Gas Repair Causes Some Concern

15 Feb 2013

A concern is being expressed in Singapore that it might have to face gas shortages during the period of repair to the Royal Dutch Shell plans to suspend operations at a pipeline facility off Singapore for six weeks. A spokesman for the company has however clarified that it won't affect its refinery operations. Shell operates a 500,000 barrels-a-day oil refinery on the Bukom Island south of Singapore.

The Maritime and Port Authority of Singapore had earlier said a subsea pipeline at Shell's single buoy mooring will undergo repair work from February 15 to March 30. "The repair works will entail the removal and reinstallation of existing SBM buoy and new subsea pipeline," the Maritime authority has said.

The buoy mooring enables tankers to load or unload the fluid cargo from an offshore anchoring platform.

Traders have expressed concern that the repair work might hinder the transport of crude and oil products, affecting supply levels and refinery utilization.

Tiny Singapore city state is an expert state in offshore drilling and supplies latest rigs to major companies round the world. It can speed up repair work in its own backyard. The country is gearing up to sell rigs all over the world, including the US.