sa jer puaaa skec 50 3004_packing,marking and shipping inst._rev.02

PACKING, MARKING ANDSHIPPING INSTRUCTIONS

TO VENDOR Contractor Job No. : 09130D

SATORPJubail Export Refinery Project,

Package 5B (Plant Utilities)Contract No. 3000235434 (OOK) & 3000235435 (IK)

Document No. : SA-JER-PUAAA-SKEC-50-3004

Rev. No. : 02 of 59

PACKING, MARKING ANDSHIPPING INSTRUCTIONS TO VENDOR

(SA-JER-PUAAA-SKEC-50-3004)

02 17-Sep-2009 Issue for Construction S.H.KANG J.Y.PARK T.Y.CHO H.C.KIM

01 31-Aug-2009 Company’s Comment Incorporated

(TR No.: JER-TSO-SKEC-000017)

S.H.KANG J.Y.PARK T.Y.CHO H.C.KIM

00 21-Aug-2009 Issue for Review S.H.KANG J.Y.PARK T.Y.CHO H.C.KIM

REV. DATE DESCRIPTION ISSUER CHECKER REVIEWER APPROVER






Rev. No. : 02 of 59

REVISION LOG

Rev. No. Rev. Date Revised

Page Revision Description

00 21-Aug-2009 First Issue

01 31-Aug-2009 Company’s Comment Incorporated

02 17-Sep-2009 Issue for Construction






Rev. No. : 02 of 59

TABLE OF CONTENTS

1. GENERAL

1.1 Purpose and Scope1.2 Definitions1.3 Communication1.4 Language and Metric System1.5 Coordination with Purchaser1.6 Forwarder

2. PACKING INSTRUCTIONS

2.1 General2.2 Packing Requirements2.3 Package No.2.4 Documents attached to or Contained in the Package

3. MARKING INSTRUCTIONS

3.1 General3.2 Lettering3.3 Ink3.4 Color of Marking3.5 Metal Tag

4. PACKING INSPECTION

4.1 General4.2 Vendor's Inspection4.3 Witness Inspection4.4 Modification of Package4.5 Reporting

5. SHIPPING INSTRUCTIONS

5.1 Delivery Conditions5.2 Delivery Information and Documents5.3 Shipping Documents5.4 Shipping Advice5.5 Other Documents and/or Certificates

APPENDIX #1 : PACKING & MARKING GUIDELINES (2271-SATORP-GTC-604)1. GENERAL






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1.1 Purpose and Scope

1.1.1 This specification covers packing, marking and shipping instructions to be followed by the Vendor

for the Goods, which have been purchased by Purchaser for the job of

Project Name : Jubail Export Refinery Project

Owner : SAUDI ARAMCO TOTAL Refining and Petrochemical Company

(SATORP)

Contractor : SK Engineering & Construction Co., Ltd. (SKEC)

Job No. : 09130D

Final Destination : Jubail Export Refinery, Kingdom of Saudi Arabia

1.1.2 This specification forms a part of Material Requisition and/or Purchase Order that may be awarded

for the supply of the Goods and any deviations from this specification shall have the prior approval

of Purchaser.

1.1.3 This specification shall be applied to Vendor and all sub-vendors.

1.2 Definitions

In this specification, the following terms shall have meanings and functions hereby assigned to

them;

1) “COMPANY (Owner)” shall mean SAUDI ARAMCO TOTAL Refining and Petrochemical

Company (SATORP) including its legal successors and assigns with such entity being the

client of Purchaser and the Owner of Jubail Export Refinery Project in the Kingdom of Saudi

Arabia (hereinafter referred as K.S.A.).

2) “Forwarder” shall mean the firm or organization who is nominated by Purchaser as a

forwarding agent to coordinate and supervise Vendor's delivery of the Goods on behalf of

Purchaser.

3) “Goods” shall mean all equipment, materials, machinery, articles services and all items to be

provided by Vendor all as defined within the P.O.






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4) “Purchaser (SKEC)” shall mean SK Engineering & Construction Co., Ltd., and includes its

legal successors and/or assigns.

5) “Purchase Order (hereinafter called the “P.O.”)” shall mean the P.O. issued by the Purchaser

to the Vendor for the supply of the Goods and the performance of the Works as defined

therein

6) “Job Site” shall mean the location of the Jubail Export Refinery Project in K.S.A. where the

Goods shall be installed.

7) “Vendor” shall mean the company, entity or person including their regal assigns and/or

successors (to the extent approved by the Purchaser) who, at its own risk and account, has

accepted the P.O. for the supply of the Goods.

8) Words importing person, personnel or party shall include natural person, firm, corporation or

any organization having legal capacity.

9) Words importing the singular only also include the plural and vice versa where the context

requires.

10) Words completely capitalized mean the same as words which only begin with a capital letter

and vice versa where spelled the same (i.e. CONTRACTOR means Contractor, COMPANY

means Company, etc)

1.3 Communication

In connection with all communications relating to packing, marking and shipping for Goods

delivery, Vendor shall invariably state Purchaser’s Job No., Project Name, and P.O. No. to avoid

confusion with other projects.

1.4 Language and Metric System






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All documents and information shall be made up in English and in the metric system unless

otherwise specially specified.

1.5 Coordination with Purchaser

1.5.1 Vendor’s execution relating to packing, marking, shipping and transportation, etc. shall be

coordinated by Purchaser.

1.5.2 Contacts and documents relating to this specification shall be addressed to ;

SK Engineering and Construction Co., Ltd.

SK Bldg. 192-18, Kwanhun-Dong, Chongro-Gu,

Seoul 110-300 Korea, K.P.O. Box 222

Attn : Mr. Y. K. Park / Team Manager- Procurement Management Team

Tel : 82-2-3700-8946

Fax : 82-2-3700-7380

E-mail : YKPARK-A @ skec.co.kr

C.C. : Mr. J. Y. PARK / Project Procurement Manager

Tel No. : 82-2-3700-8947

Fax No. : 82-2-3700-7562

E-mail : JYPARK-L @ skec.co.kr

1.6 Forwarder

1.6.1 Purchaser will designate Forwarder to coordinate and supervise Vendor’s delivery on behalf of

Purchaser.

1.6.2 Vendor shall give information on packing, marking and shipping to the said Forwarder and execute

Vendor’s obligation on delivery.

2. PACKING INSTRUCTIONS

2.1 General






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Vendor shall apply export packing in accordance with Packing & Marking Guidelines in the Appendix #1,

and consider suitable methods for transportation to the port of loading, loading on the vessel, off

loading at Saudi Arabian port in K.S.A. transportation and storage at Site for each item.

2.2 Packing Requirements

The following instructions are intended as minimum requirements, and shall not relieve Vendor

from any responsibility, or obligation outlined in the P.O.

2.2.1 Due to climatic extremes encountered in transit (i.e. heat, humidity and drifting sand) and the

transportation method (i.e. truck, sea or air) it is essential that protection and packing is of the most

suitable method for the specification of Goods as specified by Vendor.

Vendor must ensure that Goods shall be adequately protected during transportation from factory to

Site, including one-year storage on Site. Liability for damage to Goods due to defective and/or

insufficient packing, as well as for corrosion due to defective and/or insufficient packing, and

protection, shall be borne by Vendor.

2.2.2 High quality wooden cases and/or crates shall be used. These should be constructed of top quality

softwood or rigid plywood and be solid and robust. Ends should be screwed or nailed in a manner

where no sharp pieces are exposed.

UNDER NO CIRCUMSTANCES SHALL FI B E R BOARD, CARDBOARD OR SIMILAR

CARTONS BE USED AS OUTSIDE PACKING.

2.2.3 All items of a fragile nature shall be suitably packed with special precaution against risk of

breakage. Where material is encased or otherwise completely enclosed, Vendor shall be

responsible for suitable inner packing, including blister package and wrapping of any items subject

to damage from moisture and/or corrosion. Provision must also be made to include desiccant

materials, i.e. silica gel where appropriate.

2.2.4 Hay, straw or similar vegetable fibers, subject to disease or fungus shall not be used in packing.

2.2.5 All heavy equipment shall be securely fastened to the bottom of the case with bolts and with nuts

and shall be blocked and braced to prevent movement. All exposed ends and open flanges shall be






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protected and covered against damage using caps sealed with waterproof tape and blanks bolted

over each flange face using a suitable gasket material to ensure a watertight joint. Large

equipment, which does not require to be completely enclosed by packing, shall be palletized or

skidded. Heavy and/or oversize cargo, expected to be loaded on the deck of a vessel, shall be

secured by Vendor for protection and covering against any damage from the elements and due to

handling, especially on any kind of instruments, exposed end and open flanges and any mechanical

parts.

2.2.6 Do not consolidate any two or more orders in any one package, before prior agreement with

Purchaser.

2.2.7 Lifting/Slinging Points

Provide each Goods with lifting and sling points that will distribute the load equally and keep the

item in a stable, horizontal position when lifted by one hook. Note that it is a requirement for all

items to be designed for a single point lifting system.

Vendor shall provide “spreader beams” for Goods that requires such apparatus to facilitate safe

handling and lifting.

2.2.8 Lashing Points

Provide each Goods with appropriate lashing points to secure the load during handling and

transport.

2.2.9 Surface Protection in Lifting

Cover all surface areas of Goods, which may come in contact with the slings during lifting, with

timber boards or similar materials to prevent scratches, dents and other damage.

2.2.10 Electrical and Instrument Equipment

Electrical & instrument equipment shall be protected against defect from moisture during

transportation, or storage at site before installation. Any precaution marks should be clearly shown.






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Electrical & instrument equipment which are not weatherproof type, shall be wrapped with plastic

shrink film and vacuum-sealed. Before outer packing, each electrical & instrument equipment shall

be packed rigidly and stuffed with shock absorbent material and outer packing shall be rigid and

strong enough to withstand impact on every side of the package. Details of Electrical and

Instrument Item shall be referred to SATORP Packing & Marking Guidelines in the attachment

“C” of Appendix #1 of these instructions.

2.2.11 Accessories

All accessories (such as articles of consumption) when available at time of shipment of main

equipment, must be either packed and clearly marked and included in a main packing case,

attached to base boards, or if size and dimensions deem separate shipment, then shall be properly

protected for short term storage in accordance with relevant P.O. specification and then packed in

accordance with para.2.2.2 or 2.2.3.

The above kinds of accessories should be packed separately in independent inner packages of

which content's details are to be shown on the packing list as per respective categories.

2.2.12 Tagging

1) Marking Tag No.

The purpose of marking tags No is to facilitate identification between supplied Goods and

packing list and/or the relevant drawing at Site.

2) Attachment of Tag

Tags shall be individually attached to every part, or materials in principle. However, for

small pieces, having same kind and size and packed in one bag or box, etc. only one tag

may be attached on the outside of such container.

If Goods are packed in crate, tags shall be enclosed in clear polyethylene bags and

sealed with waterproof tape.

2.2.13 Preparation of packing list






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1) After attachment of tags, when Goods are packed into the package, vendor shall witness so

that the packing list of each package can be made out correctly.

2) Vendor shall confirm the compliance between tag description and that of packing list

to avoid Non Conformance during receiving inspection at Site .

2.2.14 In the event that Vendor recommends his standard packing method, it shall be required prior

approval of Purchaser before application.

2.3 Package No.

2.3.1 Package No.

Vendor shall assign a package number and a shipment number in the event of multiple shipments

to each package in accordance with the following

SA-JER-PU551-UTIL-54-4000 01-up 01-up

SKEC’s Purchase Order No.

Shipment Sequence, 1st, 2nd, 3rd-up

A series of Package Numbers ; Vendor shall assign a numberto each package in sequence 01-up for each P.O Number andSeparate Shipment Symbol.

Example :

-.SA-JER-PU551-UTIL-54-4000-1st-05 : 5th package of 1st shipment of P.O.No. SA-JER-

PU551-UTIL-54-4000

-.SA-JER-PU531-UTIL-54-2000-2nd-10 : 10th package of 2nd shipment of P.O.No. SA-JER-

PU531-UTIL-54-2000

2.3.2 Inner Case No.

Vendor shall assign a number to each inner package in sequence, 01 - up in addition to the number

of the above outer package.

- - 01-up






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01 - up for each inner case

Package No. of the above outer package No.

2.4 Documents Attached to or Contained in the Package

In principle, two (2) sets of packing list shall be fixed to the upper corner of the outside package in

a waterproof envelope protected by a plastic or aluminum cover, marked “packing list”. And also

one (1) set of packing list shall be placed in each package, nailed or stapled to the upper part of

inside wall. In addition, one (1) set installation manuals and assembly drawings shall be included

with shipment in a sealed waterproof envelope firmly attached to the equipment within the packing

container. Method of attachment or containing of packing list shall be decided by Vendor according

to packing conditions.

3. MARKING INSTRUCTIONS

3.1 General

All packages in which Goods are packed, shall be clearly marked for easy identification and

sorting purposes.

3.2 Lettering

Letters, figures, marks, etc. used for marking shall be stencil-printed or sprayed with standard

block, style lettering, and hand writing shall not be acceptable, unless otherwise specified. Size of

letters or marks shall be optimum for each package, unless otherwise specified.

3.3 Ink

Ink to be used for marking shall be oil print in principle, and fading, discoloring and spreading of

marking due to wind, rain and other climatic conditions shall not be caused on any marking.

3.4 Color of Marking






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The following colors of ink shall be used for marking in principle. In case the surface of package to

be stenciled is obscured with such colored paints, the marking shall be made in contrasting color

such as white paint.

Kind of Mark Color

Instruction Mark for Handling Red

Main Shipping Mark & Others Black

3.5 Metal Tag

When it is impossible to indicate main shipping mark on package, a metal tag shall be attached to

the package. Metal tags shall be attached directly to the body of Goods.

4. PACKING INSPECTION

4.1 General

4.1.1 Packing inspection shall be made by Vendor and/or Purchaser and/or Company in accordance with

the following procedure.

4.1.2 Any inspections shall not relieve Vendor from any responsibilities, or obligations under the terms

and conditions of the Purchase Order.

4.2 Vendor's Inspection

4.2.1 Packing Inspection shall be performed by Vendor in accordance with the requirements of these

instructions, unless the witness inspection stated hereunder will be performed.

4.2.2 Vendor shall also inspect strength and protection of packing if they bear various conditions during

transportation and quantity of the contents, etc. in each package, on his own responsibility.






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4.3 Witness Inspection

Purchaser reserves the right to attend the inspection. The witness inspection may be performed by

Company and/or Purchaser or appointed representative at Vendor's plant.

4.4 Modification of Package

4.4.1 If Purchaser instructs Vendor regarding modification of package or marking at the inspection,

Vendor shall immediately carry out the instruction on his own responsibility and expense.

4.4.2 In case any damages or unexpected expenses occur due to delay of shipment, owing to the said

modification, Vendor shall be responsible for the said damages or expenses.

4.5 Reporting

4.5.1 After the inspection, Vendor shall furnish the report using Vendor's own format with the

following photographs without regard to attendance of Purchaser, or his representative at the

inspection.

4.5.2 Vendor shall take photographs, showing Main Shipping Mark, exterior, interior views of packages

(how Goods are protected and fixed on the load bearing) etc. per one package.

5. SHIPPING INSTRUCTIONS

5.1 Delivery Conditions

5.1.1 Trade Terms

The Goods shall be delivered on the basis of the conditions stipulated in the P.O.

5.1.2 Contract Delivery Date

Contract delivery date of the Goods is stipulated in the P.O.

5.1.3 Delivery Place






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Delivery place is designated in the P.O.

5.1.4 Inspection and Testing

Vendor shall deliver the Goods only after the completion of inspection and testing of the Goods in

accordance with Purchaser’s inspection conditions specified in the P.O.

5.1.5 Transportation of Goods

1) Ocean Transportation

A) Purchaser and/or Forwarder shall arrange the ocean going vessel or the transportation

equipment in accordance with the notification of expected date of cargo readiness by

Vendor.

B) Special Devices and Lugs

Any package or item should have suitable lifting and slinging points to provide a stable

horizontal lift. Surfaces in danger of sling damage must be protected. If special lifting

devices are required, Vendor shall inform Purchaser of detail instruction before

shipment.

C) On-Deck Cargo

There is possibility that oversize material, which is equal to or greater than 12m long x

3m wide x 3m high, is loaded on the deck of an ocean vessel. Preservation, painting,

rust prevention, protection of openings for these items shall be performed suitable for

on-deck stowage. If special precautions are required on the Goods, Vendor shall inform

Purchaser of detail instruction before shipment.

2) Air Transportation

In case of air transportation, Purchaser’s prior approval in writing shall be required. In such

cases, Vendor shall follow Purchaser’s instruction in relation thereto.






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5.1.6 Shortage, Defect etc.

Should any shortage, defect or damage be found in the Goods due to any reason attributable to

Vendor, Vendor shall bear all expenses for replenishment or replacement of the Goods with

delivery to the same destination.

5.1.7 Dead Freight, Demurrage

Vendor shall be liable for any dead freight or demurrage consequent upon his failure to make the

Goods delivery by the designated date, after the expected date of cargo-readiness informed by

Vendor, while the carrying vessel has arrived at the port of shipment, or the transportation

equipment has been arranged at the designated place.

5.2 Delivery Information and Documents

5.2.1 General

1) Vendor shall prepare and submit the delivery schedule and information and/or documents in the

manner specified in each provision of this instruction and relevant instruction below.

2) These documents and/or information are indispensable for Purchaser and, Forwarder to plan

and arrange necessary preparation for customs clearance, transportation and storing etc., from

Vendor’s shop to final destination Site.

5.2.2 Content of Documents

1) Pro forma Packing List

A) Pro forma packing list is used for planning and arranging of ocean and inland

transportation by Purchaser and Forwarder.

B) Pro forma packing list shall contain:






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a) Net weight, gross weight and dimensions of each package.

b) Estimated total net weight, gross weight and measurement and numbers of

packages.

c) Remarks for dangerous cargo, lengthy cargo or heavy cargo.

d) Package No. for each package.

e) Purchase Order No., Item No., brief descriptions and quantities of Goods.

f) Shipping port, expected cargo readiness date, etc.

2) Heavy and/or Bulky Cargo Sketch

A) In case of any single package which exceeds either one or more of the following

limitation being included, Vendor shall submit heavy and/or bulky cargo sketch of the

applicable package for planning and arranging of ocean and inland transportation by

Purchaser and Forwarder, showing the packing style, dimensions and weight (incl.

center of gravity, sling points, illustration about feet and illustration of main projections)

B) Vendor will clearly indicate where the use of spreader beam is applicable and illustrate the

lifting arrangement.

3) Packing List

Vendor shall make up correctly detailed packing list in accordance with the basic supplier's list

of materials. Packing list will be used for unpacking inspection at Site.

4) Certificate and List of Measurement and/or Weight

Measurement and weight certified by the sworn measurer for each package will be necessary

for shipment in particular countries.

5) Content Explanation of Chemicals and/or Dangerous Cargoes

In case of chemicals and/or dangerous cargoes falling under "IMDG Code" (International






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Maritime Dangerous Goods Code), Vendor shall submit "Contents Explanation of Chemicals

and/or Dangerous Cargoes".

6) Instructions of Cargo Handling and/or Storage

Cargo handling and/or storage instruction shall be prepared by Vendors for cargo which

requires special attention for handling and/or storage.

5.2.3 Delivery Information

Vendor shall submit the following documents to Purchaser and Forwarder for planning and

arranging ocean transportation etc., which should be submitted by e-mail or registered courier

service before 60 days of P.O. delivery date;

1) Pro forma packing list

2) Heavy and/or bulky cargo sketch

3) Content explanation of chemicals and/or dangerous cargoes

4) Instruction for cargo handling and/or storage

5.2.4 Notice of Cargo Readiness

Vendor shall notify following information to Purchaser and Forwarder for space booking of ocean

going vessel or arrangement of transportation equipment, which should be notified by e-mail or fax

before 30 days of P.O. delivery date.

1) Project name, Project number

2) P.O. No.

3) Item No., name of the Goods

4) P.O delivery port

5) P.O delivery date

6) Expected cargo readiness date

7) Total Nos. of package

8) Total gross weight (kg)

9) Total measurement (m3)






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10) Weight and dimensions for heavy and/or bulky cargo in each package

5.2.5 Notice of Nominated Vessel

Within about two (2) weeks after receipt of the above notice of cargo readiness, Forwarder will

inform the nominated vessel to Vendor by fax or e-mail in order for Vendor to proceed with the

shipment, considering the expected date of cargo readiness as follows.

1) Name of vessel

2) Loading port

3) Expected loading date

4) Vessel's company and agent

5.3 Shipping Documents

5.3.1 Vendor shall prepare complete shipping documents including packing list, invoice and certificate

of origin in conformity with documentary requirements of Saudi Customs Regulations.

5.3.2 Vendor must submit them in weather tight envelopes to Purchaser and Forwarder within three (3)

working days after vessel sailed.

A) Main Shipping Marks

Main Shipping Marks shall be clearly described in all shipping documents concerned.

B) Packing List

Vendor shall issue packing list according to packing instruction and Vendor shall submit three

(3) sets copies of packing list to Forwarder.

C) Invoice

Vendor shall submit three (3) sets of original invoices, which should be officially certified by

local chamber of commerce of the exporting country and legalized by Saudi consular mission,

and send three (3) copied sets of invoices to Forwarder.






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D) Certificate of Origin

Vendor shall submit three (3) sets of original certificate of origin, which should be

authenticated by a chamber of commerce of the exported country, duly certifying and attesting

that the exported Goods are of the pure national origin of the exporting country and legalized

by the Embassy of K.S.A., or the Saudi Consulate in the exporting country, and send three (3)

copied sets of certificate of origin to Forwarder, in which there should not be invoice

amounts..

5.4.3 Ocean Bill of Lading

Forwarder shall obtain clean on board ocean bill of lading and shall submit full set (3 originals)

and three (3) copies of bill of lading to Vendor.

5.5 Shipping Advice

Forwarder or Vendor shall dispatch the copy of the bill of lading by Fax or e-mail to Site for the

shipping advice.

5.6 Other Documents and/or Certificate

If necessary, Purchaser and/or Forwarder shall request Vendor to dispatch a document, certificate

or explanation letter for customs clearance at the port of entry, K.S.A.

Appendix #1 – Packing & Marking GuidelinesThis document provides minimum packing & marking requirements for Project materials and equipment destined for the Jubail Export Refinery Project, and is a guide for acceptable standards of packing and marking. When specific export packing instructions are detailed in the Purchase Order and conflict with these guidelines, the packing instructions within the Purchase Order shall have precedence.






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