What are DNV GL’s newest ideas presented to the oil and gas industry in North Africa?
DNV GL has been setting the oil and gas industry benchmark for safety, integrity, and performance for more than 40 years. Our vision is to introduce a safe and sustainable future; an ethos which presents innovative new ideas to the global market, especially in the oil and gas industry. The latest ideas revolve around applying digital technology to improve the efficiency of our projects around the world, including asset integrity management software, verification and certification digital project management tools, and remote inspection and process safety management tools.
In North Africa, DNV GL is applying new standards and best practices in cooperation with stakeholders from around the world, addressing industry challenges. Our reputation for setting standards and best practices, collectively known as service documents, is among the top three strongest attributes of our brand, according to our 2018 Brand Survey. We are also participating in the Egyptian Ministry of Petroleum’s vision of building professional leadership through a capacity building program in the domain of Process Safety Management systems.
How do the global trends affect the company’s plans in its operating areas?
Roughly 70% of DNV GL’s business is energy related. We have an equal footing in the fossil and renewable worlds and understand that the energy future is a critical exercise for ourselves and our customers. That is why we have decided to independently forecast what the world’s energy future will look like and how the transition towards a more sustainable energy mix will unfold. Our annual Energy Transition Outlook (ETO) report is available for free download on our corporate website, www.dnvgl.com/eto.
Egypt’s insatiable appetite for natural gas will ensure its return to import of gas in the next six to seven years, according to an analysis of its ongoing projects, new fields, and increasing gas demand. Egypt’s government has a vision for the future, which involve securing enough oil and natural gas supplies through expanding upstream activities and diversification of resources, to reaching natural gas self-sufficiency and achieving the added value through the petrochemical industry.
The vision further includes turning Egypt into a regional energy hub on several levels; electricity, oil and gas, and other energy resources, meeting the demands of the domestic market for petroleum and petrochemical products and mineral resources, as well as achieving the target of the national economy growth rates. When the Egyptian Minister for Petroleum and Mineral Resources announced plans for transforming Egypt into a regional hub for oil and gas trading, it has been followed by strategical efforts affecting the oil and gas business in Egypt for international oil companies (IOCs), national oil companies (NOCs), and services companies. In short, transforming Egypt into a regional trading hub by achieving the optimum value-added through natural resources is a national and industry goal.
As for DNV GL, the core model we use to produce our Energy Transition Outlook reports also guides our own business; it informs the direction for our research and development activities so we can be ready to best serve the industries we are active in the longer term as well as at present. We are proud and excited about supporting Egypt’s ambition to become a regional energy hub, and we are ready to serve our clients as their trusted partner in building confidence in the development of Egypt’s oil and gas infrastructure.
Could you please share with us DNV GL’s latest activities in Egypt?
In Egypt, DNV GL is engaged in most of the mega projects. For example, we were chosen as the marine warranty survey providers for many deep-water projects in Egypt. We were also engaged as the inspection and construction monitoring body for refineries under construction. Furthermore, we are very excited that our extensive global expertise in deepwater projects was mobilized to support Egypt when we were appointed as Independent Verification Body (IVB) for many deepwater projects. I can also mention that DNV GL was provided risk-based inspection services to evaluate the risk assessment of existing refineries.
What do you think are the company’s biggest achievements in Egypt?
DNV GL has made long-term agreements with Egyptian oil and gas stakeholders, including being part of the capacity building program launched by the Ministry of Petroleum and Mineral Resources, which reflects strong commitment to this valuable partnership.
We have leveraged this partnership role not only for supporting the different companies in executing their projects and facing challenges in a safe, sustainable manner, but also in supporting the whole oil and gas sector in Egypt through building capacities and qualifications, in line with the sector’s growth plan.
What efforts do DNV GL make to develop its human resources and their leadership skills?
We attract, retain, and further develop competent personnel who are committed to DNV GL’s purpose, vision and values. Since 1864, our purpose has been to safeguard life, property, and the environment, and DNV GL colleagues are people who have a genuine passion for doing just that. While the company promotes and provide opportunities for flexibility in tasks, services, work location, and career paths, we also encourage employees to take responsibility for their own development.
DNV GL has documented and described the general competence and training requirements for employees and the roles and responsibilities in connection with this. In addition, there are specific requirements for each business area, which have to be taken into account, such as industry certifications and other requirements to qualifications. We ensure that employees and contractors have a competence level appropriate for performing their allocated tasks through customizing individual development plans, which are established by the unit line manager as a means to ensure acceptable capacity and competence levels in the unit while at the same time supporting the development of the employees.
DNV GL has adopted the 70:20:10 model to learning, whereby 70% of learning occurs through daily work and on-the-job experience; 20% through dialogue with colleagues, mentoring, tutoring, and/or coaching (learning from others); and the final 10% from formal training, such as courses.
What are DNV GL’s most efficient and practical methods and solutions that support Egypt’s transition into a regional energy hub?
From project initiation to decommissioning, DNV GL supports customers around the world in enhancing safety, increasing efficiency and managing risk in projects and operations. We are involved in the development and operations of oil and gas infrastructure in every hydrocarbon-producing country in the world. We also have world-learning expertise in the renewables segment, helping the industry address challenges and opportunities in achieving an optimal energy mix in practice. DNV GL has been a world-leading third-party classification body since it was established in 1864, and is now a one-stop shop for both advisory and third party for classification, certification, verification and inspection services across the whole oil and gas value chain.
DNV GL has been focusing on the Eastern Mediterranean region for a long time, not only in the upstream segment but also in the downstream and midstream segments. We expect gas trade forecasts to support a demand for new pipelines, including those for cross-border transmission. In addition, new liquefied natural gas (LNG) terminals of varying scale are in the works. Further, we expect that as more LNG terminals and pipelines are built, the application and oversight of regulations will become increasingly important. Refineries will also play an important role in the new infrastructure, bringing along specific challenges associated with process safety management. At the same time, there will be increased costs for replacement and refurbishment of older infrastructure in the Middle East and North Africa (MENA) region until at least 2050.
In this context, DNV GL has a very important role to play, and we do this as either the independent third party or a second party technical or risk management advisor to ensure that oil and gas investments and operations are designed and executed in accordance with the requirements and standards which apply. But beyond compliance, our focus is also on ensuring optimal performance – our combination of deep expertise and digital solutions helps us bring that to the table in Egypt in an integrated way. We can support in technical aspects as well as helping with assessing and managing risks associated with any asset or process.
The unique aspect of DNV GL is that it can combine more than 150 years of deep technical experience with industry-leading research into new technologies and its position as the industry’s partner for setting standards to support Egypt’ energy journey. We are also owned by a foundation and therefore have the advantage of being a truly independent organization. We have a substantial local footprint in Egypt which is very well-connected to our global network of experts, which means we are bringing the most innovative solutions to the challenges at every stage of this journey.
From your point of view, why would you recommend Egypt for investors?
Egypt’s oil and gas sector has undergone active transformation over the past few years, and the country is expected to significantly boost its growth and attract new investments in the medium for a long-term future of sustainability. The government’s transparency in the financial sectors, implemented since 2016, is very much appreciated worldwide.
Lately, Egypt has been preparing to become an energy regional hub. Its oil and gas industry shows comprehensive development in terms of upstream, midstream, and downstream operations. As a global technical advisor and market leader, DNV GL is focused on maintaining its partnership role with industry stakeholders here in Egypt, including investors. Our due diligence services provide investors with world-leading expertise in ensuring investments are made based on sound data and assessments which are backed by deep technical knowledge.
With this kind of growth, DNV GL as a partner for success can play this partnership role not only for supporting the different companies in executing their projects and facing their challenges, but also in supporting the whole oil and gas sector in Egypt through building capacities and qualifications.