Marco Polo Development

Tension Leg Platform

Marine Technology Society Luncheon
Presentation
December 2, 2004
Mike McEvilly - Anadarko Petroleum Corporation

Agenda

General Project Overview

Drilling

Commercial Model

Development Architecture

Production Risers

Completions

Conclusion

Project Overview
General Location Map
Export Pipeline Map
Milestone Time Line
Platform Description

General Location Map

Marco Polo GC 608

160 Miles South of New Orleans

Export Pipeline System

GulfTerra Energy Partners

GAS
OIL

Milestone Time Line

Discovery - Early April, 2000; 4,300 ft. water-depth, Multi layered reservoir

Sanction November, 2001

Throughput capacity finalized - November 2002

(120,000 BOPD, 400 MMSCFD, 50,000 BWPD)

Start development drilling - Four wells in 2002; Two wells in 2003

Commenced hull fabrication July, 2002

Installation: January 11, 2004

Rig installation February, 2004

Start Riser Installation March 06, 2004

Start well completions: April 20, 2004

First Oil: July 12, 2004

Marco Polo - Worlds Deepest TLP*

MODEC Tension Leg Platform (TLP)

4,300 ft. water depth

13,700 tons of topsides payload
400 MMscfd
120,000 BOPD
1,200 HP Work over Rig
50,000 BWPD
6 Dry Surface Trees
8 (28) O.D. Tendons

*at the time of installation

Industry Firsts
Deepest TLP in the world at the time of installation
(4,300 ft. water depth)

Dual barrier gel filled annulus flow assurance insulation

Anadarko Firsts

First tension leg platform

First foreign-built offshore platform structure
First use of steel catenary risers
Largest offshore processing capacity
(120,000 BOPD, 400 MMSCFD)

Heaviest offshore lift (6,450-ton topsides)

First use of 5th generation dynamically-positioned drilling
vessel

Drilling

Pre-Drill Site Selection

Over 30 targets identified
6 slots on platform
Site optimization to
1) accommodate all targets
2) avoid interference with subsurface faulting
3) avoid sea-floor features such as faults and chemosynthetic
communities
4) provide directional solutions that complement the proposed
completions

Pre-Drill Site Preparation

4,300 of water
30 well centers at sea floor, within +/- 3
Tendon piles within +/- 1
Export and infield pipeline +/- 1
Sea floor array

Pre-Drill Site Preparation

36 Wellhead Insulation

Wellhead Installation

Drilling Rig-Transocean Canjun Express

Derrick:

Joseph Paris Tri-Act

190 ft (fourbles)
2 mil lbs gross nominal

Drawworks

NOI-Hitec (Dreco)
Active Heave Compensating

Topdrive

Canrig Model 1275E

1150 hp / 750 ton

Pipehandling

Varco PRS 5R

Mud Pumps

4 x NOI 14P220
2200 HP / 7500 psi

Shakers

6 linear shakers
3 scalpers

Engines

7 x Cat 3616
41,500 HP total

Drilling Rig-Transocean Cajun Express

Drilling Rig-Transocean Cajun Express

5-1/2 dp
13-3/8 csg
(6,000)

(16,000)

5-1/2 dp
lnd stg
(5,000)x
20 csg
(2,500)

Commercial Model

Advantages with a GulfTerra Development

Minimal capital exposure

Lower development risk
Faster project execution
Improved economics
Revenue upside
Platform production and export capacity
more than double needed for Marco Polo alone

Commercial Summary
Joint Development Agreement with GulfTerra Energy Partners
9 Low Risk Fast Track Development of Marco Polo
9 Accelerated Development

Shared Facility & Export Line Capacities

Joint Development Team for Platform Construction

Exploitation of Marco Polo by Anadarko

Exploitation of Surrounding WI Fields by Anadarko

Platform Operations by Anadarko

Platform Capital Funding by GulfTerra Energy Partners

Non-APC 3rd Party Marketing by GulfTerra Energy Partners

Pay Structure
Demand charge for 60 months following
mechanical completion
Processing fee based on throughput
Transport fee

Major Contractors
Owner / Prime Contractor: Deepwater Gateway LLC
GulfTerra Energy Partners + Cal Dive International
TLP Hull & Mooring System Modec International
Hull Fabrication Subcontractor Samsung
Topsides Engineering Alliance Engineering
Deck Fabrication Kiewit Offshore Services
Platform Installation Heerema Marine Contractors
Electrical & Instrumentation Contractor EPIC Services

Development Architecture
Hull
Mooring System
Topsides

Hull General Overview

Modec Moses Tension Leg Platform (TLP)

ABS classed, Floating Offshore Installation (FOI)
EPC Lump Sum Contract
Built in Korea at Samsung
Water Depth = 4,300 feet
6 surface wells
All wells pre-drilled
Top tensioned hydro-pneumatic tensioners
Dual barrier risers, 13 3/8 x 9 5/8

Hull General Overview

Hull
Displacement = 27,412
tons
Draft = 129 feet
Width = 344 feet tip to
tip
Hull Weight = 5,723 tons

SCRs
18 OD Gas Export
12 OD Oil Export
Riser slots for 12 future
infield tie-backs

(cont)

Model Testing of Overall Platform System

100-Yr. Hurricane
Seastate Waves

Lower Hull With 8Tendons

and 2-Export Risers

Hull Fabrication Layout

Samsung, Korea
C2

C3

C1

C4

T31/32
T21/22
Top Plate
T30

T20

W23

W34

W12
T40

W41

T10

T41/42
Bottom Base Plate

T11/T12

Hull Fabrication -Samsung, Korea

Hull Fabrication -Samsung, Korea

Hull Fabrication -Samsung, Korea

Hull Fabrication -Samsung, Korea

Hull Fabrication Samsung, Korea

Hull Fabrication Samsung, Korea

Hull Fabrication Samsung, Korea

Hull Load-out Samsung, Korea

Hull Transport from Samsung, Korea

Hull Transport Korea to GOM

Hull Arrival at Ingleside

Hull Float-off at Ingleside

Hull at Quayside in Ingleside

Mooring System General Overview

Tendons (Eight x 28 OD)
Individual Tendon make-up
Bottom Segment (1) x 186 0
Main Body Segment (13) x 300 0
Top Segment (1) x 126 0

Piles
Eight x 76 OD x 407 long

Tendon Top Segment

Tendon Bottom Segment

Tendons at Kiewit Offshore Services

Tendons at Kiewit Offshore Services

Tendons at Kiewit Offshore Services

Topsides General Overview

129 x 168, 3 decks

120,000 BOPD

400 MMSCFD Gas

50,000 BWPD

2 Cranes 40 T and 50 T

3 Taurus 60 Generators (5,200 KW)

2 Diesel Generators (Emergency-500 KW,

Auxiliary-800 KW)

3 Flash Gas Compressors (3,500 HP each)

3 Survival capsules, 44 passengers each

Living Quarters: 26 passengers permanent, 62

temporary

Helideck: 52 x 72 for Bell 214,

Sikorsky 76

Topsides Engineering

Single Lift Using the

Hermod SSCV
Optimized Deck Geometry
Lift Capacity 6450 ST
Lightweight Topsides
Engineering

Topsides Engineering

South Face
Reserve Deck Space

Topsides Engineering

Largest Process Heat Media System in the Gulf of Mexico

168 MM BTU/HR

Example Dry Tree Floating Facilities

Project

Initial Process Capacity

Topsides Lifts

Genesis Spar

Full Drilling
55,000 BOPD

9000 tons
Multiple Lifts

Mars TLP

Full Drilling
100,000 BOPD

8100 tons modules only

5 modules

Ram/Powell TLP

Full Drilling
60,000 BOPD

8100 tons modules only

5 modules

Ursa TLP

Full Drilling
150,000 BOPD

12,500 tons modules only

6 modules

Brutus TLP

Full Drilling
100,000 BOPD

7650 tons modules only

5 modules

Hoover Diana Spar

Full Drilling
100,000 BOPD

18,000 tons
Split Deck Lifts

Matterhorn

Completion Rig
35,000 BOPD

5800 tons
Single Module

Prince TLP

Completion/Sidetrack
50,000 BOPD

3450 tons
Single Module

Horn Mountain Spar

Completion/Sidetrack
65,000 BOPD

4800 tons total

Single Module + LQ Lifts

Marco Polo TLP

Completion Rig
120,000 BOPD

6450 tons
Single Module

Main Deck Equipment

H.P. Gas Cooler 20-0 x 29- 0

Turbine Driven Centrifugal Compressor
11-0 x 39-0
(Taurus 70 Driver) with Process Skid

Topsides Configuration - Main Deck

Production Deck Equipment

Waste Heat Recovery - (A,B,C,) Duty per unit: 56 MMBTU/HR

Design Tube 620 PSIG @ 600 F
Shell ATMOS @ 1500 F
Emergency Generator - 29 0 x 10 2
Auxiliary Generator - 19 0 x 10 2
Dry Oil Tank - 144 O.D. x 36 S/S (800 BBLS)
H.P. Separator - 72 O.D. x 21 0 S/S (65,000 BPD)
Allocation Separator B - (K2) 72 O.D. x 20 0 S/S (45,000 BPD)
Allocation Separator C - 72 O.D. x 16 0 S/S (35,000 BPD)
Allocation Separator D - 72 O.D. x 16 0 S/S (35,000 BPD)
Test Separator - 72 O.D. x 25 0 S/S (20,000 BPD)
Vapor Recovery Units (2) - 14 0 x 25 8 (1100 HP each)
Flotation Cell - 132 O.D. x 9 0 S/S (50,000 BPD)
I.P. Separators (2) - 72 O.D. x 28 0 S/S (65,000 BPD each)
L.P. Separators (2) - 72 O.D. x 26 0 S/S (65,000 BPD each)

Topsides Configuration - Production Deck

Cellar Deck Equipment

Glycol Regeneration - 15 x 35 (722 KW)
Bulk Oil Treaters (2) - 108 O.D. x 36 S/S (60,000 BPD
each)
Bulk Oil Degassers (2) - 60 O.D. x 21 S/S
Pipeline Pumps - Capacity 1,750 GPM @ 475 PSI P
900 HP Motors
LACT Pumps - Capacity 1,750 GPM @ 750 P
900 HP Motors
LACT Pumps Recycle Cooler - Duty: 5.34 MMBTU/HR
Design: 600 PSIG @ 200 F
Sea Water Cooler - Duty: 2.0 MMBTU/HR
Design: Tube 200 PSIG @ 300 F
Shell 2,220 PSIG @ 350 F
Compressor Discharge Coolers: - Duty: 34.7 MMBTU/HR
each

Topsides Configuration - Cellar Deck

Cellar Deck Fabrication

Equipment Installation on Cellar Deck

Production Deck Float-over

Production Deck Float-over

Equipment Installation on Production Deck

Main Deck Float-over

Topsides Completed

Topsides Loadout

Offshore Installation

Offshore Tendon Assembly Operation

Tendon Assembly

Tendon Assembly
Frame

Location OSI Equipment

Dual Crane Tendon Lift-off & upending

Tendon Section installed in assembly frame
Tendon section aligned with lower section
Connection made using OSI Equipment

Hull Wet Tow to Location

Hull Prior to Ballasting Down to Lock-off Elevation

Topsides Transport to Location

Setting Topsides on Hull

Setting Topsides on Hull

Setting Topsides on Hull

Topsides Installation Completed

Offshore Installation Completed

Offshore Installation Completed

Production Risers

Riser Installation Summary

Wellheads and Umbilicals

Riser Pipe

Wellhead & Tensioner

Wellhead & Tensioner

Completions

Completions Overview

Original timing estimates for schedule planning were P50 type estimates.
Actual achieved completion timing ran closer to the P10 level estimates.

Batch installation of the risers helped riser running time by avoiding the
time of year when loop currents are most prevalent.

Major reasons for improved timing and performance

Good performance by rig crews, service company personnel, and onsite
supervisors. Chose onsite company reps early and assigned them to work
Good weather and loop current cooperation (made it through the first 4 wells
before any weather evacuations)
Early conceptual planning (2-3 yrs. in advance) that identified major issues
needing longer lead time for engineering work, and identified issues relating
Standardized the wellbore design and completion program so that service
companies and rig personnel could establish a routine and improve
performance
Chose vendors early and involved them in the planning process.
Pre-makeup of assemblies, permanent rigup of frac treating iron, etc. to take
advantage of repetitiveoperations.

Completions Overview

(cont)

Setup a full dry-run of our completion running activities

at the Nabors completion rig while in the yard in Louisiana
to optimize operations.

Summary
24.5 days average rig completion days per well (without
Tropical Storm & Hurricane time)
26.9 days average rig completion days per well
(including Tropical Storms & Hurricanes)
13.9 days Lost time due to Tropical Storm & Hurricane
103 days Total days saved vs AFE (40% savings)

Marco Polo TLP Ready for Production

Success Story of Marco Polo & Surrounding Discoveries

Successful Exploration Discovery at Marco
Polo

K2 North

519

518

520

Everest

Innovative Facility Concept with GulfTerra April 2002

Oversized facility
Allows tiebacks of additional discoveries
Accelerates first oil for tiebacks

#1 SL
518 #2 BHL SL
518 #1 BHL

39% APC

100% APC

562

Successful Satellite Exploration

K2/K2 North
K2 #2 - drilled August 2002
K2 #3 drilled May 2003
518 #1 Drilled December 2003
518 #2 Currently Drilling
Subsea tieback to Marco Polo
First production 2005
(~2 years sooner)

S HALE

#3

K2

SALT

BP-1ST

BP-1ST2
BP-1ST3

39% APC

563

564

BP-1

#2
#2ST1

COP #1ST

52.5% APC

COP #1

Timon
39% APC

52.5% APC

606

607

1ST1
2

7
4

Additional Potential in Area

Everest
Timon
Genghis Khan
Other

SALT

608

1ST2

6
5 1
8 TLP

1ST3

1ST4

Marco Polo
100% APC

39% APC

100% APC