Decommissioning and abandonment

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Decommissioning and abandonment

In order to limit the study, the nearshore and shallow water sections have been costed, where third party injury are the most likely. The assessment has been limited to lengths of pipelines allowing a continuity of work for the vessel, averaging typical flowline and export line lengths. None of the onshore disposal costs have been included and sections have also been excluded where recovery conditions are difficult.

COSTS

COSTS

ƒ Budget costs for trenching ƒ $31 000/km ($50 000/mile) ƒ Vessel costs for removal ƒ $90 000 to $190 000 per day for shallow water ƒ Inshore out to 60 m (200 ft) ƒ $190 000 to $280 000 further offshore ƒ Depths over 150 m (500 ft) ƒ Removal costs over range of diameters ƒ $33 000/km ($53 000/mile) <101.6 mm (<4 in) ƒ $72 000/km ($116 000/mile) >762.0 mm (>30 in) ƒ Costs may reduce once knowledge is gained The costs may reduce as expertise and specialist equipment becomes available. According to BSEE the decommissioning market in Gulf of Mexico is valued at $30 to $40 billion. The current industry of idle infrastructures (2013) includes 400 idle platforms, 2016 idle wells and 12 628 miles of abonnement pipeline. Some of these pipelines must be removed if deemed to be an obstruction. Source – Offshore Engineer August 2013

COSTSSUMMARY