Descon Newsletter

SUMMER EDITION 2011

SUCCESS STORY

Engro Fertilizer 04

Halmore Power 06

Elixier 2 (Mirfa 1) 07

Formula One Track 08

Fauji Cement 09

Descon Oxychem Ltd 10

Descon Integrated Projects Ltd 11

Overseas Business Area

Qatar Business 14

Kuwait Business 16

Olayan Descon 17

Manufacturing

Hamriyah Manufacturing Works 20

Abu Dhabi Manufacturing Works 21

Lahore Manufacturing Works 24

Karachi Manufacturing Works 25

Joint Venture

Presson Descon International Ltd 26

Corporate News

Head QA/QC (Interview) 29

BA’s / BSD’s Forum 29

Health, Safety and Environment 30

Innovations at ICT 30

Descon Training Institute 31

Descon Chemicals Ltd 33

Descon Power Solutions Ltd 34

Interworld Travels Ltd 35 POWER

CHEMICALS

ENGINEERING

EDITORIAL TEAM ABBREVIATIONS

BA : Business AreaBD : Business DevelopmentBPD : Barrels per DayBSD : Business Support DepartmentCDR : Carbon Dioxide RecoveryCSR : Corporate Social ResponsibilityDCH : Descon ChemicalsDEL : Descon Engineering LimitedDIPL : Descon Integrated Projects LimitedEPC : Engineering, Procurement, ConstructionHRSG : Heat Recovery System GeneratorKSA : Kingdom of Saudi ArabiaLTI : Loss Time InjuryLTMSA : Long Term Maintenance Services AgreementODICO : Olayan Descon Industrial CompanyPDIL : Presson Descon International LimitedPP&A : Project Personnel & AdministrationQHSE : Quality, Health, Safety & EnvironmentTPD : Tons per DayTSF : Temporary Site Facilities

Aamer Hadi KhanHead Business Development

Rabya SheikhCoordinator Communications - BD

Ch. Muzaffar AliAsst. I/C Communications - BD

Sharaf JavedBusiness Development Engineer

Haseeb MalikBD Coordinator - Manufacturing

Syed FareeduddinDeputy Manager - BD - PDIL

EDITOR’S NOTEDear Readers,It gives us immense pleasure to present you the Descon News, SummerEdition 2011. Since this is the first issue of the year, it presents a snapshotof Descon's accomplishments achieved within the past few months.

This edition is an overall update on all the sectors that Descon currentlyoperates in and the milestones achieved. Business operations look positivewith many upcoming projects that enhance the stature of the companyas well as add to a healthy backlog.

Among Descon's prominent achievements, The Elixier 2 (Mirfa 1) Project,Halmore EPC Power Project, Engro and the Fauji Cement projects areworth a read. And as always, accentuating the big news and events, wehave lots of interesting articles for you to catch up with the current events.

Happy Reading,Communications Team

DESCON NEWS SUMMER 2011 Success Story

04

Engro FertilizerChanging vision into reality

The completion of Engro-Enven 1.3 Ammonia Urea Complex,the largest in Asia is one of the most commendableachievements of Descon in recent years. The complete plantwas constructed, commissioned and handed over to the clientin due time for operations. We thank Engro for their patronageand Descon’s construction team who drove the project andshowed complete commitment to the achievement of themilestones.

Engro Fertilizer ExpansionPlant-Enven 1.3

Four years back in March 2007, Engro Chemicals discussedDescon's participation in its biggest investment to date. Theproject, Enven 1.3, envisaged the setting up of the largestsingle train urea manufacturing plant in the region at a costof over one billion dollars. It would be Descon's largest projectin the fertilizer industry in Pakistan.

The main engineering contractor was the Italy-basedSnamprogetti S.p.A (now known as Saipem). Descon waswell-known to both Engro and Snamprogetti as it had donethe construction works of the PakVen 600 project in the earlynineties. Similarly for Snamprogetti, Descon had worked onseveral projects: FFC-II, Umm-Al-Nar refinery and AsabGas 1 in Abu Dhabi.

At the peak of the project, Descon had a deployment of7,600 personnel at the project site. The project was completedsuccessfully with 40 million safe man-hours.

Apart from the general contracting scope, Descon was alsoawarded the carbon dioxide recovery and water treatmentplants on EPC basis.

Today, the highest prilling tower at this plant speaks of thehard work, dedication and excellence of its builders.


05

Salient features of the project:

Construction of the tallest prilling tower - 125 meters

500,000 dia-inches of piping

5,500 tons steel structure fabrication & installation

12,000 tons equipment erection

5,000 tons double-walled cryogenic ammonia storage tank

Deployment of 1,200 tons crane

Heaviest rigging of Urea Reactor - 450 tons

500,000 cu.m earthworks

100,000 cu.m concrete works

Halmore Power Generation Co. (Pvt.) Limited's idea to setup a 225 MW combined cycle power project at Bhikki nearSheikhupura, Pakistan, has been realized by Descon. The scopeof work comprised of design, detailed engineering, procurement,construction management, commissioning and performancetest run. Descon's EPC BA took the lead on this project andcompleted the project well within the due timeline.

The project has been connected to the 132kV national gridand all power and auxiliary transformers, as well as the relatedswitchgear have been put into service after commissioning.

3 million man-hours without LTIon Halmore EPC Power

The ceremony was attended by Mohammad Sharif (Chairman& CEO of Halmore Power Generation (Pvt.) Ltd), CEO

Descon Engineering Ltd, Dr. Salman Zakaria and Advisor ofHSE, Irfan Shukarullah.


06

Halmore - 225 MWCombined cycle Bhikki Power Project, Pakistan

Mr. Mohammad Sharif, Chairman & CEO of Halmore (R)presents the shield to Mr. Irfan Shukarullah, (L) Advisor HSEof Descon.


07

The Mirfa 1 project is an air separation unit for nitrogen

generation. The air separation plant is meant to separate the

atmospheric air into its primary components, typically nitrogen,

oxygen, argon and inert gases. Among various technologies,

the most common one is via cryogenic distillation. This process

was pioneered by Dr. Carl von Linde in the early 20th century

and is still used today to produce high purity gases. The Linde

group is a pioneer in the business of design and construction

of such plants with over 2,800 air separation plants in 80

countries. Hence, the project awarded by Elixier (a joint

venture between ADNOC and the Linde Group) proves

Descon's technical and professional competence in constructing

this plant.

The project is designed for the production of 670,000 standard

cubic meters per hour of nitrogen from two trains which will

be sent through 40 km pipeline to gas wells at Habshan. The

injection of nitrogen to these wells will enhance their production

capacities. The initial contract was for civil, mechanical and

TSF/camp works. Descon's fast track performance with no

compromise on HSE and quality, lead the client to choose

Descon for E&I and HVAC works as well. The scope of work

includes construction of 8 buildings, 5,500 tons of equipment,

2,400 tons of steel structure, tanks, cold boxes, piping (including

aluminium) four substations, CCTV, PA and telecom systems.

Regarding HSE, over 4 million man-hours have been achieved

without a single LTI.

Important milestones:

Analyzer building foundation of Train 1

Underground conduits & trenches for cables for

trains 1 & 2

HVAC works in ASU substation trains 1 & 2

ASU substation common facilities

ELIXIER 2 (Mirfa 1)Construction of airseparation plantby Syed Qaiser Naqvi


08

Formula One racing is the highest class of single seater autoracing sanctioned by the Fédération Internationale del'Automobile (FIA). It is the world's most expensive sportwith aggregate viewing of 600 million people per race aroundthe world.

The Yas-Marina Circuit is the second Formula One track inthe Middle East, the first being in Bahrain. The twenty-onecorners twist through the man-made island of Yas, off theAbu Dhabi coast, passing by the marina through the Yas MarinaHotel and winds its way through sand dunes, with severallong straights and tight corners.

The main contractor of the project was Cebarco-WCT WLL,under contract from developer Aldar Properties. The electricalworks were sublet to PKE-Siemens, joint venture by the maincontractor. Descon was awarded the contract by Siemensand our scope consisted of electrical installation works ofrace circuit's complete power distribution system whichconsisted of fourteen 22kV substations.

In addition, five 22kV substations for the Marina hotel andcomplete external lighting of the race circuit was also awardedto Descon.

Due to the shortage of civil related materials the project gotdelayed, but as the race date remained unchanged so did the

project completion date. The target was steep but the Desconproject team, under the guidance and support of E&I ManagerMr. Arshad Sajjad Khan, with their utter determination andcommitment met the target without compromising on safetyor quality. The race’s inaugural event went without a glitch.The project was completed with zero NCRs and zero LTIs.

Formula ONE Track

Mr. Sheikh Mansour bin Zayed bin Sultan Al Nahyan (L) andMr. Arshad Sajjad (R) at the inauguration ceremony.

Descon embarked on the construction of the biggest singleline cement plant in Pakistan; the Fauji Cement plant, whichwill produce 7,200 tons cement per day.

It is a state-of-the-art cement manufacturing facility in whichthe major process equipment and overall plant design hasbeen provided by Polysius, Germany, for which they hadsigned an MoU with Descon in 2006.

This plant includes the largest cement silo and the largestsingle cement kiln in Pakistan. Descon Manufacturing has alsoplayed a major role in the fabrication of major stationaryequipment.

The completion of Fauji Cement will prove to be a cornerstonefor the future cement plants in Pakistan.

Fauji Cement ProjectConstruction at its best


09


10

On 14th September 2010, Descon Oxychem made historyby becoming the first Pakistani Hydrogen Peroxide producerto export to India through Wahga. The initial consignmentof 200 metric tons of packed Hydrogen Peroxide departedfrom T-10 station Lahore on Tuesday evening, wasinterchanged at Wahga during the night and reached Attaristation by the next morning. This is but another step byDescon Oxychem Limited in its commitment to establishitself as a completive producer of Hydrogen Peroxide in theinternational market.

Previously, the only route available for Descon Oxychemproducts to India was via the sea channel; a route that notonly entails a 3 day land transit from the DOL plant to seaport terminals, but also another two days for sailing, subjectto the availability of a vessel. This shorter alternative andmore effective route substantially cuts down the freight costs,reduces transit time and greatly increases the number of

markets within the Indian region.

January 2011 saw another breakthrough in trade of HydrogenPeroxide as Descon Oxychem yet again pioneered the deliveryof its products into India, this time via the land route throughWahga to Amritsar. This strategic delivery route now allowsDescon Oxychem to deliver its product within a span of 24hours, which in any business is a huge positive for the customer,thereby extending the Descon brand name in regional marketof bordering India.

With two international distributorships signed with two majortrading houses in India, Descon Oxychem is ready to serveits customers in India, with high quality products and aneffective distribution network. If current performance in thismarket is to be used as an indicator for the future, then it issafe to say, that for Descon Oxychem - the best is yet to

come.

Descon Oxychem Limited

From Wahga to Attari

The EPC solution providerIn a major transition, effective from March 19, 2010, DesconEngineering acquired JGC Corporation’s share-holding inJGC-Descon Engineering (Pvt.) Limited. The company hasbeen renamed as Descon Integrated Projects (Private) Limited(DIPL) and will continue to operate as an independent entity.The new company name symbolizes the enhanced role DIPL

will play in the future by providing comprehensive andintegrated engineering, procurement, construction,commissioning and project management services. Mr.Muhammad Khawar Khan is the new President of the company.

The procurement and construction management strengthsof EPC BA of Descon have been fused with the engineeringexpertise acquired over the years while partnering with JGC.A new organizational structure is in place, in which keypositions under the President have been assigned to bestsuited professionals from within both DIPL and EPC BA.

Bulk Liquid Chemical Terminal,Saudi ArabiaArabian Chemical Terminal Company (ACT) is setting upthis facility of 25,600 cubic meters of storage capacity at Jubailcommercial port. The terminal will receive, store andre-deliver petroleum based products and liquid petrochemicalsvia ships for industries in the Al-Jubail area. Phase-1 of theproject, which includes a tank farm area, three import &export lines to jetty, facility buildings and utilities area, hasbeen awarded to Olayan Descon on EPC basis. DIPL isproviding EPC project management and detailed engineeringservices to Olayan Descon. The kick-off meeting with ACThas already taken place and engineering activities for theproject are well under way. This is the first significant EPCproject awarded in KSA and is expected to open up manynew avenues.

DESCON NEWS SUMMER 2011 DIPL

11

Descon Integrated Projects Limited


12

FFC Wind Power

Descon has teamed up with Nordex Singapore EquipmentPrivate Limited (subsidiary of Nordex Aktiengesellshaft) forthe engineering, procurement and construction of this 49.5MW wind power project at Jhimpir, near Thatta, in Pakistan.The contract for this project has been signed with the owner,M/s FFC Energy Limited. While Nordex will supply thirtythree 1.5 MW S77 turbines, our scope includes civil works,fabrication of 33 towers, EPC of 20/132kV substation andinstallation of towers and nacelles. With the beginning of thisventure, we have entered into an exciting new era of renewableenergy systems in Pakistan.

Descon, Parco sign contract forAsphalt plant

Descon has been awarded a contract for an Asphalt Plant byPak-Arab Refinery (PARCO) on EPC basis.

The contract was signed by Mr. Rasheed Jung, ManagingDirector, PARCO and Dr. Salman Zakaria, CEO DesconEngineering. The new asphalt plant will have a capacity toproduce 500 metric tons per day of asphalt from vacuumresidue (a leftover from Vacuum Distillation Unit of PARCO'sMid-Countr y Refiner y) by Oxidat ion Process .

Mr. Rasheed Jung expressed that this project will not onlycontribute to PARCO's growth, but will also provide supportto the national economy with better quality roads, while savingforeign exchange.

Dr. Salman Zakaria reiterated Descon's commitment towardsa strong relationship with PARCO which began in 1997 duringthe construction phase of PARCO's Mid Country Refinery.He assured that Descon would deliver the project with safety,quality and on time, in line with the reputation associatedwith the Descon brand name over last three decades.

Mr. Khawar Khan, Head of Descon’s EPC Business Area andPresident of Descon Integrated Projects (Pvt) Limited (DIPL),assured best professional services by the project team tomeet the expectations of PARCO and to deliver the projectsuccessfully.

Mr. Rasheed Jung (L) and Dr. Salman Zakaria (R) during contract signing ceremony.


13

Gassi Touil project, Algeria

Sonatrach is setting up this project to develop the Gassi Touilfields for LPG recovery and production of condensate andresidue gas. The EPC contract for this project was awardedto JGC Corporation (JGC) and its subsidiary, JGC AlgeriaS.p.A, in June 2009. DIPL was in turn awarded the detailedengineering job for the complex by JGC. Work on this projectwas started in November 2009. The main facilities in thecomplex are the gas gathering system comprising of 54 wellsconnected through 360 km of pipeline, the central processingfacility and the offsite/utility facility.

Manifa project, Saudi Arabia

This Saudi Aramco project is one of the largest Gas OilSeparation plants in the world for off-shore oil fields. It willcontribute 900,000 BPD to the overall oil production of SaudiArabia. JGC was one of the three main contractors who wereawarded EPC work for the Manifa Central Processing Facilitiesof this project in July 2008. DIPL has been doing the relateddetail engineering for JGC since August 2009. At present, 3D

plant modeling work was reviewed jointly by Saudi Aramco

and JGC in Yokohama. The overall engineering job, which

also includes civil, piping, electrical and instrument disciplines,

is planned to be completed by November 2011. Civil

construction and underground piping work, based on DIPL

design, has already started at the project site.

Other ongoing projects

ORYX GTL Maleic Acid dosing system upgrade

project, Qatar

Multi-discipline engineering is well under way. DIPL also

supported Descon Qatar during the construction and

commissioning phases of this project.

Remote isolation of Gas Trunklines, Abu Dhabi

This Adco job involves installation of shut-down valves on

gas trunk lines, remote push button stations, F&G detectors

and new PLC system in cooling shelters on three scraper

traps located in Habshan. Engineering work has been

completed, while construction started in October 2010.

Engineering Projects in focus

DESCON NEWS SUMMER 2011 Qatar

14

by Waqas Mahmood Rana

The key to the growth of plant services business in Qatar isthe dedicated teamwork and commitment to safety, qualityand client's satisfaction.

Successful execution of sixconsecutive major shutdowns

Qatar Fertilizer Company Limited

QAFCO AMMONIA-4 MAJOR SHUTDOWN 2010: It wasthe first major job of shutdowns, which was completed 21days ahead of schedule. The major works included EPC worksfor waste heat boiler steel structure platforms and accessladders, fabrication and erection of high pressure piping of700 dia-inches and replacement of six equipment: waste heatboiler, heat exchangers, steam vent silencer with the maximumlifting weight of 122 tons. The additional jobs includedmaintenance of knock out drums, stripper reboiler and columninternal works. Total executed man-hours were 44,744 andall jobs were completed ahead of schedule achieving bestquality and safety standards with zero LTI. A major milestonewas achieved in HSE and Qafco declared Descon as the bestin HSE among nine shutdown contractors and announced“Contractor's Competency Benchmarking” award held in aceremony at Al-Maha Club. This achievement has openedanother door for Descon for working as a trusted partnerof Qafco.

Qatargas Operating CompanyLimited

QATARGAS ANNUAL SHUTDOWNS: As part of Qatargas5 years extended contract for shutdowns, Descon hassuccessfully completed three major shutdowns in QG-I forTrain-3 in April 2010 and in QG-II for Mega Trains 4 & 5 asunplanned emergency shutdowns with a duration of 78 days.Qatargas management appreciated the capabilities of Desconin handling three successful executions and it will have apositive impact for the upcoming jobs. The scope of workincluded mechanical maintenance, repairs and replacementworks for column internals, vessels, drums, catalystloading/unloading, heat exchangers bundle pulling, fin fancoolers, heaters, control valves, PSV/PRV's and blinding/de-blinding of all critical jobs. Additional jobs includereplacement of three heat exchangers, breaker flange and 07corroded elbows with 34” diameter. More than 200,000man-hours were earned during the execution.

Qatar Petroleum Dukhan Fieldsmajor shutdowns

QP FAHAHIL MNS & FAHAHIL STRIPPING PLANTSSHUTDOWN: Descon's first entry in Dukhan fields was amajor breakthrough as QP awarded its two major shutdownsof Fahahil Main, North, South plants and Fahahil strippingplants. The job was executed in two phases and completedsuccessfully ahead of schedule without LTI. QP managementpraised the capabilities of Descon. The scope of work includedmechanical maintenance, repair works for columns, vessels,drums, catalyst loading/unloading, heat exchangers bundlepulling and cleaning, fin fan coolers, flare tip replacements for5 flares with 65 m height, control valves, PSV/PRV's, blinding/de-blinding, piping fabrication and erection works.

ORYX GTLplantsshutdown

ORYX GTLSHUTDOWN: The firstjob was awarded byORYX in i ts majorshutdown. The worksincluded fabrication anderection works of piping.The client has awarded asafety shield for a job welldone.

Awarded Jobs

RasGas Company

Descon has been awarded with two jobs in RasGas plantsthrough Chiyoda Almana, the EPCM main contractor.Installation of reverse rotation of check valve and upgradationof Train-3, Train-4 & Train-5 & AKGI flare piping system arethe two jobs executed within a duration of six months.

Qatargas Operating Company

With Descon's continuous performance in Qatargas, it wasawarded two more jobs. Procurement, construction and pre-commissioning of lowering of waste water injection system(LWWI) was the first one and procurement, constructionand pre-commissioning of beach valve to be executed at QGjetty area with a duration of six months was the other.

QATAR Highlights

QG-II / QG-III Jobs

Several civil, mechanical and E&I jobs were awarded by CTJVin QG-II & QG-III. Civil structure and piping works for tanks,cathodic protection system upgradation, excavation, cablelaying works and mechanical manpower supply were themajor works.

Qatar Steel Company

Another major milestone and breakthrough was achievedafter award of first job by Qatar Steel for Bar QuenchingSystem in HSFBM. The scope of work includes civil construction,electro-mechanical erection with supply and installation ofutility piping and cabling works.

PMP contract signing

Despite increased competition and fewer projects in the oil& gas sector in Qatar; by virtue of its excellent trench record,Descon was able to secure the mechanical portion of theQatargas (PMP) Plateau Maintenance Project. The contract

was formally signed on September 5, 2010 between Desconand Technip and the ceremony was held at Ras Laffan IndustrialCity. Technip has awarded another challenging job of six tankson EPC basis as a part of the same project.

Cable laying works from QGcommon LNG to Jetty AreaAnother breakthrough was made by the Electrical & Instrumentteam of QBA as Qatargas has awarded a job for cable laying,scheduled over one year.

5 Years LTMSA with QatargasSuccessful execution of major shutdown / turnaround jobsin Qatar enabled Descon, to win the trust of Qatargas forthe award of annual shutdowns of seven LNG trains for thenext five years. Scope of services include complete maintenanceservices of all these plants. It is evident with this award thatDescon has maintained its reputation for being the bestsolution provider in plant maintenance ser vices.

Achievement at Shell Pearl GTL ProjectThe Pearl GTL team focusing on health, safety, environmentand client satisfaction, is committed to set out morebenchmarks. The team achieved over 18 million man-hoursover three years without LTI at Pearl GTL Project, Qataron June 25, 2010 making a new record in the company'shistory. The achievement shield was presented to Desconsite manager, Mr. Hamid Raza byShell board ofdirectors duringtheir visit.

Descon's CEOMr. S a lmanZakaria and theQ a t a rmanagementteam witnessedthe occasion.

DESCON NEWS SUMMER 2011 Qatar

15

Descon Engineering Kuwait commenced the electro-mechanicalerection works of the 5,500 TPD Line-II project of KuwaitCement Company. The project was awarded in two phasesi.e. Supply and Fabrication of Plate Work and Structural Steel(Phase-I) and Erection Works (Phase-II).

Phase-I, which was awarded in January 2009, comprised offabrication and supply of 4,200 tons of plate work and 7,200tons of steel structure. Most of the fabrication was carriedout at Descon’s Hamriyah facility. This project is yet anotherexemplary demonstration of cooperation and coordinationbetween two business areas of Descon; Kuwait andManufacturing.

Phase-II, which is the erection of structural steel, plate-workand electromechanical equipment is underway. Scope wise,this project encompasses more than 25,000 tons of mechanicalequipment, steel structure along with insulation, refractory,cladding and E&I work, with a total of more than 2.8 millionestimated man-hours.

Descon has procured a new tower crane to accomplish thechallenging task of the erection of pre-heater, which is morethan 171 meters high with 8 floors. It is also the world’s tallestpre-heater, having a capacity to enhance the plant production

up to 8,500 TPD. Besides other cranes, a crawler crane of600 tons capacity will be used to assemble and erect theRaw Mills and Kiln.

In addition to Pyroline and Utilities section, there is significantwork involved in material handling areas which include shipun-loader, port to plant conveyors, coke storage/transport,additive bins and clinker silos.

We wish the Kuwait team the best of success for completionof this project.

Acting Ambassador / Charge De Affair of Pakistan Embassy, Mr. Sajjad Sehar during his visit to our office.

KUWAIT Highlights

DESCON NEWS SUMMER 2011 Kuwait

16

DESCON NEWS SUMMER 2011 ODICO

17

By Syed Adeel Haider Zaidi

With Saudi Arabia committed to boost investment in thefertilizer and petro-chemical sectors, Olayan Descon witnessedunprecedented and unparalleled growth in the recent years.

Jobs awarded by SABIC

Complete manufacturing andinstallation of Nickel Heatexchanger package awarded forSadaf

Sadaf, a Sabic affiliate in Jubail has shown confidence in OlayanDescon Manufacturing Unit by awarding a chest exchangerfor EDC plant, Al-Jubail Kingdom of Saudi Arabia.

The project involves supply, fabrication, removal and installationof first Effect Steam Chest Exchanger for Sadaf EDC plant.This is the first time that Olayan Descon has been entrustedfor a job which has Nickel 200 material.

High Flux Exchanger for JUPC

Jubail United Petrochemical Company (JUPC), a Sabic affiliatehas awarded a mechanical design, supply, fabrication anddelivery of 5th Effect Re-boiler for JUPC EG1 DBN project.

This is the first time in the history of Saudi Arabia that suchequipment has been manufactured locally. High flux tubes isa unique and proprietary technology from UOP LLC, aHoneywell company.

Manufacturing of 20 columns &vessels for JUPC

Manufacturing business reached a peak production capacityof over 10,000 tons per annum. During the year, a total of20 equipment were delivered to Jubail United PetrochemicalCompany (JUPC) in the Kingdom. Fabrication of pressurevessels and columns went exceptionally well and the focuswas on value added equipment entailing sophisticatedmechanical designs and internals.

EPC/LSTK contract onPolyethylene plant of Sabic R &T- Riyadh

Olayan Descon secured a contract for the engineering,procurement and construction of 4th Gas Phase PolyethyleneReactor Skid, the first ever EPC/LSTK contract for Sabic. Theproject involved process design, mechanical design, civil,electrical and instrumentation, construction, installation workincluding procurement of major equipment.

Olayan Descon Industrial CompanyA remarkable year for Descon

LSTK contract for GAN pipeline

A contract was awarded by NIGC to Olayan Descon onLSTK basis for the design, engineering and construction ofnitrogen pipeline from Jubail I to Jubail II.

Successful completion ofUrea Prill tower emissioncontrol project

Olayan Descon successfully completed commissioning of theUrea Prill Tower Emission Control project at Sabic Al-Bayroni,in Jubail Industrial city. This project was basically an environmental

and asset improvement project. The work scope entailed civil,mechanical, instrumentation and electr ical works.

Bulk liquid chemical terminalproject

Olayan Descon, has won an EPC deal to build a new chemicalstorage facility at the Jubail Commercial Port (JCP) in SaudiArabia. The overall project schedule of 18 months involvesdesign, engineering, procurement and construction of a

compete chemical terminal storage facility to handle 63,600cubic meters of different chemicals.

This facility is located at approximately 1.5 km from theterminal berth, to serve the petrochemical industries in theAl Jubail Industrial City.

This terminal is designed to receive, store and re-deliverpetroleum based products and liquid petrochemicals. Theproject shall be realized in two phases: during phase 1, twelveproduct storage tanks (with a capacity of 25,600 cu.m) forliquid petrochemical products will be built.

Phase II of the project will consist of the realization of fouradditional tank pits adding capacity of 38,000 cu.m and bringingthe total tank farm capacity to 63,600 cu.m.

Arabian Chemical Terminal (ACT), based in Jeddah (SaudiArabia), operates a 12,500 cu.m commercial tank farm forpetrochemicals in Yanbu as well.

Saudi Aramco jobs

Heat exchangers for Manifa heavycrude program project

Olayan Descon was awarded the supply contract for the heatexchangers for Manifa program of Saudi Aramco and shallbe contributing to the strategic asset oil capacity developmentproject. This job is for the design, fabrication and supply of55 medium and large size shell & tube heat exchangers whichwill be supplied to the EPC contractor, Saipem of Italy forthe Manifa Arabian Heavy Crude program on central processingfacilities of Saudi Aramco.

Piping Work, Karan Gasprocessing facilities, Khursaniyah,KSA

Olayan Descon has been entrusted to execute the aboveground piping work of Karan Gas Processing Facilities projectat Khursaniyah, KSA. The contract was signed with HyundaiEngineering & Construction Company (HDEC). Saudi Aramcois building this facility to process gas from Karan offshore gasfield to develop its gas reserves in order to meet demandfrom a growing industrial sector and as feedstock for newpetrochemicals’ ventures.


18

SAMREF crowns ODICO thegrand mark of safety

YANBU: Saudi Aramco Mobil Refinery (SAMREF) awardedOlayan Descon Industrial Co. Ltd the Golden SafetyHelmet, the highest mark of distinction, for being the safestcontractor during its recent 2010 total refinery turnaroundamong twenty-five contractors.

The project covered critical mechanical and instrument/ electrical jobs involving multi-processes welding, heavyrigging, retrofit of FCC reactor/ regenerator and alkycolumns, replacement of 950 tons waste heat boiler,replacement of LPG stripper, revamp of crude column,valve overhauling, in addition to major high-risk tasks ofprocess piping replacement and up-gradation.

The major factors involved in achieving the company'sHSE objectives were:

strong HSE commitment by the project management

timely observation and rectification of some 2,000 +unsafe acts & unsafe conditions. This pro-active practicetotally eliminated the causes of occurrence of nearmisses, incidents and accidents.

active involvement of entire workforce in all spheresof HSE related activities

The execution phase of the contract spanned 42 days on24/7 basis consisting of the deployment of a fleet ofspecialized service equipment and direct manpower oftechnical crafts reaching over 1,753 at peak with a total736,200 safe man-hours. SAMREF invited all their maincontractors' management cadre in celebration of thesuccessful completion of the turnaround and declaredOlayan Descon the (undisputed) winner of the cherishedGOLDEN SAFETY HELMET award, the distinguishedsymbol of outstanding performance.


19

Congratulations!on achieving another milestone

by Mian Omer Farooq

Quality delivered on timeDescon Engineering FZE has recently accomplished anothermilestone with the dispatch of nineteen vessels on barges.

Complying with Gasco’s and Linde's stringent qualityrequirements, Descon Engineering FZE has successfullymanufactured all pressure vessels in time for Borouge Ethylenecracker EU 3 Project, UAE.

This was appreciated by Linde as the only vendor whoaccomplished this job on time out of over 100 purchaseorders by Linde for the same project.

Korean's trustDescon Engineering FZEDescon Engineering FZE being a trusted manufacturing partnerfor the renowned EPC companies in the region has made abreakthrough by gaining the confidence of the leading KoreanEPC companies.

Recently, it secured an order from Hyundai Engineering &Construction for the design and fabrication of 40 pressurevessels for Borouge -3 Utilities & Off-sites project.

Samsung Engineering, another leading EPC in the region, hasalso showed its trust in Descon FZE by awarding a contractfor the design and manufacturing of stacks and ducts for Fertil2 Ammonia/Urea expansion project.

Award of Sulphur stacks fromTechnip KTI

Descon Engineering FZE has been awarded a contract by

Technip KTI S.p.A for the manufacturing of four sulphur stacks

for Gasco’s IGD Habshan-5 Process plant, UAE.

JGC-Tecnimont JV is responsible for the engineering,

procurement and construction of this project. The weight of

these stacks is 1,850 tons, material is CS and the thickness

is up to 35 mm. The height of each stack is 90 meters and

diameter ranges from 5.6 to 7.0 meters. This job is expected

to be completed by the end of August, 2011.

Other projects in process

A contract by Saipem, Italy for the fabrication of nine

storage tanks for Qafco-V Project, Qatar, was successfully

completed three months before the completion date.

Design and fabrication of structural steel and plate work

for Kuwait Cement Company Phase-1 is in progress

these days. 4,060 tons of structures out of 6,500 tons

and 1,917 tons of plate work out of 1,950 tons have

been fabricated and dispatched. Besides this, 1,000 tons

of structure and 1,200 tons of plate work for Phase-2

have also been awarded.

Descon Engineering FZE is fully capable of providing

pre-engineered skid packages. A skid package for Adco

has been successfully dispatched.

Hamriyah Manufacturing Works

DESCON NEWS SUMMER 2011 HMW

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DESCON NEWS SUMMER 2011 AMW

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“A decade of excellent service to the oil, gas& petrochemical industry”

AMW is now directly working for the UAE national companiesl ike Adnoc and with its approved contractors.

Recent projects have seen its production at the highest peak;for the fabrication of piping up to 70,000 dia-inches per monthand steel structure/process equipment/tanks up to 1,000 tonsper month.

Since 2006, AMW has been loaded with orders which madeit a specialist in furnace manufacturing. In July 2006, it got itsfirst furnace job from Selas-Linde, for Borouge-1 project. In2007, it was awarded the Abu Dhabi steel factory project,Reformer I. After successfully completing the first reformer,Selas-Linde awarded the Reformer II project.

In the same year, the seven furnaces of Borouge II Ethyleneplant were awarded. The scope of work involved 9,000 tonsof steel. AMW completed the furnaces ahead of scheduleand secured a new order for Borouge III. Other than fabrication,AMW proved to be the best in furnace retrofit jobs. So fartwelve furnaces have been retrofitted at this shop.

Borouge II. The furnace project commenced onAugust 2007 and was completed in January 2009. The overallscope of the project included radiant panels, convection

modules, furnace stacks, duct systems, 16,500 dia-inches ofexternal piping and 14,500 dia-inches of cracked gas piping.

This project was awarded based on AMW’s technical expertise.The welding procedure for A-335-P91 was a matter ofconcern from the client. This was prepared and implementedsuccessfully with less than 1% welding repair rate which wasappreciated by Linde Engineer ing and Borouge .

The seven furnaces contained 49 convection modules witha maximum weight of 220 tons per module. Convectionmodules (54,000 ID piping) contained CS, SS, & alloy finnedtubes including 10,000 ID of A335 P91 tubes. The completefabrication, anchor welding, refractory works, tube insertion,welding, painting and transportation was included in the scope.

Based on this performance, AMW was rewarded with anotherorder of 49 convection modules and piping for Borouge-III.

Abu Dhabi Manufacturing WorksA benchmark in quality manufacturing


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FERTIL - Ruwais Fertilizer Industries UreaDe-bottlenecking project was awarded to Descon asan EPC project. The fabrication of the new vessel and tanksfor this project was sub-contracted to Abu Dhabi ManufacturingWorks. 107 tons of carbon steel and stainless steel (SS-304)tanks were manufactured using the API 650 codes andstandards.

The Granulator upper part design and fabrication was achallenge due to its size (13m x 6m x 8.6m) and weight of41 tons. The huge upper par t requires special deliveryprocedure by a low bed trailer truck. It was one of the manyheavy engineering goods manufactured in AMW facility.

An API-650 process condensate surge vessel was also suppliedwith the tanks.

Mirfa - Linde awards fabrication& erection of piping, steelstructure and cold boxes

Elixier 2 (Mirfa 1) Construction of the new Air Separation

Plant is another success story. The EPC contractor for this

project, Linde Engineering, has been a long-term business

partner of Descon.

The fabrication and erection of the cold boxes shell was on

the critical path in mechanical construction of the main project

and AMW was able to achieve this target successfully.

The scope of work included the fabrication and erection of

60,000 dia-inches piping, 2,130 tons of steel structure and

585 tons of cold boxes. The fabrication started in October

2009 and was completed in the third quar ter of 2010.

The piping scope covered the whole plant piping system that

included CS, SS piping materials and different sizes of pipes

up to 64 inches in diameter.

The fabrication of steel structure covered the ASU machine

house, site office buildings, pipe racks, platforms, walkways,

supports, hand railings, ladders and gratings.


23

The control office building of the plant was added later on.

The cold box shells reach 50.75 meters height when completed.

The experience of AMW in tanks fabrication and other steel

structure made it easy for the company to complete the job.

The fabrication of 585 tons of steel plates was completed

successfully and delivered on time.

The delivery of the cold box shells was done in parts. The

size of each shell is 8 meters in diameter and up to 9 meters

in height with a maximum weight up to 42 tons. A special

platform of the trailer trucks was fabricated to safely transport

it over 120 km.

Shah Gas developmentAbu Dhabi

The recent project of Shah Gas field development is a notable

example of recognition of Descon by Gasco and Saipem. The

scope of services includes: civil construction, mechanical

erection, installation of equipment, piping, electrical and

instrumentation work. Descon has started the project with

full vigor and zeal, utilizing the experience earned over the

years of working on such projects in the region.

Ruwais Refinery expansion projectpackage-4

Daewoo entrusted Descon Engineering UAE with the award

of piping and structural erection works in the ongoing Ruwais

Refinery expansion project. The overall scope of work includes,

CS piping, GRE piping, PVC piping and steel structure erection

in the tank farm area.

Process equipment newsThis year has been propitious for Lahore Manufacturing Works(LMW) securing some of the dominant projects expected inthe market. The most conspicuous among them are:

BHP Front End Compression (FEC) project comprisingof pressure vessels and air cooled heat exchangersHRSGs for 225 MW Bhikki Power ProjectBHP de-bottlenecking

Other awarded projects were heat exchangers from SNGPLand a separator package for BP Pakistan.

The following equipment has been successfully delivered tovarious clients:

Knock out drum for BPLThree phase separators for OGDCL Mela fieldDe-Ethanizer overhead condenser for PPL Adhi fieldMercury removal vessels for MOL Manzalai fielddevelopment surface facilities

The notable among the delivered equipment were for Engro'sCO2 recovery plant i.e. 03 columns, 03 heat exchangers and03 vessels.

Boiler newsHRSG for DawoodHercules Chemicals

1x46 TPH, 600 psig Heat RecoverySteam Generator (HRSG) forDawood Hercules ChemicalsLimited (DHCL) has beencommissioned and handed overto the client. The HRSG is runningsuccessfully and producing steam as required.

Retrofit job of 30 TPH water tube boilerfor Vimpex SyriaLMW has been awarded the services contract for 1x30 TPH, watertube boiler supplied to Vimpex Syria. The scope of services includesdismantling of existing membrane wall panels, installation of newpanels (also fabricated by LMW) and replacement of coils foreconomizer.

HRSG for 225 MWHalmore Power Plant,Bhikki

The mechanical erection of 2x112TPH, 94 barg Power HRSGs forBhikki Power Project has beencompleted.

Water tube boilers for Byco PetroleumPakistan Limited

The fabrication activities of 3x50 TPH, 43 bargwater tube boilers for Byco Petroleum

Pakistan Limited are being carriedout. The deaerator and flash vesselshave been delivered to site ahead

of schedule. The 1st and 2ndboiler along with accessories is

ready for dispatch and thefabrication of boiler isin progress.

HRSG for Engrofertilizer

1x150 TPH, 48 kg/cm, 350ºCHeat Recover y SteamGenerator (HRSG) for EngroC h e m i c a l s h a s b e e ncommi s s i oned and i sproducing steam as required.

Fire Tube Boiler for Procter & GamblePakistan (P & G)

1x1.5 TPH, 10 barg, skidmounted Wet Back, 03 pass,fire tube boiler for P & GPakistan has been successfullytested and handed over to theclient.

HRSG for CoGen Power Project at FFC-III Mirpur Mathelo

The execution of 1x30 TPH, 105 Kg/Cm, 510'C HRSGfor Fauji Fertilizer III, Mirpur Mathelo has been completedsuccessfully. The scope of workincluded complete civil, mechanicaland electrical construction works forthe 19 MW CoGen power plant.The entire job was executedwithout any LTI. The boiler wasmanufactured by LahoreM a n u f a c t u r i n g W o r k s .Construction work for the projecthas concluded and thep r o j e c t i s b e i n gcommissioned now.

Lahore Manufacturing Works

DESCON NEWS SUMMER 2011 LMW

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DESCON NEWS SUMMER 2011 KMW

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Karachi Manufacturing Works (KMW) is set to become thefirst wind tower structure manufacturer in Pakistan. Ever sinceKMW’s establishment, the following milestones have beenachieved:

a) Steel structure fabrication: over 3,900 tons

b) Process equipment fabrication: 24 nos.

c) Storage tanks fabrication: 09 nos.

d) U-stamped vessels fabrication: 03 nos.

e) Pre-fabricated piping spool: over 9,000 dia-inches

Engineering newsTekla structures software is being used for steel structure. Ourclients are seeing even greater benefits from the use of Tekla’sBIM application areas such as model-based estimation, designcoordination, clash checking, less RFIs, less change management,automatic production of drawings and reports, automaticmonthly statements and so on.

We have a plan to develop the use of 4D scheduling andsimulation, RFID, linking models to surveying equipment andsite management for on-time project delivery at reducedbudget costs providing a much better quality product.

The proficiency of our team helps our clients in maximizingstock usage, leading to both economic and structurally efficientengineering solutions.

Our Tekla steel detailing services include:Tekla detailing servicesTekla steel fabrication drawing servicesTekla steel shop drawing servicesTekla 3D modeling services

The parameters are:accuracy and precisioncustomized steel detailing drawingscustomized reportslead-time minimization

Karachi Manufacturing Worksby Shakeel-ur-Rehman

KMW is the first U-Stamped workshop in Karachi

DESCON NEWS SUMMER 2011 PDIL

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Completion of de-hydration unitby PDILIn September 2008, Presson Descon International Limited(PDIL) signed a contract with PPL for the design, procurement,installation, commissioning of a de-hydration unit. Theperformance test for the unit was timely carried out to client'ssatisfaction and the Provisional Acceptance Certificate wasissued by PPL.

The project was marked by quality team work betweenvarious disciplines of the company through successfulimplementation of quality and safety standards (ISO 14001:2004 - Environmental Management System; OHSAS18001:2007 - Occupational Health, Safety Assessment Series).Through this project, PDIL continues to enhance its imageas a leading EPCC company managing projects in compliancewith the prevalent HSE standards.

Successful completion of suppliesof SRU for OGDCLPDIL successfully completed the supply of SRU (Sulfur RecoveryUnit) for OGDCL for an EPC project being carried out atDakhni. The project scope included design, procurement andpre-commissioning/commissioning. We supplied a new sulfurplant to handle excess sour gas and convert H2S to brightyellow commercial grade elemental sulfur with capacity of 90TPD. The plant comprised of complete piping, electrical andinstruments as a self contained unit. In addition, PDIL providedthe design of sulfur pit, solid sulfur loading and palletizingsystem, molten sulfur transfer pumps and tail gas incinerator.Ortloff Engineers Ltd, a US based company, were PDIL'stechnology partners. The project was marked by quality teamwork between various disciplines.

Successful first gas performancetest at Manzalai projectThe First Gas Performance Test (FGPT) of Manzalai FieldDevelopment Surface Facility was successfully completed in

June 2010. The facility included five high pressure wellheads,gathering stations, two process trains and plant utilities. Theperformance testing was done for a period of 72 hours withall plant controls on auto mode and each of the two processtrains achieved all performance guarantee parameters at itsmaximum design natural gas flow of 150 mmscfd and turndown flow of 80 mmscfd. The gas-in was carried out inOctober 2009, previously. The FGPT milestone marks a keyachievement in the completion of the project.

PDIL delivers the largestseparator in OGDCL's historyPDIL has always strived to achieve unprecedented milestonesin value propositions to its clients. In doing so, PDIL hasachieved another memorable landmark by providing OGDCLthe largest high pressure 3 phase production separator setin OGDCL's history. PDIL designed, manufactured and supplied3 HP, MP & LP separators. As per OGDCL's own archives,the separators were the largest in OGDCL's history in termsof production capacity. This feat speaks of the capabilities ofPDIL in taking on challenging tasks.

Participation in Pakistan Oil, Gas& Energy exhibition (POGEE) 2010The 8th Pakistan Oil, Gas and Energy Exhibition & Conference(POGEE) - 2010 was held from May 19 to May 22, 2010, atthe Expo Center, Karachi. The event was attended by theinternational delegates of the oil & gas industr y.

Presson Descon International Ltd


27

The Chairman of Alternative Energy Development Board,Pakistan, Mr. Arif Alauddin, the chief guest at this occasioninaugurated the proceedings. As a brand building effort, PDILparticipated in the event through impressive posters andbanners on different locations of exhibition halls and alsodistributed PDIL promotional material to the delegates andvisitors. PDIL was among the selected few companies, whichreceived a shield in lieu of extending continuous support tothe energy events of Pakistan. PDIL’s efforts were highlyacclaimed and appreciated by the management committeeof the organizers.

Environmental Excellence Award2010

It is a matter of great pride for PDIL that the company haswon the prestigious Annual Environmental Excellence Award2010.

A ceremony took place at Pearl Continental Hotel, Karachiwhich was organized by National Forum on Environment andHealth (NFEH) Pakistan having affiliation with United NationsEnvironment Program (UNEP) and supported by Ministry ofEnvironment, Government of Pakistan as well as Ministry ofEnvironment, Government of Sindh.

PDIL was awarded with the shield and cer tification ofappreciation in recognition to its vision and implementationof environment friendly policies.

Federal Minister for Environment Hameedullah Jan Afridi wasthe chief guest on the occasion. Environmentalists, experts,prominent personalities belonging to the corporate sector,NGOs, E&P companies and the media also participated inthe event.

1st HSE Conference for Oil, Gasand Energy Industry

The first HSE conference for Oil, Gas and Energy Industryorganized by Delta Consultants was held at Regent PlazaHotel, Karachi. Delegates from cross section of industry andgovernment organizations participated in this conference.Presentations were given on different topics, includingEmergency Planning and Civil Defense, overview on HSEManagement System Standards & HSE Attitude. PDIL alsodistributed giveaways to the participants of the conferenceas a brand building effort.

The hallmark of conference was a revitalizing brainstormingsession by Mr. Naeem Naqvi on development of HSE attitudesthrough application of NLP (Neuro Linguistic Programming).At the end, awards were presented by the chief guest, SyedIqbal Mohsin, Professor of Geology in Karachi University.

Presson Descon International Limited was given the first HSEaward of the conference in recognition to its outstandingcontribution in the event.

Annual Technical Conference 2010

The annual technical conference 2010 was held at SerenaHotel, Islamabad. The Society of Petroleum Engineers andPakistan Association of Petroleum Geoscientists (PAPG)organized the event, which was attended by the stalwarts ofthe oil & gas industry. The Minister of Petroleum & NaturalResources, Mr. Naveed Qamar, the chief guest at this occasioninaugurated the two-day proceedings.

Along with the exploration & production companies, PDILwas one of the sponsors of this event and hosted first day’sevening tea. PDIL also distributed giveaways to the delegatesand sponsored an advertisement highlighting the engineering,procurement, construction and commissioning capabilities inthe conference souvenir publication.

PDIL received the shield for the corporate membership fromthe Society of Petroleum Engineers, Pakistan Chapter. PDIL'seffor ts were highly acclaimed and appreciated by themanagement committee of ATC-2010.

To support the focus on learning and development,several internal trainings on soft and technical skillsincluding specialized trainings like Train-the-Trainer, EarnedValue Management and Developing Habits of Effectivenesswere conducted. Along with this, some key externaltraining sessions on PMP Certification Exam Preparationand 360 Degree Leadership were also arranged.

HCMD has launched a mentoring program to guide andhelp budding employees to succeed in their career. Theprogram also aimed to lend a helping hand in groomingthe next generation of leadership. This learning anddevelopment venture was aimed at growing together ;the seniors/experienced (mentors) provided guidanceand advised their juniors (mentees) regarding personaland professional evolution.

HCMD launched K-N-O-W (Know the Nuts & Bolts ofyour Organizational Work) program aimed at enhancingthe knowledge of employees about the jobs / activitiesof other departments. The program targets systematicshort term attachments of employees to the otherdepartments within the company where they will bespending a cer tain number of hours in a month.

Employee engagement was another focus this year. Afun calendar for the whole year was designed. Differentactivities like cricket gala, annual family day, employeebirthday celebrations, mango party, history mystery, idea

2010, quizzes, healthy life style campaigns were arrangedto induce motivation, enthusiasm and commitmenttowards company goals.

Employee Opinion Survey was launched by HCMD toknow about the views of employees on various aspectsof the company. Based on employee responses againsteach question falling under different corporate areas suchas organization culture, employee engagement, vision andgoals, HCMD compiled a summary of results which wasshared with all Head of Departments and the employees.HCMD has already started working on the concernsidentified through Employee Opinion Sur vey.

HR activities at PDIL


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The 4th BA /BSD/JV forum was held at Royal Palm Golf and Country Club, Lahore on September 17 and 18, 2010. All theBA/BSD/JV heads attended and discussed in detail the future strategies and business plans. Different workshops on CoreValues, Competitiveness, Productivity and inter BA/BSD coordination were conducted and a lot of productive ideas wereexchanged.

BA’s/BSD’s Forum

Mr. Faheem Arsal is a dynamic QA/QC professional who hasrecently joined Descon Engineering Ltd as the Head ofQA/QC department. An industrial engineer by profession,he brings with him a rich and diversified experience of over14 years in the field of Project & Quality Management Systemsin various organizations including Engro Chemicals PakistanLtd, OMV Pakistan, Azgard Nine Limited, Tuwairqi Steel Millsand Pak American Fertilizer.

Message from Mr. Faheem Arsal:

“It has been a roller coaster ride since I took office in thisworld-class engineering organization. Descon not onlyrepresents an EPC company but a multidimensional, ever

expanding environment that is a dream come true for everyprofessional.

The global market is getting tougher day by day; competitionfor excellence is fiercer than ever before. In order to reachbeyond this demanding barrier, we must consistently meetthe highest quality standards set forth to us. As Head QA/QC,I am privileged to be a part of a winning team which shall,Inshallah, lead this company to achieve new horizons.To realize the vision we seek, we have to focus and enhanceour quality of work which is a recipe of delivering successfulprojects on time and within budget. We strongly believe thatquality is never an accident; it is always the result of highintention, sincere effort, intelligent direction and skillful execution.Keeping this in mind, corporate QA/QC has developed planswhich shall steer our company to achieve its objectives andtargets. We plan to evolve, revise and establish our QualityManagement Systems through newly developed procedures,r igorous audits and measurable quality objectives.

Among those plans, constitution of “Quality OperationsCommittee (QOC)” is one. This shall be the highest qualityforum of the company and shall strategically evaluate andreview the quality functions and performance across theorganization. QC Human Asset Management, Internal andExternal Benchmarking, introduction of Cost of Quality aresome of the aspects which corporate QA/QC is working on.Together we shall set new standards in our field and customersand partners will see us as integral to their success. We willanticipate their needs and deliver on every commitment wemake. Expectations are high, results will be even higher!”

Introduction of Head QA/QC

DESCON NEWS SUMMER 2011 Corporate News

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Sharing the best practicesof HSEby Madiha Shafiq

HSE is at the core of all Descon’s operationsand is managed as an integral part of ourbusiness to benefit our company, employeesand all stakeholders.

HSE performance over the last 5 years has improved. Losttime injury frequency rate has dropped from 0.05 to 0.01. Asteady decrease in the LTIFR is observed and our aim is tocontinue on this path with the active involvement of linemanagement.

Major initiatives in HSE are:

Gap analysis of the existing system to highlight discrepanciesand improvement areas

Developing HSE professionals from the line with highpotential and ensuring their return to parent BA or BSDfunction after completing HSE assignment

Revision of critical operating procedures, which includesincident investigation, hazard identification and control

Prioritizing HSE activities based on higher risk areas andon incidents’ feedback

Providing technical HSE support and trained HSEprofessionals/resources for overseas Business Areas especiallyfor shutdowns

Health, Safety and Environment

by Ayesha Tariq

Network InfrastructureApplication

Network infrastructure has been upgraded and expanded toall Descon offices which resulted in maximum resiliency,improved security and network speed.

Lotus Notes Roll Out(Tool for e-mail & collaboration)

Lotus Notes has been successfully rolled out. This rolloutcovers all local and overseas offices and project sites. As aresult of the rollout, e-mail is now accessible to all users24/7/365 on their desktops and note books via internet fromanywhere in the world. As per the company’s vision,homogenous e-mail addresses are implemented for allemployees with the format (First Name). (LastName)@descon.com. It facilitates all users with commonaddress book and built-in instant messaging system knownas SameTime.

Centralized Manpower System(CMPS)CMPS has been successfully implemented at PP&A corporate,UAE and Qatar Offices. CMPS is a web-based system withcentralized database, accessible from anywhere in the worldthrough Internet. As a result of CMPS, information is availableto everyone in PP&A with a single click of a button.

SMARTNew SMART system for efficient material procurementprocess has been introduced. It is a web-based system withcentralized database, accessible globally via internet resultingin an efficient procurement process through quicker approvalsystem, eliminating unnecessary emails and faxes.

Project EDGE newsDescon remains committed to SAP implementation on theECO platform. It has decided to go for a phased approachin which PDIL will be the first one to Go Live. A separatenewsletter for Project EDGE was published and its electroniccopy can be viewed from EDGE Portal on Descon Online.The url is http://desnet04:55/sap

Innovations at ICT

DESCON NEWS SUMMER 2011 Corporate News

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DESCON NEWS SUMMER 2011 DTI

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Descon Training Institute (DTI) is working for the developmentof a quality workforce to be available for the company’s forthcoming and ongoing projects. DTI has earned the credit ofdisseminating technical training to 11,894 trainees in fourteenprofessional trades.

DTI is now growing on a fast track, with the establishmentbeing shifted to a new campus. This campus has the facilityof state-of-the-art workshops for advance welders, multiwelders, fabricators, pipe and general fitters, electrical andinstrumentation technicians. The average number of traineeshas reached to more than 300 per month. We ensure the

quality output by getting our trainees certified from a thirdparty for all trades. Inspectest, the third party conducts therespective trade test and then awards certification to thesuccessful trainees.

DTI collaborates with local and international institutions,bodies and agencies having similar objectives, for the promotionand development of the construction industry in the country.These include National Vocational & Technical EducationCommission (NAVTEC), Technical Education & VocationalTraining Authority (TEVTA), Punjab Vocational Training Institutesand Construction Industry Council (CIC) UK. We strive toprovide modern-day changes required at DTI according tothe international standards of training and ensure trainingmater ial and equipment is available at all times.

Our mobilization team works as a bridge between DTI andteam for placement of the workforce.

We ensure that all trainees are well-versed with the HSErequirements and are prepared to meet all the challenges atproject sites. DTI has also emerged as trade testing center forall trades with awarding of third party certification to theindividuals. DTI has the privilege to conduct WeldersQualification Test (WQT) for the clients according to theirstandard requirements at i ts workshop faci l i ty.

DesconTraining Institute

by Kashan Saeed

DESCON NEWS SUMMER 2011 DTI

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Trainees are facilitated with free hostel accommodation.Students are provided with all safety gear like uniform, safetyshoes, helmets, goggles, gloves, face shields etc., so they mayhave a hands-on knowledge of the Personnel ProtectiveEquipment (PPE). Training on Health, Safety and Environment(HSE) is imparted to all the trainees in joint sessions of alltrades and within the individual trade course training, to makesure that they adapt all these standards during their performanceof the respective jobs assigned to them. The quality of ourtrained workforce is recognized all around and these successfultrainees have become an earning source for their families andgraduate to a higher social level.

Corporate Social Responsibility

DTI also started a short computer application course forsemi-disabled persons under the Corporate SocialResponsibility (CSR) program. The main purpose and objectiveof this program is to uplift the social and learning level ofthese deserving people who are suffering from partial disability.DTI had successfully star ted the program with astate-of-the-art computer lab. The first batch went undertraining from April 2008 for one month training and after thisthe students were capable enough to start earning reasonableincome to suppor t themselves and their families.

DTI is offering this course free of cost and also provides freepick and drop service, lunch, tea and accommodation for thetrainees. The course has been designed to maximize learningrequired to perform the job of a data entry clerk / computeroperator.

We take pride in our students as most of them are employedas soon as they graduate. At DTI, we have many successstories in the form of our students and this has only becomepossible due to extra efforts, hard work of our faculty andby the strength of our evaluation system.

Inspired by the success of our current programs and keepingin view the industry requirements, we have started supervisory/ foreman level courses, since the current diploma holders(DAEs) available in market are lacking the professional andpractical knowledge required in the construction industry.The beneficiaries or the students of these courses are DAEholders with 50% plus marks or the technicians who haveworked in the industry for two to three years and have ahunger to gain more professional skills and knowledge. Theduration of these courses is three months.

Currently, we have started courses of mechanical, electricalsupervisor while we are planning to start following supervisory/ foreman level courses:

Piping Fabrication

Welding Civil

Millwright Instrumentation

Scaffolding & Rigging Painting & Blasting

AutoCAD Operator Insulation & Refractory

We are also planning to add vocational training courses likeinstrument technician, airless spray painter / blaster, insulationand heavy duty mechanic.

DTI is playing its small par t in improving the society bybecoming a breeding nursery for workers and supervisorsof this part of the world. We are continuously learning,developing and improving ourselves as in the words of Johnetta

Betsch Cole. ‘To teach well is to be a lifelong

student.’

The screensavers were up and running. The posters had beenpasted across the walls, the pitch was ready; the wait wasover. It was February 19th - DESFEST had arrived.

More than 300 employees from Descon's Chemicals andPower division arrived at the Oxychem plant to witness whatpromised to be a fun-filled extravaganza; and true to its word,Desfest 2011 did not disappoint. The event kicked off withthe inauguration ceremony being conducted by Mr.YawarMahmood, DOL Plant Manager. The highlight of the eventand the most anticipated attraction was the cricket tournament.The tournament began with the DOL Kings facing off againstthe Janbaaz, in a match which saw the Kings reign supremeby knocking the 'Jan' out of the Janbaaz. The following fixturesaw the Power Chargers take on the Strikers; an inspiredperformance by the Strikers’ captain, Ehtesham Younas resultedin the Strikers pulling the plug on the Power Chargers. Upnext came a tug of war competition which saw the plantteam convincingly beat the head office team, not once, but

TWICE. A subtle reminder to everyone as to where themuscle of the Descon engine really lies.

1 PM saw, the introduction of the second most anticipatedevent of the day - LUNCH. The lunch was nothing short ofa feast, with everyone showing, that even though they mightnot know how to play cricket or tug of war, but they definitelyknew how to polish off a plate. Horns blared, drums boomed,and the DJ crooned some tunes as the Kings and Strikerstook field to battle it out for the bragging rights. The firstinnings saw the Kings give a spectacular performance bythrashing a remarkable total of 163. The Kings supporterscould hardly keep their wits about them as they celebrated,danced and rejoiced as their team showed signs of winningnear the later stages of the second inning. Eventually, it wasthe Kings who came out on top beating the Strikers by asignificant margin.

Awards’ CeremonyAfter the match, everybody was assembled to payrecognition and appreciation to the Long Service, Umrahand Performance Awards. Mr. Taimur Dawood graced theaudience with his appreciation of the employees' effortsand dedication.

Extraordinary Efforts AwardThis year, a plaque signed by the Management of DesconChemicals, Descon Oxychem and Power business waspresented to Mr. Muhammad Sadiq, as a recognition of hisvisionary guidance, undaunting support and association withDescon Chemicals Business stretched over the past 32years. It was a delightful moment to see Mr. Sadiq, given astanding ovation by his colleagues while receiving his award.

DESCON NEWS SUMMER 2011 DCH

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Descon Chemicals Limited

ITIF Asia 2010Power Asia is an opportunity to capitalize upon. It has becomea major platform for power generation, transmission anddistribution industries with growing international recognitionand prestige.

DPS/MWM reaped many benefits from the event includingincreased awareness, chance to showcase their product andtechnology, developed new customer base and generatednew sales leads. One of the major attractions at DPS floorwas the replica of 4.3 MW gas genset.

Partnering for growthIn pursuit of our vision to provide complete power solutions,DPS is looking into possibilities of supplying diesel generatorsin Pakistan.

Mr M. Abou El Nasr, representative of Mets Energy Lebanon,visited Descon Headquarters to discuss the prospects ofMets Energy working along with Descon Power Solutions.

Descon Power Solutions is a valuable platform for MetsEnergy to gain access to the market having significant potentialfor growth.

National Bank of Pakistan bankson DPSDPS brings the most efficient global technology to Pakistanalong with high quality services, which is why National Bankof Pakistan chose DPS for their requirement of self-generation.For this project of 5.2 MW, 4 gensets of TCG 2020 V16Khave been installed and commissioned at NBP headquartersin Karachi.

Descon Power Solutions by Zunaira Rasheed

News from our partner...Energy, Efficiency, EnvironmentThe long-established company MWM in Mannheim, Germany,is one of the world's leading system providers of highly efficientand eco-friendly complete plants for decentralized powersupply with gas and diesel engines. The company stands forthe reliable, uninterrupted provision of electricity, heat andcooling at all times and at any location.

The engines can run on natural gas as well as special gaseslike sewage gas, biogas, coal-mine gas and landfill gas.MWM’s gensets cover a power range from 400kW to 4300kW for decentralized power production.

R & D 24x7!MWM enhances efficiencies yet again!Keeping up with the tradition to be the best, MWM constantlyupgrades its product line. Following the successful introductionof several efficiency enhancement packages for gas gensetseries, the Mannheim-based company MWM has nowintroduced the new TCG 2020 K which is:

highly robustsuitable for isolated operationgives increased inlet air temperatures and setup heightswhich is especially valuable for deployment in Asian countries.

The engine, which is designed for operation with natural gas,supersedes its predecessor of the same designation and theprevious model TCG 2020 OLS and will also be built in a V12and a V16 version.

The development has resulted in a 10% performance increaseand improved efficiency. The company states the electricaloutput at 1,125 kW for the V12K variant and 1,500 kW forthe V16K. With a 400 V generator, the electrical efficiency forboth cylinder types is 41.0%.

MWM Wins European MediaAwardAt the recent World Media Festival in Hamburg, MWMgarnered the international intermedia-globe 2010 silveraward for the best film in the documentation/point of salecategory.

The documentary "60 MW around the world" showed theproduction of 15 TCG 2032 gas gensets (4.3MW per genset)at MWM’s factory and their subsequent journey of 10,000miles to Bangladesh. The film also focuses on the handlingat the Hamburg port and various stages in the country ofdestination.

The 15 gensets were sent to a natural gas-powered plantin Ashugong, Bangladesh, which generated a total of 60 MWfor the public grid. The storyline is "without words" and isonly supplemented by occasional text char ts, therebyovercoming language barriers in an elegant way.To view the video, visit www.mwm.net.

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Interworld Travels

DHA Basketball Challenger Cup

Sports are so pervasive that we find ourselves engrossed inroaring sixes, slam dunks, sudden deaths, crucial putts, worldrecords and world championships and rooting for our favoriteteams. At Interworld, the scenario is quite similar, with theadded trait of taking pride in promoting sports and healthycompetition. DHA Basketball Challenger Cup is just oneexample where 16 teams of the city participated in an excitingtournament played under the banner and sponsorship ofInterworld Travels.

The tournament started on 14th July and lasted for five daysat the DHA stadium, Lahore. Teams from all over Punjabtook part namely DHA Basketball Junior, DHA BasketballSenior, Fast University Lahore, Beacon House University,Government College University, Iqbal Town Basketball Club,Don Bosco Basketball Club, Model Town Basketball Club,Defence Black Basketball Club, Frank Five Basketball Club,University of Central Punjab, Rawalpindi Panther Club,Gujranwala Cantt Club, Askari 10, Cathedral Basketball Cluband Lahore School of Economics.

The final was played between DHA Basketball Senior andPunjab College of Commerce. The last day drew a largecrowd, who had gathered to witness a nail-biting match,which ended in the victory for Punjab Group ofColleges with a solid lead of16 points. The winnerteam was awarded at r o p h y f r o mInterworld Travelsand the best playerwas given a returnticket to Dubai.

The awards werepresented by Mr. FauziK h a w a j a , I T &Operations Head, Bankof Punjab & President,P a k i s t a n R u g b yAssociation. It was an idealway to unwind from thehectic work routine.

Interworld Travels, over the past few years has provided functional and technical expertise adding individual and corporatecustomers to its portfolio, outside Descon. We now cater to different markets from the Middle East to the Far East andEurope through our rich experience in the travel industry. Striving to achieve excellence in customers' expectations, we offerexceptional services, with increased flexibility and greater value in both domestic and international travel.

DESCON NEWS SUMMER 2011 IWT

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DESCON HEADQUARTERS18 km., Ferozepur Road, Lahore-54760, PakistanTel: +92 42 35990034, 35805134,UAN: +92 42 111-DES-CONFax: +92 42 35811005, 35811135,Email: [email protected] w w . d e s c o n . c o m

POWER

Descon Power Solutions18 km., Ferozepur Road, Lahore-54760,PakistanPh: +92 42 3592 3760-64Fax: +92 42 3592 [email protected]

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CHEMICALS

Descon Chemicals LimitedDescon Oxychem LimitedDescon Corporation Limited18 km., Ferozepur Road, Lahore-54760,PakistanPh: +92 42 35923 721-27Fax: +92 42 35923 749E-mail: [email protected]: [email protected]: [email protected]

MANUFACTURING WORKSHOPS

HAMRIYAHDescon Engineering FZEPlot No. HE- 5, 6, 7 & HD-19,P.O.Box 42576,Hamriyah Free Zone, Sharjah, UAEPh: +971 6 563 7187, 563 7203Fax: +971 6 563 7646E-mail: [email protected]

ABU DHABIP.O.Box 46821, Ghayathi Road,Ruwais Industrial Area, Abu Dhabi, UAEPh: +971 2 876 0390Fax: +971 2 877 2994E-mail: [email protected]

KARACHI - PakistanPlot No. A 35-36, Eastern IndustrialZone, Port Qasim Industrial Area,Karachi, PakistanPh: +92 21 3474 0031-35Fax: +92 21 3474 0037E-mail: [email protected]

LAHORE - Pakistan2 km., Defence Road, off 24 km.,Multan Road, Lahore-53800, PakistanPh: +92 42 3754 0361-66Fax: +92 42 3754 0367E-mail: [email protected]

Presson Descon International Ltd.,Pakistan18 km., Ferozepur Road, Lahore-54760,PakistanPh: +92 42 3588 0390Fax: +92 42 3592 3720E-mail: [email protected]

JOINT VENTURES

Olayan Descon Industrial CompanyP.O.Box 10108, Jubail Industrial City31961, Kingdom of Saudi ArabiaPh: +966 3 341 0671Fax: +966 3 341 0950E-mail: [email protected]

ENGINEERINGDescon Integrated Projects (Pvt.) Ltd18 km., Ferozepur Road, Lahore-54760,PakistanPh: +92 42 3599 0053, 3581 2263-6Fax: +92 42 3581 0867E-mail: [email protected]

KARACHI - Pakistan9th Floor Business Avenue, 26-A Block,6, P.E.C.H.S, Main Shahrah-e-Faisal,Karachi-75400, PakistanPh: +92 21 3439 1591-5Fax: +92 21 3439 8565E-mail: [email protected]

KUWAITDescon Engineering FZEBuilding No. 14, Street No. 13,Block -3, Mangaf, KuwaitPh: +965 237 304 71, 237 302 04Fax: +965 237 301 48E-mail: [email protected]

QATAR43, Naeeja Wadi Al-Raha Off D-RingRoad, P.O.Box 23364, Doha, QatarPh: +974 456 9127Fax: +974 465 9126E-mail: [email protected]

ABU DHABI, UAEMussafah Industrial Area, ME-14United Bank Limited Building,P.O.Box 46821, UAEPh. +971 2 555 5807Fax: +971 2 555 5784E-mail: [email protected]

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