petrofacts august 2012

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Page 1: Petrofacts August 2012

August 2012 | petrofac.com

OMAN:

Page 2: Petrofacts August 2012

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August 2012

Petrofacts is designed and published byPetrofac’s corporate communications team on a quarterly basis. To provide comment or contributions please contact:

Corporate Communications

Katherine Fair/Claire [email protected]

Onshore Engineering & Construction Engineering & Consulting Services Offshore Capital Projects

Kaye [email protected]

Offshore Projects & Operations

Eilidh [email protected]

Training Services

Pamela [email protected]

Production SolutionsDevelopments

Elinor [email protected]

Cover image: Petrofac employee at the Kauther Gas Plant in Oman. Photography by Fares Jammal.

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y of a

bb

reviatio

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ECOM ECS EPC ERSC FDP FEED

Engineering, Construction, Operations & Maintenance

Engineering & Consulting Services

Engineering, Procurement, & Construction

Emergency Response Service Centre

Field development planning

Front end engineering and design

FPF HSSEIA IES IOC JV LSTK

Floating production facility

Health, safety, security, environment and integrity assurance

Integrated Energy Services

International oil company

Joint Venture Lump-sum turnkey

LTI MOPU NOC OCP OEC OPITO

Lost Time Incident Mobile Offshore Production Unit

National oil company Offshore Capital Projects

Onshore Engineering & Construction

Offshore Petroleum Industry Training Organisation

OPO PTS UKCS

Offshore Projects & Operations

Petrofac Training Services

United Kingdom Continental Shelf

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Paper environmental accreditation to go

here please.

In this issue

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6 Oman project milestone

Kauther depletion compression project reaches commissioning phase

8 Fit for 2015 Maroun Semaan talks to Petrofacts about laying the foundations for sustainable growth

10 Latest award in Mexico

30-year contract announced

12 Offshore Capital Projects

New business unit to be led by Yves Inbona

13 Petrofac awarded two projects in Saudi

Two EPC contracts for Petro Rabigh Phase II

13 Graduation success in Saudi

Petrofac supports Saudi trainees

14 Subsurface in depth Sayma Robbie talks us through the challenges facing her subsurface development team

15 Project update: Laggan Tormore

Petrofacts looks towards the next phase of the Shetland project

16 Recruitment strategy

Our Group Head of Resourcing provides an insight into our recruitment programme

18 Regional focus: Asia Pacific

A round up of the latest news from the region

20 Asset integrity Petrofacts speaks to Mike Cannavina about the introduction of our new Asset Integrity Framework

22 Introduction of Country Managers

Why this new role will make such a difference

24 Apache North Sea contract extension

Petrofac awarded extension to, and continuation of, service contract

25 A winning partnership in Libya

SGC team to replace flow metering control system

25 A Year in Aberdeen We hear about Petrofac’s talent management programme

26 KW acquisition New acquisition builds subsea capability

28 Growing in Africa New office opens in Lagos

28 Prestigious award for Petrofac employee

IChemE awards Chartered Engineer and Fellow status

28 Improving efficiency in supply chains

Supply chain collaboration reduces costs for our customers

29 Picture Petrofac photography competition

We take a look at some of the entries received this year

30 Appointments Meet new members of the Petrofac team

31 Office addresses Petrofac office locations around the world

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August 2012

Welcome to the august 2012 edition of Petrofacts. at the time of going to press we are preparing to announce our interim results for the first half of 2012. full details of our financial performance will be available at www.petrofac.com from 13 august.

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As I write this introduction, at the end of July, the world is continuing to experience both economic and political uncertainty; characterised by the European debt crisis, slowing world growth and the continuing dislocation caused by the Arab Spring in many Middle Eastern countries. Despite this, London is very much in the grip of Olympic fever. The City is buzzing with anticipation for what promises to be a very special event. I hope the Games will lift spirits across the globe in these uncertain times.

In the midst of all this I’m pleased to say, that at Petrofac we are continuing to experience good performance across our entire portfolio. It is now more than a year since we rolled out our Integrated Energy Services (IES) strategy and we are making excellent progress in building this business. In June, we were selected by PEMEX as preferred bidder for our third production enhancement contract in Mexico. This continues to build upon our IES strategy, and, importantly, is the first contract we will deliver in partnership with Schlumberger.

This most recent contract win in Mexico is indicative of the strong industry demand we see for commercially innovative, integrated oilfield service developments. This is a significant growth area for the Group. As a result, we have been stepping up our recruitment activities, particularly with regards to enhancing our subsurface and asset management capabilities.

Our Engineering, Construction, Operations and Maintenance (ECOM) division has seen some slippage in the timing of certain contract tender processes. We have, however, secured a number of key contracts in many of our core geographies. This includes: two engineering, procurement and construction (EPC) contracts for Petro Rabigh’s phase II petrochemical project in Saudi Arabia, a US$220 million refurbishment project for the Bekok-C platform offshore Malaysia, and a three-year £300 million contract extension with Apache for onshore engineering, and on and offshore construction services for the Forties field in the UK North Sea.

In line with our strategic focus to grow our offshore EPC capability, we added a new business unit within ECOM called Offshore Capital Projects (OCP). Yves Inbona joined Petrofac in early June to lead OCP and will build on our existing offshore capability to establish a separate business unit focused entirely on the growth and development of the offshore engineering, procurement, installation and commissioning (EPIC) market internationally.

We believe that the continued development of our offshore EPIC capability within ECOM is core to supporting the achievement of our strategy for the provision of integrated services across oil & gas developments. The Berantai and West Desaru offshore projects in Malaysia, and the Greater Stella Area development in the UK North Sea, are current examples of this approach. Our two divisions are working together with the aim of delivering a seamless approach to asset development on behalf of resource holders; helping them to unlock the value of their oil & gas assets.

More details on these initiatives can be found inside this edition; I hope you enjoy it.

Ayman AsfariGroup Chief Executive

Page 6: Petrofacts August 2012

August 2012

“We are delighted to have secured the Kauther gas depletion compression project. This award serves to further reinforce our commitment to the Omani market, gives us continuity of business in the Sultanate and again highlights Petrofac’s continued competitiveness in the Middle East.”

These were the words of Maroun Semaan, President, in July 2009 when we were awarded a contract for the Kauther gas-field depletion compression (KDC) project.

Fast forward to 28 May 2012 when the KDC team achieved a notable milestone with the introduction of hydrocarbons into the new plant.

SIGNIFICANT MILESTONE ACHIEVED AT KAUTHER WITH INTRODUCTION OF HYDROCARbONS.

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Although the depletion compression project might not be classified as a mega project, due to the plant capacity and the specifics of the process, the project had some of the largest and most complex equipment and material supplied by Petrofac. The depletion compressors had 18MW variable speed drives (VSD). The VSD cooling system is elaborate, as is the massive harmonics filtration system. In addition, the substation building is almost the size of a football pitch and the piping systems are significant in large bore alloys (up to 48") and high wall thickness (up to 40mm).

Foresight in risk managementOur ability to identify potential risks early also helped to mitigate many of the challenges faced on the project. One particular success story is the fabrication and shipping of the high pressure (HP) vessels. The fabrication shop for the vessels in Asia was in close proximity to a jetty for ease of transport. Subsequent fabrication delays meant that the monsoon season and severe storms would arrive prior to the completion of fabrication. This would have delayed the transport of the vessels by several months. Given the importance of the schedule, we decided to ship the partly completed HP vessels (180mm thick) by barge, much earlier than planned, to another port where the final works were completed. The vessels were later shipped safely to Oman where their transportation required each vessel to be pulled by three prime movers with a fourth pushing from the back to traverse the steep terrain before getting to site in time for construction. A significant logistics exercise!

Strength in constructionOne of the success factors of any EPC project is having a strong construction operation. We were fortunate to secure the services of our local construction partner, Al Hassan, for the KDC project. It is an Oman based company, with values that are aligned with our own and,

very importantly, their team shares our delivery focus. Equally important was the role played by our own construction resources in managing the site HSSE and the construction works. As many of our construction team members were also involved in the initial gas plant project, they brought key local knowledge and continuity to this phase.

Early involvement from the completions teamFrom the outset, we also had our completions and operations personnel embedded in the site team to provide seamless transition through to the project commissioning phase. This was instrumental in achieving timely introduction of hydrocarbons.

Customer focus2012 also marks the eighth year of our relationship with PDO’s gas department. We believe the close working relationship with our counterparts at PDO, their equal focus on delivery and safety as well as a one team approach underpin much of what we have collectively achieved through our journey at Kauther.

Utilising local resourcesThroughout the project, we have focused on using local resources at all stages of procurement and construction. We have also been able to provide employment opportunities for residents in the vicinity of the project and from the nearby Al-Zahiya village where we have worked closely with the local community.

Our time on the Kauther projects in Oman has been a truly enriching experience for our teams who have come to value and embrace the Omani culture. As we work to conclude our commissioning activities and presence at Kauther, it is our hope that we continue to have a strong presence in this market for the long term.

Following three years of commitment and dedication from the teams involved in the project, we were pleased to mark the introduction of hydrocarbons to the KDC plant. As we go to press the Petrofac team is working alongside Petroleum Development Oman (PDO) on commissioning the plant.

KDC is the second project at the Kauther site where Petrofac has undertaken an Engineering, Procurement & Construction (EPC) project for PDO on behalf of the Government of Oman. The first Kauther gas plant project was completed in 2007 then, in early 2008, we undertook the Front End Engineering and Design (FEED) for the KDC project and were later awarded the EPC contract.

The original Kauther gas plant was designed to process 20 million standard cubic metres per day of gas (c. 706 million standard cubic feet per day). Comprising a single gas conditioning and dehydration train, the plant exports gas into the Government gas grid and the unstabilised condensate and water are exported as a mixed stream to a slugcatcher and degassing vessels within the existing Saih Rawl facility.

As the Kauther field depletes, the depletion compression facilities will ensure longer term sustainability of the field. These new facilities comprise; two depletion compression trains, an inlet separation system, a condensate handling system, new control system, upgraded utilities and a complete electrical infrastructure to handle the compressors’ variable frequency drives, with the requisite filters to address the generated harmonics.

At the start of the project, we brought together many of the engineering resources that had worked on either the initial gas plant project or the depletion compression FEED. This retained knowledge was beneficial to our overall technical delivery as well as to strengthening our relationship with PDO.

“At the start of the project, we brought together many of the engineering resources that had worked on either the initial gas plant project or the depletion compression FEED”

Project Director Elie Lahoud, shares Kauther’s latest news with us.

NameElie LahoudTitleProject DirectorLocationSharjah, UAE

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August 2012

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FIT FOR 2015 LAYING ThE FOUNDATIONS FOR SUSTAINABLE GROWTh

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“I truly believe that the steps we take now will allow us to create an organisation with the structure, process and people that will underpin the future of our Group for many more decades”

In January, Petrofac launched a wide-ranging programme called ‘Fit for 2015’, which aims to review the ‘health’ of our organisation, and lay the foundations for sustainable growth. Programme sponsor and Petrofac President, Maroun Semaan, talks to Petrofacts about what’s involved.

Why did you embark on the ‘Fit for 2015’ initiative? Petrofac has been in business for more than three decades and our success can be attributed to the competence, passion and determination of our people. ‘Fit for 2015’ is about working together to build on our collective achievements as we develop the organisation further, and to prepare us for the challenges ahead. This is particularly important as we work towards our vision to be the world’s most admired oilfield service company.

What has the programme achieved so far?At the start of the year, we conducted interviews across the Group to identify the challenges our people are facing and what we can do about them. We have now identified 12 initiatives that aim to address the most significant challenges. Broadly these include: how we implement our strategy; how we deliver for our customers; and how we grow, motivate and develop our people.

Could you give us some details on each of the focus areas? The first key area is called Strategic Focus, which has been set up to ensure we maximise our strengths and capitalise upon the opportunities we see in the market. Initiatives in this area will work to create a clear link between our business unit strategies, areas where we have a competitive advantage and our business development activities.

Initiatives in the second area, How We Work, will focus on further improving our standards and processes, as this will strengthen our ability to win and execute projects. Our Onshore Engineering & Construction (OEC) business unit is running a ‘Fit for 2013’ programme which is also within the scope of this area and is focused on improving the efficiency and effectiveness of how we execute work. This includes building upon our engineering expertise and optimising our core business processes.

Most importantly, it’s the people at Petrofac that enable us to prosper as a Group. Having a strong talent base and robust organisational structure are key to our success. Initiatives falling under the Who Delivers the Work area will focus on ensuring that many of the processes that support this, like performance management and recruitment, are more consistent and aligned with our strategic goals.

The programme will run through to 2015 and longer if required, with initiatives starting and finishing at different stages to ensure that the pace of change throughout the organisation is sustainable. Managing change can be challenging – how is the programme set up to deal with this? ‘Fit for 2015’ is an important and necessary process. To make sure the programme is set up for success we have established a central Programme Management Office (PMO) to drive the overall programme. I will sponsor the PMO; it will be led by Rajesh Verma, and supported by a dedicated team. In addition, each of the 12 initiatives will, in time, be assigned leaders and working teams.

How will you know if the programme has been a success? Tracking the improvements resulting from this programme is vital to its success. We have, therefore, established up-front Key Performance Indicators for each initiative that we will monitor to assess the tangible benefits to our business as we move forward.

I truly believe that the steps we take now will allow us to create an organisation with the structure, process and people that will underpin the future of Petrofac for many more decades.

Maroun Semaan, President

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PETROFAC AND SCHLUMbERGER AWARDED 30-YEAR JOINT CONTRACT IN MExICO

Petrofac, in partnership with Schlumberger, has been awarded a significant 30-year production service contract by Petróleos Mexicanos (PEMEx), the Mexican national oil company.

Announced on 19 June, the agreement covers the Pánuco contract area, home to four mature onshore fields with approximately 1,600 wells, 200 of which are producing roughly 1,500 barrels of oil per day. Operated by PEMEX, the field was discovered in the early 1900s and had original oil in place of around 6.8 billion barrels.

Petrofac and Schlumberger will develop the fields together, with Petrofac acting as lead Operator. The contract is expected to be signed in late August 2012 and will run for 30 years, with operations expected to begin in early 2013.

Gordon East, Managing Director of Petrofac’s Production Solutions business, said: “I would like to take this opportunity to thank all those involved for their tremendous efforts over the past few months which have led to this significant win for Petrofac.

“This builds on our presence in the country, following the awards of the Magallanes and Santuario blocks last year, and also demonstrates our commitment to both PEMEX as a valued and important customer, and to

Mexico as a key country for us. This contract is also the first demonstration of our partnership with Schlumberger in action and will help to shape the way we work together in the future.”

This important award is testament to Petrofac and Schlumberger’s recent Co-operation Agreement. Through this dynamic partnership, both companies will work together to deliver integrated and high-value projects in the emerging and growing production services and production enhancement market.

Andy Inglis, Chief Executive of Petrofac’s Integrated Energy Services division, said,

“I am delighted to build our relationship with PEMEX and bring our field management capability to support the development of Mexico’s oil and gas resources.

“This contract is also the first example of our agreement with Schlumberger and our shared drive to deliver integrated and high-value production projects. I believe that our complementary skill sets and proven execution capability will maximise the potential of these fields for PEMEX.”

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PáNUCO CONTRACT AREALocation: Onshore, eastern coast, central Mexico

Producing since: 1900s

Production: 1,600 wells drilled, 200 are currently producing 1,500 barrels per day

Original oil in place: 6.8 billion barrels

Contract details: The contract will run for 30 years, with a two-year initial evaluation period followed by a 28-year development period. Petrofac and Schlumberger will develop the fields jointly with Petrofac as the lead Operator. The companies have committed to an initial investment of approximately US$35 million.

MExICO

Mexico City

Houston

GULF OF MExICO

USA

Ciudad Valles

Miramar

Tampico

PáNUCO CONTRACT

AREA

MAGALLANES

SANTUARIO

THE LOCATION OF THE PáNUCO CONTRACT AREA

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August 2012

NEW bUSINESS UNIT TO SUPPORT INCREASED DEMAND – OFFShORE CAPITAL PROJECTS

Yves Inbona, Managing Director, Offshore Capital Projects

To support the increasing international demand we see for both reimbursable brownfield and offshore capital projects we have established a separate business unit to focus on the offshore engineering, procurement, installation and commissioning (EPIC) market. Offshore Capital Projects (OCP) forms part of our existing Engineering, Construction, Operations & Maintenance (ECOM) division and is focused on acquiring and executing all Petrofac’s EPIC projects.

OCP will be led by Yves Inbona who has been appointed Managing Director. He will also be a member of the Petrofac Group’s executive committee. In a previous position as Chief Operating Officer of Saipem Spa, Yves managed the offshore business, the most profitable of Saipem’s business units. Yves speaks seven languages and has lived and worked in countries including Mexico, Angola, Norway and Italy.

Our established Offshore Projects & Operations (OPO) business unit, from which OCP was developed, will grow its traditional operations and brownfield engineering markets in the North Sea and focus strongly on our international growth strategy. In particular, OPO will raise its profile in new geographies with new customers as well as establish a new decommissioning business for mature assets which have ceased production.

Commenting on Yves’ appointment and the formation of OCP, Marwan Chedid, Chief Executive of our ECOM division said: “We are delighted to welcome Yves to Petrofac as he brings extensive international expertise in the offshore sector, with more than 30 years of industry experience. Under both Bill Dunnett’s and Yves’ leadership our OPO and OCP teams will be able to focus on building our reimbursable brownfield and offshore capital projects activities respectively, to capitalise on the demand we see for these services.”

Speaking about his appointment Yves said: “Petrofac has great ambitions for the continued growth of its offshore business. I am delighted to be joining the Group to lead the OCP business within ECOM and look forward to working with the teams to deepen our experience and capability in this sector of the market. Although less well known than its onshore activities, Petrofac’s track record in executing major turnkey offshore projects is already impressive, and I view this as an excellent basis for future growth and continuing to deliver value for our customers.”

“Petrofac’s track record in executing major turnkey offshore projects is already impressive, and I view this as an excellent basis for future growth and continuing to deliver value for our customers”

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PETROFAC AWARDED TWO PROJECTS FOR PETRO RAbIGH II Petrofac, the international oil & gas service provider, has been awarded two engineering, procurement and construction (EPC) contracts for Petro Rabigh’s Phase II petrochemical expansion project. Petro Rabigh is a domestic public company in which both Saudi Aramco and Sumitomo Chemical Co Ltd hold a financial interest.

Due to commence shortly, Petrofac has been awarded an EPC contract for tank farms and a second EPC contract for common utilities. The projects — scheduled to be undertaken within 36 months — are some of the first major awards made by Saudi Aramco and Sumitomo Chemical under their In-Kingdom EPC programme and will be delivered from Petrofac’s Saudi Arabia office in Al-Khobar. Petro Rabigh operates the refinery at Rabigh, about 93 miles (150 km) north of Jiddah, Saudi Arabia.

Marwan Chedid, Chief Executive of Petrofac’s Engineering, Construction, Operations & Maintenance (ECOM) division, commented: “We are delighted to have secured these projects. It serves to reinforce the hard work and dedication of our In-Kingdom team and we look forward to strengthening the relationship with both Saudi Aramco and Sumitomo Chemical as they progress. Furthermore, it augments the ongoing development of our engineering and project management capability in the Kingdom.”

Left to right:

Saudi Aramco officials – Amar Shihabuddin, Programme Director, Rabigh II Project; Khaled Al-bassam, Contracts; Abdulaziz Al-Judaimi, Vice President, Petrochemicals

Petrofac – Imad Shanan, Senior Vice President and General Manager for Petrofac’s Saudi operations

GRADUATION SUCCESS IN SAUDI

Senior Vice President and General Manager for Petrofac’s Saudi operations, Imad Shanan, noted: “We are proud to sponsor this future generation of leaders and pleased to once again partner with the Asharqia Chamber. In Saudi Arabia we are committed to our corporate social responsibility agenda, and this programme is just one of a number of ways that we support the community here.”

Two awards for superior trainee were handed out. In the men’s group, Ibrahim Fouad Al Madloh described the training as “very helpful because I will really add value and help my colleagues.” Nouf Abdulkarim Abdulaziz Alfayadh received the award in the women’s group as the top performer from 26 women trainees in the programme. Ibrahim and Nouf were presented with iPads donated by Petrofac Saudi Arabia.

Petrofac’s Corporate Social Responsibility commitment to training in this programme over the past two years has benefitted 231 Saudi male and female nationals with the knowledge and work skills to contribute further to the Kingdom’s economy and sustainability.

Petrofac, in collaboration with the Asharqia Chamber of Commerce, recently marked the graduation of 80 Saudi trainees who completed the 2011-2012 training programme in human resources management fundamentals.

“In Saudi Arabia we are committed to our corporate social responsibility agenda, and this programme is just one of a number of ways that we support the community here”

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STEPPING UP TO THE SUbSURFACE CHALLENGE

NameSayma RobbieTitleVP Subsurface Development, IESLocationWoking, UK

“Our strategy is to draw on the skilled workforce of each centre to provide professional and comprehensive assistance that meets the diverse business needs of our customers”

Petrofac’s Subsurface Development team within the Technical Directorate at Petrofac’s Woking office performs a vital role in supporting existing Petrofac producing assets. Subsurface development is a crucial part of Petrofac’s Risk Service and Production Enhancement Contracts globally.

Petrofacts caught up with Sayma Robbie, Vice President Subsurface Development for Petrofac Integrated Energy Services, to find out more about the challenges facing her and her team.

Sayma, tell us about your day-to-day role at Petrofac?Petrofac already has an established track record in lump-sum engineering, procurement and construction contracts, but our team’s ambition is to ensure that Petrofac is also known for its world class expertise in the field of subsurface development.

I am responsible for identifying, resourcing and building the teams required for an evaluation. Equally, if a particular asset requires assistance, I will ensure that the appropriate support is provided whether it is an individual or a team.

What would you say are the key challenges that you face?Ensuring that Petrofac’s recruitment drive keeps pace with our high levels of growth is very challenging because people with the right knowledge and capability are relatively scarce. To fulfil our growth plan going forward it’s critical that we have the right resources in place.

How important is it for Petrofac to develop and enhance its subsurface capability?As fossil fuels will continue to provide the bulk of the energy around the world in the next few decades, it’s vitally important for Petrofac to have a highly developed subsurface function in place in order to compete effectively in a very dynamic marketplace.

Subsurface development is a key component for us to succeed; for example in our Production Enhancement and Risk Service contracts in Tunisia, Mexico, Romania and Malaysia. In Romania and Mexico, we are paid for each additional barrel of oil we produce above a particular quota, it is therefore important that we know how much oil is in the ground and how we will work with our customers and partners to maximise production.

How are you attracting high quality staff in all subsurface disciplines? Skilled geologists and engineers are in short supply, and because Petrofac is better known for its engineering expertise rather than its subsurface capabilities, we realised at an early stage that we have to communicate our vision for the future to the subsurface community.

We have hired 20 members of staff since the beginning of the year who were all excited by our vision and the expansion of our subsurface team. For the interview stages, we prepared a lot of material for the candidates, which communicated this effectively and listed how we are adding competence beyond our core engineering and construction capability.

Petrofac is expanding into new geographies where the subsurface requirements are as challenging as they are varied. How is the subsurface team developing to meet the demands of expanding into new regions?Like Petrofac as a whole, we believe that people are our most important resource. We are currently actively working on recruiting skilled engineers, geologists and geophysicists to enhance our subsurface capabilities.

The Woking Technical Centre will continue to be our team’s central hub, but work is already underway to construct a second technical centre in India, which will be operational later in 2012. We’re looking to hire 30 to 50 staff this year in India and by 2015 we hope that our India subsurface team will be 200 strong. By 2015, our aim is to recruit more than 600 technical staff globally.

But it is not enough to simply recruit staff at the two technical centres. Our strategy is to draw on the skilled workforce of each centre to provide professional and comprehensive assistance that meets the diverse business needs of our customers.

Finally, I’m also planning to create a high-profile subsurface forum, which will enable us to better understand and find solutions to the many subsurface challenges we face. We have a rich and wide variety of skill sets globally, and the aim is to use the forum as a device to ensure that we integrate and continue to deliver a high quality, innovative and cost-effective service to our customers.

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LATEST PHASE OF THE LAGGAN TORMORE PROJECTPetrofac is preparing for the construction phase of its Laggan Tormore project for Total E&P UK Limited (Total) on the Shetland Islands. Petrofacts caught up with Alex Hosie, Project Director to find out what’s unique about the project, what his team has achieved so far, and what the next phase involves.

In October 2010, Petrofac was awarded a £500 million engineering, procurement, supply, construction, and commissioning contract to develop the new Shetland Gas Plant (SGP). The contract award was Petrofac’s largest engineering, procurement and construction (EPC) project in the UK to date.

The mobilisation phase of the project began with the manufacture and construction of the modularised accommodation block - the Sella Ness Accommodation Facility. Sella Ness can now accommodate up to 850 people working on the project in Shetland. Alex describes the facility: “It opened in July last year and includes a shop, library, laundry, internet cafe, restaurant, gymnasium and bar, as well as a medical facility and five-a-side, all weather football pitch. It really is a very high standard facility, especially considering it’s a temporary construction, and we’re extremely pleased with it.” Also included in this phase of the project was the construction of the work site facilities including offices, canteens and locker rooms which were completed in December and are all now fully functioning.

In parallel to the work on site, the team has had significant engagement with the local Shetland community on a number of initiatives and Alex summarises the support Petrofac has provided to date: “We’ve been very proactive in partaking in activities such as beach clean-ups and the local ‘Up Helly Aa’ festival. We’ve sponsored the local charity ‘Dogs against Drugs’, the Shetland Schools Music Festival, The Tall Ships Races in Lerwick and in December hosted a Christmas lunch for 100 local elderly residents. We feel it’s crucial that we have a positive impact on the Shetland

community and we’ll continue to build on our mutually beneficial relationship over the course of the project.”

Unique to this project is the remote location of the Shetland Islands. Alex describes how this has proved challenging for the team to date: “Mobilising people to Shetland was difficult and part of our strategy involved establishing a regular charter flight from Aberdeen to Scatsta Airport with Eastern Airways. Due to local infrastructure and planning restrictions we are only allowed to transport materials by sea and so the availability of suitable vessels is a constant challenge for us.” The team has also been confronted with extreme weather conditions on Shetland: “High winds and high rainfall levels have regularly led to delays and site work being paused, particularly when cranes are involved and conditions become potentially unsafe.”

The 500 million standard cubic feet per day gas processing plant will facilitate the transportation of gas from Total’s Laggan and Tormore fields, which lie 125 km north-west of the Shetland Islands, to the Total operated St Fergus Gas Terminal in Aberdeenshire. Alex explains: “It will be made up of 62 modules, weighing between 21 and 380 tonnes, and will use 105 km of pipe and 1550 km of electrical and instrument cabling.”

Alex expands on the project’s progress: “Engineering work is progressing well from Petrofac’s offices in Sharjah and Mumbai. Fabrication of the first pre assembled pipe racks and pre assembled units continues and the first units are scheduled to arrive in Shetland in the third quarter of this year.” In preparation for this, the civil works are being executed by

subcontractor Morrison Construction. The concrete batching facility is complete which will allow concrete volumes of up to 80 cube/hour to be poured. The focus of the works is to complete all the required foundations for the arrival of the modules later in the year. The main site mechanical, piping, electrical and instrument work is also scheduled to start later in 2012 with first gas expected from the project in 2014.

Alex is looking forward to expanding the team for the next phase of the project: “We have an excellent team currently working on this project and we will need more talented people to help us deliver excellent results. We will require around 500 additional skilled and qualified individuals to join us for long-term contract positions. Among the many disciplines required, we’ll be recruiting pipefitters, platers, electricians, mechanical fitters, instrument pipefitters and riggers.”

Anyone wishing to join us on this exciting project should check our website over the coming months at www.petrofac.com for details on the opportunities as they become available.

“We have an excellent team currently working on this project and we will need more talented people to help us deliver excellent results”

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RECRUITMENT STRATEGY – INTERvIEW WITh PAUL SMIThWith ambitious growth targets over the next three years, Petrofac is aiming to move into new regions and add to our portfolio of services. Petrofacts spoke to Group Head of Resourcing, Paul Smith, to find out how our recruitment programme will ensure that we have the right people in the right places to make this happen.

Paul, Petrofac has grown very quickly over the last ten years and this is planned to continue. How does this affect your role? Petrofac’s growth in the last decade has been extraordinary: we’ve gone from employing fewer than 1,000 people in 2002, to around 16,500 people comprising more than 80 different nationalities that represent Petrofac today.

Our recruitment strategy needs to keep pace with this growth and our key objective is to ensure we have the right people with the right skills in the right geographies where we see our opportunities for growth.

Some recent developments in the business, such as the growth of our Integrated Energy Services (IES) division and the creation of our Offshore Capital Projects (OCP) business, mean we need to add different skill sets and capability to the Group. And, as we work towards achieving a significant increase in our headcount across the Group to meet our 2015 targets, we will need to further develop our current approach.

Will the type of roles you need to fill change as the business grows?We need to keep growing our well established areas of the business such as facilities engineering, project management, engineering and operations and maintenance. As we develop our upstream focused IES business we will be recruiting for different skill sets which may not have been associated with Petrofac’s capability in the past, for example specialist subsurface and asset management. As part of these developments we have built a technical centre in Woking and we are also constructing a second technical centre in Delhi, so we are effectively creating our own in-house specialist expertise and capabilities within IES.

In addition, OCP will require a specific recruitment strategy for some of the roles involved in its offshore projects.

We clearly have a key requirement for people so where will you be looking to find these new employees from?Well Petrofac already has lots of experience in training and developing workforces in countries we operate in; I think that is one of our real strengths and will continue to be a really important part of our recruitment in the future. As our business moves further into areas such as Central America and Nigeria, we will take our training and development capability with us so that we can invest in training local people.

Also, we want to continue to develop relationships with relevant technical institutes, their graduates and first job change graduates; allowing us to connect with large groups of potential employees around the world.

We often hear about how people are Petrofac’s greatest asset – how can you make sure that this remains the case while we grow?In a large business experiencing such rapid expansion, there is a danger that you can lose parts of your identity; something which is so important to us. To address this we consistently reinforce our values at a local level. We are investing a lot of time and effort into ensuring that our values are not just seen as words on a page but that they are embedded into the working day of every person across Petrofac. This will help to maintain a clear sense of what Petrofac is, wherever you are and whatever role you are in.

Our values are at the heart of what we do and define how we do it. We think that is hugely important.

“Although we are known for providing many services, we are essentially a knowledge business: our strength lies in the knowledge of our employees and how they apply it”

NamePaul SmithTitleGroup Head of ResourcingLocationLondon

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Why do you think ‘Petrofac people’ make such a difference to the business?Although we are known for providing many services, we are essentially a knowledge business: our strength lies in the knowledge of our employees and how they apply it. This means we can be both structured and opportunistic as a business which in turn gives us a flexible approach to working. This is something that we can demonstrate to our customers and partners as a real benefit.

Our employees really take responsibility and accountability for everything that they do and are proud to be part of a delivery focused business. Petrofac has three decades of entrepreneurialism that is engrained in the corporate culture; you tend to find that employees are very innovative in their approach and this is what makes our business so distinct.

As part of the ongoing growth and development, how do you plan to support existing and new employees? We are different in that we have an integrated training and competence development business within Petrofac. We inherently recognise that training really makes a difference to the development of workforce capability and competence.

We are working towards rolling out a consistent performance management programme across the Group and we will continue to use initiatives such as our internal biannual PetroVoices staff survey to further our understanding of the needs of our employees, wherever they are based.

The knowledge, experience and skill of our people has been so crucial to us up until now and we are committed to continuing this as we grow. This is true no matter where in the world they are located and irrespective of the type of role that they fulfil. These are exciting times at Petrofac and we’re looking forward to the journey ahead.

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Petrofac Offshore Projects & Operations has been awarded a multi-million dollar contract by PETRONAS Carigali Sdn bhd, a subsidiary of the Malaysian national oil company.

This significant project, for the refurbishment of the Bekok-C platform, is valued at US$220 million. Covering engineering, procurement, construction, installation and commissioning (EPCIC) services, the contract was awarded in May 2012 and is expected to be completed in around 15 months.

Located in the south-eastern section of the Malay basin, Bekok-C is a manned platform serving as a gas processing and compression hub, exporting gas from the Guntong, Tiong and Bekok fields of Block PM9, as well as production of crude oil and gas from its own wells.

Marwan Chedid, Chief Executive of Petrofac’s Engineering, Construction, Operations & Maintenance division, said: “I’m delighted that we have won this large Bekok-C refurbishment contract, which further strengthens the portfolio of important projects that we are delivering for PETRONAS Carigali Sdn Bhd in Malaysia.

“This project also represents a considerable step forward for Petrofac as we develop our leading Engineering Procurement & Construction (EPC) capability offshore. We have been working closely with PETRONAS Carigali Sdn Bhd since 2004 and will continue to use all our experience, skills and depth of services, to support their development of Malaysia’s oil & gas industry.”

PETROFAC AWARDED MULTI-MILLION DOLLAR REFURBIShMENT PROJECT

“I’m delighted that we have won this large Bekok-C refurbishment contract, which further strengthens the portfolio of important projects that we are delivering for PETRONAS Carigali Sdn Bhd in Malaysia”

With more than 1,600 employees and 230 vendor relationships, Petrofac’s team in the Asia Pacific region continues to experience growth and success.

Comprising a number of project sites, both on and offshore, a state-of-the-art technical

training facility, and offices in Malaysia, Singapore, Indonesia and Thailand, the region is a key focus area for our Group.

Here we take a look the latest news round up from across the region.

FOCUS ON ASIA PACIFIC

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BUILDING ON OUR SUCCESS IN SINGAPORE

Our team in Malaysia recently announced a strategic collaboration with Universiti Teknologi Malaysia (UTM) under which we will offer UTM’s engineering students work placements, participation in knowledge sharing forums and a place on our local graduate engineering programme.

Our fast growing operational centre located in Malaysia is actively recruiting personnel to join our Kuala Lumpur team.

Murugan Pitchai, Executive Vice President for our Engineering, Construction, Operations & Maintenance division in the Asia Pacific region commented: “Talent development and access to professional resources in our local markets is fundamental for ensuring we have a sustainable long-term business model. UTM’s charter is completely aligned with our own ethos for personnel development and excellence. Supported by the extensive experience of our teams in Malaysia, we look forward to developing our relationship further with UTM over the coming months and years.”

NEW PARTNERShIP WITh MALAYSIAN UNIvERSITY

In April this year, a celebration was held at the Keppel Shipyard in Singapore to celebrate the naming of the FPSO berantai, a floating, production, storage and offloading vessel, and to mark a recent and significant safety milestone.

The FPSO conversion project has now reached more than four million man-hours without a Lost Time Incident (LTI) and several safety awards were presented to key individuals and subcontractors who all contributed to this outstanding achievement.

The gracious Lady Sponsor Yang Berbahagia Puan Hatijah Abd Latiff officially named the FPSO Berantai. The ceremony was followed by a series of tours of the vessel, allowing the guests to appreciate the extent of the work undertaken.

To mark the occasion, there were a number of speeches and presentations made by Yang Berbahagia Encik Ramlan Abdul Malek, Vice President, Petroleum Management, E & P PETRONAS, Rob Jewkes, Managing Director, Petrofac Developments and Tong Chong Heong, CEO of Keppel Offshore & Marine.

Petrofac has opened a new office in Singapore, creating an important local hub and supporting the region’s growing team.

Opened in March by Ayman Asfari, Group Chief Executive and Andy Inglis, Chief Executive of Integrated Energy Services (IES), the office is home to our Floating Production team. It also supports the Group’s other activities including the IES and Engineering, Construction, Operations & Maintenance divisions.

One key focus for our Singapore team is the support and supervision of conversion and lay-up activities of the assets in the Floating Production fleet. By building solid relations with potential customers, the team’s aim is to expand the fleet further.

Located in the Jurong area, with easy access to both the city business district and the Singapore shipyards, the new office provides an excellent base, enabling us to get closer to our customers and partners. From here, the team will perform a range of activities including commercial and business development in the region.

Singapore office address:Petrofac Floating Production1 International business Park#03-17 The SynergySingapore 609917

FPSO BERANTAI CELEBRATES KEY MILESTONES

“Talent development and access to professional resources in our local markets is fundamental for ensuring we have a sustainable long-term business model”

Ayman Asfari, Group Chief Executive and Maarten Van Aller, Chief Operating Officer, Petrofac Floating Production, at the Singapore office opening

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HSSEIA UPDATE

Petrofac’s Annual Safety Conference took place in April with around 150 attendees from across the Petrofac Group. The conference was hosted by Chris Allen, Group Director of Health, Safety, Security, Environment and Integrity Assurance (HSSEIA) and covered a number of key topics, including safety performance, managing risk, leadership and accountability. The key theme of this year’s conference was asset integrity.

Petrofacts talks to Mike Cannavina, Head of Facilities Engineering and Asset Integrity for Integrated Energy Services, who co-presented a session at the conference alongside Richard King, Director of Integrity Assurance for our Engineering, Construction, Operations & Maintenance division, to introduce our new Asset Integrity Framework.

What is asset integrity and why do we need it? Asset integrity means building, managing and maintaining assets which are safe, reliable, operable and maintainable and that meet or exceed their specified design purpose. Delivering and assuring asset integrity is critical to Petrofac’s business, particularly where a loss of integrity can lead to poor or unreliable performance or to a major incident.

What value does the Asset Integrity Framework bring to Petrofac?The Asset Integrity Framework provides a structure to the management and assurance of asset integrity in Petrofac. It aims to give guidance for developing integrity management plans and identifying and managing integrity threats. Overall it is really designed to support our commitment to ensuring the safety of our employees and all of those involved in our operations directly and indirectly.

What are the challenges in implementing the Framework?By implementing the Framework we intend to achieve the vision and commitments of the corporate Integrity Management Policy and the Group Integrity Standard. However, one of the main challenges we face when doing so will be to ensure that it is understood by all staff across all geographies and functions. Overall accountability for integrity delivery, management and demonstration resides with the business unit Managing Directors, with implementation responsibility being assigned to project delivery teams as appropriate. It’s not enough to just talk about the importance of asset integrity; we need to instil in our employees that it is vitally important that we embed the Framework within our day-to-day operations.

What difference will it make to the business?Implementing an integrity delivery and assurance process like this can significantly reduce the likelihood and limit the consequence of an incident. Overall, we expect that it will enhance asset reliability and our production performance. Therefore, doing a good job on safety and asset integrity is a real area of importance for us and it is also a good measure of our overall performance.

Finally, if our Asset Integrity programme is to continue to be successful, communication is the key. Only then can it make a real difference to Petrofac, our customers and the 16,500 people who work here.

NameMike CannavinaTitleHead of Facilities Engineering and Asset Integrity, IESLocationLondon

Richard King (middle) and Mike Cannavina (right)

The Keynote speaker at Petrofac’s Safety Seminar was the Right Honourable Lord Cullen of Whitekirk, who led the enquiry into the Piper Alpha disaster. Lord Cullen talked to Petrofac’s leaders about the importance of asset integrity within the industry.

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The American Society of Safety Engineers GCC HSE Excellence Awards recognise and promote the leadership, excellence and exceptional Health, Safety and Environmental performance of private organisations based in the Middle East.

We are delighted to announce that our team working on Kuwait Oil Company’s effluent water injection phase-1 and sea water injection phase-2 in Kuwait has been awarded the 2012 Gold Award in the engineering and construction sector.

Commenting on the accomplishment Telfy George, Project Health, Safety, Security & Environmental (HSSE) Manager said: “I am delighted to see that our commitment to achieving the highest HSSE standards has been recognised by the industry and our peers.”

KUWAIT TEAM hONOURED FOR EXCELLENCE IN SAFETY

In March our teams in Turkmenistan put their evacuation protocols into practice by undertaking a major crisis management exercise. The exercise simulated conditions for an incident involving mass casualties, air evacuation and medical personnel. Petrofac demonstrated its readiness and capability for a rapid response in the event of a major emergency situation.

Robert Habr, the Project Sponsor commented; “Executing fast-track multi-billion dollar projects in remote locations has many challenges. Our priority is to ensure the wellbeing and safety of our employees by making sure we have the necessary safeguards in place. Mitigation measures and plans are well established and the exercises we conduct are to make sure that all parties involved are always prepared and ready in the event of an emergency situation. This particular exercise involved many parties including Turkmenistan Ministries and Agencies along with the Turkmengaz task force and project team who worked closely together to achieve this important demonstration of preparedness.”

EMERGENCY EvACUATION EXERCISE

South Yoloten team implements large scale emergency evacuation exercise.

PICTURED ABOVE: Nazih Ataya – Health Services Manager (left), Andrew Howell – Site HSSE Manager (beige overall), Vepa Rasulov – Clinic Co-ordinator (bottom left), and Petrofac and subcontractor emergency rescue teams.

Our Sharjah and Saudi teams embrace annual initiative

Our team in Kuwait accepting their award

CELEBRATING hEALTh AND SAFETY AROUND ThE WORLD

In support of the 2012 World Day for Safety and Health at Work, our teams in Sharjah and Saudi Arabia engaged in a programme of activities during April, culminating in a huge outdoor celebration in Sharjah. Around 200 members of our staff and their families came together to take part in a series of exercise workshops.

The international campaign is endorsed by associations and companies who join together to encourage preventive safety methods and promote a general culture of health. With ‘Safe’ as one of our company values, the events are a fantastic way for Petrofac to reinforce its importance.

All our employees were invited to participate in activities such as hypertension workshops and blood donation to further their understanding around the importance of safe and healthy habits both in and out of the workplace.

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A number of Country Managers have been appointed from within Petrofac to represent the Group on a range of important issues in key countries. At an inaugural Country Managers’ summit held in the UAE earlier this year, topics related to the scope and role of the Country Manager were debated.

The summit host – Petrofac’s President, Maroun Semaan – talks to Petrofacts about the initiative.

COUNTRY MANAGERS: LEADING PETROFAC’S DEVELOPMENT IN KEY COUNTRIES

Maroun, Country Managers are a new and important development for Petrofac; can you explain the background?During the last decade, the geographic distinctions in our service delivery have become blurred. As we move increasingly towards integrated project delivery, the breadth of our service capability has increased in many of the markets where we are present.

I’m sure long-standing Petrofacts readers will recall that just four or five years ago Petrofac was known predominantly in the Middle East for the provision of lump-sum engineering, procurement and construction services for onshore projects, and the UK North Sea was considered the domain of our facilities management and maintenance capability. But this is no longer the case today.

At this stage in our development, it’s critical that the cross-over between our two operating divisions is co-ordinated effectively in countries where both our Integrated Energy Services and Engineering, Construction, Operations & Maintenance divisions have a presence.

In their relevant geographies, the Country Managers have the remit to ensure such a cohesive approach is achieved.

So, who are the Country Managers and what is their specific role? Country Managers are existing members of our divisional teams who are already active within their respective geographies, either in a senior operational or business development role. In addition to their divisional responsibilities Country Managers will also dedicate a proportion of their time to representing the Petrofac Group across a range of important issues.

What types of issues will Country Managers deal with? It will actually depend on the size and complexity of our operations in the specific country. Not every Country Manager will have the same breadth of activities to manage. The main focus of the Country Managers’ role, in general, is around the co-ordination of

activities where a joined-up Group approach is desirable. So this may include: the delivery of the Group’s strategy in country, supporting business development, managing compliance, taking the lead on legal, security and logistics matters, dealing with communications, co-ordinating emergency response arrangements and developing corporate social responsibility programmes.

Are Country Managers sufficiently prepared to deal with such a range of activities? We’ve chosen a very strong team of Country Managers. We will, of course, support their ongoing development with training, where this is required. The Country Manager is responsible for ensuring that the activities I outlined earlier are undertaken to the required standards of the Petrofac Group. As you would expect, for specialist areas such as taxation or HR, support will be provided from local and Group functional teams. During the Country Managers’ conference we provided an overview of our Company vision and strategy and discussed the Country Manager role in detail. As a result, we identified a set of actions to help support the Country Managers. I’m glad to say that the group was very supportive of taking this broader, and incredibly important, role within Petrofac.

What would you say is the main benefit to Petrofac of having Country Managers? As we work towards our vision to be the world’s most admired oilfield service company we are continually reviewing and improving the way in which we conduct our business. The identification and development of our network of Country Managers is another important step towards achieving our vision. We believe this will help us to deliver a cohesive ‘one Petrofac’ approach across a diverse range of geographies. This is good for Petrofac obviously. Just as importantly, it will create improvements for all of our external stakeholders who, in addition to their divisional Petrofac contacts, can now also interface with their respective Country Manager.

“The main focus of the Country Managers’ role, in general, is around the co-ordination of activities where a joined-up Group approach is desirable”

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COUNTRY MANAGERS AND LOCATIONS:1 Keith Collins

MALAYSIA2 Tudor Gafton

ROMANIA 3 Harry Bockmeulen

MExICO 4 Bill Jack

TUNISIA5 Rob Brown

KYRGYzSTAN

11 Rawad Atieh

TURKMENISTAN12 Elman Gahramanov

AzERbAIJAN13 Imad Shanan

SAUDI ARAbIA14 Rajesh Verma

INDIA

6 Adel Haddad

ALGERIA7 Karim Osseiran

IRAq8 Marco Peruzzi

(acting)

EGYPT

9 Mohammed Al Fahoum (acting)

LIbYA

10 Malcolm Douglas

KAzAKHSTAN

15 Gordon McLeod

UNITED STATES

16 Dale Rollins

NIGERIA17 Murugan Pitchai

INDONESIA

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PETROFAC ExTENDS NORTH SEA CONTRACT WITH APACHE

In July Petrofac Offshore Projects & Operations (OPO) signed a three-year contract with Apache North Sea Limited (Apache) to provide onshore engineering and both onshore and offshore construction services to all of the Apache North Sea assets. This includes the beryl Alpha and bravo platforms in the northern North Sea and the Scottish Area Gas Evacuation (SAGE) gas processing plant at St Fergus, Aberdeenshire, UK.

The award, which is worth approximately £100 million per annum, and has two optional one-year extensions, is the result of a competitively tendered process. It represents an extension to, and continuation of, the current service contract which Petrofac holds for Apache’s Forties platforms in the UK North Sea.

Under the terms of the new contract Petrofac’s scope will also include topside brownfield and greenfield activity in addition to interfacing with subsea contractors.

Bill Dunnett, Managing Director, Petrofac Offshore Projects & Operations, said: “We have worked closely with Apache to deliver a number of highly successful projects on the Forties field since we began work in 2009. As Petrofac develops its offshore capability we are delighted that Apache has extended our responsibilities to include engineering and construction work on the Beryl field and at the SAGE gas plant.”

Jim House, Managing Director, Apache North Sea Limited, said: “Petrofac has consistently delivered against our expectations on the varied projects we have undertaken on the Forties development, including our biggest ever shutdown and turnaround project. They have also shown a relentless focus on improving safety performance and we look forward to continuing to work together to deliver our objectives across more of our North Sea assets.”

Jim house, Managing Director, Apache North Sea Limited, said: “Petrofac has consistently delivered against our expectations on the varied projects we have undertaken on the Forties development, including our biggest ever shutdown and turnaround project”

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SGC Metering (SGC), a Petrofac subsidiary, recently secured a contract with zeit Libya Oil Technical Services (zeit) to replace an existing flow metering control system on the Sarir oil field in south east Libya.

A WINNING PARTNERSHIP IN LIbYA

As part of the project, worth in excess of £300,000, SGC is supplying a new metering control system and providing the manpower to install and commission the flow computer for Zeit, a contractor working on behalf of the Arabian Gulf Oil Company (Agoco). Service engineers from SGC, based in Grangemouth, UK, have travelled to Libya to conduct the work, which has already started and will be completed on a fast track basis within 14 weeks. They are also providing onsite training for Agoco employees on how to use the new system.

Paul McIntosh, General Manager, SGC Metering commented on the award: “As part of Offshore Projects & Operations wider strategy, we are working to expand our geographic footprint,

particularly in the Middle East and North Africa region. This new project with Zeit in Libya is an important milestone for SGC and the wider Petrofac business.”

Khaled Taher, General Manager at Zeit Libya said: “Our selection of SGC/Petrofac for this project was ideal as the team at SGC worked closely with us to satisfy the needs of Agoco and provide a solution that met our requirements. Though our businesses are geographically distant, SGC was able to demonstrate its understanding of the market in which we are operating which was greatly appreciated and very important to us. We look forward to developing this relationship in the future.”

“As part of OPO’s wider strategy, we are working to expand our geographic footprint, particularly in the Middle East and North Africa region. This new project with Zeit in Libya is an important milestone for SGC and the wider Petrofac business”

A YEAR IN AbERDEEN At Petrofac, people are our most valuable asset. As part of our pilot talent management programme, Lynn Hobballah, Environmental Adviser and Siju Nambiar, Audit and Assurance Adviser came to the UK from the Middle East in March 2011. based in bridge View, Aberdeen they are more than half way through the two year programme. Petrofacts met with them to hear about their experiences so far.

Siju, a Mechanical Engineer with a background in quality, worked for Bureau Veritas and was seconded to Petrofac OEC in Sharjah in 2006. In 2008 he transferred to Petrofac and worked on many key E&C projects. Siju recalls how he was approached to take part in the talent management programme: “Andrew Mitson, Vice President, Quality and Geoff Patch, Quality Director recommended that I take part. I could see that it was a great opportunity and I was delighted to accept.”

Lynn and Siju arrived in Aberdeen in March 2011. Lynn describes what she’s achieved in her first year: “I’ve had a lot of exposure to all aspects of the environment function and have been on a structured development plan. I’ve worked with Petrofac Training Services, CO²Deepstore and on the Laggan Tormore project. I’ve also been working directly with our customers. Recently I completed my offshore survival training and took my first offshore trip to the Kittiwake platform – it was exciting.”

Over the past year Siju took part in Offshore Projects & Operations’ (OPO) Future.net development programme. He says: “It really helped me to develop my soft skills and I found

working within a dynamic team very insightful with people learning from each other’s different cultural approaches and work strategies. I’ve also really enjoyed working in corporate quality as well as on various offshore projects.” In addition to the Future.net programme, Siju has also completed project management courses, several Petrofac standards workshops and is currently undergoing a post graduate course in Quality Management.

Lynn is unsure how she’ll feel at the end of her stay in Aberdeen: “I feel like my time here has really helped me to develop at an accelerated pace.”

Siju describes the advantages he’ll have on his return to Sharjah in March 2013: “Meeting key people in Aberdeen and understanding who’s who will be very helpful when I’m working with them in the future. I’m looking forward to getting back to Sharjah and working with OPO’s corporate quality team.”

Lynn echoes this sentiment: “It’s such a great opportunity on a professional and personal level. If you work hard you will reap the benefit of this programme.”

Siju Nambiar and Lynn Hobballah

“I feel like my time here has really helped me to develop at an accelerated pace”

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PETROFAC ACqUIRES KW LTD NEW ACqUISITION BUILDS SUBSEA CAPABILITY

In February Petrofac announced its acquisition of KW Ltd, a subsea pipeline consulting and engineering services business with a strong reputation in the subsea pipeline market.

Martin barnes, General Manager, Petrofac Engineering & Consulting Services (ECS), Woking, and Andreas Kyriacou, Managing Director, KW Ltd have been working closely together since the acquisition. Here, Martin talks us through what this means for the businesses.

Expanding technical capability is a key part of your long-term growth strategy for Woking’s operations; what made KW Ltd a natural fit?We recognised the growing requirement to expand the skill sets and service offering of ECS in subsea systems and pipeline engineering in order to enhance our capability. KW has expertise and a strong track record in this area and this provides the platform from which we can expand the breadth and depth of our services. It also brings access to their extensive customer base with a strong subsea focus, comprising international, independent and national oil companies.

“The KW team has an impressive track record having worked on many industry leading examples of subsea developments and subsea pipeline projects”

KW LTD INTERNATIONAL PROJECT EXPERIENCE

Design (detailed, conceptual and FEED)Owner engineer and design support Lateral buckling/pipeline walkingHPHT and pipe-in-pipe

Inspection, repair and maintenance

Deepwater

Carbon capture/gas storage

1 Irish Sea ••• 2 Ireland •

3 Canada ••

4 Gulf of Mexico •

5 Mexico •6 Trinidad ••7 Ivory Coast •••8 Ghana ••9 Nigeria •••

10 Gabon •

11 Angola ••12 Australia •13 Indonesia •••14 Vietnam •15 India ••16 Dubai ••17 UAE ••18 qatar •

19 Saudi Arabia •

20 Kuwait ••21 Iraq •22 Jordan •••23 Israel •24 Cyprus •25 Italy •26 Turkey •27 Caspian Sea •

NameMartin barnesTitleGeneral Manager, ECSLocationWoking

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Where do you see KW’s capabilities adding value to our existing offering?The KW team has an impressive track record having worked on many industry leading examples of subsea developments and subsea pipeline projects. These include more than 60 concept, front end engineering design (FEED) and detailed design projects in addition to asset integrity engineering and enhancement and many more. They have built their reputation by often working in extreme conditions, for example working outside current code limits to develop design solutions for High Pressure High Temperature (HPHT) fields, sour gas, deepwater and other challenging environments. This all complements our existing services in that it can be applied to the expansion of mature assets or the development of new fields.

What new opportunities will this acquisition allow you to explore?In line with our strategy to provide services on a more integrated basis, we plan to combine our capabilities to offer our customers a fully integrated engineering design service. This will cover projects such as offshore subsea, floating and fixed facilities, offshore pipelines and onshore facilities. This approach has been demonstrated with the recent award of a FEED contract for the Rialto Gazelle field, offshore the Ivory Coast. This comprises an offshore wellhead and compression platform, oil & gas export pipelines to shore and tie-in to existing onshore facilities.

Another aspect of KW’s capability is their capacity for problem solving across all phases of a project. This often results in access to early phase projects in new markets. For example, the team currently provides subsea pipeline solutions to PEMEX offshore Mexico and, through this relationship, is exploring potential FEED and detail design project opportunities. KW is also in early discussions with Petrobras which has shown keen interest in KW’s deepwater and HPHT capabilities.

How will KW function within the Petrofac Group and where will the new team be based?KW will operate as part of the ECS business unit but the intention is to maintain its strong brand and continue its business autonomy. Where appropriate KW will work closely with ECS and other businesses within the Petrofac Group to provide a fully integrated service to our customers.

With existing offices in Aberdeen, Woking and Norway, the KW team will align more closely with the rest of Petrofac as we continue to develop our offshore offering. In Norway, our aspiration is to establish an ECS operating centre and KW’s operations will be a key element of this growth plan.

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Petrofac has recently expanded its activities in Nigeria with the opening of a dedicated operation in Lagos.As we continue to focus on building local delivery capability, we are pleased to announce the opening of a new office. Building on the successful alliance we have in place with leading Nigerian production and development company Seven Energy, our Lagos office will continue to build on the capability we have already established in country.

The Lagos team is recruiting local personnel in order to ensure we have a long-term sustainable service offering for the Nigerian market.

Craig Muir, Managing Director, Engineering & Consulting Services said: “Establishing and growing our local presence in Nigeria will be key to our ability to deliver a variety of

work scopes locally in the future. As we have witnessed through our collaboration with Seven Energy, there are great opportunities in the market and I look forward to strengthening our presence in country as the Lagos team expands.”

ExPANDING OUR SERVICE OFFER IN THE NIGERIAN MARKET

IMPROVING EFFICIENCY THROUGH SUPPLY CHAIN COLLAbORATION

Bede Nwete, Supply Chain Manager, explains: “An example of how this is working is illustrated by the recent catering contract awarded to Sodexo. Several companies had been providing catering services across the Heather, Thistle, Northern Producer and Kittiwake assets, so the requirements were consolidated and tendered competitively. Sodexo was appointed to provide services across all of these assets resulting in significant savings; improvements to service quality; and infrastructure refurbishment.”

Bede continues: “Our customers will see this saving directly and for us and Sodexo the management of the contract has become much easier and leaner.”

The team has applied this approach to a number of other critical services, including fabric maintenance and chemical management, and is currently working on integrity management and verification services. Bede concludes: “This change also means we’re speaking to our suppliers with one voice, which can only be a good thing.”

With a history of taking on assets from other service providers and customers, it was natural that Petrofac Offshore Projects & Operations would play host to a number of contracts from the same providers or have multiple providers working across assets. With up to six legacy contracts with any one provider the supply chain team saw an opportunity to use the size of the business to leverage our spend in the market, streamline our critical contracts and better manage our supplier relationships.

SURESH GORANA PRESTIGIOUS ACCOLADE FROM IChemEEarlier this year, Suresh Gorana, a Subject Matter Expert (SME) in our Onshore Engineering & Construction business, was received both as a Chartered Engineer and Fellow by the Institute of Chemical Engineers (IChemE).

“In the past, I had never expected that I would have a formal involvement with the IChemE; however all this changed when I was selected to be a SME in Petrofac. I thought I could definitely add value to my SME role by gaining accreditation with the IChemE”, commented Suresh on his recent achievements.

The accolade is particularly prestigious given that fellow status is usually only granted to those who already hold chartered status; gaining both at once shows an outstanding contribution to the industry. Suresh gained both statuses at the same time following an interview with an IChemE panel of experts.

The panel was highly impressed with Suresh as he described his role within Petrofac along with the vast international experience he has gained over the last three decades. His eagerness and continuous efforts to transfer knowledge to a younger generation of chemical engineers also played a pivotal role in the decision to appoint Suresh as a Fellow.

Suresh has already started giving back to this prestigious institution, contributing to the formulation of the IChemE’s Global Policy for 2012 on subjects such as energy, water, health and wellbeing as well as food and nutrition. Suresh is currently writing a book called ‘Practical Engineering and Troubleshooting’ which he hopes will become a valuable manual for chemical engineers.

Suresh Gorana, Subject Matter Expert, Petrofac

Page 29: Petrofacts August 2012

think.feel.create

It is extremely encouraging that the competition has developed such a strong reputation over the last few years. With around 16,500 talented employees worldwide, we have received stunning images from around the globe representing the multi-cultural strength of our company. however with that, there is a pleasant challenge; that of judging the entries. Shortlisting and selecting the eventual winners is not a task for the faint-hearted. A professional photographer and experienced graphic designer are central to the judging team to ensure production of a best in class calendar for 2013.

We Will announce the Winners later in the year, in the meantime here are some of the fantastic entries We received.

…the inspirational theme of this year’s Picture Petrofac calendar competition.

We have seen a great collection of photographs from our employees this year.

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August 2012

Clare bebbington Group Head of External AffairsClare Bebbington joined Petrofac’s London office in June to take up the position of Group Head of External Affairs, reporting to Group Chief Executive, Ayman Asfari. Clare will lead the new External Affairs function which incorporates the existing Corporate Communications and Corporate Social Responsibility teams.

Before joining Petrofac Clare spent more than 20 years with BP where she held a number of roles, including Communications and External Affairs Lead in both Azerbaijan and Iraq. Most recently, as Vice President for Communications and External Affairs, she was responsible for overseeing BP’s global upstream projects. Clare holds a BA (Hons) History degree from St Catherine’s College, Oxford.

Stephen Tighe Group Head of Enterprise RiskStephen Tighe has joined Petrofac as Group Head of Enterprise Risk, based in London. Stephen will lead the Enterprise Risk function which will involve guiding global enterprise risk management strategy and the development and delivery of risk reporting and monitoring programmes.

Stephen joins us from EDF Energy where he was responsible for the design and deployment of its new company Control Framework and latterly Head of Enterprise Risk Modelling, Nuclear New Build. His previous roles include Global Head of Risk for Bovis Lease and Group Risk and Insurance Manager for WS Atkins. He is a Fellow of the Institute of Risk Management, a Member of the Chartered Management Institute and a Member of the Association for Project Management.

Dale Rollins Senior Vice President and Country Manager, NigeriaDale Rollins joined Petrofac in April as Senior Vice President, Nigeria. In this newly created position, Dale is responsible for the development and delivery of the Integrated Energy Services business in Nigeria. Prior to joining Petrofac, Dale spent 24 years with Shell where he held various positions including CEO for Salym Petroleum, a Shell Joint Venture in Russia, and Deputy Managing Director for Shell Petroleum Development Nigeria. Dale was most recently the COO for Orca Exploration, active primarily in Tanzania. Dale is currently based in the UK but will be re-locating to Nigeria later this year.

Ganendra Sathiamoorthy Regional Financial Controller, ECOM S. Ganendra has joined our Engineering, Construction, Operations & Maintenance (ECOM) division in Malaysia as Regional Financial Controller. He will initially lead the Finance department for ECOM, Asia Pacific, covering our Malaysia and Singapore operations. S. Ganendra has more than 20 years’ experience and has held many such senior roles with the likes of Emery Oleochemical and WorleyParsons. He is also a Fellow Member of the Association of Chartered Certified Accountants and a member of the Malaysian Institute of Accountants.

Jonathan Duffy Director, UK South and Renewables – Operations, OPOJonathan Duffy has been appointed to the post of Director, UK South and Renewables – Operations within Petrofac’s Offshore Projects & Operations (OPO) business unit.

Jonathan has more than ten years’ experience in the offshore wind industry and was involved in developing the offshore operations and maintenance activities for Airtricity and SSE Renewables. He joins the Group at a time when we are looking to capitalise on the skill and resource synergies within our renewables and operations service lines, and expand our offshore wind maintenance capabilities. Jonathan is a Chartered Engineer and holds a Bachelor of Engineering degree from Trinity College Dublin and Master of Science from Loughborough University.

Murugesu Ramachandran Director, Commercial and Services Murugesu (Ram) Ramachandran has joined our ECOM division in Asia Pacific as Director, Commercial & Services. Ram is a Chartered Professional Engineer with more than 34 years of international oil & gas experience, both onshore and offshore. Prior to joining Petrofac, Ram held a range of senior and executive management positions such as Executive Vice President for MIS Sharjah, General Manager – Operations for Clough Australia, Group Commercial & Risk Manager for Clough Group and Project Director and Area Contracts Manager for McDermott Dubai.

Mohamed Siraj Abdul Razack Director, Organisational Development and business, ECOM Based in Kuala Lumpur, Mohamed Siraj Abdul Razack recently joined our Engineering, Construction, Operations & Maintenance division as Director, Organisational Development and Business Planning. A process engineer by training, Mohamed has accumulated 22 years of onshore and offshore oil & gas experience and ten years of experience in environment management and the renewable energy sector. Mohamed previously held roles as Managing Director of MMC Oil & Gas division, he was founding CEO of Gas Malaysia, as well as Senior Vice President of Wasco Energy.

Nadi Fakhoury Human Resources Director, OEC Nadi Fakhoury recently joined our Onshore Engineering & Construction business in the capacity of HR Director.

Based in Sharjah, Nadi has 22 years of experience in HR across the Middle East and Africa region and has worked in regional roles for several multinational and Middle East based businesses, including NPCC for almost a decade, followed by Accenture, Investcom Telecommunication Group, NFPC and Agility Logistics. Nadi graduated from American University of Beirut with a bachelor degree in arts and economics.

NEW APPOINTMENTS

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petrofac.com

OFFICE LOCATIONS

INTERESTED IN A CAREER WITH PETROFAC? JOIN AROUND 16,500 PETROFAC PEOPLE ACROSS THE GLObE bY REVIEWING OUR CURRENT VACANCIES AND APPLYING ONLINE AT:

WWW.PETROFAC.COM/OPPORTUNITIES

Main operational centres

Sharjah, United Arab Emirates Petrofac House, Al Khan Road,PO Box 23467, Sharjah, United Arab Emirates T: +971 6 574 0999 F: +971 6 574 0099

Aberdeen, Scotland Bridge View, 1 North Esplanade West, Aberdeen, AB11 5QF, United Kingdom T: +44 1224 247000 F: +44 1224 247001

Woking, England Chester House, 76-86 Chertsey Road Woking, Surrey, GU21 5BJ, United Kingdom T: +44 1483 738 500 F: +44 1483 738 501

Kuala Lumpur, MalaysiaLevel 50, Tower 2, PETRONAS Twin Towers, Kuala Lumpur City Centre, 50088 Kuala Lumpur,Malaysia T: +6 03 2382 2700 F: +6 03 2300 2241

Mumbai, India Petrofac Engineering India Pvt Ltd,7th Floor, Ventura, Central Avenue, Hiranandani Business Park, Powai, Mumbai 400076, IndiaT: +91 22 3051 3100 F: +91 22 2570 4705

Chennai, IndiaDLF Infocity SEZ, 7th Floor, Block 9A, 1/124 Shivaji Gardens, Nandambakkam Post, Manapakkam, Ramapuram, Chennai - 600 089, IndiaT: +91 44 3927 3000 F: +91 44 3927 3100

Abu Dhabi (Petrofac Emirates)Abu Dhabi Business Hub, ICAD-1, Block A, 2nd Floor, PO Box 9398Abu Dhabi, United Arab Emirates T: +971 2 810 4000 F: +971 2 810 4801

Country offices

AlgeriaTour ABC, Pins Maritimes Mohamadia, Alger, Algeria T: +213 21 89 15 52 / +213 21 89 15 55 F: +213 21 89 15 54

China 21F Tower A, Focus Center, No. 6 Futong Avenue, Wangjing Chaoyang  District, Beijing 100102, China T: +86 10 8453 9288 F: +86 10 8453 9388

IndiaDLF Cyber City, 12th Floor, Tower B, Building 14,Sector 24/25A, Gurgaon – 122 002, Haryana, IndiaT: +91 124 387 8000 F: +91 124 387 8111

IndonesiaJL. Prof. Dr. Soepomo No. 42, Jakarta 12870,Indonesia, PO Box 8077 JKSTB12810AT: +62 21 829 8080 F: +62 21 829 0030

IraqAl-Jazair, Near Mnawi Basha Hotel, Basra, IraqT: +964 7800 6750000

ItalySede Secondaria Italiana, Via Mola 48 (primo piano), 20156 Milan, ItalyT: +39 02 89691638 / 89691689 F: +39 02 89691798

KazakhstanOffice No. 605, 6th Floor, 19th Satpayeva Street,Business Centre, Atyrau Plaza, Atyrau 060011,KazakhstanT: +7 7122 973 500 F: +7 7122 973 501

Kuwait Eastern Plaza Building (ground floor),Block 8, Plot No. 42, Ahmadi Industrial Area,PO Box 9816, Ahmadi – 61009, KuwaitT: 965 2228 1405 – 408 F: +965 2228 1409

Kyrgyzstan 202 Promyshlennaya Street, Jalal-Abad 715600, Kyrgyz Republic T: +996 3722 55505 F: +996 3722 52315

MexicoProl. 27 de Febrero, No. 4506, Tabasco 2000,Villahermosa, Tabasco, Mexico CP 86035T: +52 993 317 7790

NetherlandsKanaalpark 145, 2321 JV Leiden, The NetherlandsT: +31 71 789 0717 F: +31 71 572 7735

Nigeria17 Chief Yesuf Abiodun Way, Oniru, Lagos, Nigeria3rd Floor CCP PlaceT: +234 1 462 5520 F: +234 1 462 5521

OmanPO Box 2012, PC 111, CPO Seeb, Block No. 205,Al Nadha Tower, Near Safeer International HotelAl- Khuwair, Sultanate of OmanT: +968 24484525 F: +968 24487942

qatar Al Emadi Financial Square, Building 2Al Muntazah C-Ring Road, PO Box 2895 Doha, Qatar T: +974 4 419 2426 F: +974 4 44 11 008

RomaniaLitexco Stirbei Center, 104 - 106 Stirbei Voda Street, Sector 1, Bucharest 010119, RomaniaT: +40 0372 136 500 F: +40 0372 136 532

Russia5th Floor, 23 Novoslobodskaya Street,127055 Moscow, RussiaT: +7 495 933 78 84 F: +7 495 935 78 84

Saudi ArabiaNSH Tower, 5th Floor, Khobar-Dammam Highway,PO Box 77378, 31952, Al-Khobar, Kingdom of Saudi ArabiaT: +966 810 1222 F: +966 814 6917

Singapore1 International Business Park, #03-17 The Synergy, Singapore, 609917

SudanAl-Tayf, Nakhil St 11, House No 220, Block 23, Khartoum, Sudan T: +24 9183 241795 F: +24 9183 241097

SyriaMazah Eastern Villas, Jade Sharjah, Al Farabi Street, Al Hamami Building No. 36, Damascus, Syria T: +963 11 6127714 F: +963 11 6125106

ThailandPetrofac South East Asia Pte Ltd, 5th Floor, Q House Ploenjit Building, 598 Ploenjit Road, Lumpini, Phathumwan, Bangkok 10330, ThailandT: +662 650 991113

TunisiaPetrofac Developments Int. Ltd, Lake Forum Business Centre, Entree B, Les Jardins du Lac, 3rd and 4th Floor, 1053 Tunis, Les Berges du LacT: +216 70 010 500

TurkmenistanPetrofac International (UAE) LLC, Impash Business Centre, 6th Floor, 601 to 605, 54 Turkmenbashy Street,Ashgabat – 744013, TurkmenistanT: +993 12 455106/07/08 F: +993 12 457507

United States1254 Enclave Parkway, Suite 625, Houston,TX 77077–1885, USAT: +1 832 379 0500 F: +1 832 379 0502

Registered office

Petrofac Limited, Ogier House, The Esplanade,St Helier, Jersey JE4 9WG

Petrofac Corporate Services

4th floor, 117 Jermyn StreetLondon SW1Y 6HH, United KingdomT: +44 20 7811 4900 F: +44 20 7811 4901

Integrated Energy Services

2nd floor, 117 Jermyn StreetLondon SW1Y 6HH, United KingdomT: +44 20 7811 4700 F: +44 20 7811 4701

Training centres

AzerbaijanGaradagh Industrial Park, Salayan Highway 22km,Baku, AzerbaijanT: +994 12 545 9156/7 F: +994 12 545 9160

RussiaPKT Training Services Limited,Sakhalin Technical Training Centre, Mira Ave, 6G,Yuzhno-Sakhalinsk 693000, RussiaT: +742 42 505261 F: +742 42 505855

ScotlandBlackness Avenue, Altens, Aberdeen, AB12 3PG,United KingdomT: +44 1224 899707 F: +44 1224 244752

North Esplanade East, Aberdeen, AB11 5QD,United KingdomT: +44 1224 899707 F: +44 1224 244752

Forties Road Industrial Estate, Montrose, DD10 9ET, United Kingdom T: +44 1674 672230 F: +44 1674 667334

SingaporePetrofac Training Pte Ltd, Chemical ProcessTechnology Centre, 81 Jurong Island Highway, Singapore 237837T: +65 6880 2000 F: +65 6896 7151

United States1110 Enclave Parkway, HoustonTX 77077-1885, USAT: +1 281 558 5820 F: +1 281 558 5535

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August 2012

To be the world’s

most admired oilfield service

company