introducing io
a new way
hello and welcome –
an introduction to io
from Dan Jackson CEO
Change in the oil and gas industry
often comes slowly – it’s rare for a
disruptive shift in thinking or
technology to occur and revolutionise
the business. The offshore industry
today is in a state of flux, and there is
an urgent need for decisive change.
Whilst the industry has come a long
way in the last century, past successes
in overcoming the constant stream of
technological and commercial
challenges do not guarantee its future.
Without change, we cannot be certain
that the offshore industry will continue
to enjoy its place as an integral part of
the global energy mix.
And there is a new way…
The io way.
io has a big idea and a big ambition.
To transform how the offshore
industry works, make projects more
commercially viable through project
cost savings of 30-40% and stabilise
the offshore market.
Today, major deepwater and LNG
projects can cost tens of billions of
dollars. This is a far cry from the 1990s
when megaprojects cost several
hundred million dollars, oil was just
under $20 / barrel and industry
benchmarks were completely
different.1 Now, despite the industry
being far more technically capable
than ever before, some clients say that
they cannot make projects
commercially viable at $60 / barrel.
Worryingly, overspending is rife, with
a staggering two-thirds of offshore
projects running significantly over
budget or behind schedule.2
The industry needs to fundamentally
change the way it works to survive
and thrive. It needs to rethink
established ways of working in order
to better handle increasingly complex
projects. The disconnect between
operators and contractors is part of
the reason why projects are not
completed on time and on budget
– io is here to change that.
io is a new model of offshore
consultancy that combines industry
expertise and powerful thinking
to deliver greater certainty into
the design and planning of offshore
oil and gas developments. io provides
the right balance of consultancy and
engineering to effectively manage and
deliver full field development plans.
io is a GE Oil & Gas and McDermott
venture, but operates independently.
We are proud to be the first and only
consultancy to offer full field provision
for offshore projects, with all technical
competencies covered.
Dan Jackson
CEO, io oil & gas consulting
1
http://inflationdata.com/Inflation/Inflation_
Rate/Historical_Oil_Prices_Table.asp
2
2
EY – East Coast Offshore, February 2013
meet io
The io executives have vast experience
across the oil and gas industry, with
backgrounds in start-ups, offshore,
subsea, oilfield services and finance.
The team has also been involved in a
significant number of offshore projects.
/D
an Jackson,
Chief Executive Officer,
an industry pioneer with a track
record of successfully starting and
developing engineering consultancy
businesses in the offshore sector.
where in the
world?
Supporting its highly experienced
management team, io has assembled
a team of industry experts who
provide the impartial advice that
operators seek. io applies its scalable
and flexible resourcing base, tailoring
it to meet client requirements. In
addition, to assist in the technical and
commercial validation of its work, io
benefits from access to specialist
resources from GE Oil & Gas and
McDermott.
/T
ony McAloon,
Chief Operating Officer,
with a 35-year track record in
oilfield services across operations,
product management, commercial
management, governance, sales
and marketing.
/M
ark Dixon,
Chief Technology Officer,
with over 20 years in the offshore
industry including extensive
start-up and broad domain
expertise in offshore engineering
and concept design.
/O
liver Dixon,
Chief Financial Officer,
with over 15 years’ experience
in driving companies’ strategic
developments.
3
io is headquartered in central London,
has opened an office in Houston and
is currently establishing a presence in
Asia.
the io way – delivering certainty
through powerful thinking
the io philosophy to reducing uncertainty
Fix what is not working
Reset industry norms
/ deliver a holistic approach –
io’s approach to project planning
encompasses all aspects of
subsurface, subsea and facilities.
io is able to deliver end-to-end
solutions in full field development,
and offers technical, financial,
operational and business
consultancy services.
/a
ct as full project architects –
rather than simply being engineers,
io works with the client in an
integrated manner. This leads to
consolidated thinking and effective
project development, right up to
the point where investment
decisions are made.
This approach blends:
/ the right people with broad
experience and domain expertise
/ depth and breadth of knowledge
/ access to industry and
specialist expertise
/ organisational insight
/ s ystems thinking – io has created
a pioneering approach that is
particularly applicable to complex
projects where conventional
development techniques are
rendered unsuitable by a project’s
intricacies and uncertainties. io’s
approach to systems thinking allows
operators to make conscious
decisions around contracting
strategy.
/ r edesign the operator-contractor
relationship – io’s knowledge of the
contractor community allows it to
manage and coordinate across the
entire supply chain. This not only
saves operators time, but also
reduces cost and scheduling risk in
the form of design conflicts,
materials delivery and
communications.
/b
etter planning and problem
solving – io offers consultancy,
scalable project management and
technical services to advise clients
how best to execute projects. io is in
a unique position that allows it to
solve complex problems for clients
with an independent, free-thinking
perspective. It also provides a single
point of contact.
4
This approach:
/ injects new thinking, concepts
and ideas for optimum results
/ provides insight into projects
and asset portfolios
/ delivers innovative solutions
free from historical bias
/ utilises internal resources
effectively, and upskills where
appropriate
/ ensures collaboration within and
across an organisation
Subsea boosting perfectly illustrates
systems thinking. Boosting systems
vary considerably and can be placed
into Host, SURF or SPS contractor
packages or managed separately with
different technical and economic
implications. Subsea boosting has a
pronounced effect on flow assurance
through the entire project life cycle
and the systems approach is used to
understand the benefit of boosting
for the overall system performance
throughout the asset life cycle.
Simplify the cost base
/ r educe complexity – by managing
the intricacies of each part of the
project, io reduces cost and
schedule risk and delivers muchneeded certainty. This helps
operators with their overall
investment decisions, enabling
projects to run through successfully.
The role of standardisation in driving
down costs is widely recognised
throughout the industry, and io is
part of that simplification process.
This allows operators to work
efficiently with suppliers.
/a
ccess to industry knowledge,
experience and data – building on
the combined strengths of GE Oil &
Gas and McDermott, io has access
to and can leverage both companies’
specialist knowledge, experience
and data. This assists in the technical
and commercial validation of its
work, allowing developments to
proceed successfully.
/ r emove inefficiencies – operating
seamlessly as an integrated part of
the client team, io ensures that all
stakeholders are fully aligned to
deliver on time and on budget. io’s
new model of consultancy allows it
to advise the executive management
team, challenge the status quo and
offer impartial advice; all of which
help remove barriers to effective
project delivery.
5
An offshore project is like a railway
transportation system. Even with a
top-of-the-line locomotive you need
the tracks, ticketing and signalling
systems, and many other parts to
ensure that the entire system runs
smoothly. If the track signalling
system is two years late, the operator
loses revenue for two years, and its
economic model is at a standstill. It is
the same in the offshore arena – if a
subsea floater is late, the subsea
equipment cannot be connected, and
nothing flows.
bringing together
the world’s most
powerful thinking
A closer look at GE Oil & Gas
io is born out of the shared vision of
GE Oil & Gas and McDermott who
believe there is a better way forward
for the offshore industry. io operates
fully independently from both
companies, but is also in the unique
position to draw on the enormous
industry strength, contracting
expertise and resources of its partners.
McDermott’s knowledge and specialist
expertise of over 90 years together
with the phenomenal technical and
commercial strength of GE Oil & Gas
is a powerful combination and enables
io to deliver certainty, efficiency and
insights to offshore projects.
GE Oil & Gas is inventing the next
industrial era in the oil and gas sector.
In our labs and factories, and in
the field, we constantly push the
boundaries of technology to solve
today’s toughest operational and
commercial challenges. We have
the skills, knowledge and technical
expertise to bring together the
physical and digital worlds to fuel
the future.
“At a challenging time for the industry,
io represents an extremely attractive
opportunity for operators to better
manage their costs, mitigate risks
and gain greater certainty on their
investments.”
Rod Christie
CEO, GE Oil & Gas Subsea Systems
“We feel the venture is a natural
extension of our mission to help
customers solve the world’s toughest
energy challenges. As a world leader
in advanced technologies and services
within the oil and gas industry, GE
will lend its domain expertise in
subsea production systems that will
see the new venture devise technically
advanced and robust solutions,
especially in new deep-water
developments.”
Lorenzo Simonelli
President and CEO, GE Oil & Gas
Follow GE Oil & Gas
on Twitter @GE_OilandGas
www.geoilandgas.com
6
A closer look at McDermott
McDermott is a leading provider of
integrated engineering, procurement,
construction and installation (EPCI)
services for upstream field
developments worldwide. The
company delivers fixed and floating
production facilities, pipelines and
subsea systems from concept to
commissioning for complex offshore
and subsea oil and gas projects to
help oil companies safely produce
and transport hydrocarbons.
Operating in more than 20 countries
across the world, McDermott’s locally
focused and globally integrated
resources include approximately
13,400 employees, a diversified fleet
of specialty marine construction
vessels, fabrication facilities and
engineering offices. McDermott is
renowned for its extensive knowledge
and experience, technological
advancements, performance records,
superior safety and commitment to
deliver.
“io has the right end-to-end DNA
and brings a new style of free thinking
that we expect will drive change in
how projects are brought to market.
Focused on its clients’ priorities,
io offers unique value through broad
and comprehensive field development
expertise. As a leading offshore
engineering and construction
contractor, McDermott is proud
to support io through its depth of
technical knowledge, experience
and access to the right knowledge
for engineering, procurement,
construction and installation services,
and specialist construction equipment.”
David Dickson
President and CEO, McDermott
McDermott has served the energy
industry since 1923 and is listed on
the New York Stock Exchange.
Follow McDermott
on Twitter @McDermottPress
www.mcdemott.com
7
connecting with io
Want to find out more?
Careers at io
io is like no other employer in the
sector. It is committed to hiring top
talent from a broad range of sector
backgrounds. This forward-thinking
approach, which values behaviour
and mindset as much as experience,
enables io to deliver agile problem
solving and a fresh perspective. Its
people are intellectually curious and
inspire clients to believe they can do
things differently, putting powerful
thinking at io’s core.
If you are looking for an environment
that encourages bold new thinking,
working together and a fresh internal
culture that will drive innovation and
opportunity – io is the place for you.
There are lots of ways to connect
with io.
If you want to find out more about
how io can help your business,
please contact:
+44 (0) 203 598 1700
[email protected]
If you are interested in working for io,
look for the latest job opportunities on:
company/io-oil-&-gas
or email your CV to:
[email protected]
Follow io on Twitter to get first
access to news, updates and industry
comment:
@io_oilandgas
io oil & gas consulting
1st floor
3 More London Riverside
London SE1 2RE
version 01 / April 2015
www.iooilandgas.com