During his recent visit to Cairo, Jonathan Gibson, VP Business Development International, Composite Production Systems, sat down with Egypt Oil & Gas to explain Shawcor's innovative technologies and interest in the Egyptian oil and gas sector.
How does Shawcor's technology contribute to the enhancement of Egypt's pipelines?
One of the strengths of our product is that it does not corrode. We know that in Egypt, as in many countries, corrosion is a huge problem. With the steel pipeline, you get corrosion, and in some places they are replacing the pipes even after a few months or years, which is expensive, because you are replacing the pipelines all the time. Our pipelines do not corrode and are expected to have a lifetime of about 20 years.
What makes Egypt an attractive market for Shawcor? How do you expect the company to expand its presence in the country?
Egypt is an interesting market because it has a number of pipes which are corroding; they are leaking and they are having to be replaced regularly - so our pipe is a simpler solution to attend this big market. Our pipe is only for use onshore, and there is a lot of drilling and activity in the Western Desert; it is perfect for that because, apart from being used to replace pipelines, it is good from the wellhead to the first treatment separator, what we call gathering lines.
Additionally, in some countries, such as Saudi Arabia or Abu Dhabi, there is only one potential customer. Here we have lots of interesting companies: international companies - we have met Shell and Apache - we are also working with EGPC, so we see an interesting market as there are lots of potential customers. We also see the enthusiasm from EGPC, who has recognized the benefits they would get from using our pipelines. The make-up of the Egyptian market is particularly interesting for us.
We are building a plant in Saudi Arabia, because one of our largest customers is Saudi Aramco. The plant in Saudi Arabia will obviously be much closer to Egypt than Calgary in Canada, which is where our pipes are made at the moment. In the future, we will be able to offer a 'just in time' solution for the Egyptian market. We see the demand, and we also see that in the future we will be able to supply our pipes more quickly and cheaply.
Shawcor has collaboration and partnership as values for its business. How are these values applied in the company's interactions with its clients in Egypt?
We are working with a local partner to develop the business in Egypt, we will also be looking to train local people to do the installation of our pipe. Our practice in all countries is always to train local people; we will send people here to train Egyptians who will then conduct the installation. Through our pipe we provide employment for local people and obviously improve their skills by training them, then once a year we come back and check and recertify them.
Read the full interview at this link
Shawcor at ADIPEC 2018
Shawcor representatives will be present at ADIPEC on November 12-15, 2018 in Abu Dhabi, UAE. ADIPEC is the largest oil and gas exhibition and conference focused on activity Asia, Africa, Europe and the MENA region. This year’s event features more than 2,200 exhibiting companies from 53 countries around the world.
Shawcor in the Middle East
Nearly half of the worldwide proven oil reserves are estimated to be commercially recoverable from the Middle East. Learn more about the region and how Shawcor is equipped to handle your pipeline project. Click here to download the Shawcor Middle East Capabilities brochure.