NGL recovery and sweetening on a world scale

Khursaniyah Gas Plant

Our projects

KhursaniyahJubail

Saudi Arabia

Arabian

Sea

This large and challenging project was builton Technip's long experience in gasprocessing. Located about 80 km North ofJubail, Saudi Arabia, it was completed in 2010by the Bechtel-Technip Joint Venture.

The project was structured in two phases:

FEED and Open Book Estimate (OBE)

CLSTK (Converted Lump Sum Turnkey) contract awarded onthe basis of the OBE together with mechanisms foradjustment during execution

Such a structure accelerated project execution allowing anearly start to detailed engineering and procurement in parallelwith FEED and seamless rollover to execution.

Client: Saudi Aramco

Contractor: JV Bechtel-Technip (BTJV)

The plant is on stream since June 2010

Contracting Strategy:a key issue to meetingthe project schedule

A grassroots gas treatment facility builtby Technip for Saudi Aramco

Khursaniyah and the wider picture

World oil demand is growing. The 0.5 MMBPD Khursaniyah Programmeis part of Saudi Aramco's commitment to be a reliable supplier ofenergy to the world.

Within the Khursaniyah Programme, Saudi Aramco produces 300 MMSCFD ofassociated gas from the upstream production facility (KPF). This and associatedgas from the other fields is fed to the Khursaniyah Gas Plant (KGP).

Khursaniyah Gas Plant (KGP)KGP treats a nominal 1,000 MMSCFD of sour associated gas and exports 560MMSCFD of sales gas, 300,000 BPD of NGL and 1,800 T/D of molten sulphur.

The gas is sweetened and sweet gas is then treated to recover NGL andproduce sales gas. Acid gas is sent to three Sulphur Recovery Units. Recoveredliquid sulphur is then sent to storage and loading facilities. Sales gas and NGLare exported via pipeline.

KGP also receives sour hydrocarbon condensate that is treated in the SourCondensate Unit with a nominal capacity of 60,000 BPD.

The multi-centre engineering andprocurement task forces includedteams from Technip and Bechtel inRome, Italy, and London, UK.

Exceptional Project Management skillsenabled the coordination of nearly200 million direct manhours onconstruction over a 3-year period.

KGP in numbers

PLOT SURFACE 4 km2

UNDERGROUND PIPING 180 kmABOVE GROUND PIPING 10,000 lines, avg.

dia. 6”, 900 km, 75.000+ tonnes

STEEL STRUCTURE 65,000 tonnesCONCRETE 300,000 m3

INSTRUMENT CABLES 2,600 kmPOWER/CONTROL CABLE 2,200 kmLIGHTING CABLES 2,000 km BUILDINGS 30 buildings; 20,000 m2

POWER 175 MVA overallDCS 30,000 I/O’sHOME OFFICE MANHOURS 3.0 millionFIELD SUPERVISION MANHOURS 4.5 million (17,300 man-months)CONSTRUCTION MANHOURS 198 million (17,000 direct manpower at peak)

Project Management

Khursaniyah Gas Plant

Oil production300 MMSCF

C2+ NGL

Other sourcesof associated gas

KPFSales gas

Molten sulphur

0.5 MMBPD

KGP

Utilitiesstorage

Condensates

300 MMSCFSour

condenserstreatment

Contractors Joint Venture

The FEED and CLSTK contracts were awarded to the Bechtel-TechnipJoint Venture (BTJV), two major contractors in Oil & Gas.The JV set up a Directorate in the Rome office of Technip to provide asingle interface with Saudi Aramco.

Project organisationThe project was managed by the Directorate with keyroles shared between Bechtel and Technip.

Engineering & Procurement execution was distributedbetween the two operating centres of Rome (Technip)and London (Bechtel).

Each center organised its own project team with ProjectManager, Engineering Manager, Process Manager,Discipline Leaders etc.

Procurement was split between the two centres bycommodity: London dealt with piping andinstrumentation, while Rome managed steel structures, centrifugal compressors and electrical commodities. All equipment specific to a unit was procured by the operating centre that had developed the related design.

The Directorate led these two project teams, keeping full control of Purchase Orders, Schedules, Estimates (OBE)and Business Management.

Technip and Bechtel have previously worked together on similar major gas projects in Qatar and Abu Dhabi. Capitalising on this, the two companies harmonised project procedures, schedules and IT tools.

The challengeThe supply and construction markets were heavilyloaded during the project due to the number ofinvestments made at the same time. Considering thesignificant procurement quantities, the projectcommitted to early production with a number ofmanufacturers to ensure on-time delivery.

Many nationalities worked on site. People from Egypt, the Philippines, Pakistan,Bangladesh and India were the largest communities among many others. In orderto bridge cultural diversity and language barriers, intensive training programmeswere organised, using a multilingual approach and pictorial aids. These includedboth general induction training as well as dedicated sessions for specific subjects(working at heights, confined space, etc.).

Given the large perimeter of the construction site, special attention was given tothe monitoring of HSE practices, through a dedicated HSE team, involving ourJoint Venture partner and the main construction subcontractor.

With so many nationalities present on site with diverse cultures, instilling acommon HSE culture in all activities was a major challenge. A challenge that thesite team met through consistent and effective communication of the standardsrequired.

The Joint Venture's HSE programme that was created specifically for the projectwas followed and implemented by the Construction subcontractor. By doing thisthe team succeeded in keeping incident rates very low with a Total RecordableCase Frequency no higher than 0.03 at any time.

Environment

The project had minimisation of harm to the environment as a permanentobjective. It set up detailed disposal programmes, especially for constructionwaste. As an example, three temporary evaporation ponds were built for thedisposal of all kinds of water without affecting the land. Chemical-contaminated fluids were carefully disposed of by a specialised company.

SaudisationSaudisation was encouraged by Saudi Aramco. BTJV employed almost all majorsuppliers of pressure vessels and steel structures in the country and had manySaudis employed on the site team.

This document is the property of Technip and is not intended to be a binding contractual document. Any information contained herein shall not result in any binding obligation on the part of Technip, or any of its affiliates,and is provided for information purposes only.Technip - Group Communications - May 2011 - Photo credits: Technip, Jean Gaumy / Magnum Photos

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LNG/GTL Product LinePhil Hagyard Phone: +33 (0)1 47 78 27 17e-mail: phagyard@technip.com

Technip Italy SpAViale Castello della Magliana, 6800148 RomeItalyPhone: +39 06 65 981Fax: +39 06 655 1402

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