1. collaboration | commercialisation | diversification | internationalisation ITF/Subsea UK - 2007 Theme Day Subsea 2020 Vision David Pridden Chief Executive Subsea UK

2. collaboration | commercialisation | diversification | internationalisation ITF/Subsea UK - 2007 Theme Day Presentation Why Now Challenges Facing the Industry Results of the 2020 Workshops

3. collaboration | commercialisation | diversification | internationalisation Subsea 2020 A National Strategy for Skills, Technology and Competitive Business in the UK’s Subsea Sector

4. collaboration | commercialisation | diversification | internationalisation Wisdom Big Big appetite Been around along time Endangered Species?No predators?

5. collaboration | commercialisation | diversification | internationalisation UK’s Subsea Industry: Challenges UKCS Mature Province: need more reliable, flexible, cost efficient subsea capex and opex Market increasingly global Globalisation: Far East, Americas’ Shortage of skills and lack of interest by our school children

6. collaboration | commercialisation | diversification | internationalisation First’s on the UKCS – more of these?

7. collaboration | commercialisation | diversification | internationalisation Subsea Wells 1970 – 1999: North Sea The Major Player

8. collaboration | commercialisation | diversification | internationalisation Growth of the global market Source: Douglas Westwood, Scottish Enterprise Not in the UKCS The European Challenge

9. collaboration | commercialisation | diversification | internationalisation 2020 Workshops “What will the subsea industry be doing in 2020? What will be key?” Market for Capital Expenditure Market for Operational Expenditure Decommissioning market Other markets

10. collaboration | commercialisation | diversification | internationalisation Prioritised ranking for all topics AreaRank Smart subsea technology1 Skills2 Asset integrity3 International Opportunities4 Enhanced Recovery4 Small developments6 Commercial Model7 Security of Supply8 Renewable Opportunities9

11. collaboration | commercialisation | diversification | internationalisation Key Target Areas for 2020 Businesses TechnologySkills

12. collaboration | commercialisation | diversification | internationalisation Technology: A Global Leader 2020 Aim UK leads the world in subsea technology through a leading edge research programme. UKCS has become a centre for onshore and offshore testing for novel subsea technologies Delivery JIP – UK Deepstar? Focus Enhanced recovery: more for less from subsea wells Smart subsea: use of intelligent systems Optimisation of established and new energy systems: integration of fossil with renewable Source: Arthur D Little, DTI, Subsea UK

13. collaboration | commercialisation | diversification | internationalisation 2020 Workshop: Technology

14. collaboration | commercialisation | diversification | internationalisation Subsea/Deepwater R & D Programmes Procap 3000: Brazil – ultra deepwater: –Further production from new discoveries > 3000 metres –Cut extraction and lifting costs of existing > 1000 metre fields Demo 2000: Norway – innovative Norwegian industrial products –Seabed processing –Enhanced recovery –Deepwater and subsea: floaters, moorings and risers Deepstar: US – global deepwater technology –Subsea boosting –Flow assurance –Reliable deepwater production systems

15. collaboration | commercialisation | diversification | internationalisation Concluding Comments Co-ordinate skills and training across the industry Deepstar type JIP to direct technology development: focus on key technologies Collaborate/innovate in business Subsea Centre of Excellence within ETI

16. collaboration | commercialisation | diversification | internationalisation “A TALE OF TWO FUTURES”