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  • Annual Review 2010 Annual Review 2010

    2 3ADMA-OPCOADMA-OPCO

    H.H. Sheikh Khalifa Bin Zayed Al NahyanPresident of the UAE

    and Ruler of the Emirate of Abu Dhabi

    All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of ADMA-OPCO.

    Abu Dhabi Marine Operating Company (ADMA-OPCO)P.O. Box 303, Abu Dhabi, UAE. Telephone +9712 606 0000 Fax +9712 626 6005

    www.adma-opco.com

  • Annual Review 2010 Annual Review 2010

    4 5ADMA-OPCOADMA-OPCO

    H.H. General Sheikh Mohammed Bin Zayed Al NahyanCrown Prince of Abu Dhabi

    Deputy Supreme Commander of the UAE Armed Forces

  • Annual Review 2010 Annual Review 2010

    6 7ADMA-OPCOADMA-OPCO

    Contents

    Sheikh Zayed Bridge, Abu Dhabi

    Foreword 9

    Vision,MissionandValues 11

    ADMA-OPCOataGlance 13

    CorporateGovernance 17

    ProductionOperations 23

    OffshoreDrillingOperations 31

    FieldDevelopment 37

    ProjectsandEngineering 43

    AdministrativeServices 47

    CorporateSupport 55

    KeyStatistics 58

  • Annual Review 2010 Annual Review 2010

    8 9ADMA-OPCOADMA-OPCO

    I am pleased to report that 2010 was another remarkable year for ADMA-OPCO with many radical changes in the strategy, structure and process of the entire system of the organization.Throughout the year, we went through an aggressive process of change which is helping us in fulfilling our shareholders expectations andmeeting the targets of our project

    expansion scheme.A host of notable achievements were witnessed at various levels, despite the huge challenges thatwe had faced. Improud to say thatwe have successfully faced and

    met the challenges in carrying out our activities according to the shareholders and SupremePetroleumCouncil(SPC)guidelines.WemanagedtoachieveourKPIsinsuch

    major areas asproduction,drilling, technology, applying internationalbest practices,

    emiratisation and people development while maintaining our high HSE performance. Special emphasis was placed on existing best practices and on new development. While considering people at the top of our priorities, we continued to offer the best recognitions and empower our employees not only to retain them but to enable them to be more productive and efficient. In fact, our professional teams generate several innovative solutions which drive our business performance.I would like to thank our shareholders for their continuing support and each and every one of ADMA-OPCO employees for all their efforts during 2010.I also encourage everyone in this organisation to continue to work with the same spirit to take our company to new levels of success.

    Ali Rashid Al-JarwanChiefExecutiveOfficer

    Foreword

    Sheikh Zayed Grand Mosque, Abu Dhabi

  • Annual Review 2010 Annual Review 2010

    10 11ADMA-OPCOADMA-OPCO

    Leadership

    People Innovation

    Accountability

    Teamwork Excellence

    Ethical Conduct

    HSE Learning

    Boat racing in Abu Dhabi

    VisionOne integrated team working effectively to produce hydrocarbons from offshore areas, aspiring to excellence in all aspects of our business.

    MissionOptimisingOilandGasproduction,recoveryandreservestomaximisevalueinasafe,

    sustainable and socially-responsible manner through the high performance, creativity and dedication of our teams.

    Values

  • Annual Review 2010 Annual Review 2010

    12 13ADMA-OPCOADMA-OPCO

    ADMA-OPCO at a Glance

    Abu Dhabi Marine Operating Company (ADMA-OPCO) is a major oil and gas

    explorationandproductioncompanywhoseoperationsdateback to the1950s.With

    its operations centered in the offshore areas of Abu Dhabi, ADMA-OPCO came into beingasalocallyincorporatedcompanyon3rdJuly1977.Thecompanysconcession

    includestwomajorfields:UmmShaif,whichliessome150kilometersnorth-westofthe

    cityofAbuDhabiandLowerZakum,oneofthelargestoffshoreoilfieldsintheworld,

    which lies 55 kilometers south east of Umm Shaif. The crude is collected from these fieldsusinggiant steel structurescalledsupercomplexes,and then transferred toDas

    Island, a nearby industrial base, for processing, storing and world export. The company, under the SPC and the Shareholders directions, is busy preparing state-of-the-artdevelopmentforthenewfieldstoincreasefutureproduction.

    Sheikh Zayed Grand Mosque, Abu Dhabi

  • Annual Review 2010 Annual Review 2010

    14 15ADMA-OPCOADMA-OPCO

    Senior ManagementTheSeniorManagement comprises theChiefExecutiveOfficer and six senior

    vice-presidents. Its key role is to take collective responsibility for the combined performance of ADMA-OPCO and demonstrate leadership to the organisation in a transparent and consistent manner.

    ShareholdingADNOC,whichrepresentstheGovernmentoftheEmirateofAbuDhabi,holds

    60%,whiletheremaining40%isdividedbetweenBP,TotalandJODCO.

    ADNOC 60% BP 14%

    TOTAL 13 % JODCO 12 %

    JMC & Board of DirectorsThe Joint Management Committee (JMC) and the Board of Directors are the highest authorities, which oversee ADMA-OPCO operations. The JMC formulates the long-term policies of investment and development, while the Board of Directors is responsibleformonitoring the technicalandfinancialperformance

    of the Company. Board of Directors in a group photo jointly with ADMA-OPCO senior management team after their meeting at the companys HQ

    2313

    ADNOC 60% 12%

    bpTOTAL

    JODCO

    14 %2313 %13

  • Annual Review 2010 Annual Review 2010

    16 17ADMA-OPCOADMA-OPCO

    Internal AuditDuring 2010 the Internal Audit Division continued to provide assurance and support directly to the shareholders through the Board and to ADMA-OPCO senior management regardingtheinternalcontrolenvironment,riskmanagementprocedures,financialand

    informationsystems,andtheoverallgovernanceprocesses.InternalAuditspecifically

    carried out a number of planned reviews of operational, financial, compliance and

    information technology areas, in addition to addressing special requests from senior managementforassuranceoverspecificbusinessactivities.

    The division also conducted a pan-company business risks assessment exercise during 2010 to identify and assess potential business risks across ADMA-OPCO operations. These risks were then converted into potential auditable areas, prioritized, and combined into an Annual Internal Audit work plan. This work plan was presented and discussed withtheshareholdersauditcommitteefortheirapprovalinordertoensureshareholders

    requirements are adequately addressed, as the Audit Division works independently and brings full transparency to the shareholders.

    Three shareholder audit committee meetings (chaired by ADNOC) were effectively conducted with members to agree on the Annual Audit work plan, approve Internal Audit resources for the coming year, and provide comments to the Board of Directors onanysignificantresultsofInternalAuditswork.

    Corporate Governance

    Sheikh Zayed Grand Mosque, Abu Dhabi

  • Annual Review 2010 Annual Review 2010

    18 19ADMA-OPCOADMA-OPCO

    Health, Safety, Environment & Quality Assurance Notwithstanding the very challenging HSE targets it faced in 2010, ADMA-OPCOstillmanagedtofulfillitscorporatemissiontobeamongthebestHSE&QA

    performers in the oil and gas industry.

    In line with its corporate strategy, ADMA-OPCO put forth health, safety, environment and quality assurance as the top the priority in all its business interests. Throughout the year the management and staff demonstrated full commitmenttoupholdHSE&QAexcellenceinallitsactivities.

    1.00

    0.50

    0.00

    2004

    0.39

    0.34

    1.09

    3.943.05

    2.92

    2.68

    2.081.87

    0.97 0.99

    0.66

    0.550.50

    0.31 0.300.25 0.23 0.24

    0.100.26 0.23

    0.13 0.140.03

    2005 2006 2007 2008 2009 2010

    4.00

    3.00

    2.00

    1.00

    0.00

    2004

    1.38

    1.98

    1.40 1.271.08 1.09

    0.79 0.68

    1.29

    0.76 0.650.40 0.57

    2005 2006 2007 2008 2009 2010

    LTIFR

    TRIR

    OGPADNOC

    ADMA

    OGPADNOC

    ADMA

    KEY PERFORMANCE INDICATORS

    Note: LTIFR (Lost Time Injury Frequency Rate). The number of Lost Time Injuries (LTI) per million man-hours worked.

    TRIR: Total Reportable Injury Rate. The number of Total Reportable Injuries (TRI) per million man-hours worked.

    ADMA-OPCOs historical performance benchmarking against ADNOC and the Association of Oil & Gas Producers (OGP).

    TARGET ACTUAL

    0 FATALITY

    0

    SPILLS

    LTIFR TRIR

    FLARING GAS RELEASE HIPO

    REPORTING PROTOCOL

    100 %

    NO. OF INCIDENTS

    5

    0.00

    0.25

    0.20 0.10

    0.15

    0.05

    0.30

    0.21

    TARGET

    ACTUAL

    ACTUAL

    TARGET

    NO. OF SPILLS QTY (M3)

  • Annual Review 2010 Annual Review 2010

    20 21ADMA-OPCOADMA-OPCO

    Satah Al Razboot (SARB) ProjectsSatahAlRazboot(SARB)fullfielddevelopmenthasbeenapprovedbyADNOCto

    proceed with high priority in order to start production by early 2016. Accordingly theSARBProjectTeamwasformedunder thesponsorshipofADMA-OPCOs

    CEO and the Front-End Engineering and Design (FEED) was awarded. The target is to complete the FEED activities by April 2011. The developed scheme is based onbuildingtwoartificialislandsfordrillinginsteadoftheconventionalWellhead

    Towersapproachanddirectsthewellfluidthroughsubseapipelinestoanewfacility

    to be installed on Zirku Island for processing, storage and export of the SARB production of 100 MBD of crude oil. An option to export crude through Jabbel Al Dhanna is being studied. This facility will also handle the Umm Lulu production of 105MBDinadditiontotheGasandWaterInjectionrequirementforSARBField.

    ADNOC is scheduled to complete the artificial islands construction by end

    2012.Thelayoutofthefalconshapedislandshasbeenfinalizedandanoptimum

    well location for drilling and SIMOPS has been identified. The current plan

    is todrill44wellsfromSARB1and42wellsfromSARB2.TheFirstStage

    Separationstudyconcludedthatnoseparationwillbeintroducedtotheartificial

    islands in compliancewith theSelectStagefindings.Acombinedoil andgas

    pipeline option has been adopted and two 26 inch combined fully rated oil and gaspipelines-onefromeachisland(SARB1&SARB2)-toZirkuIslandhave

    been selected. The start-up of drilling by a new onshore rig suitable for extended reachdrilling is targetedforAugust2013fromSARB1andbyJanuary2014

    forSARB2.TheFEEDishithertoprogressingasplannedwithseveralmajor

    milestones achieved.

    A 3D model developed for SARB projectADNOC HSE six major Awards

    SafetyADMA-OPCOs collaborative culturemotivated itsworkforce to seek creative

    solutions and innovative practices. This has resulted in ADMA-OPCO garnering fourprestigiousawardsbestowedbytheOil&GasMiddleEastmagazine,aswell

    asthesixmajorwinsduringtheADNOCHSEAwards.

    By employing the best practices in its daily operation, ADMA-OPCO managed to achievemanyothermajorsuccessesacrossthecompany,suchastheSafeLifting

    Workshop, Comprehensive H2S Training, Operations Safety Campaign and Intensive Heat Stress Campaign. These proactive initiatives have increased HSE&QA

    awareness, ownership and accountability at all levels in the company, which was clearly demonstratedbythesafeinstallationsandcommissioningofUSGIFandZK-GPF.

    EnvironmentADMA-OPCOsspecialeffortsontheenvironmentwererecognizedandhonored

    with three prestigious awards for environmental initiatives including the ADIPEC award for Best CSR Initiative To Phase Out NonBiodegradable Plastic Bags.

    These awards have confirmed the companys reputation as a responsible,

    environmentally friendly operating company. By initiating and following through onsignificantstudiesonNaturallyOccuringRadioactiveMaterial(NORM),Energy

    Conservation, Environmental Baseline and Environmental Impact Assessments, ADMA-OPCO demonstrated its commitment and confidence to move towards

    environmental sustainability.

    Quality AssuranceAnintegratedandfocusedQualityAssurancefunctionwasestablishedwithinthe Health, Safety and Environment Division in early 2010. During the amalgamation process, aMasterQualityAssuranceAuditPlanwas developed to be used for

    futurematerialprocurement,projectdesignandimplementation.FurtherQuality

    AssuranceawarenesscampaignsareplannedforADMAsongoingandupcoming

    projects.Initsquesttodeliverqualityproductandservices,ADMA-OPCOisnow

    aimedtoestablish,implement,andmaintaincertificationofQualityManagement

    System to ISO 9001 Standards.

  • Annual Review 2010 Annual Review 2010

    22 23ADMA-OPCOADMA-OPCO

    Building on the successes of last year, ADMA-OPCO did well this year with respect to production and export. The company managed to meet the big challenge of achieving production targets while executingmajorprojects.Theoilproductiontargetwasachievedandsustainedthrough

    theyearwhileADGASgasdemandwasmet.

    As part of its expansion programme, a new division charged with new fields was

    established.

    Das IslandDespitethehugechallengesposedbytheongoingmajorprojects,DasDivisionhadan

    excellentyearin2010inseveralkeyareas:

    DasIslandFireandRescueService(DIFS)achievedaprestigioustopspot,stoodfirst

    out of all 23 teams of ADNOC group of industries audited.The audit concentrated on several key elements seen as fundamental to the provision of an effective and efficient emergency response organization, these elements being

    planning, training, equipment and intervention.Most of the Tanker Berth #3 action items were completed including replacement of the floatinghoseandbreakawaycoupling.

    The Engineering, Procurement and Construction (EPC) work of relocation of a fingerflarewerecarriedoutbyutilizingADMA-OPCOSin-houseresources,and

    the flare was commissioned successfully.A revised strategy was implemented, through which substantial cost optimization was achieved. Work execution of some of the schemes was done by utilization of ADMA-OPCOSownresourcesinsteadofengaginganEPCcontractor.

    Production Operations

    Abu Dhabi Corniche

  • Annual Review 2010 Annual Review 2010

    24 25ADMA-OPCOADMA-OPCO

    The newly adopted strategy has proved feasible and achieved the following objectives:

    PositiveimpactonHSEandbetterworkmanagement.

    EffectiveutilizationofavailableResources.

    EffectiveutilizationofADMA-OPCOProjectManagement.

    On-the-jobtrainingandenhancingresponsibility/competencyforUAECAMS

    Graduates.

    ReducingthepopulationonDasandservicecost.

    In line with efforts made to ensure top performance, an external audit and benchmarking study on services provided on Das was conducted.

    Medical Services at Das HospitalDas firefighting team in a mock drill USGIF

    ADNH will have completed 6 external Hazard Analysis Critical Control Point (HACCP) audits by the end of the year. Reports received are converted into action plans and the process of enhancing our HACCP system is in hand.The Das Medical Team implemented a number of initiatives aimed at enhancing medical services provided to Das residents. The most recent was the medical examination for Das based contractor employees. InlinewithDasIslandDevelopment(DID)continuousimprovementobjectives,

    management directives andADNOC offshore medical fitness guidelines, Das

    Hospital started on 1st August doing the medical examination tests for Das based employees for better health quality control and others benefits such as cost

    reductionforcontractingcompanies,betterutilizationofflightseatsandincreased

    man-hours.

    Oil and Gas Coordination 2010 was another remarkable year for ADMA-OPCO with respect to production andexport.Beingtheintegratedpartofproductionoperations,OGCDplayedits

    role very effectively to meet the big challenge of meeting production target while executingmajor projects such as Umm Shaif Gas Injection Facilities Project,

    ZakumGasProcessingFacilitiesProject andOffshoreAssociatedGasProject.

    The oil production target was achieved and sustained through the year, while ADGASGasDemandwasmet.

    The company continued to supply Ruwais RefinerywithUweinat Condensate

    until July and restarted exporting it to the international market after July.Theseachievementswereassociatedwithreachingyearlyflaringlowerthanthetarget.

    Umm Shaif FieldUmm Shaif Division added several chapters of success to its track record in 2010, which was a challenging yet very successful year for the division teams. Atop of the successes achieved during the year was the completion of the tie-in works intheexistingfacilitiesaspartofBrownfieldmodificationsonUmmShaifGas

    Injection Facilities (USGIF). This has been achieved without any production

    lossesorpersonalinjuries.

    The Hydro test and N2-Helium Leak check was completed, the ESD system hooked up, interface connections with the existing ESD system thoroughly risk assessed and successfully tested.

  • Annual Review 2010 Annual Review 2010

    26 27ADMA-OPCOADMA-OPCO

    TheAccommodation Platform remained serving nearly 160 persons of project

    and operation teams, and the commissioning activities were in progress for the start up of the separation platform followed by the gas compression platform.TheGG-IISlugCatcher,CSPSeparator3andWIPModule5majoroverhauls

    were completed for all the equipment safely and according to the plan. The Umm Shaif Existing Accommodation Platform (USEAP) defective boat-landing was replaced with a new one successfully, in spite of all constraints of chopper movement and refueling. As part of the Wellhead Tower maintenance campaign, six towers were completed.

    Greasing, integrity test and repairswere carried out onChristmas tree valves.

    OilRadialsintelligentpiggingwasexecutedon14lineswithminimumbusiness

    interruption. Other notable achievements included completion of eight mechanical hook ups, combustion inspection and ventilation ducts, replacement of Gas

    Turbine1(GT-1),PowerGenerationPlatform(PGP)powersystemupgradeand

    switchingoffiveUSGDPTowerstothenewSCADASystem.UAP(UmmShaif

    Accommodation Platform) was fully commissioned. CSP-1 (Collector Separator Platform1) was commissioned and hydrocarbons introduced. CP-1 (Compressor Platform1)systemsfinalcommissioningandtestingisstillongoing.

    Zakum FieldZakum Field had a busy year with many challenges at the level of gas handling, including heavy lifting and installation activities.Anewplatformwasaddedtothealreadyexisting9GasProcessingFacility(GPF)

    platforms on ZWSC. Already installed and commissioned, the new platform will enhance the capability to capture associated gases, process them and compress themforinjectionintoreservoirorsendingtoDasIsland.

    Intelligent pigging was conducted on several oil gas and water lines.

    ThefoamfirefightingsystemsonZAPandZWAPhelideckswererenovatedand

    commissioned.The power system was upgraded and commissioned. The scope of work focused on theintegrationbetweenthePowerGenerationPlant(PGP)andtheGasGathering

    (GGII)powergenerationsourcestooptimizepowerdistribution,availabilityand

    enhancereliabilityofsupplytoallconsumersincludingthenewGPF.

    New wellhead towers were equipped with telemetry services to allow more efficient operation in order to operatewells remotely day and night, and thus

    reduce production losses.

    The new aluminium Helideck on Umm ShaifYoung nationals receiving training Zakum Power Generation Plant

  • Annual Review 2010 Annual Review 2010

    28 29ADMA-OPCOADMA-OPCO

    Technical SupportThe Technical Support Division (TSD) scored a number of achievements including introductionofnewtechnologiesandcarryingoutmajoroverhaulsondifferent

    facilities.

    Hi-tech Multi Phase Flow Meters (MPFM) were ordered for installation on WellheadTowers (WHT).Twentywillbe installed inbothUS&ZKfieldson

    selected WHTs. These meters will cater for accurate determination of oil, water andgasproduction rates foroilfieldmanagementandoptimizationwithout the

    need for test separator or test vessel. The timber helideck was replaced with aluminium helideck. The advantage of aluminium helideck is multi folded such asincreasedfireprotection,lightweight,reducedmaintenancerequirementsand

    ease of installation.MajoroverhaulswereconductedonsixtyvesselsatGasTreatmentPlatform(GTP)

    at USSC, three separators at USSC and 2 slug catchers in ZWSC. Overhaul of two powerturbinesatGGIIandZeroTimeO/Hof2AVONengineswascompleted.

    The replacement of RTU and the SCADA Control System at Zakum Central Super Complex is in progress. The existing system is obsolete and system failure will cause non-availability of plant operation, resulting in production loss. The site installation/commissioning was planned for 4Q-2010. The total cost of

    implementation is US$ 1 million.A total of 14 US infield oil pipelines were

    releasedforforintelligentpigging.Donewithmajorinterfacesforpreparation,

    facilitiesshutdown,de-oiling,andre-commissioning,thisisthefirsttimeinthe

    historyofthecompanythatsuchamajorcampaignwasacceptedasachallenge

    and achieved.

    Efforts were made to minimize the adverse impact of vessels swapping on well testing achievements.Vessel outagewasdrastically reduced fromoriginal 30+

    days to 17 days. Other keymilestones included Collector/Separator Platform (CSP) Slops tank

    interim replacement, mobilizing new boats Esnaad-950 and Esnaad-951, High Risk Boat Landing replacement and repair in both US AND ZK Fields and

    minimizingadverseimpactonWelltestingduringswappingofTestVessels.

    Integrity ManagementThe Integrity Division was re-organised with a focus on moving the overall approach from the current Reactive situation to the Calculative region with the aid of important activities such as the Corrosion Management Strategy (CMS) Campaign, HSE Critical Equipment Systems (HSECES), the Integrity Management Framework (IMF), Remaining Life Analysis (RLA) and the Integrated Document ManagementSystem(IDMS).Severalprojectswereimplementedbythedivision

    withinthecontextofitsKPIs,primarilythere-planningofthesubseaactivitiesby

    adding additional vessels and expanding the working hours. A special emphasis was laid on rising to the challenges of promoting, achieving and sustaining the operationalandintegrityexcellenceofthecompanysfacilitiesthroughouttheir

    full-life cycles. The Integrity Division provided support to Umm Shaif Gas

    InjectionFacilities(USGIF),ZakumGasProcessingFacility(ZKGPF),Integrated

    GasDevelopment-Habshan(IGD-HAP)andtothenewprojects:NasrField&

    Umm Lulu Phase 1. A pilot survey of robotic techniques was implemented for the crudeoilstoragetank(COSTK19).Anewtechniquetoinspectinternaltubeswas

    also implemented. In terms of intelligent pigging, 52 subsea lines were completed during the year.

    New FieldsThe New Fields Division was established within the Production Business Unit. The objective is to provide operational readiness assurance of the new fields.

    Its responsibilities also include helping to prepare operating and maintenance philosophy manuals as well as HSE. Once the facilities are fully commissioned, the division will assume management responsibility for their ongoing operations.ThecurrentorganizationalunitsunderthedivisionincludeOperations,Projects

    Operations, Support and Planning and Administration Teams.

    Wellhead Tower Maintenace campaign in progress Technicians monitoring Zakum Plant operation

  • Annual Review 2010 Annual Review 2010

    30 31ADMA-OPCOADMA-OPCO

    Sailing race in Abu Dhabi

    Offshore Drilling OperationsTheDrillingDivisioncarriedoutanumberofsuccessfulprojectsandintroducedthe

    latest technologies and best practices as part of its plan to cope with the fast pace of projectexpansioninthecompany.

    TheBrineMixingPlantProjectwascreatedwiththeobjectiveofbeinganoptimization

    of the transportation and logistics network. The approach that ADMA-OPCO took togainmaximumbenefitsfromtheproject involvedHSE,logistics, technicaland

    operational aspects, serving the directives of ADNOC and Shareholders to reduce theoperationalcost.Thisprojectisthefirstofitskindinthisregion.TheDrilling

    OperationsReferenceManual(DORM)wasdevelopedasaresultofADMA-OPCOs

    initiative to unify and standardize operations throughout the organization to ensure smooth and integral well-site activities.

    The Drilling Safety Reference Manual (DSRM) was instigated from the initiative to update the existing Drilling Safety Instructions to ensure safe drilling operations and well site activities.

    MeetingachallengingobjectivethathasbeenstrictlysetonADMA-OPCObusiness

    plan to successfully execute the drilling of gas wells as part of ADNOC Integrated GasDevelopment(IGD)projectwasakeymilestone.TheIGDwellsareanetwork

    from the wellhead towers to the gas processing plant. Currently the drilling of the third well is in progress and all 3 wells are expected to be online by June 2011.

  • Annual Review 2010 Annual Review 2010

    32 33ADMA-OPCOADMA-OPCO

    A new technology, the Inflow Control Device (ICD) was introduced. Designedtoequalize longitudinalflowalongtheentireproduction/injection

    profile, regardless of permeability variation and location in the well bore, the application of such technology is ideal in open-holes. Another new technology, the Self Healing Cement System was introduced.

    This system reacts with oil or gas leaking through swelling up and creating a solid barrier. This type of cement reacts automatically with the problem at hand and without requiring any human intervention. The Drilling Division also made several other notable achievements including introduction of Hazards Identification-HAZIDPhotoProject,In-HouseModificationofQuickDrilling

    Flange (QDF), andMicroscopicFirstTimeApplication inADMAUS36 to

    aid in fracture identification and well replacement.

    Logistics SupportsThe Logistics Division continued to provide high levels of service to all ADMA-OPCO asset units and divisions, extending all kinds of relevant support to all offshore sites to ensure the successful operations of all the company activities during the year. Nitrox Diving Technique on board Mooring Vessels was

    implemented and ADMA-OPCO is considered the pioneer of this techinque in theoffshoreindustry,intheGCC.

    Tanker Berth-3 was upgraded. Seventeen sections of floating hoses, two breakawaycouplings,sixsectionsofsubseahosesandtwoexpansionjoints

    were replaced.

    To further enhance safety procedures and improve Lifting Operations at Offshore Locations, a Lifting Awareness Campaign was organized. The campaign was conducted in ZWSC and USSC in July.Organizational Re-alignment of Mussafah Base Services was succesfully done in July. Non-Productive time due to rigs waiting on supply vessels was maintained belowtheKPItarget level.(Target0.75daypermonth-Actual0.6dayper

    month).

    A tug boat towing a crude oil tanker at Das HarbourRig Al Yasat

  • Annual Review 2010 Annual Review 2010

    34 35ADMA-OPCOADMA-OPCO

    Petroleum EngineeringAs part of the integrated team spirit of ADMAOPCO in striving towards excellence, PED is working hand in hand with other divisions both in Abu Dhabi and offshore in reaching the companys vision of well brown and

    acceptable Integrity Management of all ADMA-OPCO wells.Major contributions of the petroleum disciplines have ensured achieving

    presetandagreeduponobjectivesandassociateddeliverablesinasafemanner

    which has been reflected in the HSE performance of the division. Majorhighlightsof theyearwerecompletingADNOCABKPre-Khuffwell

    casing design, Hydraulic Fracturing study and well testing strategy. The Memory RPM log was implement, this being first time worldwide that it was successfully run. Moreover Memory Coiled Tubing PLT was successfully applied for the first time in ADMA-OPCO. Among other successes achieved by the division are the design completion of theUSKhuffGasProducers; theML-TBS feasibility study forWellUS

    51.6/48.4DualGasInjectionWellUS54.8/41.6;thecasingdesignandhydraulic

    feasibility study for ADNOC ABK Pre-Kuff Deep Exploration Well; and the

    development of the well testing strategy and outlines.

    AnewcompletionperforationsandstimulationapproachwasfinalisedonWellUS

    99, resulting in 5,000 BOPD and enhanced recovery in tight reservoirs. Pressurized gasandliquidsampleswerecollectedforthefirsttimeinADMA-OPCOfromthe

    GasTowerTestSeparatoronUS216andasingleWellChemicalTracerjobwas

    completedonZakumWellZL-314.

    Reservoir TechnologyThe RTD was active in several areas with a focus on reservoir analysis and evaluation and operations related geology, achieving many milestones in key areas.The division prepared, issued and started implementation of new contracts for Drilling and Logging While Drilling (LWD) activities. This was successfully achieved jointlywithDrilling andCommercial divisions.A new tender for

    WireLineLoggingactivitieswasjointlypreparedandissuedincoordination

    with the Commercial Division. Tender submissions were received from three vendors for ADNOC & OPCOs Corporate Data Management Application

    project. Live demonstrations by all vendors were conducted and technical

    evaluation phase was completed successfully. 3D structural models of Umm Lulu & Nasr fields were built and used for

    geologicalprognosis,casing/completiondesignandcostcalculationandduration.

    A new procedure using the latest 3D structural modelling was established to apply quality control and validate all geological prognosis and proposed trajectories

    beforefinalizing.

    Other notable achievements of the division included optimization of both well placement and cost by utilizing the latest 3D structural model, updating of Real Time OperationsCentre(RTOC)modelandsuccessfulorganizationof2010Geosciences

    Exhibition.

    Zakum Plant Umm Lulu-3D seismic survey

  • Annual Review 2010 Annual Review 2010

    36 37ADMA-OPCOADMA-OPCO

    Field Development Leading the long-term development plan of ADMA-OPCO hydrocarbon from both the developedandnewfields,thefielddevelopmentunitsenhancedtheireffortstoadopt

    a balanced method based on organization, people and technology and managed to stay focusedondeliveringstrategicmilestonesandKPIs.

    Zakum Field DevelopmentThe Field Development Division of Zakum Field managed to reach key milestones in several areas including well review, enhancement of Effective Capacity model, and reservoir studies.Various development options were optimized in terms of resources availability and

    incorporated into the 5 year business plan. Additional options were also evaluated by fullutilizationofgasandapplicationofartificiallift.

    Allproblematicwellswerereviewedbyamulti-disciplinal/multi-divisionalteamand

    workover plans were submitted for the additional rig requirement.

    Gas/oilratio(GOR)managementstrategyandimplementationplanweresupportedby

    2010 Field Development Sub-Committee (FDSC). Pilot test for 11 strings commenced and comprehensive evaluation is in progress.

    New Thamama V geocellular model was constructed based on the new rock type

    definition.AspecializedCO2EnhancedOilRecovery(EOR)studywasjointlystarted

    between ADMA-OPCO and JODCO. The aim is to evaluate feasibility of CO2 EOR for Thamama Reservoir. Laboratory tests including slim tube and swelling test were conducted.

    The Grand Mosque, Abu Dhabi

  • Annual Review 2010 Annual Review 2010

    38 39ADMA-OPCOADMA-OPCO

    Umm Shaif Field Development The Field Development Division (US) continued to work toward achieving ADMA-OPCOshort,mediumandlongtermbusinessobjectivesinthefollowing

    areas:

    Undeveloped Reservoirs (UDR)As part of integration strategy between Arab and Undeveloped Reservoirs, the developmentofLowerAraejreservoirwasaccelerated.

    ThedevelopmentofbothUpperAraejandUweinatreservoirswasacceleratedona

    priority basis, which was supported and approved by the Shareholders. This effort will add additional 20 to 25 MBD oil production to Umm Shaif total production.

    Subsurface Select Development phase was completed with recommendation to develop Thamama into two phases to enhance production.

    Khuff ReserviorAGasDeliverabilityAssurancestudywasconductedtoprovideassuranceonthe

    deliveryandthesustainabilityof1.4Bscf/dgasproductionplateaufromKhuff

    reservoir starting from 2013 for Abu Dhabi onshore gas supply. AnewseismicinterpretationwascarriedouttobeusedforthenextKhuffmodel

    generation.Khuff2011businessplanwascarriedoutandconsequentlywillbe

    used to update ADMA-OPCO gas master plan.

    Difference sensitivity runs were carried out to improve the Khuff production

    plateau.

    TheWellValueAssurance(WVA)Appraise /SelectPhaseforUS318andUS

    40/32wascompleted.

    Arab ReservoirsFullassessmentoftheHighGasOilRatio(HGOR)stringsinUmmShaifField

    wascarriedouttoinvestigatetheimpactofGasOilRatio(GOR)relaxationonthe

    ArabC&Ddevelopment,whichwasapprovedbytheShareholders.Relaxationof

    GORwasimplementedinapilotof5HGORwellsandmonitoringopened.An

    evaluation plan was developed and executed.

    The undeveloped oil was successfully targeted especially in the western and southernpartofthefieldwherethetopintervalofD2reservoir(tightzone)was

    foundunsweptinshownfloodedareas(added3500BPDfrom3wellsatlowsea

    linepressure).Additionally,tightzonesB2(1000BPDfromonewell)andC1&

    C2 (1000 BPD from one well) were properly completed.

    InordertoreflectoutcomesfromThamamaIVGasInjectionpilotintothegas-base

    development option for long term development plan comprehensive evaluations were conducted.

    As part ofADMA-OPCOsmedium term plan, Lower ZakumReservoirswill

    contribute 25% of the production capacity enhancement plan.

    ThamamaIV&Vreservoirswillbeupgradedinordertoreach425MBDby2015.

    Anumberofprojects suchasupgradingwater injectioncapacity,gas injection

    capacity and drilling of new wells are underway. Subsequent to the medium plan a long term development plan is elaborated in order to extend plateau rate and maximize recovery factor.

  • Annual Review 2010 Annual Review 2010

    40 41ADMA-OPCOADMA-OPCO

    Information TechnologyAspartofADMA-OPCOsquestforexcellencein technology, theInformation

    Technology Division (ITD) continued to acquire the latest technologies to provide support for existing mainframe applications and improve its services.

    A new system for Shareholders e-Approval was introduced according to Shareholdersrequestandwillbeappliedtoallcontracts/procurementsthatworth

    greater than US$ 2 million. This system will allow Shareholders to vote according to their shares and provide comments and feedback.

    An AEC was developed to include new production facilities including Offshore AssociatedGas(OAG),GasInjectionFacility(GIF)andGasProcessingFacility

    (GPF). Introducing these facilitieswill help in ensuring themost accurate and

    realistic production forecasts.

    A Drilling Lessons Learned system was developed with the aim of bringing togetherany lessons learnedduringadrillingactivityprojectonawell,which

    can be usefully applied to another well.

    The division also introduced a new e-Tendering System through which the CommercialDivisionwillbeabletocommunicatewiththevendors/contractors

    selected to bid for ADMA-OPCO tenders through this online system.

    The Information Security Infrastructure was enhanced by implementing integrated security systems that put together a strong information security layer of defense that helped to mitigate the continuous up-and-coming cyber threats. This has contributed to the achievement of completing nine years without having virus outbreaks in ADMA-OPCO.

    Telecom on Das Island Das Island Central Control Room

  • Annual Review 2010 Annual Review 2010

    42 43ADMA-OPCOADMA-OPCO

    Yas Hotel

    While endeavoring to meet the considerable challenge of doubling production and consequent increase in projects, Projects and Engineering succeeded in reaching a

    number of targets throughout the year.

    Brownfield ProjectsTheBrownfieldProjectsDivisionmadenumerousmilestones in itsendeavor tomeet

    theconsiderablechallengesof themajor increaseofprojectsportfolioandincreasing

    production challenges. Coordination and alignment continued with stakeholders and Shareholders to achieve the4deliverypoints for 100MBDProgram in theADMA-

    OPCO business plan. Atotalof24LineswerereplacedinUmmShaifField.Allthe24newWaterInjection

    lines(20Nos.inZK;4Nos.inUS)alongwithassociatedtopsidemodificationsfor

    30 WHTs in both Fields were fully commissioned in May and are currently in service. Several successes have been achieved atop of which come the provision of permanent power to the USGIF andGPF projects, and the commissioning and startup of the

    new Collector-Separator Platform on Umm Shaif Supercomplex. EPC contracts were awardedfortheDe-mothballingProjectworth$350millionandZKWaterInjection

    Upgradeproject.

    And the division has introduced an effective EPC technical evaluation process that hasbeensuccessfullyappliedtotheZKWIproject.Severalmiletonesweremadein

    theBuriedPipeworkproject including completionof 3.31million safemanhours

    withoutLTI,succesfulcompletionofthe1stcommonsuctionheader,thefirststage

    of12filllinesandthesuctionlineforTank17andTank18.TheBPDachieved1.7

    million safe man hours without LTI at divisional level from January to July. In terms of career development of nationals, the BPD integrated many young graduates into liveprojectstograsppracticalexperienceonvariousactivities.

    Projects and Engineering

  • Annual Review 2010 Annual Review 2010

    44 45ADMA-OPCOADMA-OPCO

    Major ProjectsThe Major Projects Division succeeded in delivering its key performance

    indicators (KPIs) in 2010.TheGasProcessingFacility (GPF)Deckfloat over

    installationwascompletedinMay.Thebridgeswerealsoinstalledinthismajor

    ZakumFieldproject.

    Discipline EngineeringThe Discipline Engineering Division continued to provide specialist engineering input, ofteninnovative,toMajorProjects,NewFieldsandBrownfieldProjectsdeliveryteamsand

    workscloselywithvariousprojectmanagementconsultants.

    TheDEDwona2009InnovationAwardforimplementingamodificationwhichimproved

    thereliabilityofthegasinjectioncompressorsdrygasseals.ThedivisioncompletedHAZOP

    revalidationofallADMAfacilities,amajorsteptowardsupdatingProcessSafetycritical

    documentation and compliance with ADNOC Health, Safety and Environment Critical Equipment System (HSECES) code of practice.

    StructuralregionalacceptancecriteriaforexistingfixedoffshorestructuresintheArabian

    Gulf were developed. The criteria will provide ADMA-OPCO with a rational means,

    consistent with international best practices, to assess the fitness-for-purpose of these

    structures. An Innovative Subsea Cooling Technique was introduced. ADMA-OPCO was awardedWinnerofADNOCHSEAwardsforthesubjectsubmission.DEDdevelopedthe

    ADNOC-CAMS framework development for offshore structures to enable development of young UAE nationals to be offshore structural engineers. The division had also led several in-house Select Engineering of pipeline projects on a fast track basis and produced the

    highest engineering quality.

    The new GPF platform now installed in ZakumBuried Pipelines project on Das Island Young female graduates getting first hand training at Zakum Plant

    The handover of Umm Shaif Gas Injection Facilities project (USGIF) WHT

    US272 was completed. USGIF Project Brownfield E&I shutdown scope was

    successfully completed.The46IGLpipelayingfromDasIslandtoUmmShaifFieldwhichispartof

    theHabshanIntegratedGasDevelopment(IGDHAP)projectcommenced.Also

    withinthisproject,fabricationofHAPjacketwascompletedaheadofschedule.

  • Annual Review 2010 Annual Review 2010

    46 47ADMA-OPCOADMA-OPCO

    Sheikh Zayed Grand Mosque, Abu Dhabi

    Administrative ServicesThe Administrative Services carried out its role of extending support to all Company divisions as well as suppliers and contractors successfully, scoring many milestones.

    Human ResourcesThe Human Resources Division continued to play a pro-active role to create a professional, fair and innovative working environment. To this end, a process for identifyinganddeveloping internalpersonnelwith thepotential tofillkeyorcritical

    organizationalpositionswasintroduced.This isanessentialpartofanorganizations

    ability to reduce risk, create a proven leadership model, smooth business continuity and improve staff morale.AnewadvancedtimekeepingsystemwaslaunchedintheHQ,Al-GaithandAl-Masaood

    towersinOctoberincollaborationwithGSDandITD.

    EmployeesrevisedHandbookandPersonalPolicyManualwerepublished.

    InitialsubmissionandfollowupreportsweresubmittedforShaikhKhalifaExcellence

    Award.An enhanced recruitment process, which is aligned with the 2011 Budget was implemented.Other achievements included completion of the new Contractor Record System, developing of a process to enhance the quality of HR data and reporting, and developing and implementation of Strategic Framework for Capability Management.

  • Annual Review 2010 Annual Review 2010

    48 49ADMA-OPCOADMA-OPCO

    Manpower DevelopmentThe Manpower Development Division (MDD) played a key role in helping the company with regard to implementing workforce empowerment policies and programmes.

    A major Quality Improvement Review Project was established.A Process

    Transformation exercise for aligning ADMA-OPCO Competency Assurance

    Assessment was introduced.ThedivisionmanagedtoachievethestretchKPIswithADNOCinrelationtothe

    people development which resulted in having no single graduate behind schedule forthelast44months.

    A total of 330 fresh employees were developed and 90 employees were targeted tobeintegratedintheirestablishedposts.About1100Assessment&Verification

    eventswerecarriedout.CAMSProcess&Methodologywasextendedtocover

    21 posts within ADMA-OPCO. These new practices were shared with ADNOC and other OPCOs in the group.Withinthestaffpromotionprogramme,thedivisionunifiedandupdatedallthe

    documents and policies of the Professional Ladder System. A competency based criteria forSectionLeaderswithin theAdministrativeServices targetingGrade

    15/16wasestablished.

    In line with ADNOCs national employees development programme, the

    assessmentandverificationforCAMSGraduatesinAssignment#3;Assignment

    #4wascompleted.Alook-aheadplanningtoolforCAMSgraduateswasdeveloped.

    TheCrossSitePanelVerificationforallCAMSSitebasedSupervisors&Das

    Engineers was implemented.TheGradeRangeforalljobfamilieswasupdatedandpublishedonapriority

    basis.To facilitate statistical studies and trend analysis that will have strategic impact on the manpower development activities, the PL database was developed. The MDD continued to arrange training for company employees in different disciplines and topics.

    CommercialThe Commercial Division continued to fulfill the contracts and procurement

    requirements of the end-users. More than 354 contractswere handled for a total value ofUS$ 1,517million

    including amendments and extensions.Around 3,628 standard and release purchase orderswere handledwith a total

    valueofUS$84million.

    Atotalof6,458itemswerecoveredunderpurchaseagreementswithatotalvalue

    of US$ 110.3 million.As of end December, 2010 ADMA-OPCO Stores Stock total value was US$ 215.7million. A noticeable improvement in inventory availability (around 97% overall service level) was also achieved.In the area of material operations and warehouse functions, structures, processes and procedures were implemented and action plan for implementation of the

    Warehouse Tracking System was developed.Atotalof16,908items(US$116million)wasreceivedand19,329items(US$

    210.9 million) was issued.Aspartofthecompanyscostoptimizationinitiative,majorcontractsarereviewed

    on continuous basis and the cost optimization strategies are formulated on case by case basis. A demonstrable saving of around US$ 76.52million was achieved from contracts. The division has achieved savings of approximately US$ 15 million since January 2010 as a result of reviewing user requirements.Other achievements included the implementation of enhanced e-Registration system, the implementation of e-Tendering system and completion of satellite sub-storesinMaximoforZakum&UmmShaiffields.

    Stocktaking at ADMA-OPCO Commercial Stores at Mussafah BaseFuture Leaders Conference

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    50 51ADMA-OPCOADMA-OPCO

    FinanceThe Finance Division has gone through a number of system transformations to improvetheCompanysfinancialmanagementandcontrols.

    A new Self-Billing Contracted Manpower system was introduced in ADMA-OPCO. The system does not require submission of suppliers invoice, and could generate its own bills based on the contractual terms and rates, resulting in more accurate and timely payment.Anothernewsoftware, theIclickSystem,was introduced toprovideADMA-

    OPCO senior management with the latest information on the Budget vs. Actual ExpensesandInvoicesAgingreportsstatusonmonthlybasis,justwithasimple

    fingerclick.

    TheShareholdersCashCall&ForecastsRequirementsprocesswasimplemented.

    The monthly financial e-reporting KPI was achieved to provide all monthly

    reporting to end users electronically to ensure fast and swift access to information. Anewreportwasdesignedanddevelopedtoshowfullinformationoftheproject

    including future phasing. To provide up-to-date commitment information to end user, a new software- the AlternateCommitmentSystemwasdesignedanddeveloped.

    The payment process through cheques had been revamped and replaced with BankTransfer toensuremoreefficientandconvenientfinancialservices to the

    beneficiaries.

    Public RelationsIn 2010 the Public Relations Division maintained its edge in best practices using all available and relevant methods to disseminate positive messages about its businesses, services and overall image to its employees, stakeholders, suppliers, andothermembersofthecommunity;i.e.tomakeeveryonethinkfavorablyabout

    the company and its offerings. Reckoned one of the best achievements of the PRD over the recent years, the Information and Multimedia Center (IMC), formerly known as ADMA-OPCO Library was opened in 2010. IMCnowincludesmorethan192learningprograms,8000books,5000standards,

    2000videos,900entertainmentfilmsandsubscribesto500titlesofperiodicals.A

    projectisunderwaytodigitizeinexcessof45,000imagesattheIMCsphotographic

    library;thesephotosdocumentthehistoryofADMA-OPCOinparticularandthe

    history of Abu Dhabi in general. The Corporate Social Responsibility portfolio has been added to the PRD responsibilities in 2010, further enriching the scope of activities performed by the division,primarilythefinancialandsocialassistanceofferedtouniversitiesand

    educational centres such as Zayed University, UAE University and the Higher Colleges of Technology.The PRD has been especially active with events both internally and externally where it cooperated with other divisions in best portraying the image of the company. Within this context, the PRD played a key role in supporting the in-house exhibitions, workshops and campaigns while it continued to fully support ADNOCGroup ofCompanies participation in international events held in the

    country and abroad, including ADIPEC 2010.Oneofthetophighlightsof2010wasPRDsmovetotheHQonAbuDhabiCorniche

    in a move meant to create a more comfortable and convenient working environment.A media relations strategy has likewise been developed to institute new ways of settingupatwo-wayflowofinformationandunderstandingwithdifferentsegments

    of the society.

    HE ADNOC Deputy CEO exploring the WFES exhibits

  • Annual Review 2010 Annual Review 2010

    52 53ADMA-OPCOADMA-OPCO

    General ServicesTheGeneralServicesDivisioncontinuedtoprovideservicesgearedtomeetthe

    needs of the company and its employees, including accommodation, travel and immigrationandofficeservicesaswellasensuringthesafetyandsecurityofthe

    staff and the buildings. One of the major achievements scored by the division was the New Time &

    Attendance System that came into operation on October 3rd. GSD along with

    the Information Technology and Human Resources divisions launched the new biometricbasedsystemwhichusesacombinationoffingerprintandbadefacilities.

    ThefurniturereplacementintheH.Q.wascompletedonfloors3,4,6,17,and

    18.AnewOn-lineStationery&MiniAssetSystem throughMaximowasalso

    launched in May, replacing the usage of the hard copy stationery request forms, an effective move which has eliminated the companys dependence on paper

    work for this function. Implementation of a new contract with Abu Dhabi National Hotels Company and closingoftheoldcontractwiththeNationalCorporationforTourism&Hotels

    were carried out smoothly without any disruption of normal operations. New contracts were signed with hotels in Abu Dhabi with effect from 1st July 2010, achieving a saving of of $1.3 million. ThedivisionplayedamajorroleinsecuringtheEmiratesEnergyAwardthrough

    theefficientoperationoftheHQwhichresultedinreducingpowerconsumptionby

    approximately 27%.

    Legal & InsuranceThe Legal& InsuranceDivision continued to provide legal advice to various

    divisions of the company, effectively assuming its role as an advisory body within the framework of the overall pan-company services.Anumberofmajortaskswereperformed,includingtherevisionofthestandard

    serviceorder termsandconditions,which replaced theexistingdocument;and

    an awareness campaign on the legal issues related to environment, featuring presentations titledLegalPerspectiveofEnvironmental Issues inOilandGas

    Exploration and Production. The division provided technical professional advice on all insurance matters across all company business units and insured several key projects, including

    theIntegratedGasDevelopmentprojectandZakumCentralSuperComplexDe-

    mothballingproject.

    Around25smallschemeprojectswere insuredseparatelybesidesrenewingall

    the arranged direct insurance policies.In the areas of business agreements, the team members concerned continued to provide thenecessary legaladvice toGeneralManagementonawiderangeof

    activities, including intepretation of the governing laws and agreements. In this respect, several agreements such as theOperating ServiceAgreement forGas

    ProcessingFacility(GPF)andagreementsontheNewFieldProjects,particularly

    NASRandUmmLulufieldsweredraftedandnegotiated.

    CEO receiving The Emirates Energy Award from H.H. Sheikh Majed bin Mohamed bin Rashid Al Maktoum

  • Annual Review 2010 Annual Review 2010

    54 55ADMA-OPCOADMA-OPCO

    ADMA-OPCO employees taking part in Walk UAE at Yas Circuit

    Corporate SupportDriving technical excellence across ADMA-OPCO business, Corporate Support continued to lead change interventions, ensure effective organizational capabilities and maintain a communication process for continuous performance improvement.

    Business SupportThe BSD has made remarkable efforts during the year to ensure the best possible performance by all divisions in line with the strategy under which the company organization has been revisited to assess optimum establishment levels and cater for the rapid growth of ADMA-OPCOsbusinessandprojects.

    During 2010 the results of MAXIMO online survey and benchmarking were concluded. Theresultsindicatedaverypositiveshiftinend-useracceptancesince2005from49%

    to 61% and the knowledge results were evidently improved.The Best Initiatives Scheme was developed and launched. The organization of Production Divisions was reformulated to cater for increased major development

    projectsandnewoffshorefacilities.Therevisedstructureincludedtheestablishmentof

    the New Fields Division.AnintegratedandfocusedQualityAssurance(QA)systemwasestablishedandaligned

    with the HSE organization.

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    56 57ADMA-OPCOADMA-OPCO

    Enterprise Resources Planning Custodian Team (ERPCT)TheERPCTwasactivelyinvolvedinseveralactivities.Inthefirstthreequartersof

    2010 the team conducted 35 MAXIMO training sessions using internal resources. The sessions were attended by nearly 260 employees. This brings the total since thestartoftheprogrammein2006tonearly250sessionsand1850trainees.

    Performance Improvement Team (PIT)The PIT was involved in several activities including the Leadership Conference 2010inFebruaryandtheInnovationAwardScheme2009wasfulfilledinApril

    by the awards ceremony.

    Corporate PlanningThe Corporate Planning Division (CPLD) developed the 2010 Business Plan to be endorsed by Shareholders. The communication process for the Business Plan was improvedto includefor thefirst timeaBusinessPlanAwarenesspresentation to

    fully inform and engage all the divisions both onshore and offshore. Pre-projectstudiesformajordevelopmentprojectsarenormallyexecutedthrough

    external consultants. The Zakum Barren Tower study was conducted utilizing in-housemultidisciplinary resources.This approach achieved significant cost and

    schedule savingsenablingearlier incrementalZakumfieldproductionandwas

    recognized by ADMA-OPCO Management and Shareholders. The CPLD deployed the Shareholders Action Tracking System. The system tracks key actions and commitments and updates Shareholders regarding the status of these issues. Thefollowingkeypre-projectstudiesweresuccessfullycompleted,approvedby

    ShareholdersandhandedovertoBrownFieldsDivisionforprojectexecution:

    - SELECTStageStudy:USSC /DasCTUDebottlenecking for1BCFDGas

    production.- SELECTStageStudy:4NewGasInjectorsinZakumField

    (+100 mbd).- Availability/ReliabilityStudy:UmmShaifhighpressuregassystem.

    - ReplacementofCriticalWaterInjectionPipelinesinZakumField.

    The CPLD, in cooperation with Das Island Division, updated the design and contentof theDasMasterplan thatADMA-OPCOandADGASuse to jointly

    manage the development of Das Island.

    Centre of Technical Excellence The Centre of Technical Excellence is a corporate function that acts as a Think Tank to assist the Company to excel and support it in developing a proactive culture to drive the business to excellence. To put the new Management Excellence Model into Operation, multiple offsite workshops were held to prepare the foundation for the strategies and activity plans that form our business plan and budget. These sessions kicked-off the Business Planning cycle for the next 5 years. Thecentre led jointlywith the taskforce thedevelopmentof a strategy for the

    Digital Oilfield, fundamental requirements, as well as the network bandwidth

    requirements. Human Machine Interfaces standard for control rooms was presentedtotheIntelligentOilfieldTaskForce.

    OneoftheCentresmainfunctionsistheCorporateTechnicalAssurancethrough

    assessing the organizations technical capabilities, identification of areas that

    need enhancement and follow up to delivery. This was implemented in two main technical areas namely Subsea Pipeline Capabilities and Well Integrity Management.TheCentrechampionedjointlywiththeIntegrityDivisionthedevelopmentand

    rolling out of the Corrosion Management Strategy together with an awareness campaign. During 2010 the company applied for the SheikhKhalifa ExcellenceAward

    which is designed to provide organisations with a road map to help them improve their performance, to support a healthy economy and to unify their management practice in a balanced holistic model.

    Transformation of ADMA-OPCO Management Team Designations was a result of a revised model for Senior Management Designations introduced to align with thecorporatemanagementtitleswithinADNOCGroupandtheglobaloil&gas

    industry.ThetitlesofChiefExecutiveOfficer,SeniorVice-President,andVice-

    President replaced the previously used corporate management titles.As part of efforts to enhance business processes, a mechanism has been established to administer execution of Provisional Sums that caters for requirements of itemswhichcannotbeestimatedwithsufficientaccuracyatestimationstage.

    Accountability Workshop organised by the Business Support Division Innovation Trophy

  • Annual Review 2010

    58 ADMA-OPCO

    Japan 67.40%

    NewZealand 1.85%

    Pakistan 0.73%Philippines 1.19% Singapore 1.97%S.Africa 1.34%

    S.Korea 6.96%

    Thailand 3.04%

    China 9.84%

    India 5.68%

    Singapore 14.42%

    S. Africa 1.25%S.Korea 21.57%

    Thailand 0.83%

    Australia 0.71%China 5.97%India 15.33%Japan 29.67%New Zealand 2.09%Philippines 8.16%

    Key Statistics

    Crude Oil Export Destination:

    US

    Cru

    de

    Recruitment

    Nationalization 56%Totalrecruitment:(DirectHire,Secondees,

    Contractors in established posts) 221

    Totalrecruitment:(ServiceContractors) 329

    Drilling PerformanceDrilled wells 18Operations Rigs:1,708daysofoperation

    Barges:258daysofoperation

    Safety 2.3 mm Man hours without LTI

    Risk Rank-1 Successfully secured 6 wells

    Training

    Type of training

    No. of Courses&

    Seminars

    UAE National

    ExpatsTotal of

    Attendees

    In-house 89 106 109 215External 96 112 39 151Seminar &Conf.

    152 182 111 293

    Total 337 400 259 659

    ZK

    Cru

    de

    Singapore 1.97%

    Philippens 1.19%Pakistan 0.73%

    New Zealand 1.85%

    Japan 67.40%

    S. Africa 1.34%

    S. Korea 6.96%

    Thailand 3.04%

    China 9.84%

    India 5.68%

    Singapore 14.42%

    Philippines 8.16%

    New Zealand 2.09%

    Japan 29.67%

    S. Africa 1.25

    S. Korea 21.57%

    Thailand 0.83%Australia 0.71%

    China 5.97%

    India 15.33%