Managing Construction Projects in Oil and Gas

2013 ◽  
pp. 273-390
Keyword(s):  
Construction Projects ◽  
Oil And Gas

Access and Logistics Challenges in Mountain Terrain Pipeline Projects

2014 ◽  
Author(s):  
Mark McDougall ◽  
Ken Williamson
Keyword(s):  
Construction Projects ◽  
Large Scale ◽  
Oil And Gas ◽  
Large Diameter ◽  
Gas Production ◽  
Additional Time ◽  
Oil And Gas Production ◽  
Road Design ◽  
Regulatory Constraints ◽  
The Right

Oil and gas production in Canada’s west has led to the need for a significant increase in pipeline capacity to reach export markets. Current proposals from major oil and gas transportation companies include numerous large diameter pipelines across the Rocky Mountains to port locations on the coast of British Columbia (BC), Canada. The large scale of these projects and the rugged terrain they cross lead to numerous challenges not typically faced with conventional cross-country pipelines across the plains. The logistics and access challenges faced by these mountain pipeline projects require significant pre-planning and assessment, to determine the timing, cost, regulatory and environmental impacts. The logistics of pipeline construction projects mainly encompasses the transportation of pipe and pipeline materials, construction equipment and supplies, and personnel from point of manufacture or point of supply to the right-of-way (ROW) or construction area. These logistics movement revolve around the available types of access routes and seasonal constraints. Pipeline contractors and logistics companies have vast experience in moving this type of large equipment, however regulatory constraints and environmental restrictions in some locations will lead to significant pre-planning, permitting and additional time and cost for material movement. In addition, seasonal constraints limit available transportation windows. The types of access vary greatly in mountain pipeline projects. In BC, the majority of off-highway roads and bridges were originally constructed for the forestry industry, which transports logs downhill whereas the pipeline industry transports large equipment and pipeline materials in both directions and specifically hauls pipe uphill. The capacity, current state and location of these off-highway roads must be assessed very early in the process to determine viability and/or potential options for construction access. Regulatory requirements, environmental restrictions, season of use restrictions and road design must all be considered when examining the use of or upgrade of existing access roads and bridges. These same restrictions are even more critical to the construction of new access roads and bridges. The logistics and access challenges facing the construction of large diameter mountain pipelines in Western Canada can be managed with proper and timely planning. The cost of the logistics and access required for construction of these proposed pipeline projects will typically be greater than for traditional pipelines, but the key constraint is the considerable time requirement to construct the required new access and pre-position the appropriate material to meet the construction schedule. The entire project team, including design engineers, construction and logistics planners, and material suppliers must be involved in the planning stages to ensure a cohesive strategy and schedule. This paper will present the typical challenges faced in access and logistics for large diameter mountain pipelines, and a process for developing a comprehensive plan for their execution.

scholarly journals A three-step process for reporting progress in detail engineering using BIM, based on experiences from oil and gas projects

2019 ◽  
Vol 26 (4) ◽  
pp. 648-667 ◽  
Author(s):  
Øystein Mejlænder-Larsen
Keyword(s):  
Construction Projects ◽  
Oil And Gas ◽  
Case Study Research ◽  
Oil And Gas Industry ◽  
Information Modeling ◽  
Content Type ◽  
Step Process ◽  
Information Models ◽  
Building Information ◽  
Building Information Models

Purpose Traditionally, progress in detail engineering in construction projects is reported based on estimates and manual input from the disciplines in the engineering team. Reporting progress on activities in an engineering schedule manually, based on subjective evaluations, is time consuming and can reduce accuracy, especially in larger and multi-disciplinary projects. How can progress in detail engineering be reported using BIM and connected to activities in an engineering schedule? The purpose of this paper is to introduce a three-step process for reporting progress in detail engineering using building information modeling (BIM) to minimize manual reporting and increase quality and accuracy. Design/methodology/approach The findings of this paper are based on the studies of experiences from the execution of projects in the oil and gas industry. Data are collected from an engineering, procurement and construction (EPC) contractor and two engineering contractors using case study research. Findings In the first step, control objects in building information models are introduced. Statuses are added to control objects to fulfill defined quality levels related to milestones. In the second step, the control objects with statuses are used to report visual progress and aggregated in an overall progress report. In the third step, overall progress from building information models are connected to activities in an engineering schedule. Originality/value Existing research works related to monitoring and reporting progress using a BIM focus on construction and not on detail engineering. The research demonstrates that actual progress in detail engineering can be visualized and reported through the use of BIM and extracted to activities in an engineering schedule through a three-step process.

Structural modelling of internal risk factors for oil and gas construction projects

2020 ◽  
Vol 14 (5) ◽  
pp. 975-1000
Author(s):  
Mukhtar A. Kassem ◽  
Muhamad Azry Khoiry ◽  
Noraini Hamzah
Keyword(s):  
Risk Factors ◽  
Construction Projects ◽  
Oil And Gas ◽  
Project Success ◽  
Partial Least Square ◽  
Oil Field ◽  
Path Coefficient ◽  
Content Type ◽  
Oil Companies ◽  
The Relationship

Purpose Project failure is the result of one or a combination of several causes of risk factors that are very important to identify for effective performance. This study aims to focus on studying the fundamental relationship between internal risk factors and the negative effect on oil and gas project success in Yemen using the partial least square structural equation modelling (PLS-SEM) method. Design/methodology/approach Data collection was carried out using a formal questionnaire survey of the oil field sector in Yemen by companies involved in mega-oil and gas construction projects. A hierarchical model for determining causative internal risk factors and their effects was developed and evaluated using SEM method by SmartPLS3 software technology. Findings The findings of analyzing model indicate that all categories have a significant effect on project success, while the most significant affected categories in the internal risk factors are project management factors, feasibility study-design and resources-material supply with a path coefficient value of 0.213, 0.197 and 0.186, respectively. Moreover, for the hypotheses test, the positive relationship means that all experimental hypotheses are accepted according to path coefficient value analysis. In addition, the internal risk factors research model shows the ranking of effects on project success starting with project stoppage (loading factor 0.841), cost overruns (loading factor 0.818), time overruns (loading factor 0.726) and project target failure with loading factor 0.539. Research limitations/implications The research was limited to the oil and gas construction projects in Yemen. Practical implications Interpreting the relationship between internal risk factors and their impact on the success of construction projects in the oil and gas sector will assist project team and oil companies in developing risk response strategies and developing appropriate plans to mitigate the effects of risks, which is presented in this paper. Originality/value The paper explains the relationship between cause and effect of internal risk factors in oil and gas projects in Yemen, and is expected to be a guideline for the oil companies and future academic research in the risk management area.

scholarly journals Onshore Oil and Gas Design Schedule Management Process Through Time-Impact Simulations Analyses

2019 ◽  
Vol 11 (6) ◽  
pp. 1613
Author(s):  
Daekyoung Yi ◽  
Eul-Bum Lee ◽  
Junyong Ahn
Keyword(s):  
Construction Projects ◽  
Oil And Gas ◽  
The Body ◽  
Management Process ◽  
Design Phase ◽  
Project Schedule ◽  
Schedule Management ◽  
Body Of Knowledge ◽  
Design Activities ◽  
Design Schedule

Korean oil and gas contractors have recently incurred significant losses due to improper engineering performance on EPC (engineering procurement and construction) projects in overseas markets. Several previous studies have verified the significant impact engineering has on EPC construction cost and project lifecycle. However, no literature has studied the time impact engineering has on EPC projects, representing a gap in the existing body of knowledge. To fill this gap, a Monte Carlo simulation was performed with the Pertmaster, Primavera risk analysis software for three sample onshore oil and gas projects. From said simulation of all major EPC critical activities, the authors found that the engineering phase is up to 10 times as impactful as the procurement and construction phases on the overall schedule duration. In assessing the engineering activities, the authors found the piping design activities to have the greatest impact on the overall schedule performance. Using these findings, the authors present a design schedule management process which minimizes the delays of project completion in EPC projects. Said process includes the following six steps: (1) Milestone management, (2) drawing status management, (3) productivity management of engineering, (4) interface management, (5) management of major vendor documents, and (6) work front management. The findings of this paper add to the body of knowledge by confirming the design phase to be the most impactful on the overall project schedule success. Furthermore, the presented design schedule management will aid industry with successfully executing the design phase in a timely manner, including examples from case study projects for a greater understanding.

scholarly journals DEMATEL-ANP Risk Assessment in Oil and Gas Construction Projects

2017 ◽  
Vol 9 (8) ◽  
pp. 1420 ◽  
Author(s):  
Gholamreza Dehdasht ◽  
Rosli Mohamad Zin ◽  
M. Ferwati ◽  
Mu’azu Mohammed Abdullahi ◽  
Ali Keyvanfar ◽  
...  
Keyword(s):  
Risk Assessment ◽  
Construction Projects ◽  
Oil And Gas

Planning for Construction Work in Cold Climate Regions

2012 ◽  
Author(s):  
Ove T. Gudmestad ◽  
Daniel Karunakaran
Keyword(s):  
Construction Projects ◽  
Oil And Gas ◽  
Barents Sea ◽  
Weather Conditions ◽  
Cold Climate ◽  
Construction Work ◽  
Oil And Gas Exploration ◽  
Weather Forecasts ◽  
Physical Conditions ◽  
Polar Low

With increased interests in oil and gas exploration in cold climate regions, it is not realistic that all construction activities can take place during the short summer and work will continue into the early fall and possibly later. The offshore contractors must, therefore, be ready to participate in construction work in these regions during an extended season, i.e. outside the summer season with milder weather conditions. It is also important that some key work-intensive activities (e.g. pipe laying) can start as early as possible in the season. This paper will discuss the challenges associated with construction work in cold climate regions with emphasis on the physical conditions, in particular with reference to Polar Low Pressures and the potential for icing, as well as the logistics of working long distances from established supply bases. Large uncertainties in weather forecasts call for proper management decisions accounting for the specifics of the area. Long periods of “waiting on weather” might result and management must have the patience to wait until safe operations can commence. Emphasis will be on the Barents Sea where recent hydrocarbon findings have proven very encouraging and where a huge area soon will be opened for exploration, following the agreement on the border between Norway and Russia, potentially calling for joint Norwegian–Russian construction projects (Bulakh et al., 2011).

Integrating Cloud in Engineering, Procurement and Construction Contract

2020 ◽  
Vol 17 (2) ◽  
pp. 893-901
Author(s):  
Naqiyatul Amirah Mohd Said ◽  
Nur Emma Mustaffa ◽  
Hamizah Liyana Tajul Ariffin
Keyword(s):  
Cloud Computing ◽  
Value Chain ◽  
Construction Projects ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Technical Aspect ◽  
Financial Risks ◽  
Gas Industry ◽  
Course Of Action ◽  
Oil And Gas Companies

Engineering, Procurement, and Construction Contract is a project delivery method in the oil and gas industry. However, the complexity of Engineering, Procurement and Construction projects inevitably leads to issues of project management, risk and technical to occur. Therefore, oil and gas players demand a course of action in minimizing the issues arise in this project. Digitalization in the oil and gas trade indeed offers benefits in the upstream value chain of exploration, development, and production, which Engineering, Procurement and Construction projects take place. Oil and gas companies had been focusing too much on digitizing technical work until the non-technical aspect has been abandoned. Therefore, this study presents and discusses the issues in Engineering, Procurement and Construction contract specifically in the Malaysian oil and gas industry. This is a descriptive study and the methodology used is essentially based on the review of the literature in relation to Engineering, Procurement and Construction contract and the findings of a pilot study in relation to Engineering, Procurement and Construction contract and cloud computing. The analysis revealed that the characteristics of cloud computing in relation to the adoption of Engineering, Procurement and Construction contract helps in empowering collaboration among stakeholders, allow oil and gas companies work highly automated, improve the performance of upstream oil and gas industry, improve speed and minimize financial risks, delayed in schedule as well as improving the quality of the project.

scholarly journals CONSTRUCTABILITY IN INDUSTRIAL PLANTS CONSTRUCTION: A BIM-LEAN APPROACH USING THE DIGITAL OBEYA ROOM FRAMEWORK

2017 ◽  
Vol 23 (8) ◽  
pp. 1100-1108 ◽  
Author(s):  
Daniel Luiz de Mattos NASCIMENTO ◽  
Elisa Dominguez SOTELINO ◽  
Thiago Pires Santoloni LARA ◽  
Rodrigo Goyannes Gusmão CAIADO ◽  
Paulo IVSON
Keyword(s):  
Construction Projects ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Information Modeling ◽  
Lean Thinking ◽  
Gas Industry ◽  
Common Solution ◽  
Planning And Control ◽  
Building Information ◽  
And Control

One of the main problems the construction industry faces is the high cost and slow execution time due to inadequate planning, which results in poor use of human resources. A common solution for reducing time and costs is the adoption of prefabricated components (prefabs). This paper proposes a novel methodology for interdisciplinary man­agement of construction projects by integrating Building Information Modeling (BIM) and Lean Thinking to improve the production planning and control of pipe-rack modules in an industrial facility. The article first presents a literature review to assess the key synergies between BIM and Lean Thinking. These led to the development of a new integrated work methodology named Digital Obeya Room. This model focuses on the required workflows, the analysis of collected data, and the visual management of construction planning and control. A real-world empirical study in the Oil and Gas industry evaluated how the newly devised practices could improve prefabrication and preassembly planning. The pro­posed methodology was capable of reducing the welding-time in 8.7% related on global prefabrication average in con­struction projects from Fails Management Institute (FMI) prefabrication report survey 2017.

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