2.1.9Innovation

MANAGEMENT approach

The primary goal of fostering innovation at SBM Offshore is to introduce valuable new solutions to the market that align with the company's energy transition strategy. All segments of the organization are encouraged to contribute to innovations within their respective areas of expertise, spanning conceptualization to final implementation.

The management of new technology development falls under the responsibility of Group Technology. All innovation programs are aligned with the long-term strategies of the Product Lines, as well as key programs like emissionZERO®, Fast4Ward®, and Float4Wind®. Development roadmaps are regularly updated to incorporate technical and market advancements through systematic reviews.

SBM Offshore follows a structured stage-gate process to bring new technology to market, ensuring thorough validation before deployment. This Technology Readiness Level (TRL) process, rooted in American Petroleum Institute standards (API RP17N), involves prototype testing and comprehensive FEED-level definition of new systems as part of the qualification requirements.

SBM Offshore oversees its intellectual property (IP) holdings by engaging in the registration of patents and trademarks, along with the protection of trade secrets and know-how. Upholding the integrity of its IP, SBM Offshore takes charge of document classification and establishes non-disclosure agreements with partners to limit access to documents containing sensitive technology. Rigorous freedom-to-operate checks are conducted to respect the rights of third parties.

This strategic management approach stimulates innovation while simultaneously minimizing risks associated with the deployment of new technology (see section 1.4.2).

2023 Performance

In 2023, SBM Offshore accelerated its development efforts towards emerging technologies associated with decarbonization and renewable energies, allocating 52.3% of the Group Technology R&D budget to EU-Taxonomy-eligible activities, based on eligibility KPI definitions explained in section 5.1.5.

SBM Offshore continues to build on its internal innovation platform, which has been visited by almost 40% of SBM Offshore’s employees. SBM Offshore’s innovation management processes have been further matured and two new corporate functions have been included in the innovation ecosystem. SBM Offshore also continued to expand is collaboration with open innovation providers and explore new avenues of growth and innovation.

SBM Offshore filed 36 new patent applications to strengthen its existing portfolio of 122 patent families: in particular in the areas of renewables and electrification. Over the course of 2023, the TRL of 22 technology development projects has been increased, 9 of which reached TRL 4. This level demonstrates that reliability, function and performance criteria are met in the intended operating condition and the technology can be deployed.

Some of the main development projects undertaken in 2023 include:

  • Progression of the SBM Offshore robotics initiatives to reduce high-risk human activities and to improve the efficiency of inspection and maintenance activities on the fleet. In total, four missions have been successfully executed during the year, taking place in several locations in the world (Brazil, France, Guyana).
  • Bringing the post-combustion carbon capture module to TRL 3 with SBM Offshore’s partner MHI as well as obtaining DNV’s Statement of Qualified Technology. The technology can now be proposed and customized for specific projects and clients.
  • Continued qualification of components and technologies under SBM Offshore’s emissionZERO® program, demonstrating the potential for further carbon-intensity reduction based on near-market ready technologies.
  • The continued development of components in SBM Offshore’s floating offshore wind technology (Float4Wind®) to better adapt to market requirements.
  • The development of new facilities in SBM Offshore’s R&D Laboratory to build and test the key components of the S3® Wave Energy Converter at full scale.
  • Completion of market studies and low TRL developments in the areas of offshore ammonia transfer and production, lithium extraction and deepwater mooring solutions for offshore photovoltaic concepts.

Future

SBM Offshore is committed to directing a minimum of 70% of its development budgets towards decarbonization and renewable initiatives, as part of its focus on technology development for the energy transition.

This allocation aims to advance technologies that significantly decrease the carbon intensity of offshore oil and gas production, supporting the emissionZERO® program. Included in these efforts are investments in the early stages of offshore hydrogen, ammonia, and lithium production studies. Moreover, ongoing investments in robotics will enhance safety and efficiency within SBM Offshore’s operational fleet.

A minimum of 50% of the research and development investment will be designated for EU-Taxonomy-eligible activities. SBM Offshore will persist in exploring alternative offshore renewable technologies, continuing to invest in its Float4Wind® program and seek to commercialize its Wave Energy Converter technology. Going forward, SBM Offshore focuses on co-development of new technologies, in collaboration with clients and other value chain partners.