This document summarizes decommissioning in the USA. It discusses the typical decommissioning process which involves removing deck structures and using explosives to sever and remove platform components. It provides statistics on the number of active and removed offshore platforms in the Gulf of Mexico by water depth. Deepwater platforms now make up a large portion of the inventory. Regulations are in flux as the agency responsible for oversight was recently reorganized. Issues like supplemental bonding and reefing options are under review. A new policy aims to remove "idle iron" that has not been used for operations in over 5 years. Hurricane damage in the Gulf has increased decommissioning costs significantly and challenged complete platform removal. Limited resources may impact decommissioning on the West Coast

1. DECOMMISSIONING IN THE USA
Presented to the
Forum on
Identifying the Synergies Between
Decommissioning and Wreck Removal
December 2010
Presented by
Robert C. Byrd, PhD, PE

2. Offshore Platform Components

3. The Decommissioning Process

4. Deck Removal

6. 50 lb. Configured Bulk Charge
with Eight Detonators
ith Ei ht D t t

7. BP P15 R1JN Platform Removal
Cold Cutting
• Water abrasive cutting w/ internal pile cutter

9. Partial Removal
CENTER BRACING CUT OUT
CUT CUT LEAVEING A MIN. ONE FOOT
STUB FOR SLINGS
M.W.L.
CUT OFF @ -86 ELEV
JUST ABOVE DOUBLER CUT
LEAVE 6 INCHES OF LEAVE 6 INCHES OF
METAL ON THE OUTER METAL ON THE OUTER
EDGE OF LEG A1 & B1 EDGE OF LEG A4 & B4

11. Active Platforms by Water Depth
3500 3480
Number of Active Platforms
3000
2500
P
2000
1500
o
1000
442
500
N
47 4 25
0
0 to 200 201 to 400 401 to 800 801 to 1000 Above 1000
Water Depth (Meters)

12. Number of Gulf Of Mexico OCS Platform
Installed vs Removed (1942-2008)
250
225
200
Number of Platforms
175
150
f
125
100
75
50
25
0
1940 1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
Year
Installed Removed

13. Number of Gulf Of Mexico OCS Platform
Installed vs Removed (2000-2008)
225
200
175
Number of Platforms
150
f
125
100
75
50
25
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Year
Installed Removed

14. US Gulf of Mexico Inventory Summary
2009 5‐YR CUMULATIVE 2009
AVERAGE (1947‐2008) Balance
(2003‐2008)
(2003 2008) Remaining
Well 258 380 35,802 16,203
Drilled
D ill d
Structures 63 92.4 6,838 3,712
Installed
Wells PA 592 424 19,599
Structures 158 141 3,126
,
Removed

15. US GOM– Deepwater Inventory
Structure Type Units
Fixed Platforms in Depth 400-600 ft (125 – 188 m) 41
Fixed Platforms, including Towers, in Depth 600 - 1700+ ft (188 – 530+ m) 29
Classic Spar 3
Truss Spar
T S 12
Cell Spar 1
MiniDOC Spar 2
Mini or New Generation Tension Leg Platform (MTLP) 6
Conventional Tension Leg Platform (TLP) 9
Semi Submersibles (Semi) 8
TOTAL 111

16. US Pacific OCS Inventory
Platform Water Depth Total
Name (ft) Weight
A 188 6,405
B 190 6,535
C 192 5,796
Edith 161 9,147
Ellen 265 14,016
Elly 255 9,400
Eureka 700 38,360
Gail 739 33,924
Gilda 205 11,690
Gina 95 1,426
Grace 318 11,256
Habitat 290 9,044
Harmony 1,198 78,380
Harvest 675 32,815
Henry 173 4,046
Heritage 1,075 67,515
Hermosa 603 29,516
Hidalgo 430 22,478
Hillhouse 190 5,929
Hogan 154 5,497
Hondo 842 28,713
Houchin 163 5,977
Irene 242 8,646

19. Hurricane Damage:
Major Impact in GOM since
2005

20. What Changes After Hurricane
Damage?
Everything, except the Regulations
Decommissioning Costs increase by
10x or more
10x or more

21. Typical 2005 Hurricane Katrina
Damage

22. Hurricane Katrina Damage (cont )
(cont.)

23. 2008 Hurricane Ike Damaged Platforms

24. Vermilion 281 A– Before
A

25. The Platform – After

35. The Regulatory Environment:
In a high state of flux: New people
in the BOEMRE (formerly MMS)
( y )
Supplemental Bonding continues
pp g
to be under review
Reefing options being challenged
New NTL to remove “Idle Iron”

36. New Decommissioning NTL
The NTL Defines No longer useful for operations
The NTL Defines “No longer useful for operations”
which is used in the regulations for:
• Wells
• No production 5 years
• No plans for future operations
• Platforms
• Toppled
• Has not been used in past 5 years for operations
associated with exploration, development or production
of oil/gas
of oil/gas

37. Idle Wells and Facilities

38. USA Decommissioning Summary &
Conclusions
• The GOM has a long history in Decommissioning.
• The regulatory climate has grown uncertain
The regulatory climate has grown uncertain.
• Deepwater Fixed Platform complete removal may
g
be a challenge.
• Limited availability of resources may be a
challenge, particularly on the US West Coast.
• Reversibility a major issue in some deepwater
systems.

39. Questions?