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Saipem

Investor Presentation Jun 14, 2018

4504_ip_2018-06-14_dcf311ed-0eba-4837-8bce-b5affbbf9eed.pdf

Investor Presentation

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FUTURE OF THE OFFSHORE: TECHNOLOGIES TO ENHANCE LONG TERM COMPETITIVENESS

J.P. Morgan's 'Future of the field' Roundtable Series 14th June 2018

Giovanni Chiesa

Saipem E&C Offshore Division Head of Subsea Engineering & Underwater Technologies

TODAY'S PRESENTATION

3 EXECUTION EFFICIENCY

|--|

5 CLOSING REMARKS

STRATEGY AND VISION

E&C OFFSHORE – STRATEGIC TECHNOLOGY TARGETS

INNOVATION for GLOBAL SOLUTIONS

THE SUBSEA-TO-SHORE LONG TERM VISION

Moving Topside Operations onto Seabed

  • Moving Subsea is a Key for Cost Reduction
  • Technology Innovation to Enable Seabed Production Operations

THE SUBSEA-TO-SHORE LONG TERM VISION

Opportunities & Challenges

Cost Reduction through Novel Field Development Schemes based on:

  • Longer Tie-backs to Onshore Receiving Facilities or to Existing Floating Hubs with Simplified Gathering and Transportation Systems
  • Assurance of Production Delivery over Longer Distances
  • No In-Field Surface Support for Auxiliary Functions
  • Smarter Subsea Systems for Reduced Communication to/from Shore
  • SPS URF Integration, Standardization of Interfaces and Open Framework Strategy

TECHNOLOGIES ENABLING CAPEX EFFICIENCY

CAPEX EFFICIENCY TECHNOLOGIES (1/3)

CAPEX EFFICIENCY TECHNOLOGIES (2/3)

CAPEX EFFICIENCY TECHNOLOGIES (3/3)

Controls & Electric Novel Development Schemes All Electric SMART Control • Development and Qualification of a Subsea Control System based on a OPEN FRAMEWORK • Extendable Platform of Software and Hardware Components SUBSEA BUSTM DigiGRID Conventional X-Section LV Quads/Hydraulics/FO/Chem All-Electric Power for Valves Actuation

• Completion of System Qualification by End 2018

Maturity: Under Qualification

  • Substitute Hydraulic Power with Electric
  • Simplification of Umbilical Cross Section and Integration of Power & Telecommunication

LV Quads/FO/Chem

Maturity: Available / DC-FO Offered Integrated DC-FO Chem/FO

Chem / Power Distr. DC-FO / HV Power

TECHNOLOGIES ENABLING EXECUTION EFFICIENCY

EXECUTION EFFICIENCY

  • Fast Track Shared Approach
  • Early Engagement
  • Efficient Selection of Technical and Technological Solutions

New Model

  • High Pipelay and Subsea Construction Productivity
  • Automation
  • De-Risking Offshore Operations

Shortest Ever Time-to-Market

EXECUTION EFFICIENCY TECHNOLOGIES (1/3)

EXECUTION EFFICIENCY TECHNOLOGIES (2/3)

EXECUTION EFFICIENCY TECHNOLOGIES (3/3)

Integrity Tools De-Risking

Anti-Flooding System

  • Plug prevention pipe flooding
  • Autonomous system
  • Wireless real time communication

Maturity: Available

IAU Integrated Acustic Unit

  • Non intrusive pipeline integrity monitoring during installation
  • Real time localization of water & buckles using acoustic reflectometry

Maturity: Available

TECHNOLOGIES ENABLING OPEX EFFICIENCY

OPEX EFFICIENCY

Opportunities and Challenges

Lifecycle Support to Subsea Systems with Increased Functionalities through:

  • Production Support
  • Asset Integrity Assessment
  • Condition Assessment
  • Planned Maintenance and Intervention
  • Emergency Intervention
  • Take over of End of Life Operations as Duty Holders Decommissioning Plug and Abandonment, Facilities Removal and Disposal

OPEX EFFICIENCY TECHNOLOGIES (1/3)

OPEX EFFICIENCY TECHNOLOGIES (2/3)

OPEX EFFICIENCY TECHNOLOGIES (3/3)

CLOSING REMARKS

CLOSING REMARKS

  • New field architectures that combine different "building blocks", some new and some existing
  • To provide new added values to Clients, as the reduction of CAPEX and/or OPEX costs
  • Early engagement with Clients is the way to exploit all the potential of such as architectures

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