AKG-2 Gate 4 Review Package Rev 0
AKG-2 Gate 4 Review Package Rev 0
AKG-2 Project
RGPMS Gate 4 Review Package
December 3, 2007
Doha, Qatar
Purpose
• To review the status of the AKG-2 Project Gate 4 deliverables.
• To seek Venture Manager’s endorsement of the Gate 4 review package.
Status
• All Gate 4 deliverables are complete or there is an agreed plan in place to complete.
• An Onshore Construction Readiness Review (CRR) was completed in June 2007.
– The CRR Team determined that the Onshore project team was ready to proceed
with the construction phase of the project.
• An Offshore Construction Readiness Review (CRR) and Construction Risk Assessment
will be conducted in 1Q08 which aligns with the Offshore fabrication schedule.
• RGX-2 Onshore and Offshore Project Managers support and endorse AKG-2 Gate 4
passage.
• RGX2 Senior Project Manager endorses project passing through Gate 4
Recommendation
• Venture Manager endorses the passage of the AKG-2 Project through Gate 4.
Onshore Facilities Built (Replicated Units w/ Tr6) Onshore Facilities Shared Offshore Facilities Built
• Inlet Gas Treating • Slugcatcher: Tie-in to slugcatcher No.3 • Platforms: Install WHP-10/11
with RGX2 and No.2 with RGX
• Acid Gas Removal • Drilling: 15 total wells – 8 on WHP 10 & 7
• LPG Storage & Loading: Share in Common on WHP11 – most to be drilled, pre-
• Dehydration and Mercaptan Removal LPG Storage and Loading facilities topsides
• Mercury Removal • Flare: Share in facilities installed with RG
• Pipelines: AKG-2’s WH 10 & 11 have 2
• Tr 6
NGL Recovery 28” pipeline tie-ins (one 2 km Wet Gas
• Common Condensate Storage & Loading: Intrafield Pipeline from WHP 10 and one
• Fractionation Plant: Install C2+ fractionation units Share in facilities 3 km Wet Gas Intrafield Pipeline from
train
• Utilities: Buy-in to RG Utilities: Power, WHP 11) to Tr 6/7’s 2 38” export
• Sulfur Recovery Water, Steam, Air, Nitrogen, Fuel Gas pipelines (primary lines to AKG-2 and Tr
• 6/7processing) coming form WH 6 & 8.
Sales Gas System Expansion w/ four additional • Common Molten Sulfur Storage and
compressors at Mesaieed Compressor Station Handling: Share in Common Sulfur • Add subsea “wyes” for future expansion
• Steam System sized to AKG-2 needs facilities in export pipelines to shore
• The AKG-2 Project is a Category I project based on medium 1.2 Economics Business Case / Economic Model F
• Business Case / Economic Model is fully developed and 1.3 External Affairs External Affairs - Issues defined/Plan F
managed by AKG Management. developed
Development Plan.
• The AKG-2 External Affairs plan defined and developed in Project Category Selection Matrix
1
o
management. m
+ Planned f ast track schedule
2. Commitment / Appropriation G3 G4 G5
2.1 Commitments Commitment / Appropriation Plan
Financial Closeout - - -
Project Reappraisal - - -
Staffing. VOCs in-place, with signed Organization Charts 3.1 Organizational Plan Organization Plan U U F
and fully aligned Venture Organization Plan. The 3.2 Team Performance Team Building & Alignment U U U
Organization Plan provides detailed PMT profiles and is
documented in 07’ WP&B. Currently: 3.3 Training & Career Development Training & Career Development
Plan for PMT
U U U
• 31 positions filled
RGX2 Onshore RGX2 Onshore RGX2 Onshore RGX2 Special RGX2 Completions RGX2 Onshore RGX2 Onshore
Business Manager Engineering Mgr Construction Mgr Projects Manager Manager Quality Manager SHE Manager
• 1 vacancy with projection to fill by 1Q08 N.L. Robertson (EM) G.E. Mayhall (EM) J. Lee (EM) G. Lobrecht (EM) D. Brixey (EM) H. Al-Naimi (RG) J. Curtis (C)
RGX2 Onshore Incremental Headcount (Thru VOC#35)
• Team building sessions held in September 2006, February 200 AKG2 Plan
2007, and June 2007 for Offshore. Onshore teambuilding Headcount (Staff Months)
with CTR in February 2007, October 2007, with additional 150 Train 7 Plan
• Training & Career Development an on-going focus for Direct Train 6 Plan
Jan-06
Jul-06
Oct-06
Jan-07
Oct-07
Jul-08
Jan-09
Jan-10
Oct-05
Jul-07
Jan-08
Oct-08
Jul-09
Oct-09
Apr-08
Apr-06
Apr-07
Apr-09
retained by RGX-2 projects
identified and assigned to the respective parties, 558 closed. Project Spec and Standards I F
conducted per the Risk Assessment Plan. Onshore CRA Construction Risk Assessment - F
conducted in Jan 2007, action items being closed.
Operability Requirements/Specs F
5. Execution G3 G4 G5
• Lessons Learned (LL) employs the Venture LL process and
procedures with capture and application as part of the 5.1 Lessons Learned Apply Lessons Learned U U F
• AKG-2 Project Execution Plan (PEP) is an integrated 5.2 Project Execution Planning Early Project Execution Plan
(EPEP). Refer to comments.
Onshore/Offshore PEP developed and approved in July
2006. Project Execution Plan (PEP) F
• Offshore/Onshore Project Quality Plan developed using the 5.3 QA/QC Project Quality Plan F
Venture Quality Documents. 5.4 Safety and Health Project Safety Plan F
• Offshore/Onshore Site Safety Plan employs the EPC Site Safety Plan - F
Plan.
5.5 Information Management Doc and Info Management Plan F
• Construction Workpacks developed as part of Offshore 5.7 Detailed Design Engineering Documentation I U F
addressed.
CTJV staffing capability for handling multiple mega • Review Contractor’s organization to ensure minimum experience levels are met for
projects concurrently. key contractor positions dedicated to AKG2.
• Interview candidates for key project management positions and recommend /
replace where needed.
• Retain capable Contractor Key Personnel who are currently executing similar
projects.
• Supplement PMT resources as required.
Difficult and complicated execution of AKG2 • Identify key Brownfield areas and related execution issues for construction
Brownfield work scope. activities. Develop early definition of Brownfield work scope.
• Identify all tie-ins including Brownfield areas and develop scope of work.
• Conduct surveys as required for Brownfield areas.
• Develop detailed work plan and procedures.
• Review plan with Operations and seek alignment.
• Conduct Brownfield Toolkit sessions.
• Ensure Brownfield experience in Construction Team.
• Monitor Plan progress to completion every quarter.
Schedule Estimate F
2,500
6.2 Project Controls Project Control Plan F
2,000
TIME
• Predicted final costs tracking within authorized budgets
NOW (includes AKG-1 Ethane Recovery)
Approved Current
USD(Nominal, 100%)
MUSD
1,500 Funding Forecast • Forecast savings to date - $36M primarily due to a PMT
AKG-2 Onshore 2,266 2,243
AKG-2 Offshore 465 452 cost update reflecting revised organization chart/staffing
Total 2,731 2,695 and contingency rundown; offset by impact of Hydrate
M
0
Jul
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M
FIRST GAS
AKG-2
FIRST GAS
OFFSHORE EPC CONTRACT
PLATFORMS
AKG-2 WHP 10 & WHP 11
WHP10 & WH11 Mechanical Acceptance
Engineering
Procurement
Construction Comm
PIPELINE
Engineering
Procurement
Construction
7. Procurement G3 G4 G5
• Currently, all major equipment ordered 7.1 Contracting Work Breakdown Structure (WBS) F
developed
Onshore
8. Independent Project Reviews G3 G4 G5
• Project Reviews Completed
• Initial Design Readiness Review (IDRR) – 11/05 8.1 Pre-Feed Gate 2 IPR
Offshore
• Gate 3 IPR conducted in April 2006
• All 10 Offshore items closed
• Weekly and Monthly Progress included in 10.1 Progress Reporting Progress reporting requirements U F
Venture Reports 10.2 Gate Review Reporting Gate Review Packages G3 G41 G5
• Gate 3 review held in April 2006 10.3 Closeout Reporting Closeout/Final Report - - -
Project: Al-Khaleej Gas Phase II Category: I Prepared by: Kermit Hemmert Date: November 5, 2007
Endorsed by: _________________________ Date: ____________ Approved by: _____________________ Date: __________
RGX2 Senior Project Manager Venture Manager
Comments:
- Assigned Gatekeeper: RasGas Managing Director
- Roadmap developed Post Gate 3 therefore Pre Gate 3 activities shaded in black.
G3 G4 G5
Applic. Des/
Element / Work Process Activities / Deliverable Guide3 FEED Proc Constr Oper Offshore Status Onshore Status Forward Plan (as related to RGPMS Deliverables)
. Development / Business
Planning
1.1 Project Objectives & Project Objectives & Strategy A F Included in PEP Section 2 Included in PEP Section 2 No further action planned
Strategies (POS) statement
Project Categorization A F Category I, Included in PEP Section 2 Category I, Included in PEP Section 2 No further action planned
1.2 Economics Business Case / Economic Model A F NA Post Gate 3 NA Post Gate 3 The Business Case / No further action planned
Economic Model is managed by AKG
Mg mt.
Resource Definition A F By Subsurface Included in DBM Section 2, May 06’ No further action planned
Resource Development Plan
1.3 External Affairs External Affairs - Issues A F Overview described in PEP Section 4 Included in PEP Section 4, aligned with No further action planned
defined/Plan developed Venture External Affairs plan
Early Risk Assessment Plan A No ERAP developed; refer to PRAP Completed February 14, 2006 No further action planned
Conceptual Design Risk A
Assessment NO CDRA conducted due to similar design. Completed May 3, 2005 No further action planned
Conceptual Design A
Constructability Review NA Post Gate 3 Completed October 12, 2005 No further action planned
Project Constructability Plan A NA Post Gate 3 NA Post Gate 3 No further action planned
4.2 Preliminary Design Design Basis Memorandum A F Integrated Onshore/Offshore DBM Integrated Onshore/Offshore DBM Include approved MOCs in an appendix in lieu of updating
(DBM) developed and approved in June 2006. developed and approved in June 2006. DBM.
Project Spec and Standards A I F
Documents in place Documents in place No further action planned
Risk Assessment Plan A F Plan developed; document in place Plan developed; document in place
Proceed per plan.
Preliminary HAZOP A F Not conducted as existing RasGas Platform Completed in FEED, September 2005 No further action planned
Design being utilized
Detailed HAZOP A - F HAZOP conducted in March 2007; 72 of 76 HAZOP conducted in February 2007; Close action items
action items are closed, the remaining 4 action items identified and assigned to
items are related to development of the the respective parties for closure
Operating Manual
Comprehensive Constructability A I F Offshore Constructability Review to be held Completed, Constructability Checklist Close action items
Review on November 7 with EPC Contractor developed and being executed
Construction Risk Assessment A - F CRA planned for 1Q08; Individual CRA conducted in Jan 2007. Onshore to close action items. Offshore to proceed per plan.
Installation Risk Assessments to be
conducted per the Risk Assessment Plan.
Operability Requirements/Specs A F Requirements described in DBM, PEP As specified in RG document T12-X07- No further action planned
Section 15 and in the EPC Contract 001 Ops, Maint & Reliability Reqt Spec.
5. Execution
5.1 Lessons Learned Apply Lessons Learned A U U F Process in place Process in place Following existing process.
Capture Lessons Learned A I U U F Process in place Process in place Following existing process.
5.2 Project Execution Early Project Execution Plan A NA Post Gate 3 NA Post Gate 3 No further action planned
Planning (EPEP). Refer to comments.
Project Execution Plan (PEP) A F Integrated Onshore/Offshore PEP Integrated Onshore/Offshore PEP Proceed per plan
developed and approved in July 2006 developed and approved in July 2006
5.3 QA/QC Project Quality Plan A F Offshore Project Quality Plan developed Using Venture Generic Quality Proceed per Plan
using Venture Generic Quality Documents Documents
5.4 Safety and Health Project Safety Plan A F Using EPC Contractor Safety Plan and Using Project and EPC Contractor Proceed per plan
Offshore Safety Management Plan Safety Plans
developed as a bridging document to align
with Venture Plan.
Site Safety Plan A - F Using EPC Contractor Site Safety Plan Using Project and EPC Contractor Proceed per plan
Safety Plans
Site Health Plan A - F Using EPC Contractor Health Plan and Using Venture Health Plan Proceed per plan
Venture Health Plan
Security Mgmt Plan A - F Using EPC Contractor Security Plan and Using Venture Security Management Proceed per plan
Venture Security Management Plan Plan
Site Security Plan A F Using EPC Contractor Security Plan Using Venture Security Management Proceed per plan
Plan
Emergency Response Plan A F Using EPC Contractor ERP and Venture Using EPC Contractor ERP and Proceed per plan
5.5 Information Management Doc and Info Management Plan A F Using Venture Information Management Using Venture Information Proceed per plan
Plan and Offshore Document Control Management Plan & Venture
Procedure. Information Management Plan
AKG-2 Road Map Cont.
Construction Workpacks A - I F Onshore fabrication schedule Equivalent system but Area based, Being developed
(incorporating construction elements) has Completions working with CTR to
been developed and approved develop integrated schedule
5.8 Fabrication & Construction Plan A I F Documented in PEP Section 14, Documented in PEP Section 14, Proceed per plan
Construction supplemented by JRM Construction Plan supported by Project Construction Plan
5.9 Commissioning & Startup Commissioning & Startup Plan A - I F Mechanical completion and system Plan described in PEP Section 16, Proceed per plan
handover described in PEP Section 16 developed jointly with OED . Primarily a
post Gate 4 Deliverable.
Pre-startup Safety Review A - - F Conducted at 50% mechanical completion By OED. Primarily a post Gate 4 Proceed per plan
Deliverable.
Operating Procedures A - I F Interaction with operations described in Approach described in PEP Section 15. Proceed per plan
PEP Section 15 Developed by CTJV with direction from
OED & PMT. Primarily a post Gate 4
Deliverable.
Operator Training A - - F NA Described in PEP Section 15. No further action planned
Performed by OED. Primarily a post
Gate 4 Deliverable.
Maintenance/Inspection Data A - - F IOM Manuals supplied prior to handover Approach described in PEP Section 15. Proceed per plan
Requirements By OED, PMT & CTJV. Primarily a
post Gate 4 Deliverable.
5.10 Issue Identification & Issues Management Procedure A F Using Venture Issues Identification and Use Venture Issues Identification and Following existing procedures
Management Plan Management Procedure Management Procedure
6.1 Cost Estimates/Schedules Estimate Basis Memorandum A F Complete; Full funding in place Complete; Full funding in place, No further action planned
documented in 2006 W P&B
Cost Estimate A F Complete; Full funding in place. Complete; Full funding in place, No further action planned.
documented in 2006 W P&B
Cost Estimate Confidence A F Complete; Full funding in place Complete; Full funding in place, No further action planned
Package documented in 2006 W P&B
Schedule Estimate A F Complete; In place for full funding Complete; Full funding in place, No further action planned
documented in 2006 W P&B
6.2 Project Controls Project Control Plan A F Offshore Project Controls Manual approved Project specific plan in place. Proceed per plan
and updated to include Venture Generic
Principles.
7. Procurement
7.1 Contracting Work Breakdown Structure A F Included in PEP as Attachment 9 -2 Included in PEP as Attachment 9 -1 No further action planned
(W BS) developed
Contracting Strategy & Plans A F Described in PEP Section 9 Described in PEP Section 9 No further action planned
Contract Close Out A F Post MAC Gate 5 Requirement Complete Post MAC
7.2 Purchasing Purchasing Strategy/Plans A F Described in PEP Section 10, Purchasing Described in PEP Section 10, No further action planned
strategy and contractual requirements Purchasing strategy and contractual
outlined in Exhibit 5 of the EPC Contract requirements outlined in Exhibit 5 of the
EPC Contract
Long Lead Equipment List A F N/A N/A, but provide Major Equipment list No further action planned
as supporting documentation
Pre-selected Equipment List A F Limited applicability for Offshore; addressed Limited applicability for Onsho re; No further action planned
in Exhibit 5 (Appendix E) of EPC Contract addressed in Exhibit 5 (Appendix E) of
EPC Contract, also documented in
Major Equipment list
7.3 Materials Management Material Management A F Approach documented in PEP section 10 Approach documented in PEP section No further action planned
Strategy/Plan and EPC contractor procedure. 10 and EPC contractor procedure.
8. Independent Project
Reviews
8.1 Pre-Feed Gate 2 IPR A NA Post Gate 3 NA Post Gate 3
8.2 Pre-Commitment IPR Readiness DRR A F No DRR conducted. Design similar to IDRR and FDRR completed No further action planned
Review(s) previous platforms.
CRR A - F CRR planned for early 1Q08; will also apply CRR completed Onshore to Close-out CRR Findings. Offshore to conduct
learnings from RGX2 CRR conducted in CRR.
March 2007
Gate 3 IPR A F Completed Completed No further action planned
8.3 Pre-Startup IPR Gate 5 IPR A - - F Conduct Gate 5 IPR Conduct Gate 5 IPR As required by RGPMS
9. Management of Change
Define MOC process and A F Offshore Management of Change Venture Project Management of Continue application of process
authorities Procedure updated to align with Venture Change Procedure used.
Project Management of Change Procedure
10. Reporting
10.1 Progress Reporting Progress reporting requirements A U F In place Project Controls Plan in-place, update Follow existing process
to include Special Projects
1
10.2 Gate Review Reporting Gate Review Packages A G3 G4 G5 - Gate 4 planned for 4Q07 Gate 4 planned for 4Q07 Complete Gate Reviews. Gate 4 Review with Venture Manager
Gate 5 target 3Q09 Gate 5 target 3Q09 with note sent to RGMD detailing outcome.
Gate 5 Review with RG MD.
10.3 Closeout Reporting Closeout/Final Report A - - - F Gate 5 Requirement Gate 5 Requirement After MAC
Explanatory Notes:
1. Explanation of shading coding:
No further action required (normal RGPMS)
Not applicable for this project (due to scalability/applicability considerations)
Deliverable reduced, combined with another document or generic Venture document used (effort reduced due to scalability)
W ork to completed as indicated by project timeline (unique deliverable, but still maybe scaled to project size/complexity)