BP Energy Statistical Review 2017

Last Tuesday, 13 June 2017 I had an opportunity to attend the BP Statistical Review of World Energy 2017 launching in BP office in London. I am always interested in reading either BP’s energy outlook or statistical review every year, merely based on my curiosity on how the big fossil fuel players see their business in the future. Compared to a neutral organization like Bloomberg or International Energy Agency, there are some distinct points on big energy* companies’ energy outlook seeing the market share of fossil fuel in the future. They tend to overlook the share of fossil fuel in the future primary energy supply, prefer to underestimate the growth of renewable and alternative energy source other than fossil fuel. Starting from the fact that nobody can predict the future with their outlook, the move makes very sensible motives of the big energy company to favor the optimism of big fossil fuel share since that is the value of their business. The outlook might ensure their stakeholders that everything in the business is still good at least until next twenty years, as most outlook now predict the condition in 2040.

*Now the big oil companies tend to call themselves by energy company in order to remove the trademark of fossil fuel producer, even though the majority of their portfolio is still in oil and gas industry.

The opening speech was done by Lamar McKay, one of BP Deputy Group Chief Executive. He emphasized on the declining coal usage in power industry, the stagnation of carbon emission, and the strategy to achieve the emission commitment as declared in COP20 at Paris. Shortly, he also mentioned briefly about BP’s strategy on surviving the energy industry by altering their upstream investment in the gas field and strengthening their presence in the downstream industry as lube producers. Especially, he mentioned about six from seven major projects in upstream sector are gas field drilling to justify their strategy on prioritizing gas-related investment. Natural gas is the cleanest fossil fuel compared to the others, especially coal as it emits around two times carbon than natural gas. Most people believed that natural gas is the bridge fuel for the transition from fossil fuel dominated power sector into the renewable energy powered.

The main talk was delivered by Spencer Dale, the chief economist of BP. Two main points that he emphasised were the short run adjustment and long run transition of world energy. Some issues in energy that he talked about are the resilience of tight oil that play an important part in the oil market and the unwillingness of OPEC to cut production in November 2014 when oil price started to crash. OPEC’s power to handle the market crash seemed unapparent, so the result of the event was the permanent shock and the long-term structural imbalance of the oil market. OPEC can do temporary adjustment to the stock of oil in order to stabilize the market. But no one knows what will be the stability price of oil in the next 5 or 10 years.

Natural gas, despite the expected prospect as new fuel to replace coal in power generation showed positive but slow growth. The number of gas trade through long-term contract decreased, as more short-term and small size contract became more prevalent. Added by prospect of LNG and USA shale gas capacity, gas market is expected to grow more competitive where LNG might plays an important part.

Renewables will only contributing up to 4% of primary energy supply despite its unexpected fast growth in power generation sectors due to falling cost of solar and wind energy. However, the variability of renewable power still very dependable on weather condition in the location which makes it less reliable to provide big share in the power supply. There was a question during the Q&A session that argued that the lack of renewable growth is in implication of not high enough carbon tax. It is still debatable about renewables, about what can drive more renewables penetrating the energy market. Spencer opined that price will be the deciding factor, and the way you drive the prices are numerous. However, which one will be effective is still debatable.

It was such a valuable experience for me, being the students amongst all professional with suits from a different background. Some are market analyst and trader, some are consultants, and some come from academics. The presence of fossil fuel industry is unexpectedly still very prominent in the energy industry, hence I am curious and excited for the energy industry transition that may happen in the near future.

Application for Imperial College London – MSc in Sustainable Energy Futures 2016

Hi there, I want to share about my application process for Postgraduate program at Imperial College London. Hope this post enlighten your mind about applying for Imperial MSc program. I will tell the story in chronological order.

8 February – 1 March 2016

I started studying about Imperial College since 2015 and applying for the program on 8 February 2016. You can scrutinize the program description in the website. They made the program handbook, course description, program specification, and the FAQ available for download. SEF also has released a blog at http://energyfutureslab.wordpress.com where students and lab members write their opinion and story. You can also request a prospectus to Imperial Graduate Admissions to learn more about the postgraduate program. All aplication for Imperial College London made via the online admission system.

The MSc in Sustainable Energy Futures program itself had opened the application since late 2015. However the deadline for application is 31 March 2016. The deadline means you have to complete the application documents not late than the specified date. The application documents include two letter of recommendations, only if both LoR are submitted and accepted then the application status would change into completed. Please mind the uncertainty for letter of recommendation submission from your reference so your application would complete in time. Mind that this program is quite competitive, every year around 50 students accepted amongst around 350 applicants from all over the world. Timing is vital, the early you applied, the success chance is higher than later application. I completed my application on 1 March 2016 because my second recommendation came at 1 March, even all application form had been filled and first recommendation already given. I waited almost one month just for recommendation. Luckily I still have time before the deadline application day.

When you apply using the online application, you should get a CID (College Identification) Number as log in ID in Imperial College Student e-services website. Activate your account and make a password. You can save your progress while filling the forms and continue whenever you want. You cannot continue further if the required box still not filled. If you have completed the application, you can monitor the progress using student e-services web. However if the decision has been made, you should get a notification in your email. I got an email on 11 April 2016 (about 5 weeks from the completion of application) for the decision notification. Later I found out I was conditionally accepted for the MSc program. You should respond to the offer whether to accept or defer it.

11 April 2016 – Decision on the application

How to change the conditional offer to unconditional?

In the student e-services site, there should be a list of outstanding* items need to be submitted to ICL. In normal case, they might ask for proof of bachelor completion alongside the academic transcript. They also might require a deposit to be made, however this can be substituted by letter of guarantee or letter of scholarship. In my case as Indonesia Endowment Fund for Education, I submitted a LOS and it worked as a magic. I need only to submit the bachelor certificate and academic trancript by air mail. I was using Indonesia mail service, EMS POS Indonesia to transfer the documents. The damage cost was only around 300 thousand IDR. Just for information, using DHL services might costed around 600 thousand IDR.

For LPDP awardee or any of you intending to attend ICL as LPDP awardee, I suggest to apply for ICL after you got the LOS from LPDP. In some case, ICL is strict about deposit payment. It would be better if you already have the LOS to guarantee your payment, so deposit does not need to be made. I apply for LPDP in January 2016 and accepted in March 2016. The timing was just perfect for me.

*They require me to send the original documents, however after consult with my fellow friend I decided to send the copy documents with legalized stamp. The registry did not complaint and 1 day after the arrival of documents, my status altered to unconditionally accepted.

What to do after I unconditionally accepted?

You might prepare the documents needed for visa application. It depends on your country, should you see the visa and immigrations of UK website about that. I got a long period of waiting my CAS* number to be generated by ICL because regarding to the course starting date at 1 October 2016, CAS will not be generated early than 1 July 2016. In a period of time between late April 2016 until July 2016, I could only prepare for documents for visa application waiting on the CAS to come. If you need a Letter of Acceptance, just contact the registry for your study program and soon it will be sent to you. However you should on unconditional offer to have that.

*CAS is Confirmation of Acceptance of Studies, required to make UK Visa Tier 4 type. It accounts for 30 points in your total visa points of 40. The other 10 accounts for maintenance fee during your study in UK.

For any of you applying for the ICL postgrad program, I wish you good luck!

Sarulla Geothermal Operation – Powering North Sumatera

Hi there, right now I am writing this post while laying on my bed during my off day. During on duty day, I commute to North Tapanuli area, North Sumatera, Indonesia. I have worked on the drilling project of Sarulla Operation Ltd. geothermal power plant for 1 year since April 2015. The project actually commenced at the end of 2014, had objection to drill sufficient production and re-injection well to supply the phase 1 geothermal power plant. Sarulla Operation Ltd. or SOL (which I will be saying for it from now) would supply a total of 330 MW power, which project divided into 3 phases with 110 MW each. Sarulla Operation Ltd. is a consortium of three companies from USA, Japan, and South Korea. Japan, represented by Kyushu Power mostly participated on the later project for power generating technology. South Korea, represented by Hyundai Construction started early as the main contractor for infrasructure for power plant and drilling pad infrastructure. USA with Ormat Technologies contributed mainly on drilling and exploration project, and also contributed to power plant technology.

There will be two power plants, Silangkitang (SIL) power plant and Namora I Langit (NIL) power plant. Right when I write this post, SIL power plant is in the middle of construction. Whereas the steam production well had been drilled and tested. During early 2015 until early 2016 I served as MWD Engineer of Sperry Directional Drilling Services to drill 3 production wells and 2 re-injection wells. Last time I visited the site was on January 2016, last time I took a peek on the site on April 2016 the drilling rig had been gone. The central heat exchanger (probably condenser) has been in place, with piping has been installed on the well head. Just for information, UNOCAL (now: Chevron) drilled 3 wells back on early 1990s which well will also be utilized for the SIL power plant. From the news I heard from the wind, one of SIL production well gave around 30 MW capacity when tested. For a single well, it is kind of enormous. I hope the test result turn to be true to make Sarulla as the first biggest geothermal power plant in the world. Hopefully this power plant could overcome the electricity supply deficit in the North Sumatera province.

The rising of geothermal project in Indonesia

Before SOL, there were some company participated in geothermal project in Indonesia such as Supreme Energy on South Sumatera Province, Star Energy on West Java Province, Chevron Geothermal on West Java Province, Pertamina Geothermal Energy on several provinces across Indonesia. However, SOL has proved the rising trend of Indonesia geothermal project investment from foreign investor. In Sabang, Nanggroe Aceh Darussalam it is rumored that Turkey company invested for geothermal drilling project there. Also on West Java, Sukabumi it is also stated that PT Jabar Rekind Geothermal (a province owned company) will started drilling for geothermal. Those project has became one of way to fulfill the target of 35000 MW electricity supply target, set by Joko Widodo the 7th President of Indonesia. President Jokowi indicating commitment about sustianable energy in Indonesia, asking several percent of 35000 MW coming from non-fossil and non-coal source. I predicted the trend of geothermal drilling project will be bullish in upcoming year.

I hope SOL project become a huge success, which then initiate other private and public investor to invest in geothermal and other renewable energy sector in Indonesia. In demand of electricity on rural area across Indonesia, renewable and sustainable energy project also boost the economic wheel. In the end, equal development would be achieved. Sumatera, Kalimantan, Sulawesi, and Papua also have the rights to develop. Starting from electricity and infrastructure and in the end the human resource. Let’s see North Tapanuli in several years ahead the SOL project. I am curious to see the transformation that a geothermal project could make to a rural area.

Jakarta, 14 April 2016

Lahendong – Tomohon City , Future of Indonesia Geothermal Energy and North Sulawesi Tourism

Perks of being a Field Engineer : good compensation benefit  travel around the world.

My “green hat” job or people usually say as probation period as a field engineer was on a geothermal drilling well at North Sulawesi, Indonesia. It is exactly at Tomohon , the city of flower in Minahasa region. Tomohon is notoriously known for their traditional market that trade bats, cats, dogs, and rats meat. Seems like they hate rodents so much, they almost eat everything. Most of North Minahasa people are non-moslem so they also eat pork a lot. There is a annual flower festival in Tomohon which attracts many foreign tourists. Tomohon also famous of their native girls with their bright skin, slim, and westernized looks which are the favourable characteristics in Indonesia. Aside from girls, flower, cats and bats meat, and liquor (cap tikus), Tomohon is rich of geothermal potential.

Lahendong Geothermal Power Plant

Lahendong Power Plant, located in South Tomohon is one of the biggest electricity supply in North Sulawesi. The capacity of each phase is around 20 MW. Now the project has almost completed the third to achieve 60 MW. Lahendong area is suspected to have 200 MW of potential reserve. Yet the well development still run right now, only with steady effort. They only contracted one rig to did the well drilling for reserve development. I suspected the commitment of Pertamina Geothermal Energy (State owned) is still halted due to high cost of geothermal drilling costs. However on 2014 – early 2015, there were one drilling rig doing activites on Tompasso area for exploration. The Tompasso area still has not utilized right now for their steam.

Works at Kasuratan and Tondangow Districts

I had the opportunity to drill two wells each in Kasuratan district (Area 3) and Tondangow district (Area 13). Apexindo Rig #4 was contracted to drill there, they are the best crew I’ve known for drilling geothermal well. To complete one well, they only needed around 2 months. Compared to Sarulla geothermal well drilling rig, they could took up to 3-4 months to complete one well.

Geothermal well usually drilled in four hole size, 26″ – 17 1/2″ – 12 1/4″ – 9 7/8″ subsequently. That is for big hole production well, for re-injection well it usually use 12 /4″ and 8 1/2″. However the size should differs depend on drilling engineering calculation. MWD Engineers usually works from early size until second last size. On early size when the well direction is still vertical, our tools make sure the collision issue to nearby well is avoided. On kick-off section, we work full-time while building and turning the motor to desired path. On tangent section we still work to give correction for missing path. On last section we do not usually take MWD on BHA due to very high temperature. MWD tool has temperature limit around 150 degrees of Celcius. On last section, the temperature with mud circulation mode could reach 170 degrees of Celcius.

A list of popular tourists destination in Tomohon area:

  1. Bukit Kasih – religion tourist place for Christians.
  2. Tomohon Traditional Market – the place that sold bats and cats meat, and other traditional groceries. Only appears on early morning if you want to see the exotic meat.
  3. Tondano Lake – one of the biggest lake in Indonesia, not far from Tomohon city.
  4. Ragey Restaurant – pork satay restaurant, also serve Paniki (made from bats meat).
  5. Flower gardent – looks very good on festival time around August every year.
  6. Tomohon Night Market – flea market that sold traditional and hawker food.
  7. Tompasso – famous for its peanuts.

It should be more place that is interesting to visit, I’ve only known about the seven of them for two times visiting Tomohon. Plus, I only had time to wander when drilling is not commenced which means only on casing point break I can go around Tomohon.

It’s all wrap about my review for Tomohon City after three months total of living there. Hope you find it interesting!

 

ex-MWD crew of Lahendong Well Drilling

 

What Would a MWD Engineers Do at Works?

Have you ever wonder about what is a MWD engineer and what do they do? I have never thought of that until I became an MWD engineer trainee last year. It has been 3 months I worked in the field as a MWD engineer in a drilling service company, moreover I already know what a MWD engineers do at works. I will try to fill your gap about what really MWD engineers do on the duty.

I wear coveralls and fancy Red Wings shoes to work everyday. What I wear inside the coveralls are basically a worn t-shirt and a short, so we do not wear fancy shirt and slack pants to work as MWD engineer. You would not even need that a bit as you work as MWD Engineer, even in the interview I wore dark jeans and oxford shirt. That is one advantage though that we do not need expensive clothes to work. But because you work in oil field, you have to wear hard hat everytime. The hard hat is not fancy, for me it’s kind of wussy. In fashion’s point of view, there is no way to look stylish if you work in the field. There’s a pro and cons about the working outfits though.

Basic job desc: providing real time measurement data of directional drilling activities. We obtain the measurement data using our downhole tool via telemetry system. There are two common telemetry systems: positive pulse (mechanical) and electro magnetic system (electrical). The measurement data is very important for directional drilling because it tells our trajectory well’s position relative to our target. Sometimes there are nearbies well and surely we do not want to collide with them. That is one of the importance of directional data, to avoid well colliding. To guide our bit drilled the right trajectory surely needs a compass or navigator to make a right move, and the measurement data are the hints. MWD engineer install the measurement sensor inside the Bottom Hole Assembly. During the BHA goes along the drilled hole, MWD acquire real time data for temperature, pressure (sometimes), toolface (motor bent sub direction), and survey. Survey conducted every 30 metres or 100 feets of drill pipe enter the hole. That 30 metres summed to the drill pipe tally known as measured depth (MD). Others depth known as True Vertical Depth, defined as vertical depth from surface to the bit. The more inclination of the well, the TVDs are getting smaller compared to the MD.

Work shift: 12 hours working hour everyday as long as the drilling process runs. As long the drilling has not reached its target, we work 7 days a week. Your ON time in the drilling site may reach 1 months or more, and you can get OFF time for maximum 1-2 weeks. You will be payed a “rig day bonus” counted from the day you arrived at the site until you leave the site. The more days you work, the more the pay check at the end of next month. The hardest part while working on the rig site is withstand the pressure of outcast working. Almost all drilling rig located on rural and secluded from civilization. Your day filled only with working and working all days. I read a lot while standby (we have much stand by time) or playing games on laptop. MWD engineers has free time when the drilling has no problem, we just have to stand by for the survey until next Stand Down pipe. During that time we could change into Movie While Drilling crews, killing free time by watching movie. There always positive matters to be seek among the mundane activities as MWD engineers.

Career path: working with specialized and distinctive tools make MWD engineer could be categorized as specialist career. After working several times with the tools, you will mastering the tools. Just mastering does not mean you understand the inside of the tool. You are more of a operator than engineer though. You can become Directional Drillers (DD) or working in the office as MWD coordinator.

 

 

BP Challenger Program 2014 Selection Process

BP or commonly mistaken as British Petroleum (they changed the name several years ago) is one of the oil company that has operation facility in Indonesia. They are commonly known for their gas facility in Tangguh, West Papua. From the information I got at the recruitment day at Institute of Technology Bandung back in March 2014, they were looking for many new graduate engineer to compensate their plan of Tangguh train expansion near in the future. Challenger Program for what they named it, is a more like management trainee program where fresh graduate engineer will have exposure of on the job working and numerous training to make them a globally competitive engineer in the future. On 2014 they opened almost for all position in engineering including drilling, completion, mechanical, electrical, process, petrophysic, and petroleum. On this post I will give a glimpse of BP’s selection process for Mechanical Engineer Challenger.

I attended BP’s campus recruitment day around March in 2014. Interested student could apply by drop their CV and the interview with HR will conducted directly afterwards in the afternoon. The campus recruitment day was very advantageous aside from the conventional process from BP’s brassring website.

Conventional:

Online apply – online aptitude test (Saville) – HR Interview – User Interview – Assessment Day

Campus day:

CV – HR Interview – online aptitude test – user interview- assessment day

Well, there is no difference on the process but the swapped online test – HR interview. But that was really matter. FYI, BP hired Saville Consulting for the aptitude test. But the Saville aptitude test was hard and very competitive. The time available was very-very lacking. Sure they want to get the engineer who can think fast under pressure using this test. Shortly, it was very hard to be outstanding in the online test. But if you attend the campus day, you will be getting a HR interview first. If you had a good interview session, you will considered even you just got average mark in the aptitude test. True story. Been there before, and I got lucky to passed the aptitude even with my moderate mark. Be sure to participate in the campus recruitment day!

The process

  1. HR Interview

On this interview I faced two assessor, one HR team and one Mechanical Engineer which just graduated from the Challenger program. Interview. We talked about my activities and achievements in college and none of technical related question.

  1. Saville Online Test

There were three assessment; diagrammatic, verbal reasoning, and numerical. Time was very restricted so fast and steady internet connection really needed. Google saville online test about the image of question will be asked.

  1. User Interview

Because I applied for Mechanical Static Engineer, the question asked are none other about heat exchanger. They do need a lot of heat exchanger on gas facility. My tips, study about Air Cooled Heat Exchanger because we will talked about that specifically in the interview. You can easily study it in Hewitt’s book about Process Heat Transfer. Air cooled heat exchanger are used for cooling the gas after compression, or so said as intercooler. When I missed with some answer I did not know, Mr. Wisnu (the user) gave a little lecture about heat exchanger. How to accommodate the tube expansion, increasing heat transfer coefficient without cost, and many practical information about engineering works in the real world. I got so much new knowledge and just knew about the spiral heat exchanger type used in LNG industry. What a great interview!

  1. Assessment Day

In the evening after user interview I got a call from HR that I passed to the assessment day section. User interview on Wednesday and assessment day held on next Friday. Such a fast recruitment process due to urgent needs for new engineer for upcoming expansion project. On Thursday evening we met with other assessment day participates and given accommodation by BP. Lodging place provided in Mercure Hotel, TB Simatupang, Jakarta. We also given information about what will we faced on the assessment day and how to prepare it. There was also a presentation for user about the benefits and what will you get when work at BP. There were total of 9 persons competing in assessment day, 3 mechanical, 3 electrical, and 3 chemical engineer for process. That was for Global Project Operation and still a lot from other division (Global Operation and others).

What is assessment day?

It was my first time attend an assessment day for job recruitment purpose. Assessment day is a day or more day where employee candidate will be assessed thoroughly about their likeability to perform well on work. Many test provided on the assessment day(s) ranging from interpersonal skills, communication skills, arguing a opinion, critical thinking under pressure and many others. (Source: googling). But for BP’s I got only 3 activities: FGD, Case Interview, and Personality Interview.

1. FGD

Topics discussed on the FGD was technology to be used on offshore drilling facility. We are given many alternatives within in the case paper and some times to read and think. Then we have to discuss within our group which one will we choose. At the end of the discussion, one voice is expected from the result of team’s discussion. Clue: you have to choose between flare or gas pipeline, conventional drilling or hi-tech drilling, water injection or treatment facility, and others I do not remember. You are in the point of oil company and you have to choose the alternatives which most probably benefitting for the operation. There were no right or wrong answer, as long you have reasonable reason with your choice. At the end of the discussion, we were expected to present our conclusion to assessors.

2. Case Interview

In this interview you had to choose between to alternatives. There were two choices of prospective well location, one is a conflict area in Africa and the other is a relatively safe location somewhere in East Europe. Each of them had their own pros and cons. There were should not be a absolute true answer on this. I chose the conflict area back then whereas other participates had the safe location as their answer. Just ready to prepare your argument on defending whatever your choice of alternative.

3. Personality Interview

This sounded like a normal HR interview but more meticulous. Some questions like how to solve a problem, facing conflict, communication style were asked.

Even I did not pass the assessment day, I still got much valuable experience from it. The assessment day gave a brief description about the working atmosphere of real world. For those who has not heard about assessment day before, I expect this post kind of helpful to you.

Good luck.