From the UK (SS): In literature it is often said that there are only two or three real plots. The same might be said in politics and philosophy - how many truly original ideas are there?
As for business, there is only one basic plan - do what the competition is doing, but try to be better at it.
With FMC and Technip having already forged formal links earlier this year with the new Forsys Subsea entity (SEN, 32/7), it was time for another of the hardware companies and a big SURF contractor to get into bed.
Last week, OneSubsea and Subsea 7 established an alliance to deliver ‘integrated subsea development solutions’ by combining their hardware and seabed processing capabilities with installation and flowline/umbilical expertise, respectively.
This is a much less formal grouping than Forsys, with the two companies having agreed to work on a ‘selected project’ basis.
The raison d’etre for such a combination is really quite simple - find a way to offer operators more cost effective - or even, gasp, standardised! - development concepts.
Operators everywhere, including even those working in less expensive sectors with big fields, would be happy to use someone else’s field scheme if it would be less expensive than a bespoke design.
The new alliance also has the advantage of being able to offer the reservoir knowhow of Schlumberger, one of OneSubsea’s parents.
Subsea 7 ceo Jean Cahuzac said, ‘This combination of subsurface, sps, surf and life-of-field expertise is unique in its breadth of integrated service offering and provides clients with the opportunity to significantly improve subsea field economics over the lifetime of the development.’
…and there was another
One deal might seem like a good strategy in today’s tough trading market, but does a second in a short period of time smack of desperation?
S7 also announced that it is forming an alliance with KBR subsidiary Granherne to work on concept and front-end services.
The Anglo-Norwegian contractor has always seemed somewhat more vulnerable to the vicissitudes of the subsea and deepwater market - when a lull becomes a downturn - than its main competitors.
Technip does most of the things that S7 does, but also manufactures flexibles and umbilicals, builds platforms and floater topsides, onshore downstream facilities and has a front-end group (Genesis). Likewise Saipem does big diameter pipeline installation and has a floater contracting group plus drilling rigs as well as the onshore capability.
This new arrangement with Granherne at least gets S7 into developments at an earlier stage, albeit on a project by project basis. Every little bit helps.
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