Brent Spar: Shell counts the costs

The cost of disposing of Shell's troublesome oil storage buoy, Brent Spar, could be as much as ten times the amount needed to dump it in deep waters, according to an independent report commissioned by Shell. Greenpeace, whose protests triggered Shell's search for alternative disposal routes, is still strongly opposing any marine dumping of oil rigs.

The report, from the Norwegian firm Det Norske Veritas, costs out the eight proposals that Shell picked from 30 submitted last year (see PE Sept 1996, p5), as well as the deep-sea dumping option which so upset Greenpeace. This, unsurprisingly, proved to be by far the cheapest option towing the 14 500-tonne concrete tube from its mooring at Erfjord, Norway, to a suitable dumping site and sinking it would cost £4.7million. Costs of the other eight proposals range from £11.7million to £48million.

The most expensive option is Brown and Root's proposal to upend the Spar with compressed gas, tow it to Nigg in Scotland and scrap it onshore. Cheaper options include AMEC's plan to slice the buoy into rings, clean them and use them to build coastal defences in Norfolk, which DNV prices at £32.8million; and a similar plan from Kvaerner to build a fish farm from the cleaned rings will cost £11.4million.

Shell intends to discuss the proposals in terms of their technical feasibility and safety, especially considering the stresses the structure will experience, and submit its 'preferred solution' to the government by the end of the year.

Meanwhile, Greenpeace has renewed its opposition to dumping of all oil and gas platforms at sea. 'We would like to see Shell setting a precedent to not dump at sea and to give a commitment about all its installations, not just the Brent Spar,' said its deputy director, Chris Rose.