No 1 • 2009

VISION Prosafe shall be a leading and

innovative provider of technology and services in selected niches of

the global oil and gas industry.

MISSIONBy providing our clients with innovative

and cost-efficient solutions, Prosafe shallmaximise shareholder value and create a

challenging and motivating workplace.

CORE VALUESProfitability

Respect InnOvation

Safety Ambition

Focus Environment

Prosafe NOW is published two times a year for our employees, clients,

vendors and other key audiences.

Submit ideas, comments and articles for the next issue to:

Karine CosemansCommunication and branding manager

karine.cosemans@prosafe.com

EDITORKarine Cosemans

Photo page 1, 2, 4, 6: Kjetil AlsvikPhoto page 8, 9: Consolidated

Training SystemsPhoto page 12, 13: Katja Snozzi, SOS

Children’s Villages

PRODUCTIONPrinters AS

VISIT OUR WEB SITEwww.prosafe.com

RESPONSIBLE PUBLISHERProsafe SE

Stadiou Street 126CY-6020 Larnaca, CyprusPhone: +357 2462 2450

Fax +357 2462 2480mail@prosafe.com

On the cover: The newly refurbished MSV Regalia.

We are in a fortunate financialposition, with a solid fundingsituation and healthy profitmargins. Over the years, we haveshown that we deliver robustresults, not only when times aregood, but also when times aredifficult.

Prosafe is a company that takes along-term approach when makingdecisions and planning for thefuture. One of our foremost goalsis to retain and further enhanceour position as a leading providerof accommodation services. In order to succeed with this, we have prepared long-termmaintenan ce and upgrade plansto ensure that our rigs are wellmaintained and meet the higheststandards at all times. By investingin our assets and endeavouring todeliver quality operations, we willcontinue to ensure that our

customers are offered safe andefficient first class accommodationservices.

Investing in our assetsAs part of these plans, SafeCaledonia was four weeks in theyard at Ølensvåg, Norway for anintermediate hull inspection, theexchange of some thrusters andupgrades to the gangway. SafeScandinavia completed a SpecialPeriodic Survey, adjusted theheight of the gangway prior tocommencing a new contract anddid some maintenance workduring a five-week yard stay atInvergordon, Scotland.

In addition, we conducted a majorrefurbishment of MSV Regalia.This was a comprehensive anddemanding project that went onduring the first half of 2009. Thescope of work comprised amongst

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On a steadycourse – also inchallengingtimes

The first half of 2009 has been busy, with threeyard stays in addition to normal rig operations.This has resulted in a lower rig utilisation, which is reflected in our financial results for that period.Apart from that, we have once again deliveredgood financial and operational results.

others life extension of the steelstructure, renewal of accommo -dation and living quarters andreplacement of engines andthrusters. The rig also completed afive-yearly Special Periodic Surveyand was granted an Acknow ledge -ment of Compliance for operatingin the Norwegian North Sea. Themain challenge was to conclude theproject within a tight time frameand to get the rig on contractwithin the agreed date.

The vessel was gangway connectedand assumed operations for BP atthe Valhall field on 12 July 2009.The “new” MSV Regalia is now astate-of-the-art unit, offeringaccommodation in 300 single-mancabins and capable of operating inthe most demanding regions in theworld.

Completing these projects withinthe given deadlines would not havebeen possible without the efforts ofour dedicated employees, who haveworked determinedly in order tosuccessfully carry through theseprojects. Thank you for your hardwork and for your contribution tothe attainment of Prosafe’sobjectives.

Good order intakeWe have so far this year secured a number of important newcontracts. Safe Bristolia and SafeConcordia were awarded one-yearand eight-month bareboat chartersin the Gulf of Mexico. SafeScandinavia was awarded a contractwith two firm durations of sixmonths in the Norwegian NorthSea, and Safe Astoria won an eight-month contract in the Philippines.

The geographical spread of thesecontracts confirms the worldwidedemand for semi-submersibleaccommodation services. With ourversatile fleet of anchored anddynamically positioned rigs, we areable to operate in all geographicalareas and nearly all water depths,which gives us a competitive edge.

Taking social responsibilityWe endeavour to contribute to thepositive development of the localcommunities in which we arerepresented, and give each year adonation to a social program in acountry where we have businessactivities.

We will later this year start opera -tions offshore the Philippines, andfeel that it is natural to contributeto alleviating the situation for someof those who are in need in thatcountry. Therefore, we have given adonation to SOS Children’s Villagesthat will finance the building of afamily house in the new SOSChildren’s Village in the townMariveles in Bataan, nearby Manila.Giving children a home andeducation will contribute to abetter future, both for the childrenand the country in which they live.

Positive outlookThe prospects for our business aregood. Within the harsh and semi-harsh offshore environments wheremost of our rigs operate, there is agood supply-demand balance andthe number of new builds to bedelivered over the next few years islimited. Furthermore, we expect agood long-term demand for ourrigs, especially in Mexico and theNorth Sea, with additional growthpotential in other deepwaterregions.

We have secured a good contractportfolio and thereby alsopredictable earnings for 2010. We will continue to deliver safe and efficient operations, be cost-conscious, and develop thecompany in a sustainable andprofitable way. We will never stoplooking for ways to further improveour performance.

Arne AustreidPresident and CEO

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Kolbjørn Akselvoll (born 1956) was appointed Director ofEngineering of Prosafe Offshorein May 2009. He is based in theAberdeen office.

Prior to joining Prosafe, he was Vice President Projects with China Oilfield Services/Awilco. Mr. Akselvoll has had variouspositions with drilling contractorsand engineering companies and has been working in the offshoreindustry for 27 years.

He is a Chartered Engineer andMember of the Royal Institutionof Naval Architects.

NewDirector ofEngineering

By Karine Cosemans, Communi cation and brandingmanager

Since its inception in 1997, Prosafehas been operating in the NorthSea, one of the longest establishedmarkets for semi-submersibleaccommodation rigs. The North Seais amongst the harshestenvironments in the world and only

a few accommodation rigs aresuitable for operation in this area. As a leading player in the NorthSea, Prosafe is committed tomaking the necessary investmentsin order to ensure that its rigs arecompliant to all relevant standards.We endeavour to offer ourcustomers the highest standards ofaccommodation services available,and put the safety of the people

living and working onboard ourvessels at the forefront of ourbusiness.

As part of this strategy, Prosafeconducted a major refurbishmentof MSV Regalia, a semi-submersibleaccommodation rig of enhancedGVA 3000 design. The work tookplace at the Keppel Verolme yard in the Netherlands during the firsthalf of 2009.

What was the scope of work forthe refurbishment project?–The concept was quite simple. We were tasked with a requirementto extend the structural life of thevessel and upgrade all the accom -modation, giving a POB in excess of300 which had to comply with theNORSOK standards. Included in this we renewed all the galley andlaundry spaces, recreation areas,offices and other internal workingand living areas. To work in theNorwegian Continental Shelf, thereis a requirement to attain anAcknowledgement of Compliancefrom the Norwegian PetroleumAuthority Safety. Therefore, we put a lot of focus on improving theworking environment onboard, saysTom Milne, Director of Operations.

The recently completed refurbishment of MSV Regalia ensures that the rigcomplies with stringent Norwegian North Sea requirements. How extensive wasthe scope of work and how does that benefit the end user, our customers? I interviewed Tom Milne, Director of Operations and Kolbjørn Akselvoll,Director of Engineering, and this is what they had to say.

MSV Regalia - Offeringfirst class accommodationin the North Sea

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The “new” MSV Regalia.

–On the technical side, we replacedall six main engines with newWärtsilä WN25 16v LN enginescomplying with the latest NOxemission protocols. We took theopportunity to completely overhauland refurbish the ABB generatorsattached to the engines. Further,we overhauled and serviced all sixRolls Royce thruster units andupgraded the Kongsberg DP systemto the latest version, with upgradesalso to the power management andcontrol systems. We have ended upwith a very modern and effectivepower train, reports Tom Milne.

–The rig was also dry-docked,where the pontoons, columns,bracings, including under deckareas, box girder and deck were allblasted and painted, adds KolbjørnAkselvoll, Director of Engineering. –In addition, the rig underwent afull five-yearly special periodicalsurvey by Lloyds with the renewalof all main class and flag certificates.

The rig was granted anAcknowledgement of Compliance(AoC). What does that mean?–An AoC is a certificate issued byNorway’s Petroleum SafetyAuthority, confirming that thetechnical condition of the rig andProsafe’s organisation and manage -ment systems are considered to bein compliance with relevantrequire ments in Norwegian shelflegislation, relates Tom Milne. –Obtaining an AoC is not a given –a lot of hard work went into it. We must also keep in mind that an AoC is a living document thatremains valid provided it is main -tained. In other words, it is a lifetime commitment.

What does the refurbishment meanfor our clients?–The standard of the living quartershas been raised substantially, saysTom Milne. –The accommodation isnow state of the art with 300 singleoccupancy cabins, all with en suitefacilities. The recreational facilitieshave also been upgraded. Our guestscan relax and spend their free time

in nice surroundings and can enjoya good night’s sleep in comfortablecabins. They will wake up fit andrefreshed, and be able to do aneven better job on the installationthat our rig supports.

–There are also considerable bene -fits for our crew, points KolbjørnAkselvoll out. –They will be living inupgraded accommo dation quartersand will be working in new officesand a largely improved workingenvironment with less noise, morelight and better adapted to theirday-to-day tasks. Furthermore, wemust also mention that the upgradeof the power generation system hasresulted in improved availabilityand reliability of the power genera -tion system, which of course meansthat the rig is even more reliablethan before.

Has the refurbishment resulted in amore environmentally friendly rig?–Yes, definitely, says KolbjørnAkselvoll. –The replacement enginesare fully compliant with the latestemission requirements. We estimatethat this will result in a reduction inNOx emissions by some 40 per cent.Moreover, we expect a reduction inthe emission of CO2, CO, SO2, CH4

and VOC. There will also be a slightreduction in fuel consumption anda greater reduction in Lubricationoil consumption.

Were there any particularchallenges during the project?–There were some, but not toomany technical challenges. Themain challenge was to complete the project within a tight timeframe, and to get the rig oncontract within the agreed date.We are proud to have met thistarget, tells Kolbjørn Akselvoll.

What is the experience now thatthe rig has been operating for awhile?–We have received positive feed -back from BP Norge, the operatorof the Valhall field where the rig isoperating, relates Tom Milne. Theyare very satisfied with the rig andthe services it offers. The crew hasalso reported that they are verypleased with the rig’s standard.

–On the technical side, we havereceived reports that the newengines and thrusters have beenworking flawlessly, says TomMilne. –Gavin Fraser, MSV Regalia’sChief Engineer has told me that he

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Tom Milne, Director of Operations (left) and Kolbjørn Akselvoll, Director of Engine ering relateabout the refurbishment project.

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is very impressed with the newpower package. Power distributionand control are vastly improved,and the engines respond quicklywithout much time lag.

Is there anything that you areparticularly proud of?–First of all, we are very proud ofhaving concluded the project withgood result, says Kolbjørn Akselvoll. –The refurbishment was successfullycompleted, and we can now offerour customers first class services ona high quality rig that meets eventhe most stringent safety andworking environment requirements.

–I would like to add that the crewdid a good job, and that Iappreciate their attitude andcooperation during sometimesdifficult conditions and times, saysTom Milne. –Especially towards theend, they worked very hard to meetthe deadlines.

Kolbjørn, you joined Prosafe earlierthis year. How did you experiencebecoming involved during theproject’s last couple of hecticweeks?–It was very challenging to get upto speed, relates Kolbjørn Akselvoll. –However, there were no surprises

and it was as I expected it to be at the end of a project. Everybodywas working determinedly andputting in very long hours inorder to complete the rig on time.

Are there any lessons learned?–Of course there are always thingsthat we would like to change orwould do differently given asecond chance, tells KolbjørnAkselvoll. –There are lessons to be learntfrom any project and this one is no exception. We will be holding a lessons learned seminar in thebeginning of September, where the project team, crew andmanage ment will all get togetherin order to ensure transfer ofexperience. We will ensure that we draw wisdom from this project,and this will impact on how wehandle future projects.

MSV Regalia was gangway-connected to the Valhall platformin the Norwegian North Sea on 12July. The rig is providing first classaccommodation and recreationfacilities to BP, who are workingwith modifications to prepare forthe installation of a new processand living quarters facility. MSVRegalia is on contract untilJanuary 2011, with the possibilityto extend the contract with afurther six months, and isoperating in DP mode for theduration of the contract.

Connecting MSV Regalia’s gangway to the Valhall platform.

Completely renewed mess room, galley, and living quarters with 300 single man cabins.

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By Frode Ravndal, Financial analyst

Since the inception in 1997, theProsafe group has been a provider of both drilling services through the Prosafe Drilling Services division,and floating production solutionsthrough the Prosafe Productiondivision. The Prosafe Drilling Servicesdivision was sold to KCA Deutag in2005, and the Prosafe Productiondivision was spun off as a separatecompany and listed on the OsloStock Exchange in 2008. Today, onlyone division remains, the ProsafeOffshore Support Services, consistingof a versatile offshore accom mo -dation/service rig fleet owned andoperated by Prosafe.

Systematic consolidationFrom the merger between ProconOffshore and Safe Offshore in 1997,Prosafe entered the offshoreaccommodation market with threevessels, the Safe Britannia, the SafeCaledonia and the Safe Lancia.Discoverer ASA was acquired in 1998,increasing the fleet by two vessels,the Jasminia and the Safe Regency.During the years 1999-2002, anotherthree vessels were added to thefleet, the Safe Scandinavia, the MSVRegalia and the Safe Hibernia. Thelast four, the Safe Concordia, theSafe Bristolia, the Safe Astoria andthe Safe Esbjerg were acquired fromConsafe Offshore in 2006, adding up to a total of twelve vessels (11 semi-submersibles and 1 jack-up).

Over the years, focusing on the de -velopment of stable and long-termrelationships, Prosafe has created asignificant client base and a solidtrack record. With national oil com -panies and oil majors represent ingthe majority of the client portfolio,Prosafe’s services have been indemand in most offshore oil regionsaround the world. During the years1997-2002, the majority of work wasrelated to the maintenance andrepairs of fixed offshore installationsin mature oil regions including theNorth Sea and the Gulf of Mexico. In the North Sea, clients likeConocoPhillips, Statoil, British Gas(BG), British Petroleum (BP), Shelland ChevronTexaco represented,

and still represent, Prosafe’s clientbase in the Norwegian and Britishsectors of the North Sea. In the Gulfof Mexico, Pemex has since 1998chartered several Prosafe rigs in whathas become a long-term relationshipwith Prosafe, through Cotemar,Prosafe’s partner in Mexico.

Global operationsFrom 2003 onwards, Prosafe hasexpanded globally and provided off -shore accommodation and services,connecting to several types ofoffshore installations in South EastAsia, West Africa, the Mediter -ranean, the USA and Russia. In 2003,the Safe Caledonia connected to thefixed installation at the Conoco -Phillips operated Bayu-Undan gasfield offshore East Timor. The samevessel mobilised to the Shelloperated Bonga FPSO offshoreNigeria in 2004, to assist duringhook-up and commissioning. Theyear 2005 marked the start ofanother long-term relationship withMaersk when the Safe Esbjergconnected to the Gorm field in theDanish sector of the North Sea. In2006, the MSV Regalia connected tothe Total operated Girassol FPSOoffshore Angola, to assist during atie-in operation. In the US Gulf ofMexico, the Safe Scandinavia connec -ted to the Shell operated Mars TLP in 2006, and the Safe Concordia,chartered by ChevronTexaco, assistedduring a hook-up at the Tahiti SPARin 2008. Prosafe has also operated

Prosafe – a focused offshoreaccommodation companyProsafe has truly grown globally in terms of how diversified our crewingworkforce is across the fleet. With crew members from many different countries,we are well placed to benefit from a diversity of experiences and cultures.

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By Charles Stewart, Director ofHuman Resources

The ability to recruit and traincrews from across the worldprovides us with flexibility,resources and a breadth ofprofessional knowledge. At the lastcount, we had 17 nationa lities onboard our vessels. This brings ussome interesting challenges in

ensuring that all our vessel crewsare trained to consistent levels ofcompetency and standards whichare recognised in both theinternational maritime and theoffshore oil and gas industries,wherever we operate our vessels.

The key to making the diversity ofour crew a success is to mould andmix them to a standard consistencythrough our commitment andadherence to internationallyrecogni sed and industry specificstandards. This is core to all of ourcrewing competencies, whether itbe STCW95 for our deck andengineering marine personnel,OPITO for all our offshore person -nel, or for specialist qualificationsthrough various organisations and bodies such as IMCA, The civil Aviation Authority, Flag State, and various maritime authoritiesincluding MCA in the UK, NMD inNorway and the MPA in Singapore.

Ensuring consistent performanceAs our experience of workinginternationally has grown, so toohas the diversity of our crewingpool. However, through buildingstrong partnerships with trainingorganisations in the UK, Norway,Singapore, Malaysia and thePhilippines, and in conjunction withtrusted and reliable crewing agencypartners, we have built a team ofvessel crews who are able toconsistently deliver a safe and highquality performance. Regardless of whether we are operating in the tropical climes of the Gulf ofMexico, the icy waters off Sakhalinin Far East Russia, or the wind andswells of the North Sea, ourcustomers can rely on being offeredthe same high level of services.

Our latest challenge has beenpreparing the crew of Safe Astoriafor her forthcoming contract forShell Exploration in the Philippines

rigs at the Sakhalin field offshoreRussia, and was recently granted acontract for work at the Shell opera -ted Malampaya field offshore thePhilippines in the South China Sea.

Efficient corporate structureSince the 1997 merger, the Prosafeorganisation has been throughseveral structural changes. Theparent company established in1997, Prosafe ASA, became aEuropean company in 2007, andchanged its name to Prosafe SE.Later that year, Prosafe SE

transferred its registered officefrom Stavanger, Norway, toLarnaca, Cyprus. The OffshoreSupport Services division has beenthrough similar changes. From abusiness division counting threevessels and close to 100 employees,headquartered in Scotland, to atwelve vessel fleet and close to 400employees, headquartered in Singa -pore, Prosafe has moved a long wayto ensure that its services represent acost-efficient solution for its clients,and a risk-adjusted competitivereturn for its shareholders.

Today, Prosafe is the world’sleading owner and operator ofsemi-submersible accommodation/service rigs with a stable client baseand an international footprint.Backed by an organisation with asolid track record focusing on theoffshore accommodation market,Prosafe is ready to deliver oncontracts, take advantage of arisingbusiness opportunities, and face thechallenges to remain the numberone provider of offshore accom -modation solutions.

Prosafe has truly grown globally in terms of how diversified our crewingworkforce is across the fleet. With crew members from many different countries,we are well placed to benefit from a diversity of experiences and cultures.

Prosafe's crewing recipe

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at their Malampaya platform. Safe Astoria has been crewed bythe widest range of nationalitiesacross the fleet, but by far thelargest contingent is our Filipinocolleagues who are providedthrough our partners from NetShipManagement who are based inMakati in Manila.

NetShip has worked closely withProsafe over the past three years to recruit and train crews for bothSafe Bristolia and Safe Astoria.These crew members haveundertaken the full range oftraining and compe tencies requiredand we have successfully utilisedOPITO and STCW accreditedtraining partners from the UK,Malaysia and the Philippines toachieve the right mix of knowledge,skills and experience.

Local training providersKey to this success has been the factthat several high quality trainingproviders from the marine and theoffshore oil and gas industries haveexpanded their services geographi -cally. This has enabled us to ensurethat as we have developed ourexpanding crewing pool, we havealso developed their knowledgeand skills in a consistent manner.Thereby, we ensure that we safelyoperate to the same high standards,both in the familiarity of the NorthSea and in any of the established ordeveloping oil provinces anywhereelse in the world.

Recent crew training undertakenin the Philippines, Malaysia andSinga pore has covered areas ofexpertise including helicopteroperations, emer gency responseroles for fire-fighting and life -boats, and rigging and lifting.Working with local training provi -ders who are accredi ted by bodiessuch as OPITO, IMCA and STCW has given us confidence that ourdiverse work force benefits fromthe same levels of expertise andstandards which we have come toexpect from our experiences fromworking in the North Sea.

The Prosafe wayIn addition to the high levels oftech nical skills and knowledgewhich we expect all our crews toperform and deliver, Prosafe alsorequires our workforce to under -take all their tasks and responsibi li -ties in line with the principles con -tained within our set of core valueswhich are profita bility, respect,innovation, safety, ambition, focusand the environ ment, and for themto observe and work to the highest

standards as stated in our Code ofConduct – this is the Prosafe way.

We strongly believe that theseshared core values and Code ofConduct are important ingredientsin the recipe for making a safe and successful business. Based onthe combined capabilities andcontribu tions of our employees,Prosafe is in a good position forfurther sustain able growth anddevelopment.

Safety and emergency preparedness training at Consolidated Training Systems’ trainingcentre in the Philippines.

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By Dave Smith, Ølensvåg Yard StayProject Manager

The yard stay was primarily arrang -ed to carry out an intermediate hullinspection survey for DNV, theexchange of port and starboardforward thrusters and the removaland maintenance upgrades to theextending gangway. These maintasks basically set the time line forthe yard period, which commencedon the 4th February with a planneddeparture for sea trials on the 8thMarch.

The planning and preparation forthe yard stay began in the middleof 2008, during a very busy year forProsafe, in which five of the vesselsin our fleet attended yard stays forvarious maintenance upgrades andperiodic surveys.

The development of the work listsinvolved the joint efforts of bothon and offshore personnel andresulted in an extensive program of refurbishment and upgrade ofvarious areas and systems duringthe yard stay.

External refurbishment included theblasting and painting of the portand forward lower deck hullsections, the gangway rest towerand the 400 level roof and walk -ways. Internally, the improvementswere extensive, with OP Marinecarrying out the refurbishment ofthe client and crew offices, renewalof flooring throughout the accom -modation stairs and companionways, messroom, laundry and galleystore rooms. Part of the accom -modation improvements included amajor upgrade of the black waterservice system by replacement ofthe tanks and pipe work. The blackwater service system is the systemof pipe work, tanks and treatmentunits that handle the disposal of alltoilet waste from the accommo -dation areas.

General mechanical upgradesincluded the provision of a newheli-foam tank, service air receiver,oily water separator and additionallube and fuel oil purifiers. As partof fleet wide access improvements,

The beginning of February 2009 found Safe Caledonia moored at WestconContractors yard in Ølensvåg, Norway following completion of the first phaseof the Elgin/Dunbar contract for Total E&P.

Safe Caledonia yard stay

Safe Caledonia is on a three-year contract for Total E&P at the Elgin/Dunbar field in the UKNorth Sea.

Dave Smith, Yard project manager atØlensvåg yard in Norway.

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maintenance walkways wereinstalled on the starboard craneboom and jib ends.

The pontoon tanks and pumprooms were also inspected andballast/sea water valves and pipework were replaced. Repairs to the Impressed Cathodic CurrentProtection (ICCP) anode systemwere also carried out, including theprocurement and replacement ofthe port and starboard pontoons’power and control units.

In general, the work was carriedout in a proficient and safe mannerby both yard and onboard contrac -tors with the yard management

providing good service to bothvessel and contractors alike. Somefailings at the onboard tradesupervision level were noted andmade known to the yard manage -ment for improvements to beimplemented.

An enthusiastic vessel and shorebased management team respond -ed well to the challenges of theyard stay work, the most significantbeing the new, early departuredate – a contingency against badweather on field, potentiallydelaying arrival and mooring on contract at Elgin. This earlydeparture date was achieved, withthe vessel leaving the quay on the

4th March allowing gangwayconnection two days early on field,despite the foreseen weather delaysen route.

Mrs Lim Hwee Hua, Honourable Minister inthe Prime Minister’s Office and SecondMinister for Finance and Transport presentsthe AIS to Robin Laird, President of ProsafeOffshore.

Safe Caledonia on the day of her earlydeparture, showing forward box girderpainting

By Jimmy Low,Director of Finance

On 21 April 2009, thegala dinner for theInternational Mari -time Awards 2009

took place. Prosafe Offshore’sPresident Robin Laird went on stageto receive the Approved Interna -tional Shipping Enterprise Scheme(AIS) award from Mrs Lim HweeHua, Honourable Minister in thePrime Minister’s Office and SecondMinister for Finance and Transport.

The scheme, which offers consider -able tax incentives, is awarded bythe Maritime and Port Authority ofSingapore (MPA) to attract inter -national ship-owning and ship-

operating companies to establishtheir operations in Singapore.Companies under this scheme areexempted from tax on qualifyingincome for ten years and the awardis renewable under certain termsand conditions.

This award is very important to themanagement of our group taxexpense. It capped months of hardwork by both the finance team andour tax advisors in preparing anddemonstrating our business pro posalto the MPA in order to qualify forthe scheme. We also celebrated thisimportant occasion with some of ourbusiness partners, who joined us atthe gala dinner together with all themembers of the director team basedin Singapore.

Prosafe has been awarded the Approved International Shipping EnterpriseScheme (AIS) by the Maritime and Port Authority of Singapore (MPA).

Approved InternationalShipping Enterprise Scheme

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By Karine Cosemans,Communication and brandingmanager

Prosafe aims to be a responsiblemember of the society and endea -vours to contribute to the positivedevelopment of the local communi -ties in which it is represented. We give each year a donation to asocial program in a country wherewe have business activities.

Since 2004, Prosafe has supportedSOS Children’s Villages in differentcountries. SOS Children’s Villages isan international non-governmentalsocial development organisationthat has been active in the field ofchildren's rights and committed tochildren's needs and concerns since1949. They have activities in 132countries, giving long-term care todeprived children.

Building a house in BataanIn May this year, Prosafe wasawarded a contract by Shell

Philippines Exploration B.V. for theprovision of the Safe Astoria accom -modation rig at the MalampayaShallow Water Platform offshorePalawan, the Philippines.

A study commissioned by UNICEF in 2000 recorded an estimatednumber of 45 000 - 50 000 “highlyvisible children on the streets” in 22 major cities of the Philippines.Therefore, we feel that it is naturalto contribute to alleviating thesituation for some of those in needin the Philippines. Our donation toSOS Children’s Villages has beenearmarked to finance the buildingof a family house in the new SOSChildren’s Village in the townMariveles in Bataan, nearby Manila.

This is the country's eighth SOSChildren's Village, and the first SOSChildren’s Village in the north ofthe country, where there is a hugelack of alternative care services forchildren. The cornerstone of SOSChildren's Village Bataan was laid in February 2008 and constructionstarted in September 2008. The SOSChildren's Village will consist of 12 family houses for up to 120children, the village director'shouse, an administration andservice area and a communitybuilding. The opening ceremony for the first houses that were com -pleted was held on 20 February2009, and four families withaltogether 13 children have alreadymoved in.

Since 2004, Prosafe has supported the activities of SOS Children’s Villages. This year’s donation will finance the building of a family house in Bataan, the Philippines.

Giving children a homeand a future

Prosafe’s donation finances the building of afamily house in Bataan, the Philippines.

SOS Children’s Villages is very grateful for the substantial

support Prosafe has given during so many years.

Prosafe’s support has given orphans and neglected

children in Nigeria, Brazil, Mexico and Liberia the

possibili ty to grow up in a safe home. This year, Prosafe

supports the building of a new SOS Children’s Village in

Bataan, the Philip pines, thereby giving genera tions of

deprived children a new future. This is a fantastic gift

to the children in the Philippines.

Nina Edholm, Manager Corporate Relations of SOS Children’s Villages Norway.

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Giving children a home and afuture–We have great respect for thework that SOS Children’s Villagesdoes for so many children overlarge parts of the world, says ArneAustreid, President and CEO ofProsafe. –By supporting SOSChildren’s Villages, we can givechildren who have lost their parentsor who cannot be raised in theirbiological family the opportunity togrow up in a caring family and toget an education. This is a powerfulway of helping to improve theirfuture, and will also have positiveripple effects for the localcommuni ty, to which they cancontribute with their competence,tells Arne Austreid.

Help to support children in needWe encourage our employees,customers, suppliers and otherstakeholders to become an SOSsponsor and give children in need a home and a new family.

If you sponsor a child, you willreceive the child's photo and ashort profile, as well as informationon the particular SOS Children'sVillage. Once a year you will receivea progress report about yoursponsored child and at the end ofthe year you will receive a reporttelling you about life at the villageas well as a photo of your

sponsored child together with aseason's greetings card.

Alternatively, you can sponsor anSOS Children's Village. Through avillage sponsorship, you will beprovided with a photo and a shortdescrip tion of “your” SOS Children'sVillage, as well as detailed infor -mation on the country where thevillage is situated. In addition, youwill be provided with a season'sgreetings card at the end of theyear and a report twice a year

informing you of recent events atthe village, which also covers basicup-dated information on yourvillage and all other facilities andprogrammes at the same location.

Sponsorships may vary from countryto country. The individual sponsor -ships are handled directly by SOSChildren's Villages. Additionalinformation on SOS Children’sVillages and about the sponsorshipprograms can be found onwww.sos-childrensvillages.org

Facts about SOS Children’s VillagesSOS Children’s Villages was foundedby Hermann Gmeiner in 1949 inAustria in order to help orphans afterthe Second World War. Today, it is aninternational child welfare organi -sation providing long-term care fororphans and children in need. Theorganisation is politically neutral andworks independently of nationality,culture and religion.

SOS Children’s Villages has more than 2 000 projects in 132 countries.More than 78 300 children and young people are in care in 491 SOS Children’s Villages and 396 SOS Youth Facilities across the world,

and about 183 300 children go to SOSkindergartens, schools and trainingcentres. Approximately 1.2 millionchildren and their families receiveassistance through the work of SOSChildren’s Villages.

SOS Children’s Villages has a positiveinfluence on the local communitieswhere the organisation operates.Children from the children’s villagesgo to a municipal school wherepossible. If there are no goodmunicipal schools nearby, SOSChildren’s Villages establishes their own schools. SOS Children’sVillages also builds and operateskindergartens, training centres,

medical centres and social centres.These are not only used by childrenand youths from the SOS Children'sVillage, but are open for the generalpublic.

SOS Children’s Villages in thePhilippinesThe first SOS Children's Village in thePhilippines was built in Lipa in 1967.At present, there are eight SOSChildren’s Villages in the Philippines,seven SOS Youth Facilities, three SOSKindergartens, three SOS HermannGmeiner Schools, various SOS SocialCentres and one SOS VocationalTraining Centre.

Boys and girls of different ages grow up together as siblings in SOS families.

14

By Jim Mearns, Marine manager

The first step in any design processis to identify and define performancestandards. In other words, “What it is that we want the finishedproduct to do?” It is then advisable,at every step in the process, toensure that we remain focused onthis to avoid what in political termsis called “mission drift”.

In general, the effectiveness of amooring system is measured by itsability to hold the accommodationrig in defined environmentalconditions without overloading anyof the mooring lines. In order toachieve this goal, two conditionsmust be considered. The first is theoperational condition, when theaccommodation rig is locatedalongside an offshore installationand is gangway connected. In thiscondition, excursion or deviationfrom the desired position must be limited in order to maintaingangway connection. The second

condition is the survival condition,where the flotel is located at least150 metres distant from theoffshore installation during severeweather and there is more scopefor excursion. In both theseconditions, anchors should hold andtensions in the mooring lines shouldnot exceed allowable limits.

From theory to practiceSemi-submersible installations areprovided with a mooring systemdesigned with certain environmen -tal limitations. These limitations,however, are based on a theoreticalmooring arrangement whichoptimises the individual loadings on each mooring line. Because theaccommodation rig must moor inclose proximity to an offshoreinstal lation and in light of thesubsea architecture such as pipe -lines and shut down valves associa -ted with those installations, thistheoretical mooring arrangement is rarely achieved.

The practice is to carry out amooring analysis which providesassurance that the mooring ar -range ment for the accommodationrig is capable of achieving theperformance standards statedearlier, i.e. to hold the accommo -dation rig in defined environmentalconditions without overloading anyof the mooring lines.

The analysis consists of a series ofcalculations requiring data. Like allanalysis, the output is only as good

as the input. Certain data input isunchanging unless major modifica -tions are carried out to the accom -modation rig. An example of this is data based on the structure ofthe accommodation rig and itsresponses while floating. Once acomputer model is generated for aparticular unit, this model will bevalid for that accommodation rig orany identical one. Another exampleis the mooring equipment providedwith the unit.

Examples of variable data whichchange from location to locationare water depth, soil and sea floorconditions and metocean data suchas wind, wave and current.

Complying with offshore standardsDesign criteria for mooring systemsare laid down in several codesproduced by bodies such as DetNorske Veritas (DNV) and theAmerican Petroleum Institute. Afterthe relevant code is agreed upon, amooring analysis can be performedto predict the extreme values ofaction effects (either maximum orminimum, as applicable) such ashorizontal and vertical clearances,line tensions and anchor forces.These values can then be checkedagainst the relevant code.

Mooring analysis is carried out forthe intact, redundancy check andtransient conditions. The intactcondition is the condition where allmooring lines are intact. The redun -dancy check condition is where the

Of our fleet of 11 semi-submersible accommodation rigs, six units use dynamicpositioning in order to keep station alongside the offshore installation they aresupporting. The other six rigs are moored by means of anchors. What do weexpect from the mooring systems on our anchored accommodation rigs, andhow do we ensure that we get it?

Safely moored

An anchor handling vessel assists during themooring process.

15

unit has a new mean position aftera single mooring line failure. Thetransient condition is the conditionwhere the unit under goes transientmotions between the intact andredundancy check conditions.

The codes used as the basis ofdesign criteria for mooring systemsapply safety factors which must bemet in order to comply with thecode. These safety factors are risk-based and are more stringent forfloating units in close proximity toother installations than for units inremote locations.

Typical data outputs from amooring analysis are maximumanticipated line tensions both in theintact and redundancy check condi -tions and the make-up and layoutof the moorings components them -selves. With this information theplans and procedures for deployingthe moorings can be formulated.

Benefits of pre-laid mooringsThe recent mooring arrangementfor the Safe Scandinavia at Valhallinvolved over 700 individual itemsof equipment. This equipment hadto be in the right place at the righttime in order to ensure a smoothand seamless operation.

Part of the moorings at Valhall waspre-laid and Prosafe is a championof the concept of pre-layingmoorings and recommends thisapproach to most of our clients.The pre-laying of anchors meansthat we can test-tension theanchors to a level that is notpossible using the accommodationrig’s mooring winches. In this waythe anchors can be test-tensionedto the maximum anticipated intactmooring tension which is most re-assuring to the OIM and crew ofthe flotel when the first storm ofwinter is imminent.

Advantage can also be taken of anyperiod of reduced anchor handlingvessel rates to carry out the pre-layas the timing is not as critical aswhen mobilising the accommo dation

unit itself. Rates for these vessels havefluctuated over the past few yearsfrom £15,000 – £140,000 per day.

In addition, the time taken to moorup the flotel is less, resulting in amuch reduced risk of collision withthe offshore installation due to thereduction in exposure time(typically at least 80-85 per cent).

Committed to safetyMooring operations for the floating

accommodation sector of theoffshore industry can be complexand require a combination of goodpeople, good equipment and goodprocedures to be successful. AtProsafe we pride ourselves onhaving all three of these elementsand in applying knowledge gainedas the market leader in the provi -sion of floating accommo dation rigsto further improve our performancefor our clients.

Safe Scandinavia moving into position.

Under control - the Safe Scandinavia bridge overview.

16

By Klaus Tveita, Country ManagerNorway

With Safe Scandinavia alreadygranted the AoC in April 2007, thissolidifies Prosafe’s position on theNorwegian Continental Shelf (NCS).Prosafe now owns and operatestwo of the four accommodationvessels with valid AoC certificates in the North Sea.

In order to achieve an AoC a greatdeal of time and effort is requiredby all members of the organisation.In our case this requiredconsultation and cooperationbetween MSV Regalia’s marinecrew and onshore colleagues fromour offices in Aberdeen, Norwayand Singapore. The gaining of theAoC is truly an achievement andone that all that contributed can be proud of.

Confirmation of complianceThe AoC certificate is a confirmat -ion to both Prosafe and ourcustomers that MSV Regalia issuitable for activities on the NCSthrough given compliance againstrelevant regulations for health,

environment, safety and emergencypreparedness. The certificatefurther forms the basis for theapplication from our customers to PSA for consent to use the vessel for petroleum activity in the relevant fields.

During an AoC certificate process,the complete vessel is reviewed byboth Prosafe internal resources andexternal parties. In addition to thePSA, other governmental bodiesparticipate, such as the NorwegianMaritime Directorate, The CivilAviation Authority, The NorwegianBoard of Health Supervision andthe Norwegian Institute of PublicHealth. Each focus on their separatesections of the vessel design andoperation. In parallel, Prosafepersonnel from several departmentsare involved in mapping activitiesagainst all relevant regulations andrequirements.

Long path towards the AoCIn Prosafe, the preparations for theAoC application had already startedin the end of 2008. A comprehen -sive description of the vessel designand relevant operational proce -

dures were prepared for presen -tation to the PSA. Ian Young,Director of HSEQA, and his team inthe HSEQA department laid down asubstantial amount of work in thedevelopment of this documenta -tion. The 1000+ pages werepresented to the PSA in the form ofa “Safety Case” widely used in theUnited Kingdom for approval ofinstallations. Deadline of this wasmid-March, giving PSA the requiredthree months for the approvalprocess.

During the approval process, severalmeetings were held in the PSAoffices in Stavanger, Norway.Additionally, audits were carriedout on the MSV Regalia at theKeppel Verolme yard in Rotterdam,the Netherlands. Some of the auditswere carried out while work wasstill ongoing in various parts of the vessel. This resulted in somechallenges when trying to show thefinalised product in the middle of a busy building site. However, thepersonnel from PSA are used toseeing through scaffolding,tarpaulin and protective coversduring such inspections. Both

On 10 July 2009, MSV Regalia was granted the Acknowledgement of Compliance(AoC) from the Norwegian Petroleum Safety Authorities (PSA) allowing the vesselto operate in the Norwegian sector of the North Sea.

Acknowledgement ofCompliance to MSV Regalia

Facts of the AoC: According to PSA’s‘”Framework HSE Regulations” anyactivity closer than 500 meters fromany offshore installation is consideredpetroleum activity and requires anapproval from PSA. MSV Regalia haspreviously been operating in theNorth Sea, however, this does notautomatically qualify the vessel for the

AoC certificate. Since the introductionof the AoC program in August 2000(voluntary until January 2004) anumber of mobile offshore units havebeen granted the certificate. Theintention of the AoC is (quote PSA)“….An AoC is an acknowledgementfrom the Petroleum Safety AuthorityNorway to the effect that a mobile

facility's technical condition and theapplicant's organisation andmanagement system are assessed tobe in conformity with relevantrequirements of Norwegian shelfrules.” With the certificate in hand,the vessel is qualified for operation onthe NCS, and further verification andapproval is unnecessary.

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Klaus Tveita, Prosafe’s Country Manager Norway (left) and Jan Erik Jensen from PSA with thefinal signed AoC for MSV Regalia. Jan Erik Jensen is Prosafe’s main contact person at the PSAand he played a significant role in the AoC application process .

The AoC certification confirms that Prosafemeets the high standards expected in theNorth Sea.

project and marine personnelcontributed to the success andsatisfaction of the PSA during theseinspections.

Known deviations had already beenpresented in the above mentioned“Safety Case”, however, throughfurther internal verification and asa consequence of PSA inspections,additional deviations wereidentified. Most of the new findingswere items that could be easilycorrected and improved. Thisresulted in direct improvement ofthe facility to the best of guestsonboard and the permanent marinecrew from Prosafe. In such view, weshould appreciate the possibility forimprovements the AoC processallows for. Some deviations tooklonger to improve, hence, thesewere accepted as temporarydeviations at start of operation.Only twelve deviations related tothe original design of the MSVRegalia in 1985 remained asaccepted long-term deviations. One can with confidence say thatthe vessel now complies withrelevant regulations on theNorwegian Continental Shelf with the exception of the abovementioned deviations.

A continuous processThe final AoC certificate was presen -ted when all sea-trials and commis -sioning were completed. At the time,the MSV Regalia was situated justoutside of the 500m zone at theValhall field. The AoC received awarm welcome with our customer BP Norge as is would form the basisof their Application for Consent toPSA to utilise the vessel for ongoingmodification work at Valhall. BPNorge was granted consent to useMSV Regalia at Valhall on 15 July.

The AoC is granted for five years ata time and is subject to renewal in2014. During this period, Prosafehas to maintain the highoperational quality and safetyonboard the vessel. The PSA andother bodies will during this periodvisit the vessel several times foraudits and verifications. Prosafe iscommitted to follow up findingsand carry out our own verifications.This shall result in continuousimprovements made to bothonshore and offshore vessel design,organisation and administration.

We are proud of having beengranted the AoC certificate, whichconfirms that we meet the highstandards expected in the North

Sea. Prosafe endeavours to offer itscustomers high quality accommo -dation facilities and to deliver safeand efficient services offshore.

Everyone’s contribution to safeoperationThrough everyone’s daily work inProsafe, we all contribute to thesafety of our guests and marinecrew onboard our vessels inoperation. The AoC certificatemight seem remote and oblivious,however, we all contribute to com -pliance towards relevant require -ments, regulation and legisla tion.The form of the legislation is suchthat expectations towards allaspects of our operation, offshoreand onshore, are described.

Early planning in projects andoperationsFor this AoC application processthe early foundations were alreadylaid down during the initial plan -ning and engineering phase of theMSV Regalia refurbishing project.By including references to neces -sary standards and planning forrelevant modification work neces -sary for operation on NCS, the teammade the AoC approval possible.

18

By David vanAesch, Master/OIMSafe Bristolia

On 21 January,Safe Bristolia waspulled over on theheavy-lift vessel

Eagle. The operation itself tookonly half an hour, but was precededby thorough planning and prepara -tions. Welded guide posts on thedeck assured that the rig wasplaced in the absolutely correctposition. In order to avoid side axialand lateral movements, the SafeBristolia was braced to the deck ofthe heavy-lift vessel.

On 24 January at 15:00 hours, theEagle lifted her anchor and startedher voyage to Mexico with 106persons on board the Safe Bristolia.

Shortly after departure, we had toshelter three days in Falmouth Baydue to bad weather in the Bay ofBiscay. During our two-day voyagefrom Falmouth to Punta Sainas inthe North of Spain, we once againexperienced bad weather. Thiscaused the Eagle to roll quiteaggressively and delayed the workwe were able to do on the rig, aswe had to shelter for a further sixdays.

Our third stop was in Lisbon,Portugal on 8 February. A total of23 persons, mainly sub-contractedelectricians who had completedtheir work, left the rig. The fourthstop was in Puerto Rico, in thesouth of Gran Canaria. Crew changewas done by helicopters and foodstores were brought out by a WorldWar II landing craft. Due to the

landing craft’s flat bottom, it wasnot possible to keep the boatsteady under our crane hook, andafter eight hours of trying to getthe stores onboard, we had to giveup. We continued our voyage toMexico the next day without freshstores. At this point in time, we had a week to reach the Bay ofCampeche in Mexico.

The last part of the voyage wentsmoothly, and the Safe Bristoliagangway connected at the east sideof Nohoch-A in the Cantarell fieldon 13 March 2009.

We utilised the time availableduring the move to install a newcrew gangway and do someadaptations to suit customerrequirements, in addition to a lot ofgeneral maintenance and upgradework. Thereby, we ensured that therig was in excellent condition whenstarting operations in Mexico, andthat our customers are offered firstclass service.

In January, Prosafe was awarded a one-year bareboat contract for use of theSafe Bristolia at the Cantarell field for Pemex in Mexico. Safe Bristolia wasmoved from Burntisland in Scotland to the Gulf of Mexico on a heavy-lift vessel.

Piggy-back voyage to Mexico

Safe Bristolia on the back of the heavy-lift vessel Eagle.

Gangway-connected to Nohoch-A in theCantarell field in Mexico.

By Karine Cosemans,Communication and brandingmanager

What began in 1969 as a local oiland gas conference has grown intowhat is without doubt the largestevent of its kind in the world. TheOTC 2009 exhibition had morethan 52,000 square metres of

exhibition area filled to capacity by2,500 companies from 38 countries.

Prosafe’s stand was located in theReliant Stadium, which normally isthe home of the National FootballLeague's Houston Texans, theHouston Livestock Show andRodeo and the Texas Bowl, and can seat 71,500 persons.

Despite of global economic reces -sion and initial concerns aboutswine flu, a total of 67,721 energyprofessionals from more than 120countries participated. Not all ofthem found the way to Prosafe’sstand, but our stand was one ofthe most popular ones in theReliant Stadium and was very wellvisited.

Prosafe representatives enjoyedthe opportunity to catch up withearlier and current customers,vendors and other businesscontacts. In addition, theypresented the flotel concept tothose who did not know it frombefore, and established contactsthat might proof useful in thefuture.

Prosafe participated to the Offshore Technology Conference (OTC), which tookplace from 4 - 7 May in Houston, USA.

Meeting business contacts at OTC

19

Robin Laird, President Prosafe Offshore (right) and Charles Day, Director of BusinessDevelopment (middle) catching up with Steve Adams from Infield (left).

Prosafe’s stand at the OTC.

Prosafe SEStadiou Street 126CY-6020 LarnacaCyprus

© istockphotoWho should receive Prosafe’s

Ambassador Prize for 2009?

By Karine Cosemans, communicationand branding manager

Our core values – the environment,focus, ambition, safety, innovation,respect and profitability – constitutethe company’s foundation. Allemployees must know, understandand act in accordance with thesecore values, and let them guidetheir decisions and actions.

Prosafe’s Ambassador Prize wasestablished in 2002 in order toacknowledge the efforts ofemployees who through theprevious year in an excellent wayhad promoted one or several of our core values. It is the ultimateaward to those who havedistinguished themselves by being true ambassadors forProsafe’s core values.

Who has in an outstanding waypromoted one or several ofProsafe’s core values? We encourage you to submit yournomination in order to help uselecting who should be awarded this year’s Ambassador Prize.

Please send your nomination,inclusive a brief explanation of why that person, group ofemployees, department, projectteam or rig crew should beawarded the prize, to:

Prosafe ASAtt.: Karine Cosemanse-mail: karine.cosemans@prosafe.comfax no.: +47 51 64 25 01

by 8 October 2009

The person who submits thewinning proposal will receive a giftvoucher or a token of appreciation.

All proposals will be evaluated by a jury consisting of the corporatemanagement. The name of thewinner(s) will be made public in the next edition of Prosafe NOW.

In order to honour those employees who in an excellent way are ambassadorsfor one or several of our core values, we annually award the AmbassadorPrize. The award can be given to a single person, a group of employees, adepartment, a project team or a rig crew.

Last year’s Ambassador Prize was given to the Safe Scandinavia crew. President and CEO ArneAustreid (middle) presented the Ambassador Prize to Safe Scandinavia Captains Andy Brown(left) and Bill McFadzean (right).