THE IPLOCA NEWSLETTER 42 NUMBER Letter from the President page 4 News from Geneva page 5 Member News page 8 New Technologies page 10 CONTENTS: WITH NEWS FROM: THE INDUSTRY, MEMBERSHIP, ALLIED & SISTER ASSOCIATIONS MARCH 2010 Venice page 12 Convention update
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THE IPLOCA NEWSLETTER 42
NUMBER
Letter from the President page 4
News from Geneva page 5
Member News page 8
New Technologies page 10
CONTENTS:
WITH NEWS FROM: THE INDUSTRY, MEMBERSHIP, ALLIED & SISTER ASSOCIATIONS
MARCH 2010
Venice page 12Convention update
Experience the Progress.global sales organisationBreukersweg 4, NL-7471, ST, Goor, the NetherlandsTel. +31 547 260 000, Fax +31 547 261 000www.maats.com
The following is the new IPLOCA Mission for 2010 and beyond:To provide value to members through a forum for sharing ideas, engaging the industry and its stakeholders, facilitating business opportunities and promoting the highest standards in the pipeline industry.
MEMBER NEWSSale of Bilfinger Berger AustraliaThe Executive Board of Bilfinger Berger AG has initiated
the selling process for its subsidiary, Bilfinger Berger
Australia, to prepare the initial public offering of the
company. The sale of Bilfinger Berger Australia is an
important milestone in the planned reduction of the
construction business, the volume of which will be reduced
in the medium term from about EUR 6 billion to a level in
the region of EUR 2 billion. Expected output volume for
Bilfinger Berger Australia in the financial year 2009 is about
EUR 2.6 billion with an EBIT margin of 3 percent.
Bilfinger Berger: Preliminary result in 2009 better than expected - EBIT and net profit exceed outlook and market expectations Bilfinger Berger’s 2009 earnings have exceeded both the
company’s own outlook and current market expectations.
According to preliminary figures, EBIT reached EUR 250
million and net profit EUR 140 million. Guidance for
2009 had previously called for EBIT between EUR 210 and
EUR 230 million and net profit between EUR 110 and
EUR 120 million.The preliminary report on the 2009
financial year will be published on February 11, 2010.
Fluor Selected by Petrobras Affiliate for U.S. Refinery StudyFluor Corporation has announced that Pasadena Refining
System, Inc. (PRSI), a subsidiary of Petroleo Brasileiro S.A.
– PETROBRAS, has selected Fluor to provide front-end
engineering study services for a prospective U.S. refinery
project. Fluor booked the undisclosed contract value in
the fourth quarter of 2009. Fluor will provide engineering,
estimating and project management services for the
conceptual engineering phase of the prospective project
that would enhance the performance of the 100,000
barrel-per-day Pasadena, Texas refinery. “This is an
important U.S. refining project for Fluor and PRSI,”
said Peter Oosterveer, President of Fluor’s Energy and
Chemicals business group. “We have been fortunate
to be involved in other recent U.S. refining projects
having similar project characteristics, and we believe our
demonstrated project experience will bring significant
value to PRSI. We will work closely with PRSI to make
this project a success.” The engineering study is currently
underway in Fluor’s Sugar Land, Texas, office and will be
completed later this year.
J. Ray McDermott - Keppel FELS Joint Venture Awarded Major Offshore ProjectJ. Ray McDermott (“J. Ray”) will undertake fabrication and
installation work for the P-61 Tension Leg Wellhead Platform
(“TLWP”) in more than 3,871 feet of water, for the Papa
Terra Joint Venture, consisting of Petrobras (operator) and
Chevron.
The overall P-61 project — comprising design, engineering,
construction, transportation, installation and a three-year
limited operations contract — was awarded to FloaTEC
Singapore Pte Ltd (FloaTEC Singapore), a joint venture
between Keppel FELS Ltd (Keppel FELS) and J. Ray.
Almost all the work will be carried out through the
combined resources of Keppel FELS, J. Ray and FloaTEC
LLC (FloaTEC), the US-based joint venture company that
will perform global engineering and basic design work.
“This project combines the proprietary technology, global
engineering excellence, project management, construction
resources and broad industry experience of three leading
offshore specialists to provide the right deepwater solution
for this challenging deepwater environment,” said Stephen
Johnson, President and CEO of J. Ray McDermott.
Pipeline Machinery (PLM CAT)PipeLine Machinery
International (PLM) President
Mel Ternan has announced that
Martin Williamson has joined
the PLM team operations in
Australia, taking on the new role
of Australasia Territory Manager.
He will focus on growing PLM’s
relationships within the pipeline industry and growing the
Caterpillar presence within that industry.
Martin joins the sales and service team already established
in the area and will be working closely with the General
Manager for Asia Pacific, Scott Jenkins, and the Sales &
Service Coordinators teams of John Masterton (based in
Australia), Jerry Scott (international) and Charles Zheng
and Richie Ma (both based in China).
Martin brings more than 21 years of Caterpillar dealership
experience in Australia in various roles from sales to parts
and service to international sales management.
NUMBER 42 MARCH 2010 9
Technip awarded Augmentation Pipeline contract at the Broom field in UK North SeaTechnip has been awarded a lump sum contract, worth
approximately EUR 21 million, by Lundin Britain Limited
for an augmentation pipeline at the Broom field in the UK
North Sea. This field, which is located 320 km north east
of Aberdeen, Scotland, is tied back to the Heather Alpha
platform. The new augmentation pipeline will extend the
existing Broom subsea infrastructure.
The contract covers the design, fabrication and installation
of a pipe-in-pipe production flowline which will be trenched
and backfilled. The work also includes a subsea structure,
spoolpiece tie-ins, repositioning of a flexible riser and
rockdumping for upheaval buckling.
Technip’s operating centre in Aberdeen will execute
the contract, which is scheduled to be completed in the
third quarter of 2010. The pipelines will be welded at
Technip’s Spoolbase in Evanton, Scotland. Two vessels
from the Technip fleet will be used for the offshore
installation campaign: the Orelia diving support vessel
and the Apache II pipelay vessel, which is currently being
modernised.
Former IPLOCA Board Member elected GECF Secretary General
During December 2009,
Leonid Bokhanovskiy, IPLOCA
board member for Europe
Eastern (2007-2009) was
elected General Secretary of
the Gas Exporting Countries
Forum (GECF) at a regular
ministerial meeting.
A member of the Stroytransgaz
Management Board,
Leonid Bokhanovskiy, whose name was submitted for the
post by Russia in November, was elected unanimously in
compliance with the charter.
In his acceptance speech Mr. Bokhanovskiy thanked the
Forum participants for their trust and provided information
about his top-priority tasks in his new capacity. GECF is a
leading advisory body of gas producing and consuming
countries, as well as of major industry companies and
international organisations. The organisation focuses on
developing and promoting principles and mechanisms for
the international gas market.
Mr. Bokhanovskiy listed the following activities to promote
GECF in the international arena:
- developing the scientific and research activities of the
Forum
- promoting gas exploration, production and
transportation technologies worldwide
- monitoring and forecasting gas exploration and
production trends worldwide
- presenting and anticipating the supply-demand balance
for gas
- coordinating transportation projects: pipelines and LNG
carriers
- studying gas correlation with other energy resources
- promoting increase in natural gas utilization
Moreover, as Secretary General, he plans to establish and
promote close cooperation between GECF and various
international organisations, regional and international
energy organisations and various trade unions.
PJSC Stroytransgaz PJSC Stroytransgaz is an integrated engineering
company implementing and managing major
construction projects in the oil and gas industry and
other branches of industrial and civil engineering and
is one of the largest major engineering-construction
companies in the world. The company performs
activities in 17 countries. Stroytransgaz primary
markets are Russia, the Near East, North Africa, Europe,
Southeast Asia and Central Asia.
GECFThe Gas Exporting Countries Forum (GECF) was
established on 23 December, 2008, when the Energy
Ministers of Algeria, Bolivia, Venezuela, Egypt,
Iran, Qatar, Libya, Nigeria, the Russian Federation,
Trinidad and Tobago and Equatorial Guinea signed the
Forum Agreement and adopted the Charter. After the
documents were ratified by Russia, Trinidad and Tobago,
Libya, Qatar, and Algeria on 1 October, 2009, GECF
gained international status.
The main objective of the Forum is to support the
member countries sovereignty over natural gas
resources, as well as to promote the rational use of gas
and sustainable, efficient and environmentally friendly
development of the international gas market.
10 THE IPLOCA NEWSLETTER
TRAINING Seminar: Communication Skills in an Intercultural Technical EnvironmentHow can a Project Manager help the team collaborate,
understand and respect the cultural differences of others
on the team? How can the Manager help everyone in the
team – including Clients and Subcontractors – get the job
done using everyone’s strengths?
Based on the answers received from IPLOCA’s Training
Questionnaire sent out to the membership late last year,
intercultural communication in the pipeline environment
continues to be a challenge. In response to the
demonstrated need for training of this type, IPLOCA offered
its first seminar specifically designed and customised
for Pipeline Project Managers. Limited to 18 participants,
the seminar took place at the Sheraton Hotel at Schiphol
Airport early in March.
Among the companies sending participants to the training
were Denys, HABAU, Max Streicher, Nacap, PPS Pipeline
Systems, Techint, Technip, Tekfen and Visser & Smit Hanab.
Feedback received from IPLOCA’s Training QuestionnaireA total of 31 answers to the Training Questionnaire were
received from our members. More than half of these
companies have offered external training programmes to
their personnel and more than two thirds of them offer
internal training programmes.
This shows how important training is to companies in the
pipeline business where people have to work in remote
areas for long periods of time. While pipeline owners and
operators have other opportunities to offer their personnel
training, contractors do not always have the time frame
necessary to give their most qualified managers the chance
to receive additional and important training.
Almost all respondents expressed their interest in offering
their employees one-week site visits to projects that would
be very specific from an experience point of view (i.e.
remote sites, in permafrost, in swamps, in sand, etc.)
Communication skills is one of the training topics
that has continually been highlighted as a vital tool in
management. Who among us can be absolutely sure that
s/he communicates well? How much information that
was intended to be transmitted was in fact received and
properly understood? About 90 percent of the respondents
expressed interest in these type of training programmes.
IPLOCA therefore decided to go ahead with this first
Training Committee initiative.
Three other very interesting pieces of information were
received from the respondents:
- Training programmes offered by our Associate Members
to our Members are of interest to both parties. These
programmes will soon be offered to you once we
finalise details.
- Scholarships for young professionals are being offered
by one third of the respondents. The list of companies
will be published soon.
- Other training programme topics were suggested. This
gives us a lot of material to work with in moving our
Training Committee initiative forward.
Finally, a lot of information was received about various
training organisations and programmes which we will
include in the listing at www.iploca.com.
NEW TECHNOLOGIES “The Road to Success” is Online
The first edition of IPLOCA’s “Onshore Pipelines: The
Road to Success” is now online. The 374-page document
was distributed to IPLOCA members in hard copy at the
Association’s annual convention late last year, and is now
available at www.iploca.com/roadtosuccess.
The Road to Success aims to provide all parties involved
the basic knowledge necessary to improve the execution
of a project from design to commissioning, i.e. cost and
schedule, while reducing the environmental footprint and
achieving the desired safety objectives.
NUMBER 42 MARCH 2010 11
IPLOCA HEALTH & SAFETY AWARD sponsored by Chevron
Health and Safety Statistics are DueThe submission form for the 2009 Health & Safety
Statistics Return is available at www.iploca.com and
must be returned no later than 12 March 2010. Submission
Guidelines are also available to help you complete
the form.
Please Note
The submission of Health & Safety Statistics demonstrates
your commitment to your membership in the Association.
The submission of annual safety statistics to IPLOCA allows
us to present and monitor aggregate statistics for the
industry.
The statistics include four different categories:
- Onshore I: for onshore contractors with more than
1,500,000 man-hours
- Onshore II: for onshore contractors with less than
1,500,000 man-hours
- Offshore Contractors
- Field Services.
The returns should cover pipeline construction sites or
offshore operations and all infrastructure related projects.
Please note that Main Construction and EPC Contractors
and EPCM Contractors should report all incidents,
including those related to their subcontractors. In case
of integrated JVs, the Technical Leader should report the
totality of the JV incidents.
The accidents, incidents and near misses taken into
account are those that happen within the jobsite perimeter,
or when travelling from camp to jobsite or during any
other transportation. Travel accidents, incidents and near
misses from home or from any other private location to the
worksite must be included.
If your company has earned ISO, OHSAS or any other
accreditations, please advise us when you submit your
return. This information will also be taken into account
when analysing the input of the 2009 Health and Safety
Award. Your return is a confidential document used only for
the purposes outlined above and is not shown or passed to
any third party outside of IPLOCA.
Information on the upcoming award and submission
guidelines will be made available on the IPLOCA website
in March. The Award will be presented at the Venice
Convention during the Open General Meeting.
IPLOCA originally formed the Novel Construction Initiative
to examine pipeline laying efficiency and installation
standards for large diameter onshore pipelines with the
aim of improving the installation and providing the pipeline
stakeholders with cost reductions.
As the Initiative evolved it was decided to review in depth
all the phases of an onshore pipeline project, analyse the
elements that lead to successful projects and draw from the
significant project experience of the participant companies.
The main objective of this exercise was to identify the key
drivers in a pipeline project and thus:
- Improve the preparation process of pipeline projects for
mitigation of risks
- Improve the relationship between pipeline owners/
investors and construction and specialized contractors
- Improve the competitiveness of the pipeline industry
through sound engineering and construction practices
and innovative solutions.
Six new working groups were formed to achieve the new
objectives of this industry project and to prepare the main
deliverable – the recommended practices document to be
called “Onshore Pipelines – the Road to Success”.
A wide range of companies and individuals from oil and
gas investors and owners, design companies, construction
contractors, suppliers and specialized subcontractors
collaborated in a series of technical meetings and
discussions over three years to ultimately produce a
document intended for wide use in the pipeline industry.
More than 100 persons from 45 companies participated
in the preparation of the final document that was finally
released in September 2009.
It is hoped that the document will assist all stakeholders in
the development and construction of pipeline projects and
that it may also be of benefit in training, used by students
and teachers in the pipeline industry.
A second edition is anticipated for release in 2011 and the
Association welcomes comments and suggestions on the
Dave WisniewskiSr Director, Underground SolutionsRene AlbertGlobal Trenchless Sales ManagerJon HeinenSegment Business Manager
Principal Services or Products:Vermeer Corporation manufactures a full line of horizontal directional drills and accessories, track and utilty trenchers, plows and rockwheels, mini skid steers, horizontal and tub grinders, brush chippers, stump cutters. compost turners and trommel screens. Vermeer has three global offices that are located in the Netherlands, Singapore, and Brazil as well as a manufacturing facility in China. Vermeer products are backed by a global network of independent, authorised dealers who provide sales, service and parts support at over 200 locations worldwide.
NUMBER 42 MARCH 2010 15
Front row: Bruno de La Roussière (Immediate Past President); Karl Trauner (1st Vice President); Adam Wynne Hughes (President);
Osman Birgili (2nd Vice President); Juan Arzuaga (Executive Secretary); Middle row: Harald Dresp, Marco Jannuzzi, Najib Khoury,
H. Douglas Evans, Robert Deason, Sandip Sharma; Back row: Jacquelin de La Porte, Ebbo Laenge, Michael Rae, Vladilen Ermolin,
Roberto Castelli, Andy Lukas; Not in photo: Phil Bond, Nasser Issa, Zeno Soave
OfficersAdam Wynne Hughes (Land & Marine)
President
Karl Trauner (HABAU)
1st Vice President
Osman Birgili (Tekfen)
2nd Vice President
Phil Bond (Pipeline Induction Heat)
Treasurer
Bruno de La Roussière (Entrepose Contracting)
Immediate Past President
DirectorsVladilen Ermolin (PTPS JSC)
Director, Europe Eastern
Jacquelin de La Porte (Spiecapag)
Director, Europe Mediterranean
Zeno Soave (Socotherm)
Director, Europe Mediterranean
Ebbo Laenge (Conduto)
Director, The Americas
Robert Deason (J.Ray McDermott))
Director, The Americas
Nasser Issa (C.A.T. International Ltd)
Director, Middle East & Africa
Najib Khoury (CCC)
Director, Middle East & Africa
Andy Lukas (AJ Lucas)
Director, East & Far East
Sandip Sharma (Kalpataru Power Transmission Limited)
Director, East & Far East
Marco Jannuzzi (Caterpillar)
Director, Associate Members
Michael Rae (Argus Ltd)
Director, Associate Members
Directors at LargePhil Bond (Pipeline Induction Heat)
Roberto Castelli (Bonatti)
Harald Dresp (Max Streicher)
H. Douglas Evans (Gulf Interstate Engineering)
Nasser Issa (C.A.T. International Ltd)
Executive SecretaryJuan Arzuaga
IPLOCA 2009-2010 BOARD OF DIRECTORS
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Reliable Execution 80 years of experience. Over 300 projects executed every year. Leadership in HSE performance. ShawCor is the industry’s most reliable partner.
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Financial Strength & Stability 40 years as a publicly traded company. The strongest balance sheet in the industry. ShawCor has the strength and stability to undertake the largest projects and ensure successful completion.