Frequently asked Questions
Pivotree represents a path to market for the owners and operators of marginal and even stranded fields that cannot be economically produced via subsea tieback or a conventional standalone facility.
Pivotree creates a stepwise change in field economics, by vastly reducing CAPEX, OPEX, ABEX, and time to first production. Pivotree can be used in water depths beyond the reach of fixed jackets and platforms and has the lowest environmental impact and abandonment burden in the industry.
Watch our video to find out more.
Pivotree’s patented “mooring and production subsea tree” provides 360-degree station-keeping for a “Handysize” or “Handymax” floating production storage and offtake vessel, thereby eliminating all but the minimum equipment required for safe and fully functional operations.
This proprietary capability underpins a new self-supporting floating offshore hydrocarbon development concept that is suitable for the mid-water, reusable, and has very low environmental impact.
Pivotree can be used to produce hydrocarbons in the following ways:
- As a stand-alone system to unlock marginal and stranded oil and gas fields.
- As an option to de-risk exploration and appraisal wells.
- As an early production system to de-risk resource appraisal.
- As a form of “floating tieback” to extend the life of aging assets by developing fields beyond the reach of subsea pipeline tiebacks.
Using the same technology, but reversing the production flow, we’re developing a means to rapidly, safely and permanently, dispose of carbon dioxide in offshore reservoirs. Find out more at www.sea-quester.com.au.
- Targets known discoveries reducing exploration risk.
- Low CAPEX, OPEX and ABEX to profitably produce previously marginal and stranded projects.
- Shorter time to production enhances project viability and returns.
- Eliminating complexity and equipment reduces construction and installation risk.
- Short field development and project life reduces exposure to long-term risks and provides an agile investment profile.
- Low physical footprint reduces environmental impact and aids regulatory approval.
- Faster to first oil than any other independent floating offshore concept (18 months from FID).
- Lower CAPEX, OPEX and ABEX (40-70% less than other development concepts).
- Mobile and reusable (produce multiple fields).
- Minimal physical footprint (less equipment, less complexity, lower installation and operations risk).
- No abandonment burden, other than well P&A.
There have been many attempts at “small field development” and “minimum facilities” with varying success.
Pivotree has taken all the learnings to develop a full-function, minimum-facility floating system with full 360-degree weathervaning suitable for the mid-water without compromising safety.
The technology is the result of eight (8) years of investment in R&D and full-scale prototype testing to reach a field-ready state (Technology Readiness Level 6).
Pivotree’s innovative technology is now patented in many countries around the world, with more patents pending.
Total system CAPEX is USD $150-180 million (project-specific).
Leasing options are available.
First deployment: 9.0 million barrels (MMbbl).
Subsequent deployments: 3.5 million barrels (MMbbl).
(assumes an average oil price of USD $50/barrel)
YES.
Pivotree has been designed and engineered in compliance with all international codes and standards, coupled with a comprehensive, multi-faceted, safety and operating system, that includes a range of safety mitigations and fail-safes to ensure safe operations.
NO.
Independent studies by leading experts confirms the technology performs as designed within the load and fatigue limits of a suitably constructed subsea well. We work with customers to ensure the system is designed to operate at maximum productivity within safety limits.
Customers also have the option to implement 24/7/365 real-time fatigue monitoring from leading providers.
Pivotree is the result of millions of dollars and years of R&D in collaboration with world leading independent experts and suppliers.
As part of the Technology Qualification process with DNV, Pivotree received a Statement of Technical Feasibility and Endorsement of Qualification Plan that covered all possible failure modes and the necessary mitigations as determined by a panel of independent multi-disciplinary experts.
Before deployment all Pivotree units are rigorously tested and quality assured.
Pivotree is field-ready.
As part of the Technology Qualification process with DNV, a full-scale demonstration unit was successfully tested beyond safe working limits and completed accelerated burn-in testing, demonstrating.
This gives customers confidence the technology is fit-for-purpose and ready to be deployed in a production environment.
There is no official regulatory approval process for oil and gas equipment, however Pivotree has engaged with the offshore regulatory and safety bodies in the major oil and gas producing regions.
These interactions confirmed that certification by Det Norsk Veritas (DNV) and compliance with all international codes and standards, is sufficient to satisfy the requirements of marine and oil & gas regulatory authorities.
Pivotree has a pipeline of customers at varying stages of development, each with project-specific timelines and local requirements. It is impossible to be precise, but we anticipate the first deployment will occur within the next 18 months to 2 years.
Pivotree’s scope of supply cover the subsea unit only (i.e., mooring assembly and subsea production tree with all major subcomponents required for operation).
We work collaboratively with our customers to develop their project-specific basis of design, field development plan and operating model, and to specify and procure the additional components of the system from suitable suppliers (e.g., mooring hawser, flexible riser, FPSO vessel).
Our mission is to unlock value for our customers from their known discoveries.
We partner with our customers and align our success with their success. We can do this by sharing in the returns from the project and thereby minimising upfront costs. This makes it easier for our customers to fund their projects.
As a small founder-led business, we can be flexible, and look at other business and pricing models that enhance project viability.
Like most subsea equipment, Pivotree is a long-lead item. We operate as a project management business, producing units to order, which minimises our overhead and inventories.
Contact Us directly or contact your local Agent to start the process.
Pivotree is headquartered in Perth, Australia, and our Directors handle all Australian enquiries.
Internationally, we have Agents based in London, Oslo, Delhi, Kuala Lumpur, Manila, and Bangkok, servicing the UK, Africa, Norway, Canada, India, Malaysia, Indonesia, Singapore, Brunei, the Philippines, Vietnam and Thailand.
Water depth: 50-500m (current), up to 1500m (in development)
Vessel size: 50,000 DWT (typically “Handysize” or small “Handymax”),
(Note; maximum load and vessel size is dependent on subsurface geology and met-ocean conditions)
The system is currently designed for use in water depths from 50m to 500m.
Operation in water depths up to 1500m has been shown to be feasible and is in development.
Vessel size is dependent on subsurface geology and met-ocean conditions, which determine the maximum safe holding capacity of the Pivotree mooring.
For example, a fully loaded Handysize tanker (up to 50,000 DWT and approx. 250-300k barrels of cargo) operating as both production facility and offtake vessel, can be safely moored in poor subsurface geological conditions and withstand a 100-year return period storm off the coast of Western Australia.
We are confident we can design the system to suit your local conditions, including tandem mooring for shuttle tankers in certain conditions.
Contact Us to find out more.
YES.
Pivotree can accommodate one additional well by using a slave tree connected to the main Pivotree unit via subsea flexibles.
This slave tree can be used for additional production or for artificial lift via water injection.
YES, in certain conditions.
Vessel size is dependent on subsurface geology and met-ocean conditions, which determine the maximum safe holding capacity of the Pivotree mooring. In suitable conditions, two vessels of an appropriate size can be moored to the Pivotree.
See our FAQ “What is the maximum vessel size?” for more detail.
Maximum flowrate is a function of reservoir pressure, reservoir depth, tubing size, riser size, fittings, fluid viscosity, fluid composition, sand production, and water depth. If no sand is produceable from the reservoir and there is no chance of erosion, if there is no chance of cavitation, if there is sufficient pressure, and if the fluid is sufficiently mobile, then flowrates of 20,000bbl a day are possible through a 4” riser.
The determination of maximum flowrate is highly field specific and cannot be determined without understanding all the above variables.
Topsides design is field-specific and is decided by the customer based on careful economic analysis during Pre-FEED. Pivotree has completed basic engineering for a sample FPSO topside process designed to handle a flow rate of 12,800 barrels per day has been completed to inform a master equipment list and cost estimates.
The final topside process for your project will be designed to suit the field requirements and can include CO2 capture and liquefaction (zero emissions) and/or a gas-to-liquids process for handling excess produced gas (zero flaring).
YES.
Pivotree has been designed to accommodate downhole ESPs (electric submersible pump) and a water injection well via a slave tree.
Gas lift is not yet available but is in development.
YES.
The Pivotree supports up to four flow assurance chemicals with up to two going downhole. Depending on how waxy the crude, wax inhibitor can be injected downhole to lower the wax appearance temperature.
A field specific flow assurance study will be required to understand the chemical injection rates.
The associated gas can be treated two ways depending on the volume.
The estimate for fuel gas is ~3MMscf/day to run the facility. As an example, if the flowrate was 10,000bbl/day then a GOR of 300scf/stb can be accommodated.
If daily production of gas is expected to exceed this amount, then there are two options:
- flare the excess (subject to local regulations), or
- process the gas into a value-added product. For example, a Gas-To-Liquids (GTL) technology available from US-based company, GasTechno, is low energy, one-step process for converting gas to methanol with the addition of oxygen. Each of their mini-GTL systems can accommodate 2.1MMscf/day.
Yes.
The Pivotree subsea production tree has designed to handle multi-phase fluids.
We are currently working with customers to unlock their stranded gas fields.
Contact Us to discuss how we can design a system to unlock your marginal or stranded gas field.
According to data from Rystad Energy (2020), globally there are over 8.4 billion barrels of oil in 515 fields that would be deemed economically stranded, i.e., pre-FID, with recoverable reserves between 2.5-50 million barrels (MMbbls), with at least one well drilled, in water depth between 50-1500m, more than 10kms from offtake and with an API Gravity of 20 or more.
Based on our discussions with customers all over the world, we know there are many more discovered resources outside of this dataset that could be produced using the Pivotree technology.
Anecdotally, the market for marginal and stranded gas fields is similar if not larger than for oil.
Based on our target market criteria (see previous FAQ), the top 20 countries by volume of known discovered resources are:
- UK: 1570 MMbbls
- Norway: 1340 MMbbls
- Brazil: 974 MMbbls
- Angola: 624 MMbbls
- Nigeria: 543 MMbbls
- USA: 400 MMbbls
- Malaysia: 387 MMbbls
- Canada: 319 MMbbls
- Australia: 230 MMbbls
- Indonesia: 200 MMbbls
- China: 185 MMbbls
- India: 170 MMbbls
- Mexico: 135 MMbbls
- Ghana: 124 MMbbls
- Falkland Islands: 116 MMbbls
- Equatorial Guinea: 100 MMbbls
- Vietnam: 99 MMbbls
- Philippines: 77 MMbbls
- Tunisia: 73 MMbbls
- Gabon: 68 MMbbls
See our Market Maps for a visual overview.
Source: Rystad Energy, 2020
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Let’s explore together how Pivotree can unlock the maximum value of your offshore development.
