
shore crossing for a third pipeline to be installed
during future expansions.
Arad Szeged gas pipeline inauguratedHungarian company FGSZ and Romanias Transgaz
have inaugurated the 109 km Arad Szeged Pipeline,
which connects the gas transmission systems of the two
neighbouring European countries. The pipeline received
17 million from the European Union as part of the European
Energy Economic Recovery Programme budget.
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16 PiPelines international | Dec ember 2010
Project briefs
Four Bears Pipeline
PROMOTER: Bridger Pipeli ne, PO Drawer 2360, Casper, Wyoming 82602, USA. Tel: +1 307 237 9301.
PROJECTSCOPE: The 124 km, 1 2 inch diameter Four Bears oil pipeline will originate approximately 25 km west of the
Four Bears Bridge on the Fort Berthold Indian Reservation and connect with another line approximately 30 km northwest
of Dickinson, North Dakota.
PROJECTUPDATE : North Dakotas Public Service Commission has approved the 124 km pipeline, which will transport
oil through North Dakota to regional markets.
PIPELINELENGTH: 124 km
PIPELINECAPACITY:Initial capacity of 60,000 bbl/d of oil, with the possibility of expanding capacity to 110,000 bbl/d.
EXPECTEDCOMPLETIONDATE:Mid-2011
Nord Stream Pipeline
PROMOTER : Nord Stream AG, Znamenka, 7, Building 3, 119019,
Moscow, Russia. Tel: + 7 495 229 65 85.
PROJECTSCOPE: The 48 inch diameter twin-line Nord Stream
Gas Pipeline system will transport 55 Bcm/a of gas from Russia
to Germany, where it will enter the European energy grid.
PROJECTUPDATE : The Castoro Dieci, a pipelay vessel
designed to lay pipes in shallow waters, has laid 27 km of the
Nord Stream Pipeline in the Bay of Greifswald. A second vessel,
the Castoro Sei, has reached German waters o the island of
Rgen to continue laying the pipeline towards Bornholm,
Denmark.
Meanwhile, two of the worlds heaviest ball valves have
arrived in Greifswald. The 102 t through-conduit valves were
engineered and manufactured in Italy for the Nord Stream
consortium by Petrolvalves Srl. The valves will be installed in
Germany and Russia at either end of the pipeline.
PIPELINELENGTH: 1,224 km
PIPELINECAPACITY: 55 Bcm/a of gas
EXPECTEDCOMPLETIONDATE: The rst pipeline is
scheduled to be operational in 2011, the second one in
2012.
Dabhol Bangalore Natural Gas Pipeline
PROMOTER:Gas Authority India Limited (GAIL), 16 Bhikaiji Cama Place, R.K. Puram, New Delhi 110066, India.
PROJECTSCOPE: This 1,400 km long pipeline will run from Dabhol through Kinjalkarvadi, Kasari, Kharaklat, Tappalkatti
Harva, Gadag, Gannaikanahalli, Gullur, Sarajapur, Palmaner, Chittoor, Kattivakkam to Chennai. All works associated with
construction of the pipeline from Dabhol to Bangalore have been divided into ten spreads. Included in these are two spur
lines, which will extend from Gokak in Belgaum District, Karnataka to Goa and from Sulivara in the South Bangalore District,
Karnataka to Bangalore.
PROJECTUPDATE : GAIL has awarded pipeline construction contracts for the natural gas pipeline. Punj Lloyd has been
awarded the construction contracts for seven of the ten spreads, comprising 820 km of the pipeline. Two spreads have been
awarded to KSS-KSSIIPL Consortium and the remaining spread has been awarded to Advance Stimul Consortium.
PIPELINELENGTH: 1,400 km
PIPELINECAPACITY: 16 MMcm/d of gas
EXPECTEDCOMPLETIONDATE: March 2012
Project briefs
Gazelle Pipeline
PROMOTER:NET4GAS, s.r.o, Na Hrebenech II 1718/8,
140 21 Prague 4 Nusle, Czech Republic. Tel: +420 220 221
111.
PROJECTSCOPE: The Gazelle Pipeline will bring Russian
gas to the Czech Republic via interconnections with the
OPAL and Nord Stream pipelines. The pipeline, which is
currently under construction, will extend 169 km from
Brandov to the border transfer station Rozvadov/Waidhaus.
Designed to follow a route along existing gas pipelines, the
Gazelle Pipeline will be connected to the Czech Republics
gas system via interconnections at Brandov, Jirkov,
Svinomazy and Primda.
PROJECTUPDATE : NET4GAS has begun construction on a
new border transfer station in Brandov, Czech Republic, for
the Gazelle gas pipeline.
PIPELINELENGTH: 169 km
PIPELINECAPACITY: 3033 Bcm/a of gas
EXPECTEDCOMPLETIONDATE: Late 2012
Call +1 713 521 5929 or visit www.clarion.org
CONFERENCE ORGANIZERS
B.J. Lowe,
Clarion Technical Conferences
John Tiratsoo,
Tiratsoo Technical
This two-day forum will address capabilities and guidance concerning
tools for corrosion and mechanical damage inspection of unpiggable
oil, gas and hazardous liquids pipelines.
The focus will be on existing, n ew, and developing in-line tools as well as
those in research and development.
Advances and best practices in guided-wave technologies will also
comprise a significant part of the program. Live-line access techniques,
combined with low-flow restriction robotic and wire-line-powered
internal inspection tools, will also be a special focus, especially for
pipeline segments that cannot be taken out of service when these tools
suggest a need for further integrity inspections.
Contact us today for information on registration or about sponsorship
& exhibiting options.
PROGRAM CHAIRMAN
Dr. Keith Leewis, P-PIC
PROGRAM ADVISORY COMMITTEE
Mark Andraka, PECO Energy
Drew Hevle, El Paso Corp.
Richard Kania, TransCanada Pipelines
Garry Matocha, Spectra Energy
Bryan Melan, Marathon Oil Co.Andrew Pulsifer, CenterPoint Energy
Albert Van Roodselaar, Chevron Energy Technology
Houston Marriott Westchase Hotel
UNLOCK THE UNPIGGABLE!
PLATUINUM SPONSOR
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18 PiPelines international | December 2010 PiPelines international | December 2010 19
Europe currently imports 54 per cent of its energy needs each year, a figure set to rise as its indigenouspetroleum resources decline. While a number of pipeline projects have been proposed to bring oil andgas from energy-rich neighbour Russia, ensuring a diverse source of petroleum imports has been a keytheme in the European Unions energy security strategy. Pipelines International provides a review of themajor pipeline projects currently proposed or under construction in the region.
Europe is the second smallest of the
seven continents by surface area,
extending west from the Dardanelles,
Black Sea, and Ural Mountains to the
Atlantic Ocean.
The European Commission, responsible
for proposing legislation for the benet of the
European Union (EU), stated in its 2010 report
entitled On the implementation of the trans-
European energy networks in the period
200709Europes future economic growth
and stability depend on timely and adequate
investments in energy infrastructure.
In March 2010, the European Commission
announced 1,390 million in grants to over
30 gas projects throughout Europe, including
pipelines, to ensure that the projects are
developed without delay.
The Commission said that the selected
projects reect the need to better interconnect
all EU member states and reduce the isolation
of the more remote nations such as the three
Baltic states, Ireland and Malta and that
the funding programme also responds to the
need for greater security of gas supplies by
supporting projects for reverse ow in nine
member states as well as the pipeline projects
aimed at diversifying gas imports, such as the
Nabucco and Galsi pipelines.
Bringing gas from RussiaIn the introduction to a collection of
essays published by the Centre for European
Reform titledPipelines Politics and Power,
the Centres Deputy Director Katinka
Barysch noted Russia is the worlds
largest gas producer. The EU is the worlds
biggest gas market. The two are neighbours.
Logically, the EU and Russia should have a
well-developed energy relationship.
Currently there are a number of pipeline
projects proposed or under construction
to increase delivery of Russian gas to
European markets.
Construction is underway on the
1,224 km NordStreamPipeline , which
involves the construction of two oshore
parallel 48 inch pipelines, each with a
capacity of 27.5 Bcm/a.
The pipeline will establish a direct link
between Russias vast gas reserves, via
Portovaya Bay in Russia, and the European
gas transportation systems, and will deliver
gas to Belgium, the United Kingdom,
Germany, Denmark, the Netherlands,
France, and the Czech Republic.
Enbridges Stephen J.J. Letwin toretireSTEPHENJ.J.LETwIN has retired from
his positions with Enbridge and its aliate
companies. Mr Letwin currently serves as
Enbridge Gas Transportation & International
Executive Vice President and holds Managing
Director roles at Enbridge Energy Company
and Enbridge Energy Management.
Steve Letwin has been a signicant
contributor over his 11 years as a member of
Enbridges leadership team, said Enbridge
President and Chief Executive Ocer Patrick
D. Daniel.
Mr Letwin joined Enbridge as President
and Chief Operating Ocer of Energy Services
in 1999. He was responsible for leading the
relatively new retail energy services business
unit to protability.
John M. Katok named WillbrosUpstream International OperationsSenior Vice PresidentJOHNM.KATOKhas been named Willbros
Upstream International Operations Senior
Vice President. In this role, Mr Katok will
be responsible for the companys upstream
international business development and
operations outside the United States and
Canada.
Mr Katok joins Willbros after two years
with Global Industries where he served as
Worldwide Business Development Senior Vice
President and earlier as Middle East Business
Unit Vice President. Mr Katok also held the
position of Technip US Commercial Operations
Vice President for ve years and spent 25 years
with Kellogg, Brown & Root and its predecessor
companies in a variety of roles.
Changes in senior management atCNOOCTHEOARDOdirectors of CNOOC Limited
has advised that Fu Chengyu has resigned
from his role as Chief Executive Ocer of the
company, but has continued in his position
as Chairman of the Board.
Yang Hua has been appointed as the
companys new Chief Executive Ocer and
new Vice Chairman of the Board. Mr Hua
resigned from his current role as President
and Chief Financial Ocer, while Li Fanrong
was appointed as new company President.
Mr Hua said that he has been honoured
to have worked under the leadership of Mr
Fu. It is a privilege as well as responsibility
for me to carry on the success of CNOOC, and
deliver long-term return to shareholders. Ill
do my best, said Mr Hua.
TDW joins forces with OffshoreIndependents BV
TDwOSHORE
SERvICES(TDW) has
joined forces with
Oshore Independents
BV to oer integrated
solutions for companies
interested in securing
a full range of pipeline
services and emergency
pipeline repair systems
from a single source.
The two companies
have agreed that there is a gap in the market
for an organisation that oers pipeline
recertication and project management
services, in addition to core inspection, repair
and maintenance services.
Together we oer a truly comprehensive
range of special services to the worlds
pipeline industry, said Oshore
Independents Commercial Director Dirk
Rook.
New Sales Manager at PLMGORDIETIEERGHASassumed the position
of PipeLine Machinery International (PLM)
Sales Manager in North America. He joins
the management team at PLM and will hold
responsibility for the sales team and machine
business in the United States and Canada.
Mr Tieberg has been working
closely with PLM as the Cat Financial
International Account Manager in charge
of pipeline business globally since PLM
was established in 2005. He has more than
30 years of equipment sales and nancing
experience. For the past 16 years he has
been co-ordinating international business
at Caterpillar oces in Chile, Peru, France,
Germany, Austria, and various US and
Canadian locations.
Cat Financial Territory Manager Anthony
Zaccari will be taking over the pipeline
nancing business eective 1 November 2010.
Want to advertise your vacantpositions?PiPelines internationalHAScreated
an online jobs portal:
www.pipelinesinternational.com/jobs
Pipelines International encourages
pipeline industry companies to advertise
jobs through the website as it is a
targeted, cost-eective way to highlight
your available positions to the rest of the
industry.
The newPipelines International jobs
website allows for job-seekers in the
pipeline industry to search for and apply
for jobs via region, and peruse specic,
pipeline-related jobs.
ThePipelines International jobs portal
is the latest addition to the suite of pipeline
industry resources that make up PipelinesInternational online.
As the place to begin for magazine
issues, the latest news, the directory,
technical information and more, the
Pipelines International website is a high-
trac, content-rich information portal for
the pipeline industry. The website has over
25,000 page impressions each month.
For information about job advertisement
rates, contact Tim Thompson via email:
[email protected] or call
+61 3 9248 5100.
PiPes anD PeoPle
Gordie Tieberg.
Dirk Rook.
Yang Hua.
Pipes & people
LET US KNOW YOUR [email protected]
region review
Energy security and pipelinepolitics in Europe
Works underway on the Medgaz Pipeline.
The route of the Interconnection Turkey Greece Italy Pipeline.
CONND ON PA 20
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20 PiPelines international | December 2010 PiPelines international | December 2010 21
Governments position, The Bulgarian
Government hasnt made a nal decision
regarding the construction of the Burgos
Alexandroupolis Oil Pipeline. Bulgaria
is going to wait for the completion of the
environmental assessment of the oil pipeline,
and only then will it make a nal decision.
A spokesperson for Greeces Deputy
Minister of Environment, Energy and ClimateChange said that the nal investment
decision is expected to be taken during the
second half of 2011 after the approval of the
environmental studies. Depending on the
timely approval of the environmental studies
by the governments of Greece and Bulgaria,
construction on the pipeline is scheduled
to commence by November 2013 with a
scheduled commissioning date of the second
quarter of 2016.
Increasing energy supplies fromAlgeria
The proposed GalsiPipeline project
aims at connecting Algerian gas resources to
the Italian and European markets through
a new route via Sardinia and the Italian
mainland.
The overall length of the system is
851 km, which includes a 285 km Algeria
Sardinia section, a 272 km onshore Sardinia
section and a 280 km section from Sardinia
Tuscany. The pipeline is planned to have a
total capacity of 8 Bcm/a.
Construction on the Galsi Pipeline is
scheduled to begin in 2011, and will seepipeline constructed at depths of 2,824 m.
Operation is planned for 201213.
Commissioning is underway on the
210 km MedgazPipeline. The pipeline
is designed to transport up to 8 Bcm/a of
gas from Beni Saf on the Algerian coast to
Almera, Spain.
Construction of the oshore pipeline
was completed on schedule by Saipem. The
CastoroSei pipelay vessel laid the oshore
section corresponding to the shallow areas
up to a depth of 550 m, while the Saipem
7000 laid the portion of the pipe in the
deepwater section down to 2,160 m.
The Medgaz Pipeline is a strategic project
for Algeria, Spain, and the rest of Europe,
supplying natural gas directly from Algeria,
without requiring transit through third
countries.
Connecting to the petroleumresources of the Caspian
The nal investment decision for the
NabuccoPipeline has been delayed until
2011 because a formal agreement has not
been completed to secure gas supply from
Azerbaijan.
Head of International Pipeline Projects at
Nabucco shareholder company OMV Michael
Ulbrich said Talks with the main supplier
country, Azerbaijan, are slow and that
conclusion will be postponed to 2011.
In August, the consortium announcedthe feeder line concept for the project in
which two pipelines will be constructed
to the Turkish Georgian border and the
Turkish Iraqi border respectively, to supply
gas into the proposed pipeline.
Construction of the 56 inch diameter
Nabucco Pipeline is scheduled to begin
by the end of 2011, with rst gas expected
to ow by the end of 2014. It will operate
at a pressure of 10,000 kPa, and it is
estimated that 11 compressor stations will be
constructed along the pipeline.
The pipeline will run from Turkey to
Austria, crossing Romania, Bulgaria and
Hungary, and is expected to have a capacity
of 31 Bcm/a.
The respective engineering works
have been ordered for the two feeder lines.
Depending on the exact routes of the
proposed feeder lines, the total length of the
pipeline project is estimated to increase to
approximately 4,000 km.
The pipeline promoters are understood
to have decided against constructing a feeder
line to the Turkish Iranian border, citing
the current political situation in Iran.
Project shareholders include OMV
Gas&Power, MOL, Transgaz, Bulgarian
Energy Holding, BOTAS and RWE.
The nal investment decision for the
800 kmInterconnectorGreeceItaly(IGI)
is expected to be made in December 2010.
All environmental authorisations are
in place for the project, which will consist
of a new 210 km oshore pipeline thatwill connect the Greek and Italian natural
gas transportation systems and a 590 km
pipeline to be constructed onshore in Greece.
The oshore section of the IGI, known
as the Poseidon project, will complete the
natural gas corridor through Turkey, Greece
and Italy following the inauguration of the
296 km TurkeyGreecePipeline in 2007.
The InterconnectionTurkeyGreeceItaly
(ITGI) will allow Italy and the rest of Europe
to import natural gas from the Caspian Sea
and the Middle East.
The onshore section of the Turkey
Greece Italy pipeline that remains to be
implemented in Greece will be constructed
by Greeces public gas corporation DEPAs
subsidiary The Hellenic Gas Transmission
System Operator (DESFA) and will run
approximately 590 km from Komotini to the
IGI Poseidon metering station in Thesprotia.
The 42 inch diameter pipeline will have a
capacity of 15 Bcm/a of gas and will includes
the construction of two compressor stations,
one at Komotini and one at Nea Mesimbria,
Thessaloniki.
DEPA and Edison have entereddiscussions with natural gas suppliers in the
Caspian area, specically Azerbaijan, for the
supply that will be transmitted through the
pipeline system.
Front-end engineering and design work
commenced in April 2010 and the service
control verication and implementation
study commenced in July 2010. The tender
for pipe supply is progressing after
completion of the pre-qualication stage,
while the detailed marine survey tender is
being nalised.
Construction is scheduled to begin in
2012 and it is anticipated that the pipeline
will be brought online in mid-2015.
At the landfalls at Portovaya Bay, Vyborg,
and at the German Landfall at Lubmin, near
Greifswald in Germany, both strings of the
pipeline have also already been constructed
and pulled ashore.
The Castoro Sei pipelay vessel has
commenced pipelaying activities in Danish
waters after picking up the pipeline in German
waters where the at-bottomed Castoro Dieci
pipelay vessel had completed the dicult
shallow-water section at and near the German
landfall ahead of schedule.
At the other end of the pipeline, the
worlds largest pipelay vessel, Allseas
Solitaire, has reached the Finnish Exclusive
Economic Zone after completing a key section
of the pipeline in Russian waters.
The pipeline is on schedule to start
transporting gas from Russia to customers in
the EU in late 2011.
Construction works are on schedule for
the 470 km OstseePipelineAnbindungs-
Leitung(OPAL) in Germany.
The pipeline will run from the German
Baltic Sea coast through Mecklenburg-West
Pomerania, Brandenburg and Saxony to the
Czech Republic, and is one of two pipeline
projects proposed to connect the Nord Stream
Pipeline to the existing pipeline grid in middle
and Western Europe, the other one being
the NorddeutscheErdgasLeitung(NEL)
Pipeline.The OPAL Pipeline is being built by
Wingas on behalf of OPAL NEL Transport and
E.ON Ruhrgas AG and is scheduled to come on
stream in October 2011.
The NEL Pipeline is a planned 440 km
natural gas pipeline in Germany, which will
run from Greifswald to Rehden. It will connect
the Nord Stream Pipeline with the existing
Rehden Hamburg and MIDAL gas pipelines.
Together with MIDAL, the NEL Pipeline will
create a GreifswaldBunde connection.
The majority of pipeline works are
scheduled to be completed during
201112 and the pipeline is expected to come
online in 2012. The invitations of tender for
the construction work of the NEL Pipeline are
currently underway.
Serbia has commenced construction on
a 120 km pipeline, which will transport gas
from Nis to Leskovac and then on to Vranje.
It is anticipated to connect with the proposed
SouthStreamPipeline .
Gazproms proposed South Stream
Pipeline will include a 900 km oshore
section traversing the Black Sea from the
Beregovaya compressor station on Russias
southwest coast to the Bulgarian coast. From
Bulgaria the pipeline will transport up to
63 Bcm/a of natural gas to south and
central Europe.
Two possible routes are under review
for South Streams onshore section from
Bulgaria one heading northwest and the
other heading southwest. A feasibility study is
scheduled to be completed in early 2011, and
construction is expected to start in 2013, with a
commissioning date anticipated for late 2015.Intergovernmental agreements have
been signed with Bulgaria, Serbia, Hungary,
Greece, Slovenia, Croatia and Austria in order
to implement the projects onshore section
beyond Russia.
Importing Russian oilRussian rm Transneft is continuing
construction of the 1,170 km Secondaltic
PipelineSystem(PS-2), after it reached the
960 km point in September.
The BPS-2 will extend from the Unecha
junction of the Druzhba Pipeline, near the
RussiaBelarus border, to the UstLuga
terminal on the Gulf of Finland.
Construction of the project commenced in
June 2009 and is expected to be completed in
early 2012.
The preliminary environmental impact
statement for the Greek section of the urgos
AlexandroupolisPipeline also known as
the Trans-Balkan Pipeline was approved in
August 2010.
The oil pipeline project involves the
transportation of Russian and Caspian oil
from the Bulgarian Black Sea port of Burgos
to the Greek Aegean port of Alexandroupoli. It
would be an alternative route for Russian oil
bypassing the Bosporus and the Dardanelles.
However, Bulgarias Prime Minister
Boyko Borisov has created uncertainty over
Bulgarias commitment to the pipeline after
he announced in June 2010 that Bulgaria
would not take part in the pipeline. Despite
this, Bulgarias Council of Ministers released
a statement immediately following the
Prime Ministers statement to clarify the
region reviewregion review
Construction is underway on the OPAL Pipeline in Germany.
A map of the Burgos Alexandroupolis PipelineProject.
The Gja platform, located in the Norwegian North Sea.The Gja Pipeline is nearing completion to enable gasexport from this platform. Image courtesy of Statoil.
Lowering-inactivities underwayon theOPALPipeline.
CONND FROM PA 19 azproms proposed
South Stream Pipeline will
include a 900 km offshore
section traversing the Black
Sea from the Beregovayacompressor station on
Russias southwest coast to
the Bulgarian coast.
CONND ON PA 22
Possible Nabucco IGI link
German utility and Nabucco Pipeline stakeholder RWE has proposed to link theNabucco Pipeline to the proposed Interconnector Greece Italy (IGI).RWE said that it would be possible to connect IGI to Nabucco at two points; eitherin Turkey via a short interconnector or in Bulgaria through the Bulgaria-GreeceInterconnector.
According to RWE the connection of the two pipelines would open Greece and Italy tothe secure and stable transportation route of Nabucco.
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PiPelines international | December 2010 2322 PiPelines international | Dec ember 2010
The pipeline would transport
approximately 1.2 MMbbl/d of oil to supply
Italy and central Europe, with around nine
per cent of the oil to be supplied to Serbia and
Croatia. The feasibility study for the project
had originally estimated that the pipeline
would commence operations in 2011, however
no tender for construction works has been
announced.
The three European gas exportersOther than Russia, Denmark, the
Netherlands, and Norway are the only
European countries which are net exporters
of natural gas their annual export volumes
being 5.3 Bcm, 50.1 Bcm, and 86.1 Bcm
respectively in 2007.
The Netherlands state-owned
infrastructure company N.V. NederlandseGasunie is currently working on the Dutch
Governments gas roundabout concept,
which will see the Netherlands becoming the
heart of a major gas hub for northwestern
Europe.
Involved is a network of 15,000 km high-
pressure gas pipelines, many up to
48 inches in diameter, in both the
Netherlands and Germany. The idea is to
combine gas from Dutch and German elds
within the Gasunie pipeline network with gas
from other international sources including
Russia, Norway, the Middle East, Asia, and
Africa and to transport it onward to the
United Kingdom, Germany, France, Belgium,
and consumers in other European countries.
As part of the gas roundabout project,
a new pipeline being constructed is the
485 km, 48 inch diameter, NorthSouth
Pipeline, which is in two sections. The
longer one is in the east of the country and
runs from Rysum in northern Germany
and Oude Statenzijl in the north of the
Netherlands, to Schinnen in the south. The
shorter section runs from a new compressor
station at Wijngaarden in the centre of the
country to an export station at Zelzate in the
southwest, on the Belgian border.
Meanwhile, the alticGas
Interconnectorproposed to connect the
gas networks of southern Sweden, northern
Germany and eastern Denmark is currently
under review.
Despite receiving authorisation for
each of the three countries involved in theproject, the possibility of the Nord Stream
Pipeline being extended to the Swedish gas
pipeline network combined with a change
in Swedens energy priorities to promote
renewable energy options, has led to a delay
in the project, originally anticipated to enter
into operation in 2010.
The alticPipe aimed at connecting
the Danish and Polish gas systems to
Norwegian gas resources has been delayed
after the Skanled Pipeline project was
suspended.
The gas pipeline would be oshore with
an approximate length of 3845 km, and
would have an estimated capacity of 2.5
Bcm/a of gas.
The SkanledPipelineaims at
connecting the Danish and Swedish gas
systems to Norwegian gas resources. The
planned pipeline will go from Karsto, on the
Norwegian West Coast, to the Norwegian East
Coast, and on to Sweden and Denmark.
The pipeline is expected to have a
capacity of 8.3 Bcm/a and a total length
of 1,130 km, including an 860 km oshore
section, a 250 km Danish onshore section and
a 16 km Swedish onshore section.
Though feasibility studies have been
performed, the project was suspended in
April 2009 due to increased commercial
risk combined with the global economic
developments that have given an uncertain
view on future gas demand. The project may
be re-launched if commercial conditions
become more favourable in the future.
Exploring the North SeaFirst gas has begun to ow through the
GjaGasPipeline, located in the Norwegian
North Sea, to Great Britains Far North Liquids
and Associated Gas System (FLAGS).The 28 inch pipeline runs 130 km from the
Gja/Vega elds to the tie-in point with the
Shell-operated FLAGS Pipeline, which will
carry rich gas to the receiving terminal at St
Fergus in Scotland.
The Gja Gas Pipeline will initially be
used to import gas from FLAGS to enable
the completion of the Gja platform. Once
production commences at the Gja platform
the pipeline will be used to export the gas.
Overall gas production capacity for Gja,
which lies about 40 km north of the Fram
eld, will be 17 MMcm/d.
Oil from the elds is due to be exported to
the Mongstad terminal near Bergen via a new
50 km pipeline tied into Troll Oil Pipeline II.
Romania, Azerbaijan and Georgia have
signed a Memorandum of Understanding
for the AzerbaijanGeorgiaRomania
Interconnection(AGRI)LNGProject , which
would include the construction of a pipeline
to transport gas from Azerbaijan to Georgias
Black Sea coast. From here the gas would
be liqueed and shipped to Romanias coast
where it would be re-gasied and delivered
into Romanias pipeline system and shipped to
European markets.
Proponents from both the AGRI LNG
project and the Nabucco Pipeline will be
seeking commitments from Azerbaijan to
secure access to the countrys nite gas
resources.
Albanian Ministers and government
ocials have endorsed the revised route of
theTransAdriaticPipeline(TAP) through
Albania.
Traversing a total distance of 520 km,
the pipeline will originate near Thessaloniki,
Greece, and cross Albania and the Adriatic
Sea, before terminating near Brindisi, Italy.
The pipeline will have an initial capacity of
10 Bcm/a of natural gas.
TAPs construction schedule aligns
with the development of the Shah Deniz gas
eld in Azerbaijan. The project is currently
at the front-end engineering design stage,
with preparations underway for the nal
investment decision and construction. TAP
will transport gas from the Caspian Sea and
Middle East regions to Italy, through Turkey,
Greece and Albania. The pipeline will have a
capacity of 10 Bcm/a.
The proposed whiteStreamGas
Pipeline will provide a link between the
South Caucasus Gas Pipeline in Georgia
and Romania. The length of the pipeline is
estimated to be 1,100 km, which includes a
700 km oshore section to be constructed
across the Black Sea in water depths in excessof 2,000 m connecting Georgia to Crimea in
the Ukraine.
A spokesperson for the consortium
said that the feasibility studies carried out
have proven the technical, economic and
legal feasibility of the project. Detailed
routing studies are now moving forward,
particularly for the Black Sea crossing,
including a reconnaissance marine survey and
environmental impact studies.
The project is currently on schedule for a
nal investment decision towards the end of
2013 with construction starting in 2015 and the
rst pipeline with 8 Bcm/a capacity becoming
operational in 201718, shortly after the
start-up of the Nabucco Pipeline.
After the initial pipeline is bought online,
construction on a further three pipelines
of similar capacity will commence to meet
expected export demand of both Azerbaijan
and Turkmenistan.
Transnafta has proposed a 1,320 km
pipeline to transport crude oil from theCaspian and Black Sea region to the Pan-
EuropeanOilPipeline(PEOP) .
PEOP is a newer manifestation of a
project formerly known as the Constanta
PanceoOmisaljTriestePipeline , and is
designed to take Caspian and Russian oil from
the Black Sea port of Constanta in Romania,
through Serbia, Croatia and Slovenia, to
Trieste in Italy. From there it would join with
the existing Trans-Alpine Pipeline and the
Italian pipeline network, with any excess oil
to be shipped from Genoa in Italy.
region review region review
North Sea fast facts
21 new petroleum elds werediscovered in the North Sea in2009 alone
Approximately 155 MMcm of oilequivalent was produced in NorthSea elds last year
Norwegian gas is exported tomarkets through a network of
pipelines approximately7,800 km long
The second pipeline string is pulled ashore at the German Landfall for the Nord Stream Pipeline project.
The South Stream Pipeline route.
Pipe stringing along the OPAL Pipeline route.
AmapoftheWhi
teStreamandNab
uccopipeline
routes.
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Getting (inter)connected
Some of the pipeline projects proposed or underway to connect Europes gastransmission system: FGSZ declared the results of binding Open Season for theSlovakia Hungary
Interconnectoras unsuccessful for the Hungarian part of the plannedinterconnection. Despite the result the company will analyse further alternativesto have the Slovakia Hungary Interconnector project potentially nanced andconstructed in another way.
The proposed Poland Lithuania gas pipeline would link the Baltic states ofEstonia, Latvia and Lithuania to the Polish gas supply and transmission system.Polands gas transmission operator Gaz-System and Lithuanias Lietuvos Dujoswill conduct a feasibility study to determine the possibility of constructing a gaspipeline between the two countries.
Bulgarian Energy Holding, Greeces DEPA and Italys Edison International Holdinghave reached a development agreement regarding the construction of theInterconnection Pipeline Greece Bulgaria(IGB).The 160 km IGB, proposed to transport gas from Komotini, Greece, to Stara
Zagora, Bulgaria will have a capacity to transport between 3 and 5 Bcm/a and isdue to come into operation in 2013.
Bulgarias Minister for Economy, Energy and Tourism Traycho Traykov, andSerbias Minister for Mining and Energy Petar Skundric have signed a jointstatement paving the way for the proposed 180 km Bulgaria Serbia GasPipeline.The pipeline would have a capacity of 2 Bcm/a starting in Nis, Serbia and crossthe border near Dimitrovgrad in Bulgaria and would be the rst interconnectorbetween the transmission systems of Bulgaria and Serbia.
In Spain several gas interconnections are currently under construction: Tivissa Paterna Pipeline, Tivissa Castelnou Pipeline, Zarza Tajo Yela Pipeline, and
Yela Villar Arnedo Pipeline.These four interconnections have a total length of 681 km and a capacity of 3.14 Bcm/aand are scheduled to enter into operation by the end of 2012.
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24 PiPelines international | Dec ember 2010
PiPeline equiPment
Pipelayers and sidebooms are integral to pipeline construction and often have to work in extremeor hazardous conditions. PipeLine Machinery International Vice President Product Support LindleyImeson describes some of the features required for working in Arctic and mountainous conditions,explaining how efficient pipelaying can still be achieved with the right equipment and know-how.
Pipelines are often constructed in
hazardous conditions, including
extreme hot and cold temperatures,
through mountainous and rocky terrain, and
in wet areas. As such, pipelayer machinery
needs to be engineered for a long life in
extreme conditions.PipeLine Machinery International (PLM)
distributes Caterpillar pipelayers such as
the large 587T and 583T models, which
mirror the Caterpillar D8 tractor body with a
heavy, strong and durable mainframe. Full
box sections, steel castings and continuous
rolled rails provide durable support to the
undercarriage, elevated nal drives and other
integral frame components. The elevated
sprocket undercarriage eectively isolates the
drive train components from ground-induced
impacts. The undercarriage is designed for
optimised machine balance, performance and
component life. The ACERT engine technology
used in all new Caterpillar purpose-built
pipelayer models ensures optimum engine
performance and fuel-eciency while
meeting EPA Tier 3 and EU Stage IIIA engine
exhaust emission regulations.
Working in extreme conditionsGearing up for extreme cold conditions
represents a number of challenges. Lessonslearned in the 1970s during the construction
of the Alyeska Pipeline have gone into the
engineered design of Arctic solutions for all
Caterpillar pipelayers.
All models can be equipped with Arctic
uids, engine oil, coolant, transmission,
nal drive, drawworks and undercarriage
components. Quick evac solutions are also
available on all Caterpillar pipelayers for
added environmental safety. Special Arctic
solution items include idlers, nal drives,
track roller cold weather seals and lubricants
along with heavy-duty cold weather batteries,
in addition to insulated cabs with thermo-
pane glass. Component heaters using fuel-
red coolant circulation and 110 volt/240 volt
electric water jacket heaters can be added for
longer component life and additional cab heat
for extreme cold conditions. The tractors are
also equipped with solid engine enclosures,
under hood air intake and reversible fans
for added heat retention. Enhanced lighting
solutions for operation in decreased daylightoperations are available for added safety.
The quality of steels used in the
mainframe, booms and counterweights helps
to avoid the common brittle steel problem
associated with working at temperatures
around -45 degree Celsius. The 583T, 587T
and PL61 are all available with enclosed
cabs. The cabs are designed for operator
comfort and productivity in any climate, and
are fully insulated with a heater (or can be
equipped with air conditioning). Caterpillar
cabs are designed with a maximum glass
area (the dual pane option is available
for cold weather) for excellent visibility.
A pipelayer for every season:choosing the right equipmentfor your next challenge
All Caterpillar pipelayers can be equipped with components suitable for Arctic conditions, including engine oil, coolant, transmission, nal drive, drawworks and undercarriage components.
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26 PiPelines international | December 2010 PiPelines international | December 2010 27
A skylight window is placed for viewing
the boom and upper block, and si de
windows are screened to allow for ground
communication and better ventilation.
Lifting capacityThe 587T has a lifting capacity of
91,625 kg and is powered by the Cat C15
ACERT engine performing at full-rated net
power of 366 horse power (hp) at 1,800 rpm.
The 583T has a lifting capacity of
63,504 kg and uses the same engine
performing at a full-rated net power of
310 hp at 1,850 rpm. The large displacement
and high-torque rise provides the 587T and
the 583T with the power needed for the safe
handling and consistent multi-functional
operation required for poor ground
conditions, while managing the less exible
characteristics of cold pipe.
As the pipe size and tractors required
PiPeline equiPment PiPeline equiPment
increases, the smooth operation of the
hydraulic drawworks allows for precise and
co-ordinated handling of 30 inch diameter
and above pipe in all wall thicknesses in
adverse conditions.
With a lifting capacity of 18,145 kg, the
PL61 is well-suited to lifting smaller size
pipe generally below 16 inch i n diameter.
This unit has been designed to be ideal for
gathering systems or for urban installations
where transportation to the site and onsite
clearances require a more compact machine.
With counterweight and boom removed, the
PL61 is a mere 2.9 m in width with a shipping
weight of 16,070 kg.
Mountainous conditionsStability during the lowering-in process
in sloping conditions is a challengerequiring strict attention to safety, machine
tolerances and operator capability.
Numerous factors impact lifting capacity on
slopes, including the length of the boom,
the load, the load overhang, the load swing,
ground conditions, operator experience
and track tension. The higher the load, the
less capability the machine has in sloping
conditions. In order to mitigate this, the
number of pipelayers used or the size of
pipelayers should be increased so that the
relative load per pipelayer is reduced.
The length of the sideboom used also
has an eect on pipeline installation in
mountainous terrain: the shorter the
sideboom, the better the slope performance
of the pipelayer. For example, a 7.3 m
sideboom will outperform an 8.5 m sideboom
by approximately 3 degrees, and a 6 m
boom will outperform an 8.5 m sideboom by
approximately 6 degrees. Increasing the load
overhang has a positive impact on fore-aft
slope capability. Keeping the boom further
extended on a 20 degree slope will result
in the load line location being closer to the
rear of the pipelayer. The key is to alwayscarry the load as far out as possible without
impacting the side tipping point.
Load monitoringExperienced pipelayer operators can
read a pipe load very eectively. However
a reliable and precise pipelayer system is
important when ground conditions change,
when less experienced operators are at
the controls or when tracks shift on loose
rock. Distributed exclusively by PLM, the
Pipelayer System by Cranesmart eliminates
guesswork, and is designed to provide
operators with the precise load-management
information required for a safe and ecient
job. All information regarding the load,
he higher the load, the less capability the machine
has in sloping conditions. n order to mitigate this, the
number of pipelayers used or the size of pipelayers
should be increased so that the relative load per
pipelayer is reduced.
slope, overhang, lift capacity and two-block
alarm are integrated through Cranesmarts
wireless technology into a large, easy-to-readoperator display panel. Operators have the
information required to help prevent tip-
overs, roll-overs and equipment damage due
to overloading and extreme slope operations.
Pipeline trainingPipeline projects are often located away
from large training facilities. The contractors
equipment eet is a diverse mix of types,
makes and models, making operator training
hit and miss. A construction contractors
safety programmes needs to be disseminated
to a large temporary workforce, often in
a multi-language format, and owning
companies and regulators have specic
requirements for training.
PLM has teamed with ek pass to
provide solutions to the training challenge.
The training company is PLMs exclusiveprovider of pipeline operator training and
related consulting services around the
globe. ek pass provides training services
on equipment from over one hundred
manufacturers. Training is focused on
improved operator and right-of-way safety,
productivity and reduced maintenance
costs. Operator training is usually provided
on a pipeline spread using the equipment
that the trainees will be operating, saving
time and increasing the relevancy of the
training. The professional consultants with
ek pass have been delivering award-winning,
customised instructor-led training on client
sites worldwide.
Caterpillar pipelayers are tted with ACERT engine technology and meet EPA Tier 3 and EU Stage IIIA engine exhaustemission regulations.
The PL61 pipelayer.
ThePipelayerSystemhelpseliminatetheguessworkinload-management.
A pipelayer at work in Alaska.
A Caterpillar pipelayer working in desert conditions.
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28 PiPelines international | Dec ember 2010
The companys machines are constantly
being upgraded. Machines can be tailored to
clients needs.
Safety featuresWorldWide Machinery recognises
the importance of safety on a pipeline
construction spread. The companys padding
machines were the rst padding machines to
be tted with roll-over protection structures.
Recently, the company has added cameras to
the back corners of each machine to reduce
blind spots. Combined with the wide front
screen, optimal vision is achieved.
The operator can control the machine
entirely from the cabin, which is tted with a
dust lter and air conditioning.
The SPD-450 also has two operator
platforms in the cabin so that the operator
can work on both sides of the machine. This
gives the operator a much better view of what
is going on in the ditch, says Mr Hafemann.
WorldWide ensures that operators
receive appropriate training before using
the companys machines. Technicians are
sent with delivery of the machine to helpwith assembly and train operators in proper
usage and maintenance. The training takes
approximately one week. The technicians
take the new operators for a dry test run,
then a test run together.
The hardest part is getting used to
driving with the machine on the backll,
and you stay on the backll side when
you have a big ditch. The backll pile can
be around 3 m high and the ditch can be
around 2 m deep, so you can get quite a
surprise if you look down at the ground,
says Mr Hafemann.
WorldWide Machinery also
manufactures pipelayers, bending
machines, earthmoving equipment, pipe
bevelling and cold cutting machines and
vacuum pipe lifting equipment.WorldWide Machinery recently sold
an SPD-450 padding machine to
Nacap Australia for work on the
South West Queensland Pipeline Expansion
project, which involves the construction of
940 km of 18 i nch diameter looping pipeline.
The padding machine has started
working on the pipeline spread and has been
backlling at rates up to 360 cubic metres
per hour using a 0.75 inch screen. WorldWideMachinerys Jurgen Hafemann said that the
longest run on the project so far has been
4.5 km.
The SPD-450 machine is also being used
on projects in Europe, such as the
56 inch diameter OPAL Pipeline. WorldWide
Machinery builds equipment including
padding machines, pipelayers, and
benders for projects from 660 inches.
The SPD-450 has a Caterpillar
C-13 ACERT Tier 4 Interim Stage III B engine
capable of 328 kW of power. The machine
uses Bosch Rexroth hydraulic systems,
gearbox and nal drives. The hydraulic and
shaker systems can be adjusted to suit any
terrain, such as soft or wet material.
Tailoring machinery toclient needs
All of WorldWides machinery is built
under CE approval, meaning that it meets
the European Unions safety, health, and
environmental requirements. The padders
are assembled in the companys factory
in Italy. The main components of the
machinery come from well-known, reputable
manufacturers such as Caterpillar and areavailable all over the world, enabling easy
replacement of parts.
For us it is very important to use
components that you can get from all over
the world. We want to build customer-
friendly machines, says Mr Hafemann.
Mr Hafemann says that the company
also makes a concerted eort to listen to its
customers because the company wants to
make their machines as easy-to-use and as
safe as possible.
Were very open to listening to our
customers. We want to make it easier
and safer, and more comfortable for the
operator.
inDustry news inDustry news
SPD-450 features
Engine model: Caterpillar C-13 ACERTTier 4 Interim Stage III B
Power: 328 kW
Main pumps: Bosch Rexroth
Transmission: hydrostatic
Motors: hydromatic
Gearbox and nal drives:Bosch Rexroth
Undercarriage: Berco
Screening area: 8.4 sq m
Fuel tank: 720 litres
Hydraulic system circuit: 800 litres
For more information visitwww.worldwidemachinery.com
With a screening area of 8.4 sq m and an operating weight of 53,864 kg, the SPD-450 padding machineis the biggest padding machine manufactured by Superior, a part of WorldWide Machinery. PipelinesInternational spoke to WorldWide Machinerys Vice President Pipeline Operations Jurgen Hafemannabout the SPD-450s features and capabilities.
Padding machines WorldWide
PiPelines international | December 2010 29
WorldWides padding machine at work for Nacap Australia.
Padding works are completed on a pipeline projectin the UK.
Padding machines can be built for pipeline projectsfrom 6 to 60 inches in diameter.
WorldWide padders are suited to all terrains.
Padding screens are available in many different sizes.
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30 PiPelines international | December 2010 PiPelines international | December 2010 31
pipeline. These reduced energy costs can
provide a nancial payback within three to
ve years of service. It may also be possible
to achieve further savings by reducing
the number of compressor stations, or
compressor size and c apacity.
The Zamoranos 2002 study concluded
that fuel gas costs for the compressor
stations situated along the 1,200 km length
of the Atacama Gas Pipeline, were 26.9 per
cent lower on the coated section of pipeline
than on the uncoated section.
External pipe coating protection:a history of success
The main methods of protecting
underground pipelines from corrosion are
external coatings and cathodic protection.J. Alan Kehr, a leading American expert
on pipeline coatings, states that external
pipe coatings are intended to form a
continuous lm of electrical insulating
material over the metallic surface to be
protected. The function of such a coating is
to isolate the metal from direct contact with
the electrolyte, interposing a high electrical
resistance so that electrochemical reactions
cannot occur.
Single-layer FBE has proven performance
in both onshore underground and oshore
subsea environments. The product is an
eective corrosion-resistant barrier for line
pipe, eld joints, ttings and bends. Since its
rst use in New Mexico in 1960, FBE coating
has remained the external pipe coating of
choice in North America.
Since their introduction in 1991, dual-
layer powder coatings have also gained
popularity for use with pipelines operating
at a high temperature. A