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Project Completion Report

Project Completion Report. Project Summary. Client: Rio Tinto Contract No.: PE500696/M/CC/1000. Project Pictures – Pre Install. Rio Tinto / BP Fuel Farm. Train Decant Line. Project Pictures – Pre Install. The Rockwall. Old Pumping System. Project Pictures – Pre Install.

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Project Completion Report

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  1. Project Completion Report

  2. Project Summary Client: Rio Tinto Contract No.: PE500696/M/CC/1000

  3. Project Pictures – Pre Install Rio Tinto / BP Fuel Farm Train Decant Line

  4. Project Pictures – Pre Install The Rockwall Old Pumping System

  5. Project Pictures – Pre Install The Tank Farm Fuel Manifolds The Inlet Pipe and Electrical Conduits

  6. Project Pictures – Civil Works Forming Up Pump Bunds Pump No.3 in Bund

  7. Project Pictures – Electrical Works The New MCC Electrical Conduit Runs on Inside of Bund

  8. Project Pictures – Mechanical Works Tank No.3 Manifold with Site Welds Lifting in Main Tank Farm Manifold

  9. Project Pictures – Mechanical Works Site Welds for New Valve Install Lifting in Pipe using Hiab

  10. Project Pictures - Issues Freight to Site Pipe/Flanges not Aligning

  11. Project Pictures – Issues Incorrect Supply of PRV’s Low Pressure Loop Delivery

  12. Project Pictures – Issues Incorrect Specification Butterfly Valves Incorrect Specification Check Valves

  13. Project Pictures – Issues Incorrect Specification Camlocks Pump Orientation / Rotation

  14. Project Pictures – Issues Under Engineering of Bracket Fixings Additional Support Brackets

  15. Project Pictures – Installation

  16. Project Pictures – Installation

  17. Project Pictures – Wet Commissioning

  18. Project Summary Safety and Environment • Target – Nil Incident Actual – Nil Incident • Comments • Repetitive Manual Handling ( Lifting Pipe, Aligning and Bolting Up), Working at Heights, Rigging and Lifting, Hot Works. • Category #2 Risk Assessments, Rio Tinto CMS, Toolbox Meetings, Take 5, JHA, Major / Minor Permits, ERP, Traffic Management Plan. • Cheetah Gloves, Telehandler and Hiab, Fork Lift, Clean Up Kits. • The GF Engineering Welding went to the Medical Centre suffering from minor heat stress and checked out by Rio Tinto – he was able to return to work. • Emergency Response Plan and Traffic Management Plan are in Project File. • Availability of the correct hire equipment could be a Safety issue on future projects.

  19. Project Summary Scope of Works • Target - Original Contract Scope of Works Total Number of SCN’s 22 • Total Approved 15 • Comments • 4 Rejected SCN’s were added into new SCN’s at the request of the Client. • Value of SCN’s raised = $279,307. • The time taken to estimate the Rejected SCN’s was expensed against the project. • The Contract only contained the Rio Tinto Scope of Works and did not match the original bid. It was difficult to argue exclusions. • The response time for SCN’s was considerably slow by Rio Tinto.

  20. Project Summary Schedule

  21. Project Summary Schedule • Original Contract Delivery 30/08/11 Actual Practical Completion – 20/04/12 • Comments • The Delivery of the IFC Drawings on the 1/6/12 and subsequent issues with the accuracy of the drawings significantly delayed the Project. A Site instruction from Rio was issued to proceed with drafting on 29/7/11 but then changed and orders were not placed until 18/8/11. • SCN 003 for additional works to the MCC was issued on the 14/07/11 and approved on the 29/08/11 – this determined the Site Mobilisation Date. • 1stDelivery of Pipe scheduled to arrive on the 23/11/11 - delivery arrived on the 26/11/11. • 2ndDelivery of Pipe scheduled to arrive on the 1/12/11 - delivery arrived on the 3/11/11.

  22. Project Summary Schedule • Original Contract Delivery 30/08/11 Actual Practical Completion – 20/04/12 • Comments • The draining of the Decant Line lost approximately 4 days. • The additional welding of the Low Pressure Loops took 6 days. • The Client agreed for Aerison to demobilise and carry out 2 Stage Install. • 600 additional site hours gained through variations. • Budget Hours were 1356 – Total Site Hours was 2491 (ex supervision). • Overnight Freight (Toll Ipec) was very unreliable with deliveries. • Other delays included Permit System, Rail Possession, Ambiguity in Site Rules. • The time of year significantly effects performance of the Site Crew. • The Final Project Completion was held up by a planned Electrical Outage and TQ’s regarding drawings to Symmetrical.

  23. Project Summary Budget and Margin

  24. Project Summary Budget and Margin • Original Contract Sum $1,360,899 Expected Final – $1,640,206 • Original Contract Margin $238,157 Expected Final - $334,452 • Comments • Over budget items were:- • 7-11 Construction Management – New Project, 3 Client Project Managers, Increased and Rejected Scope, New to Organisation. • 3-01Site Labour - delays. • 7-55 Accommodation – additional hours and higher accommodation costs. • 7-58 Tools – no allowance for specialist tools and hire equipment. • 7-75 Freight – additional cost for cradles and return of cradles. • Under budget items were:- • 1-02 Equipment for other works – double ups in the budget estimates. • 2-03 Fabrication Subcontract – carried out our own Hydro Static Testing. • 7-51 Cranage / Vehicles – the methodology of works changed and we used smaller equipment.

  25. Project Summary Quality • Target – Nil Quality Issues or NCR’s Actual 1 NCR (Internal) • Comments • The internal NCR was raised to highlight an issue regarding the supplying and installing of ‘Non Specification’ Valves. This highlighted issues with our Organisation and GF Engineering. • A 25NB Site Weld failed when reconnected to the Fuel Line. • The 25NB Pipe Spools did not arrive in the configuration as originally planned. • The Suction Pipe Spools were not correct to the drawing sizes and required spacers. • A Rockwall Spool was too short and flanges in wrong position – error in the drawing. • Discharge Tee Piece from Pump No.3 was 50mm short. • Client Response to Technical Issues. • Contract Review and Handover.

  26. Project Summary Human Resources • Comments • Availability of Internal and External Resources was an issue (Asset Services and HR) • 2 Contractors failed the RTIO Lockholders Course and not taken to site. • The Rio Tinto Contractor Management System requires considerable administration time – both from Aerison and Rio Tinto. • The Sub Contracted Coded Welder from FT&P was slow and not a ‘Team Player’. • HR performed well with arranging Inductions and CMS documentation later in the project – worked directly with Rio Tinto Coordinator. • The Mobile Accommodation Unit was not appropriately equipped, small and not an ideal option for long periods of site works. • The Contract requested 2 Aerison Employees with Senior First Aid Training – we had only 1. • Availability of Qualifications, Licences, Tickets, Email addresses from HR was an issue.

  27. Project Summary Communications • Comments • Communication with Client was daily including weekends. • Tools for Communication should be negotiated during bid and the site facilities and location taken into account - Printers, Scanner, Fax, Etc. The Site was managed by BP and the Rio Tinto facilities were much further away. • Initially, the Supervisor was not allowed to leave the site without the team stopping work. • The Site Supervisors main tool is the mobile phone – when working on hydrocarbons projects you are not allowed to carry it on site. • Communication with Delivery Drivers and Toll IPEC was an issue. • The Daily Toolbox Meeting – template to be discussed. • Clarification on Technical Issues and OHS was lost though the Rio Communications Network. Rio Tinto then consulted BP then advised their Supervisors without notifying Aerison.

  28. Project Summary Client Satisfaction • Target – Score of 5 with Client Survey Form • Comments • Feedback E-mails and Feed Back Form were very positive. • Rio Tinto Feedback indicated that we exceeded on Management Commitment, Site Supervision, Response to Work. Requests, Ability to Respond to External Factors, Compliance to Quality Systems. • Feedback regarding arrival of documentation ‘Met’ Customer Satisfaction. • Feedback from Sub Contractors? • Feedback internally?

  29. Project Summary Lesson Learnt • Technical Query’s using the TQ Template to monitor Client Response time. • Greater emphasis looking at Pre Fabrication before going to site – site works includes accommodation, meals, Ute Hire, Higher Rates. The Pumps could have included the associated Pipework, PRV’s and Low Pressure Loops.

  30. Project Summary Project Completion • Unfinished Business • Comments • Thank You Letter • Bank Guarantees • Future Business or Related Projects • Aerison Procedures

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