1August 30, 2004

ABS Experience on Developing and Applying FPSO Standards

James CardSenior VP, Technology

American Bureau of Shipping

Houston, Texas

2August 30, 2004

Overview

Role of ClassABS History with FPSOsCurrent ABS Standards Used to Class FPSO SystemsOther Related Experience with FPSO SystemsOngoing Developments on the New ABS FPSO Guide

3August 30, 2004

The Role of ABS

Provide classification services to the offshore energy sector

Design review

Construction monitoring

Operational maintenance evaluation

Standards development

4August 30, 2004

ABS Leadership in the Offshore Industry

1958 First MODU built to Class 1968 First MODU Rules1975 First classed Floating Production Unit (Occidental, Conversion of Transworld 58) 1978 First classed FPSO in US water (Exxon, Santa Ynez)1997 First classed Spar (Oryx, Neptune)1998 First classed GOM Floating Storage Unit (Pemex, Ta’Kuntah)1998 First classed Tension Leg Platform (British Borneo, Morpeth)

5August 30, 2004

ABS Recent Experience with FPSO

Tanker conversions to FPSO/FSONew build FPSO including LPG FPSO Recent Projects Worldwide experience

West Africa, e.g., Sanha, Yoho, SerpentinaWest Africa, e.g., Sanha, Yoho, Serpentina

Brazil, e.g.,Brasil, Marlim, Fluminense, Barracuda (P-43), Caratinga (P-48)Brazil, e.g.,Brasil, Marlim, Fluminense, Barracuda (P-43), Caratinga (P-48)

Indonesia, e.g., Bunga KertasIndonesia, e.g., Bunga Kertas

Mexico, e.g., Ta’KuntahMexico, e.g., Ta’Kuntah

6August 30, 2004

ABS MODU Market ShareExploration Sub &

Semi-SubmersiblesExplorationJack-Ups

Arctic & Tender

DrillShips &DrillBarges

85%

331/389

65%

59/91

53%

96/181

79%

23/29

73%

509/699

7August 30, 2004

ABS FPU Market Share

FPSO

40%

51/128

ProductionSPAR

100%

15/15

Production Semi-Sub

36%15/52

47%

96/204 Production TLP

79%

15/19

8August 30, 2004

ABS Standards Supporting FPSO Systems

Rules for• Building and Classing Mobile Offshore Drilling Units

(MODU), 2001• Building and Classing Steel Vessels, 2004• Building and Classing Offshore Installations, 1997• Building and Classing Single Point Moorings,1996

Guide for• Building and Classing Floating Production Installations (FPI)

Guide, April 2004 • Survey Based on Reliability-Centered Maintenance,

December 2003• Surveys Using Risk-Based Inspection for the Offshore

Industry, December 2003• Building and Classing Facilities on Offshore Installations,

June 2000• Synthetic Ropes for Offshore Moorings, 1999

9August 30, 2004

ABS Standards Supporting FPSO Systems (Cont’d)

Guidance Notes on• Review and Approval of Novel Concepts, June 2003• Risk Assessment Application for the Marine and

Offshore Oil and Gas Industries, June 2000• Reliability-Centered Maintenance, July 2004• SafeHull-Dynamic Loading Approach for FPSO

Systems, December 2001• Spectral-Based Fatigue Analysis for FPSO Systems,

January 2002

Commentaries on• The Criteria to Adapt the SafeHull System for FPSO

Applications, May 2004

10August 30, 2004

ABS SafeHull for FPSOs

Provide evaluation for strength & fatigue assessment for FPSO’s since 2001 by:Considering actual trading history and site specific wave environmentsApplying ESF (Environmental Severity Factors) to modify unrestricted service loadsIncorporating loads/reactions from topsidesDetermining plate renewal scantlings based on site environment

11August 30, 2004

SafeHull FPSO Modules

X

YZ

3 .2

3.063

2.925

2.788

2.65

2.513

2.375

2.237

2 .1

1.963

1.825

1.688

1.55

1.413

1.275

1.138

1.

V2G1

Output Set: E LE MENT P ROPE R TIES Criteria : THICKNESS OR AREA

3 Hold Model3 Hold Model

Phase A

SEAS

Phase BSafeHull/FPSO

12August 30, 2004

Other Related FPSO Projects Experience

Comparative risk assessment (CRA): work with Offshore Technology Research Center (OTRC) and MMS to evaluate system risks for FPSOs compared with existing GOM deepwater production systems

Comprehensive HSE case preparation: includes a full spectrum of studies and analysis, such as HAZOP, QRA, Dropped objects study, fire and explosion analysis, e.g., Amerada Hess AH001 floating production vessel

Risk based inspection (RBI) program: provides a mathematical approach, ranking elements for inspection using qualitative or quantitative risk assessments.

13August 30, 2004

Ongoing Future Developments

Stand-aloneGuide for Building and Classing Floating

Production, Storage and Offloading (FPSO) Systems

(2005)

14August 30, 2004

New ABS FPSO Guide

Guide for Building and

Classing FPSO

Systems

15August 30, 2004

New FPSO’s Procedure Highlights

Adopts gross scantling concept which is the common offshore industry practice

Uses actual loading conditions/patterns that are prescribed in the Loading Manual

Employs seakeeping analysis including the effect of mooring, riser, thruster, and topside effects

Retains two parts of the SafeHull methodology, which are Standard Class Notation of A1 FPSOor A1 FOI, and optional Class Notation SFP or SFI

16August 30, 2004

FPSO Class Notations According to New Guide

Class Notations:Mandatory

A1-FPSO or A1-FOI, RFL (Expected Remaining Fatigue Life in years), Elapsed Year in Site of Installation. For example RFL(15), 2019 in Gulf of MexicoRequires hull girder and main supporting members strength and fatigue review

OptionalSFP or SFI (Safe Floating Platform or Safe Floating Installation) Requires strength and fatigue review using FEA verification

Other Applicable Class Notations:Mandatory

DPS for a Dynamic Positioning System AMS automatic monitoring systems for a Disconnectable System

OptionalSFA (year) based on ABS Guide on Spectral-Based Fatigue analysis for FPSO Systems SH-DLA based on ABS Guidance Notes on SafeHull-Dynamic Loading Approach for Floating Production, Storage and OffloadingSystems

17August 30, 2004

New FPSO (Phase I) Analysis Procedure

FPSO Load Conditions

Seakeeping Analysis Model

Vessel DLP RAO’s

Nominal Stress RAO’s Obtainedby Combining DLP RAO’s

New FPSO Guide

Full Spectral Analysis to Obtain Extreme Value

100-yr Storm at Site10-yr Storm on Route

Acceptance Criteria

18August 30, 2004

New FPSO (Phase II) Analysis Procedure

Loadings Screened from Phase I

Full Scale FE Model Based on Gross Scantling

Stress Spectrum

Full Spectral Analysis to Obtain Extreme Value

Strength Check Buckling Check

Spectral Fatigue Analysis

Fatigue Check

19August 30, 2004

Summary of ABS Experience on Developing FPSO Standards

From WellFrom Well--Proven Tanker Proven Tanker ExperienceExperience

Environmental Severity Environmental Severity Factors ApproachFactors Approach

Offshore Offshore ApproachApproach

20August 30, 2004

Thank You!