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Saudi Aramco Engineering Standards

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International Standards Workshop for the Global Oil & Gas Industry Doha April 3-4, 2006. Saudi Aramco Engineering Standards. Nabil A. Al-Nuaim , Coordinator Saudi Aramco Engineering Standards. OBJECTIVES OF PRESENTATION. Present standards administration Structure Share standards strategies.

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  1. International Standards Workshop for the Global Oil & Gas IndustryDoha April 3-4, 2006 Saudi Aramco Engineering Standards Nabil A. Al-Nuaim, CoordinatorSaudi Aramco Engineering Standards

  2. OBJECTIVES OF PRESENTATION • Present standards administration Structure • Share standards strategies

  3. OUTLINE • Standards Documents & Statistics • Standards Review Cycle • Standards Administration Structure • Standards Strategies

  4. 1021 600 617 603 0 1-Mandatory Docs(MSAERs) 2-None Mandatory Docs 3-Engineering Forms The standards documents incorporate . . . . . . . . 50 yrs+ of documented knowledge and experience(Based on industry Standards:Clarifications,AdditionsorExceptions)

  5. 1-Mandatory Documents . . . . . . . . . . (1021Documents,34disciplines) Standards Management & Procedures(SAEPs) Design and Construction(SAESs) 12% 27% 25% 36% (SAMSSs) Materials or Equipment Procurement (SASDs) Standard Installation Drawings

  6. 2-Non-Mandatory Documents . . . . . . . . . . (617Documents) Design, Equipment O&M and Testing (Best Practices) Typical Installation Drawings for repeated use (Library Drawings) 2% 22% 76% (Engineering Encyclopedia) Standards SupportingDocs & Course Materials

  7. 3-Engineering Forms . . . . . . . . . . (603Documents) Site Performance Evaluation Pre-Commissioning Manufacturer Drawings and Cataloging of Spare Parts Non-Material Requirements(NMRs or 7900) Confidential Bid Equalization Life Cycle Cost (LCCs) 2% 13% 7% 46% 32% Spec andData Sheets Data, Operating Limits & Equipment data Inspection Requirements(175 forms) Inspection and Testing

  8. OUTLINE • Standards Documents & Statistics • Standards Review Cycle • Standards Administration Structure • Standards Strategies

  9. Time-based – (3-5) years • Planned major revisions • Value Engineering studies Event-based • Capital Program • Waivers • Feedback from users Time-based - annual • Standards evaluation survey • Standards Quality Index Standards Review Cycle . . . . . . . . . . Alignment with Industry/International Standards Continuous Revisions: (Minor, Major or Editorial) '5' Years When Required Yearly

  10. OUTLINE • Standards Documents & Statistics • Standards Review Cycle • Standards Administration Structure • Standards Strategies

  11. Administration Structure . . . . . . . . . . Board Of Engineers (BOE) Chairman – Chief Engineer 28 members • BOE Responsibilities: • Guidance on technical issues • Administration of standards processes Standards Coordination (BOE Secretary) • Systems: • SAP e-Standards System for BOE approvals of new & revisions of standards • SAP e-Waiver System for waiving requirements • SAP e-RVL for managing manufacturers approved list • Web-based e-SMS for managing standards database and activities Procedures:SAEP-110, 119, 125, 134, 301, 302 Responsible Organizations (15) Standards Committees (34) Committee Members (359)

  12. 4-Rotating Equipment HVAC Onshore Structure Paints & Coatings Offshore Structure Valves Vessels Co-generation Heat Transfer Civil Piping 4-Electrical Materials & Corrosion Welding Pluming & Utilities Cathodic Protection Other Organizations Instrumentation Loss Prevention Flare System Design Non-destructive Testing Security Environmental High Integrity Protective Sys. Process Control 34 Technical Committees . . . . . . . . . . CSD BOE P&CSD Others Custody Measurement Trays & Packing Process Design Communication

  13. OUTLINE • Standards Documents & Statistics • Standards Review Cycle • Standards Administration Structure • Standards Strategies

  14. TARGET • Plans to increase company engineers participation in international standards working committees: • Continuous awareness of international standards changes • Incorporate our own special requirements • 12 engineers are voting members in industry standards working committees STRATEGIES Strategy 2 Strategy 3 Strategy 1 Participate in National / International Standards Committees Transform standards into Knowledge Sharing hub Industrial cost-effective engineering measures to build and operate reliable and safe facilities Promote Internal & External Awareness

  15. Objective • Base engineering courses on standards to promote internal awareness – 75% • Invite suppliers, engineering firms, operating facilities in Value Engineering sessions to promote external awareness – 10 VE sessions completed • Improve wrong perceptions and promote understanding STRATEGIES Strategy 2 Strategy 3 Strategy 1 Participate in National / International Standards Committees Transform standards into Knowledge Sharing hub Industrial cost-effective engineering measures to build and operate reliable and safe facilities Promote Internal & External Awareness

  16. Objective • Capture engineering knowledge and lessons learned through integration of business processes • Develop IT web application to encourage participation of engineers in the standards development process – web based e-SMS STRATEGIES Strategy 2 Strategy 3 Strategy 1 Participate in National / International Standards Committees Transform standards into Knowledge Sharing hub Industrial cost-effective engineering measures to build and operate reliable and safe facilities Promote Internal & External Awareness

  17. OUTLINE • Standards Documents & Statistics • Standards Review Cycle • Standards Administration Structure • Standards Strategies

  18. Standards Review/Development process is expensive …… Standards Revisions New Mandatory Standards Developed 35 370 350 357 318 30 300 289 25 250 20 200 19 15 15 150 12 10 100 10 5 50 0 0 2005 2002 2003 2004 2005 2002 2003 2004 • Lots of engineering man-hours is involved, very expensive process • In the long-term, more feasible to participate in international standardization organizations and adopt international standards

  19. CONCLUSIONS • 1000+ mandatory documents in 34 specialized fields • Based on industry practices (50+ years of experience) • Standards exist to ensure building & operating cost effective, reliable and safe facilities • 3 strategies to manage the corporate standards • Saudi Aramco is committed to: • increase its participation in international standards committees; more feasible • Transform standards into KS hub as a mechanism to manage resources

  20. THANK YOU