Seabed-to-surface SCM ISSUES IN WEST AFRICA LOCAL CONTENT DEVELOPMENT JUNE 2006.

seabed-to-surface

SCM ISSUES IN WEST AFRICALOCAL CONTENT DEVELOPMENT

JUNE 2006

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seabed-to-surfaceSubsea UK June 1st 2006

What we doSURF Conventional Trunklines IMR

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seabed-to-surfaceSubsea UK June 1st 2006

Africa & Mediterranean : Countries of operation

40% of ACERGY worldwide activity : circa 750 MUSD in 2005.

45% of which is related to procurement of Projects : 350 MUSD

450 MUSD foreseen in 2006 & 2007.

Projects in the Gulf of Guinea Nigeria Angola Equatorial Guinea Congo

Regional permanent implantation in

Angola, Nigeria and Gabon.

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seabed-to-surfaceSubsea UK June 1st 2006

SCM Issues 1/2

Weak and critical point :• Risky

• Remote environment

• Uncontrolled planning

InstallationDelivery on site

Logistic

Fabrication Transport CustomsEngineering

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seabed-to-surfaceSubsea UK June 1st 2006

SCM Issues 2/2

How to succeed the installation ?

Engineering : - over design => secure installation and in service lifeFabrication : - zero default => high QA/QC capabilities

How to succeed the delivery on site ?

Ensure good structure for logistics : - Availability of transport (flexible planning)- Very good knowledge of local regulations which are constantly

changing- Strong set up and full control of local logistics from shore to site.

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seabed-to-surfaceSubsea UK June 1st 2006

West African Top Priority : Local Content = Constraint but also an Opportunity

1. Constraint : • Access to local Human Resources

- Engineers (Engineering)

- Workers (Fabrication)

• Control of Quality

2. Opportunity : • Transport and Customs are cleared Upstream

- Improve Float on planning

- Less complex nature of goods to import.

Installation

Engineering

Transport Customs

FabricationDelivery on site

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seabed-to-surfaceSubsea UK June 1st 2006

West Africa : A region with high “Country Specifics”C

APE

X \

In

vest

men

t

Technology / Complexity

Pipe fabrication

(Steel mill)

Flexible

Umbilicals

Forging

Engineering

Local logistic

Coating

Yard

long-product base

(Jacket-piles

/double joint)

low high

high

low

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seabed-to-surfaceSubsea UK June 1st 2006

SOME LOCAL REALISATIONS

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seabed-to-surfaceSubsea UK June 1st 2006

Nigeria : Warri Yard & Angola : Lobito Yard

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seabed-to-surfaceSubsea UK June 1st 2006

HRT in Lobito

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seabed-to-surfaceSubsea UK June 1st 2006

Manifolds in Lobito

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seabed-to-surfaceSubsea UK June 1st 2006

APL offloading Buoy

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seabed-to-surfaceSubsea UK June 1st 2006

YOKRI Deck fabrication in Warri

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seabed-to-surfaceSubsea UK June 1st 2006

Warri Fabrication Yard: Jacket - Suction Piles

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seabed-to-surfaceSubsea UK June 1st 2006

Warri Fabrication Yard: Jacket - Suction Piles

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seabed-to-surfaceSubsea UK June 1st 2006

Common objective for main Contractors and Suppliers :

- Localisation in country with guaranteed quality and delivery

Strong and relationship / partnership required

Conclusion