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VOLTA ALUMINIUM COMPANY LTDENGINEERING AND DESIGND.E.M DEPARTMENTPROCEDURE #EDP-001

REVISION NO.0

STANDARD OPERATING PROCEDURE (SOP)ISSUE DATE09\05\14

PAGE NO.4 of 12

TITLE: ENGINEERING PROJECT ADMINISTRATION

PURPOSE: To develop procedures for engineering project execution.

SCOPE: The scope covers only engineering projects at Engineering.

CONTENTS: Steps in Project Execution

1.Work Order Generation.22.Project Discussion Meeting.33.Final Design.34.Material Ordering. 45.Preliminary Job Package. 46Final Job Package. 57.Package Release. 68.Sub-Work Order Generation and Release. 69.Project Schedule Meeting. 7 10.Project Execution.711.Project Progress Report Meetings.812.Commissioning.813.Training Involvement.814.Work Orders Closure.915.Project Closure.9

PROCEDURE:DETAILS

1.Work Order Generation

When a new R&M project comes up, production, maintenance or reliability personnel will generate the necessary work order to initiate the project. For Major maintenance and Capital Projects, the engineer responsible shall generate a work order to start the project. This initial work order shall be solely for the use of the engineer responsible for the project. He shall use this work order to order the materials or parts for the project.

After an RFI has been written and approved, the accountant responsible for projects shall set up the project number as an equipment number and the engineering secretary or the project engineer shall set up the project number as a Project ID. If two or more engineering disciplines will be involved, sub-work orders shall be set up for all the engineering disciplines so that the appropriate project phases can be entered in order to track costs along the various engineering disciplines for both Major Maintenance and Capital Projects.

Project originating work orders shall have the following fields completed as follows:

FIELDMAJOR MTCECAPITAL/RFDWR&M

Machine IDEquipment #C0XXXEquipment #

Start By DateEst. Start DateEst. Start DateEst. Start Date

Reference IDEngr Badge #Engr Badge #Managers/Assistant Managers Badge #

Supervisor #123123Managers/Assistant Managers Code

G/L # LaborSupervisor G.L. #160190Supervisor G.L. #

G/L # PartsSupervisor G.L. #160190Supervisor G.L. #

Work Type 72/82 13 75

Project IDMM-XXXC0-XXX-

Project PhaseELEC/MECH/CIVILELEC/MECH/CIVILNone

2.Project Discussion Meeting

The engineer, upon receiving notification of a project, shall first walk through on the project floor to get inputs on the problem and its objectives and prepare a preliminary design and a draft of the scope of work. He shall thereafter call a project meeting in order to discuss the preliminary design and scope details of the project. At this meeting the equipment owner, the intended operators, if already determined, respective maintenance personnel, responsible engineers, department planners, etc shall be invited in order to brainstorm to refine the scope of work and the design.

3Final Design

Using the data obtained from the preliminary meeting (s), the engineers shall finalize their design. Subsequent meetings shall be held in order to complete detail and shop drawings design and ensure that all parties are satisfied with the final design.

Depending upon project size and complexity, recommended meetings shall as a minimum requirement be as follows: -

1.Preliminary design review (to include initial Project Walk-Thru).2. Intermediate design review to finalize project equipment, system requirements, production materials flows and auxiliary requirements, maintenance access, safety, ergonomics, equipment requirements, spare parts and complementary spares. 3.Final design review, installation reviews, pre-startup review and evaluation reviews (what lessons can we learn) one month after start-up.

These meetings shall include the appropriate representatives as noted for the project discussion meetings listed above plus a Trainer if maintenance and/or production training will be necessary.

4.Material OrderingThe engineers shall order materials for the project against the original work order. Where spare parts are required for new equipment that have been ordered on RFI (and which do not have equipment numbers at the time of carrying out the project) the engineer shall register equipment number(s) for the equipment. He shall then, using the services of the Warehouse Parts Set-up Specialist, set-up maintenance parts in the warehouse system and order necessary spare parts against the new equipment ahead of time, so as to return them to stores (RTS) when the parts arrive.

It is important that all materials ordered for a project are referenced to the project to ensure that all costs can be captured for the project. When the parts arrive, the planner shall stage them.

5.Preliminary Job Package

The engineers shall write the preliminary job package (specifying all work involved) and invite the relevant planner(s) for discussion(s) to ensure that all the necessary crafts are provided for in the package. The job package shall contain as a minimum requirement the following information: -

a.Design drawings package.b.Material requirements list(s)c.Project Schedule(s)d.Priorities.e.Manpower requirementsf. Special equipment requirements

The Design Drawing package shall indicate the following:

All required materials Bill of materials All required dimensions, clearances and fits All required information for fabrication, installation and maintenance, etc. of equipment Finishes and coatings defined Sizes and lengths of runs Utility locations Elevations and critical references Capacities, flow rates, limits, other important specifications for safety and or operations.

The drawings should be useable by the Craftsmen in the field and should be complete enough to prevent the planner from doing any engineering whatsoever.

All meetings up to this point are to be called by the project engineer in charge of the project. The planner, the supervisors (i.e. managers and assistant managers) and the craftsmen all need to agree on the package specifications.

6Final Job Package

With the information from the preliminary job package meetings, the engineer(s) shall write the complete job package for all the crafts. This is to ensure that complete scope of the job is available in one place so that all the crafts that will be involved in the project will know what the other crafts too are doing. . The package shall be issued to the Department Planner at least five (5) weeks to the start of each project. This will ensure easy coordination of the job.

A complete job package shall consist as a minimum of the following: -

1. Approved layout, foundation and utility supply drawings. (Approved by engineering, production, maintenance and safety department heads).2. Approved General Arrangement drawings.3. Assembly drawings (required for shop and/or field installation work)4. Shop drawings of components and machine parts subject to wear or may get defective.5. Diagrams and components list of Electric, hydraulic and pneumatic systems.6. Bill of Materials, Components, parts and Spare parts lists (indicating description, storage locations, ref. PO and drawing #s etc.)7. Operations and maintenance manuals.8. Job Scope (detailed work steps, craft by craft, step by step) instructions for fabrication and installation to be provided in the text column of the Work Order. The scope description should be of sufficient depth and detail to prevent the planner from having to design or engineer systems or layout changes, etc.9. Work order with the job instructions for all relevant crafts in the text column of the work order.

7.Package Release

The completed job packages together with the completed and signed Engineering Projects Job Package Checklist (attached) shall be submitted to the Department Planner with sufficient four (4) copies each of all drawings and sketches for all the crafts that will use them. The Department Planner shall keep his set of copies and then distribute the rest to the other planners whose crews (i.e. Special Projects, Central Shops, Department Maintenance, Salvage, etc.) are required on the job.

8.Sub-work Order Generation and Release

When the planners receive the packages, they shall proceed to prepare sub-work orders for all the relevant crafts. Hard copies of the job package will be provided to the field. The original work orders written by the engineers will still have the supervisor field as 141. The new work orders generated by the planners shall have the following fields completed mandatory:

FIELDMAJOR MTCECAPITAL/RFDWR&M

Machine IDEquipment #C0XXXEquipment #

Start By DateEst. Start DateEst. Start DateEst. Start Date

SupervisorManagers and Assistant Manager #Managers and Assistant Manager #Managers and Assistant Manager #

Reference IDPlannerPlannerPlanner

G/L # LaborSupervisor GL#Supervisor GL#Supervisor G/L #

G/L # PartsSupervisor GL#Supervisor GL#Supervisor GL#

Work Type72/821375

Project IDMM- XXXC0-XXX-

Project PhaseELEC/MECH/CIVILELEC/MECH/CIVIL-

The job packages to field supervision shall be released prior to the first schedule meeting so that field supervision can study the job(s) prior to the meeting.

9Project Schedule Meeting

Once the package is released, the assigned Assist. Manager or Contract Administrator becomes the Chief Coordinator for the execution of the entire project. The assigned Assist. Manager as the Chief Coordinator shall first call a meeting with the engineers, various craft supervision, area and other planners to be involved, the equipment owner/operators in order to discuss the schedule. This is to ensure that all crafts understand the role they are to play in the project and also that the impact of the project on production is clearly understood by all so that adequate preparations are made to keep to the agreed project execution schedules. The meeting shall also determine the frequency of project site meetings.

10.Project Execution.

Prior to the beginning of the project, the engineers are responsible for organizing all the materials, tools, equipment and labor and ensuring that they are available when proposed. Once the project is initiated, the assigned Manager assumes responsibility for ensuring that all necessary resources are available and present. The Chief Coordinator shall be fully conversant with the project and shall answer all employees questions relating to the project. Where he does not know, he shall consult the Project Manager. The assigned engineer shall visit the project site daily in order to monitor the progress of the job. Where a problem is encountered, he shall contact the Chief Coordinator and together have it resolved. He shall also inform the Chief Coordinator of any project-related conversations he has had with the employees in the field.

11Project Progress Report Meetings

The Project Manager shall convene regular meetings to review the status of projects in progress. He shall invite all the appropriate people to the meetings.12.Commissioning

When the project is complete, the Coordinator together with the Engineer shall commission the project in the presence of Production, Maintenance, Safety, and Technical department representative management personnel. This is to ensure that all accept the project. 13.Training Involvement

Where the training department will be required to conduct training of the operators and maintenance employees during and after the completion of the project, the trainer shall be involved in the project right from the project initiation stage (especially when outside experts have been engaged to supervise and conduct the initial training. This way the Valco trainer could assist in the planning of the training and will be sufficiently prepared to take over the training when the expert leaves.

14Work Order Closures

The assigned Manager(s) shall coordinate the closure of all sub-work orders that were issued by them. The Engineer(s) shall close the work orders they originated.

15Project Closure

Before a project is closed, the engineer shall write the P.M.s for the equipment. As built drawings shall be completed, approved and stored in the filing cabinets according to Engineering procedure DRAFT 6.0. Where information is not completely provided for equipment numbers during the initial set up, this information shall be provided. The Projects Closure Checklist (attached) shall then be completed and endorsed by all required department heads.

Other Issues

1Material Borrowing

Where during the actual installation of a project, there is the need to borrow materials purchased for another project (because the other project may not start immediately) the engineer borrowing the items will have to write a purchase order covering the items he wants to borrow and have it approved before he will be allowed to borrow the materials.

2Surplus Items

Where there are surplus items at the end of the project, the engineer shall decide that the items are indeed surplus. He shall then inform the Project Manager who will return the surplus items to the warehouse for credit to the project if they are warehouse items. Where they are not warehouse items the engineer can request the planner to re-stage them for another approved project. If there is no use for them and they are also not warehouse items, the engineer is to inform maintenance planning so that the items can be sold.

3.Change of Priorities

Where job priorities change, the Project Manager is to be informed. The coordinator shall then inform all the relevant people involved in the project.

4.Drawing Changes

Where an approved drawing has been made for a project and during the course of construction, changes are to be made; the engineer shall make two redlined copies of the drawing. One shall be given to the field to be used in the construction. The second copy shall be kept by the engineer to be used for making the As-Built drawings at the end of the project.

When an existing approved drawing is to be modified for a new installation, the following procedures shall be used:

Manual Drawings

For manual drawings, a sepia copy shall be made of the original and filed in the main drawing cabinet. The original shall then be modified for the new installation, approved and issued. The modified original shall be filed in a transition drawing cabinet. After the project is complete, the sepia copy shall be removed from the main drawing cabinet and replaced with the modified master.

CAD Drawings

For CAD drawings a copy shall be made of the electronic copy, and the revisions made on the copy. This revised drawing shall be printed out, approved and issued. After completion of the project, the revised and approved master shall replace the copy in the drawing cabinet. The revised electronic copy shall replace the original electronic copy on the file server.

ENGINEERING PROJECTS JOB PACKAGE CHECK LIST

Project #:

Project Title:

Date:

ItemDescriptionStatus DateProvidedComments

Reqd.Provided

1. Project Scope: i) CIVIL ii) MECHANICAL iii) HYDRAULIC iv) ELECTRICAL |_||_||_||_||_||_||_||_|

2. DRAWINGS: i) SHOP/FABRICATION ii) ASSEMBLY iii) INSTALLATION iv) CONDUIT LAYOUT/ SPREADSHEET v) INTER-CONNECTING vii) ENERGY SOURCE viii) ONE-LINE DIAGRAMS ix) SCHEMATIC DIAGR. x) PIPING LAYOUT

|_||_||_||_||_||_||_||_||_||_|

|_||_||_||_||_||_||_||_||_||_|

Drawings should reference existing drawings, data sheets, equipment, structures etc. wherever relevant.

3. MATERIALS SAFETY & DATA SHEETS (MSDS)|_||_|

4. SPECIAL TOOLS/EQUIP. LIST|_||_|

5. MATERIALS LIST/BILL OF MATERIALS|_||_|

6. TESTING PROCEDURE (S)|_||_|

7. MANUALS OPERATIONS/MAINTENANCE |_||_|

8. |_||_|

9. |_||_|

We hereby certify that this package is complete.Project Engineer/DateDepartment Planner/DateSp. Proj/Cntrl Shops Planner/Date

PROJECT CLOSURE CHECK LIST

Project #:

Project Title:

Date:

ItemDescriptionStatusETCComments

YesNo

1. Installation Complete.|_||_|

2. Initial/Start-Up Spares Available.|_||_|

3. Project Commissioned.|_||_|

4. Equipment Number Set-Up.|_||_|Equip. #.

5. Parts Set-Up.|_||_|

6. PM Sheets Set-Up.|_||_|

7. Lock-Out/Tag-Out Guide Sheets.|_||_|

8. Unused Parts/Items Returned to Stores (RTS).|_||_|

9. Leftover Parts/Items Returned to Salvage Yard.|_||_|

10. As-Built Drawings Issued.|_||_|

11. Certificate of Completion Issued.|_||_|

12. Closure Memo Issued.|_||_|

13. Central Project File Updated.|_||_|

14. Final EDR.|_||_|

15. Make-Good-Report Issued(6 months after Commissioning).|_||_|

16. Maintenance/Operator Training Completed.|_||_|

We hereby certify that this project has been duly completed, Equipment, PMs and Spare Parts set ups and all required training completed.Maintenance/DateProduction/Date Project Engineering/Date

MANAGERAPPROVALSDEPT. DIRECTOR

ONCE PRINTED THIS DOCUMENT BECOMES UNCONTROLLED