Hans J Marter

18 July 2007

DECOMMISSIONING history was made at Lerwick harbour yesterday afternoon (Tuesday) when the first massive structure from the Frigg oil field was maneuvered into the port.

The 8,800 tonne module support frame on board the S600 barge was towed through the north entrance by the tugs Eide Fighter and Blizzard, and taken alongside with further support from the tugs Bison and Banok.

The safe arrival of the structure gives a huge boost to Shetland’s aspirations to establish itself as a centre of excellence for decommissioning redundant oil and gas installations.

The barge will now lay alongside the Greenhead Base quay until September for local firm SBS Logistics to prepare for the module to be taken ashore.

SBS is part of an international consortium, led by Norwegian company Aker Kvaerner, that has secured the £250 million contract to dismantle, recycle and dispose the Frigg production facilities located on the Norwegian/UK border in the North Sea.

Last year, SBS officially opened a £1 million decommissioning pad at the Greenhead base which since then has received smaller shipments of scrap metal from the Frigg field.

The arrival of the module support frame was yesterday welcomed by councillor Alastair Cooper who was instrumental in attracting decommissioning to the isles.

As a senior official in the council’s development department he secured the initial funding in 2000, which led to the establishment of the Shetland Decommissioning Company; an initiative by Lerwick Port Authority, Shetland Islands Council, HIE Shetland and SBS to promote the isles to this emerging industry. SDC has now been wound up as the company has achieved its objectives.

Mr Cooper said: “I am absolutely delighted, and I think we have every right to smile on a day like this.

“This is a big day for Shetland. We fought seven years to secure decommissioning work. We got some smaller stuff in last year. This is the first big piece we get in and I trust it will be the first of many.”

He added that the isles were ready to accept more such work, although it might take some time before more oil and gas installations are to be taken out of the water.

“We certainly could cover the northern sector of the North Sea. Decommissioning is not happening as quickly as some thought, as the oil companies are trying to take more oil out of the North Sea.

“But we are ready when the kit is ready to be decommissioned. We believe that we have the right facilities here to do a good job.”

LPA chief executive Sandra Laurenson added that the arrival of the Frigg module support frame was a milestone for the harbour.

“For the port this is the single biggest kind of vessel to come in to the harbour and the single biggest piece of decommissioning equipment brought to Lerwick to date.

“This is a milestone. If all goes well, this will enhance the reputation of the port in this specialist area.”

SBS Logistics commercial director, Murdo MacIver, added: “Immense preparation and investment, including quay strengthening, has been undertaken to ensure the safe and secure delivery of the modules support frame.

“This reflects the ability of the services at the Lerwick base to meet the challenge of future potential decommissioning opportunities.”

A fleet of multi-axle trailers are now being shipped to Lerwick for use in early September in easing the huge frame off the S600 barge and onto the decommissioning pad.

After load-in of the structure, Veolia Environmental Services will take over responsibility for the disposal of the structure.