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Issue No. 25 - April 2004
| TECHNOLOGY - THE FINAL PIECE OF THE PUZZLE FITS INTO PLACE |
As Shell prepares to hand over the Soroosh/Nowrooz Integrated Development Project in the waters of the Gulf to NIOC (National Iranian Oil Company), 'Shell in the Middle East' goes to Mussafah in Abu Dhabi, in the UAE, to meet Aqeel Madhi, General Manager of NPCC (National Petroleum Construction Company), the company responsible for building the offshore facilities for the project, and to witness the float over of the last of these facilities, the SPP-1, positioning 'the last piece of the puzzle'.
"NPCC was very proud to be a part of the consortium which won this challenging contract, along with the Iranian NSQ [Naft Sazeh Qeshm] Yard, to produce the offshore facilities for Shell's operations in the development of the Soroosh and Nowrooz oil fields. "A major factor which led to NPCC winning the contract was the level of Iranian content which we were able to offer Shell by committing to the establishment of a construction facility on Qeshm Island in Iran under the corporate entity of NSQ.
"So, apart from the SPP-1, through our operations on Qeshm Island we have built for the Soroosh/Nowrooz project two wellhead platforms, two production platforms, two living quarters, five jackets and all connecting bridges, using more than 20,000 tonnes of steel in their fabrication." Aqeel went on to say, "This is the first time that NPCC has worked with Shell. So before we could bid for the contract we had to go through a pre-qualification exercise which involved a full inspection and audit of our plant and its facilities and capabilities by Shell. Most importantly, it involved a thorough audit of the HSE [Health, Safety and Environment] practices and management systems in place in our yard. "Shell assessed our performance in different areas, making recommendations where they felt we were lacking and providing advice on how to remedy the areas they felt needed improvement. This was a fantastic service which they provided for us and even if we had not won the contract it was an extremely beneficial exercise," said Aqeel.
"This has been reflected in our LTIFR [Lost Time Injuries Frequency Rating], which is a formula used to indicate the number of accidents per million man hours worked. NPCC achieved a rating of 0.8 for 2003 against a target of 1.5. "This has made both Shell and NPCC's shareholders extremely happy, and today we believe that 'a safe business means continued business'. "The SPP-1 is the biggest structure, weighing 9,100 tonnes, not just to be built in our yard but to be positioned in the Gulf. The platform will be installed in its location by a process which is known as a 'float over'. "This means that, having been built in the yard, the deck of the SPP-1 was loaded on to a flat-top cargo barge and towed to its offshore location. There it was positioned over the pre-installed jackets [legs that support the platform on the sea bed] which, incidentally, were made at the NSQ Yard and are already in position. The SPP-1 was lowered on to the jackets by filling the barge with ballast water and then retrieving the barge from under the platform once the platform had been fully secured in position. "To carry out the float over, NPCC had to build a special barge, the LBII, which was constructed in the Cochin Shipyard in Kerala in India, under the supervision of NPCC. The barge was specifically designed by NPCC for this job and has a sophisticated internal ballast system to allow the platform to be loaded on to the barge, floated out and lowered on to the jacket. "A float over is a more efficient and reliable means of positioning platforms offshore as it allows for the complete structure to be installed in one piece. The SPP-1 has also been fully pre-commissioned onshore, here in our yard, so reducing the time needed offshore to get the platform into operation. "The pre-commissioning of the platform was carried out before the load out and float over by our in-house team. This team was also responsible for commissioning the other platforms and living quarters which were built in Qeshm Yard and have already been installed offshore. "The SPP-1 facility has a production capacity of 100,000 barrels per day of oil and is the second production platform which NPCC has built for the Soroosh field. The SPP-1 will receive crude oil from the Soroosh field and, by using the oil, gas and water separators on board the platform, it will deliver processed crude oil to the FSU [Floating Storage Unit] 'Soreena'‚ and has the ability to export associated gas into Iran's gas grid and take the separated water to re-inject into the water-bearing formations of the Soroosh field. "Technip acted as a partner within the NPCC consortium in the development of the engineering and in the procurement phases of the project. Technip staff worked more than 700,000 man hours on the design of SPP-1. NPCC's in-house engineering section carried out other engineering activities, including the detailed design of the jackets and pipelines, with more than 5.8 million man hours worked here in the Mussafah Yard, and over 8.5 million man hours worked in the Qeshm Yard in Iran. "During the whole process Shell has monitored and reviewed every phase of the process for all of the facilities engineered and manufactured for the Soroosh/Nowrooz project. Shell has conducted its role in strict compliance with the scope of the contract and specifications but in a team-like manner, working closely with staff from NPCC, Technip and NSQ. "One very challenging aspect of the construction of the SPP-1 was the commissioning of the platform's systems, performed whilst construction was still under way. This was achieved with a high level of co-ordination between all concerned and the implementation of strict HSE permit systems and standards. "As a contractor it is our job to satisfy the client within the terms of the contract. Shell has meticulously followed the terms of the contract. At some points Shell has been a little too stringent with us but these matters have always been resolved at senior management levels in an amicable and practical manner. "Monthly general management meetings were established to address any issues and find ways to ensure the ongoing progress of the work. This has ensured that the relationship continued to work well and this has cascaded down from senior management to all levels. "Overall, the Soroosh/Nowrooz project has been very challenging for NPCC. It is the biggest contract we have ever undertaken. We have learned a lot from working with Shell and our organisation has benefited from the relationship in many aspects, preparing NPCC to take on much more complex projects for the future. "NPCC's commitment has been at the very highest level throughout the construction of all the facilities at both NPCC's Yard in Abu Dhabi and at NSQ's Yard on Qeshm Island. We have achieved excellent results, of which we are very proud, and we look forward to the opportunity of working with Shell again and wish them well with their aspirations to expand their business activities both in the UAE and throughout the Middle East," concluded Aqeel.
"We were very pleased with the terms of the offer from NPCC as theirs was not only the lowest bid but offered the largest Iranian content of all the contracts. It also provided the opportunity to create a brand new yard on Qeshm Island in Iran for the construction of offshore facilities. "We realise that it has been a sharp learning curve for NPCC, given that the SPP-1 was the largest platform ever built in the Gulf. The stringent HSE compliance which Shell requires from its contractors has necessitated changes within NPCC's organisation, but NPCC has willingly accepted our offers of support along the way and this has created a win/win situation for both parties. "Shell sees as a particular success story the development of the NSQ Yard which has created good employment opportunities for local people and set standards which are an example for all industry in Iran. "The commissioning of all the offshore facilities is under way. We hope to achieve full production capacity of 190,000 bpd from both the Soroosh and Nowrooz fields in the coming months, followed by hand-over to NIOC [National Iranian Oil Company]," he concludes.
"Of course, there is still much work to be done in terms of the commissioning and I expect to be working offshore looking after Shell's interests in this all-important final phase before hand-over. After that, I will be involved in solving any teething problems which may occur. "All in all, it has been an exciting four years and working on the complex facilities through the design, construction and commissioning has certainly been challenging," he concluded. Tim O'Mahony is Shell's Site Representative responsible for construction and commissioning activities at the NPCC Yard at Mussafah. He said, "The SPP-1 is the largest element of the entire Soroosh and Nowrooz project offshore facilities. When commissioned and in operation, the SPP-1 will process 100,000 barrels per day of oil from the Soroosh field, delivering it by pipeline to the FSU [Floating Storage Unit] 'Soreena'. "The SPP-1 has the power to generate 39 megawatts of electricity, enough to run a small town. The platform uses a waste heat recovery system from the exhausts of the gas turbines used to generate the power to heat the oil in the production process, so increasing efficiency and reducing costs," he concluded. |
"It is indeed a proud moment today to see the SPP-1 [Soroosh Production Platform 1] leaving the NPCC Yard here at Mussafah on its way to take up its position in the Soroosh oil field," said Aqeel Madhi, General Manager of NPCC (National Petroleum Construction Company).
"Qeshm Yard is managed by NPCC to ensure that all the products are manufactured to the highest standards and according to Shell's stringent specifications and timetable.
"However, we did win the contract and we have since treated HSE issues in an even more serious manner, implementing an HSE Management System and Shell's recommendations to the last detail. We have also upgraded our HSE competencies in other projects, so you might say that we have adopted Shell's culture of HSE performance.
"The contract with NPCC and NSQ was a key part of the Soroosh/ Nowrooz Integrated Development Project because it was for the construction of by far the largest part of the facilities for the operation," says Robert Weener, General Manager for the Soroosh/Nowrooz project during the final phases of the project, and Shell's Country Chairman for Iran.
John Blyth, Commissioning Superintendent for Shell, said, "I have been involved with the Soroosh/Nowrooz project from the FEED [Front End Engineering and Design] stage which began in Holland in January 2000. So to be here today to see the SPP-1, the largest part of the offshore facilities, go off to its final location is very rewarding.