Announcements & News

PIELDS Engineering, Co., Ltd. has been appointed to a project manager of the ‘Project on Development and Demonstration of Usage Conversion Technology for Aging Offshore Plants in Indonesia (technical development for usage conversion of offshore plants to carbon reduction-type)’ promoted by the Ministry of Oceans and Fisheries and attempts to hold a strong hold in the recycling market for aging offshore plants in Southeast Asia. This project is a massive-scale research/demonstration project worth \46 billion KRW in total for 4 years from 2025 through 2028.

New Opportunity with Aging Offshore Plants in Southeast Asia

Having the most offshore plants among the Southeastern countries, Indonesia is marred with approximately 110 offshore plants which are either over 20 years old or have been abandoned after their usage was exhausted.

The Ministry of Oceans and Fisheries and participating institutions aim to preoccupy the recycling market for aging offshore plants in Southeast Asia, estimating to be worth approximately \10 trillion KRW by building a new business model through conversion of aging offshore plants into low-carbon energy infrastructure rather than merely engaging in this project as a simple demolition work.

PIELDS Engineering, as a project manager of this project, is to oversee the planning, design and demonstration of the entire project and execute the project by representing the engineering competence of Korea in the Southeast Asian offshore plant market.

Core Technology of Usage Conversion in Connection with LNG Supply/CO₂ Storage

The core element of this upcoming technical development can be summarized as 'Two ways of usage conversion' of aging offshore plants.

Conversion to LNG Fuel Supply Facility

The goal is to renovate the existing offshore plants to utilize them as a facility supplying liquefied natural gas (LNG) to nearby power plants and also to revitalize offshore plants into regional energy hubs by imposing a function of supplying fuel for power generation.

Conversion to Carbon Dioxide (CO₂) Storage Facility

It aims to renovate offshore plants to be able to inject and store CO₂ in the submarine oil/gas fields of which production is terminated and to secure a foundation capable of simultaneously accomplishing the reduction of greenhouse gas and energy conversion in connection with future CCUS (Carbon Capture, Utilization and Storage) projects.

PIELDS Engineering analyzes the structure/process of aging offshore plants based on its vast experiences in design of offshore/refinery/gas plants and performs the basic/detailed design as well as empirical design for the purpose of usage conversion.

Expansion into Southeast Asian Markets through Consortium and Human Resource Development

This project will be implemented by means of a consortium participated in by a total of 10 organizations, including National Korea Maritime & Ocean University, Korea Research Institute of Ships & Ocean Engineering (KRISO), POSCO International and Samsung Heavy Industries, as PIELDS Engineering takes charge in performing a role of project manager.

• PIELDS Engineering: Supervision of the project, system engineering, design and demonstration of usage conversion;
• Participating organizations: Research on offshore structure/process, technical supports for equipment/construction/operation, formulation of commercialization strategy in overseas, etc.;
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Locally in Indonesia, the Coordinating Ministry for Economic Affairs, Ministry of Energy and Mineral Resources and State-owned oil company of PERTAMINA participate in the project as partners where they are responsible for provision of information on mining area/platform, authorizations/permissions and custom clearance and supports for local supplies and workforce to assist the project.

PIELDS Engineering announced, “Recycling of aging offshore plants is the field where we can concurrently achieve carbon neutrality and preservation of marine environment as well as secure a new growth engine at the same time,” and it disclosed of its goal by saying, “We are determined to strengthen our competitiveness in the recycling market for offshore plants not only in the Southeastern market but also throughout the world after successfully completing this project in Indonesia.”