2.0 GENERAL OVERVIEW OF THE COMPANY

A leading global provider of technology solutions, FMC Technologies has been

recognized as the “World’s Most Admired Oil and Gas Equipment by Fortune

Magazine, service company in 2012. The headquarters is located in northern Houston,

Texas and John T. Gremp was the President and CEO of FMC Technologies. The

company operates 27 production facilities in 16 countries and has about 16100

employees worlwide. This oilfield service and equipment company has a total $4.1

billion revenue in 2010. Below are some of the companies that operate the production

facilities;

Previously, the company was first located in Pasir Gudang. April 2007 before moved to

Nusajaya. FMC Nusajaya now own a complete and sophisticated manufacturing,

assembly and testing facilities. FMC put their mission as to profit by providing quality

surface or subsea completion products and service to their customers. The company will

eventually achieve this by focusing on customer satisfaction, organizational

effectiveness, developing sustainable competitive advantage and managing assets and

resources. This mission will be accomplished without compromising safety and ethics.

Below is the highlight for the timeline of FMC Technologies;

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Figure 1 : FMC based in Malaysia Figure 2 : FMC based in Dunfermline

Figure 3 : FMC based in Houston Figure 4 : FMC based in Angola

1880s A continuous spray pump to battle scale has been invented John Bean for his almond orchards. Neighboring growers clamor for the innovative device and a new business is born.

1930s Acquired Peerless Pumps, a West Coast manufacturer of deep-well turbine pumps. FMC is then begin to be the world's largest manufacturer of equipment for handling fruits, vegetables, milk, fish and meat and is now the industry leader in turbine pump sales. Its pumps are used in water projects during the Great Depression.

1940s FMC enters the defense business and begins producing amphibious vehicles for the military. With the acquisition of the Westvaco Chemical Corporation in 1948, FMC's name changed to Food Machinery and Chemical Corporation to more accurately reflect the company's expansion into the chemical business.

1950s In 1954, Petro-Tex, a joint venture, is formed with Tennessee Gas Transmission Company to create what would later become known as Tenneco.

In 1957, FMC acquires Oil Center Tool Company (OCT), recognized as a leading manufacturer of high-pressure wellhead flow control assemblies, also known as “christmas trees.”

1960s FMC develops underwater wellhead equipment for offshore drilling. FMC divides its operations into four groups: Machinery, Chemical, Fiber

and Film, and Ordnance.

2000 FMC announces plans to restructure the company into two separate, publicly traded companies - a machinery business (FMC Technologies) and a chemicals business (FMC Corporation).

2.1 Core Business

FMC Technologies is a global solutions provider in not only the oil and gas

equipment and service industry but material handling as well. FMC provide

technologies that allow their customers to tap into oil and gas reserves deep in the

bottom of the ocean, but they also produce equipments which depicts the conveyer that

moves coal from the mine and deposits it into the pile. Thus, safely transporting liquid,

gas or solid materials (coal in this case) from one location to another location. FMC

maximizes their revenue for both upstream energy production and downstream energy

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processing. Below are the details for the upstream which consist of subsea production

system and surface wellhead.

2.1.1 Subsea Technologies

FMC is a global company with facilities in all the key regions, Western

Region, Eastern Region, Africa, Asia and Pacific

Figure 5: Capabilities in all major deep water basins

Most of the revenue which almost 64% of the profit is contributed by Subsea

Technologies mainly on subsea products such as Wellhead, Actuator, Manifolds,

Christmas Tree and Universal Connector and Gate Valve.

Subsea wellhead will provide access to oil deep in the ground, contains that oil and

pressures as it travels to the surface and serves as a foundation for drilling and

completion of the well. The subsea wellhead is cemented into the earth at the bottom of

the ocean and is the foundation upon which the well is drilled and on which the subsea

tree is installed or “completed”.

Subsea Production Tree is divided to two categories; horizontal and vertical trees with

variation on each side. The tree is a series of valves, actuators, and controls that connects

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to the top of a subsea wellhead. It is the system that controls the flow of hydrocarbons

coming from the well and chemicals going into the well. It is also comprises of valves,

connectors, and possibly sensors for different applications such as oil or gas production

or water or gas injection. The production trees that they install subsea are larger than

those they use for surface wells and are designed to operate deep under water.

Figure 6: Subsea

Production Trees

A “well jumper” will then connect the tree to the “manifold”, which is essentially a

gathering station for produced fluids. A manifold is a series of pipes and valves known as

“branches” and “headers” that control the co-mingling of produced fluids from multiple wells.

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Figure 7: Well jumper

The Flowline jumper connects the manifold to another manifold OR to a pipeline end

termination which is connected to flowlines that leads to the riser.

Figure 8: Manifold

Figure 9 : Flowline Jumper

A host template system is where the manifold sits between the subsea trees and eliminates the

need for well jumpers because the trees are directly connected to the manifold. The size of the

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reservoir, water depth and various conditions at the bottom of the ocean dictate the which

system is appropriate.

Figure 10 : A host

2.1.1 Surface Technologies

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Surface Wellhead is where FMC started in the oil business with the

purchase of Oil Center Tools. Products include but are not limited to Seals,

Wellheads, Casing Hangers, and Tubing Hangers. 26% of FMC Technologies

revenue contributed by Surface Technologies which mainly on Surface

Wellhead. Surface Wellhead are used to support casing and tubing string, isolate

and control pressure during the drilling operation and monitor casing annulus

pressure during production. FMC Technologies Surface wellhead division is a

leading supplier of drilling, completion and production systems for onshore and

offshore applications. The technology focuses on safety and time saving. FMC

equipment advance in saving rig time and improve rig crew safety by eliminating

steps in drilling and completion operations.

2.2 Type of Products

In general, FMC’s Core Oil and Gas equipment and service business are include;

Subsea Systems, Surface Wellhead, Separation Systems, Multi Phase Meters, Shilling

Robotics, Direct Drive Systems. Besides, materials handling businesses include:

Blending and Transfer Systems, Loading Systems, Measurement Solutions, Material

Handling Solutions, and Fluid Control.

FMC plant in Nusajaya is however manufactures 5 main product groups;

1. Manifold and Pipeline System (MPS)

2. Subsea Drilling System (SDS)

3. Well Completion System (WCS)

4. Well Access System (WAS)

5. Control and Data management (CDM)

2.2.1 Manifold and Pipeline System (MPS)

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Manifold collects oil from multiple wells and directs it to flowlines.

Basically, MPS is designed to direct the flow from several well into up to four

production flow line headers inclusive of pigging loops, flow meters and control

system.

Figure 11 : Manifold

Pipeline system consist of various valve namely choke valve, ball valve, poppet valve

and check valve.

Choke Valve is a valve that control or regulates a fluid flow

Ball valve is a valve that opens by turning a handle attached to a ball inside the

valve, through which the fluid flows.

Poppet valve is a valve consisting of a hole and a tapered plug, usually a disk

shape on the end of a shaft also called a valve stem. When the plug is lifted, the

fluid is allowed to flow.

Check valves normally allow fluid (liquid or gas) to flow through it in only one

direction.

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A gate valve is a valve that either stops or allows flow through the valve that

acts somewhat like the opening or closing of a gate.

2.2.2 Subsea Drilling System (SDS)

SDS consist of wellhead which is a piece of equipment that exists atop of

a well. A Wellhead is needed as the first step to extracting Hydrocarbons subsea.

Hydrocarbons are formed from organic matter over time. Oil & gas are

Hydrocarbons found in underground reservoirs, amidst rock formations.

Wellhead system is needed to be an access point to the production fluid, a

foundation for subsequent equipment, means of casing pressure isolation, means

of interface between BOP stack and Well and means of interface between the

Tree and the Well.

Types of Subsea Wellhead System;

Figure 12 : FMC wellhead product types

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CONVENTIONAL SUBSEA TREE2050-S02A.dwg

PSVXOV

PWV

AWV

PRODUCTION OUTLETANNULUS / SERVICEOUTLET

ASV

DHSV

AMV

VX TEST

PMV

2.2.3 Well Completion System

FMC Nusajaya manufatures Christmas Tree, connector, tree valve and

actuator for WCS products.

A Christmas Tree is an assembly of valves, spools and fittings for an oil well.

Although commonly referred to as Christmas Tree, the complexity of Subsea

Tree has increased so much that it does not resemble Christmas tree any more.

The function of a Christmas tree is to both prevent the release of oil and gas from

an oil well into the environment and also to direct and control the flow of

formation fluids from the well.

Christmas tree can be divided into two categories; vertical and horizontal.

Vertical

– Tree valves stacked vertically on top of

tubing hanger

– Downhole functions provided through

the bottom of the tree to the top of the

tubing hanger through hydraulic or

electric connections

– Production tubing and tubing hanger

installed prior to VXT

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Horizontal

– Production fluid flows from side of

tubing hanger through production

flowline with horizontal valve

configuration

– Downhole functions provided through

radial penetrators on the side of the

tubing hanger

– HXT installed prior to production tubing

and tubing hanger

Connector

A connector Joins two pieces of equipment, prevents fluid leakage to the

environment, establishes and maintains a seal on a gasket and withstands

external loading (internal pressure, bending, tension, and torsion)

2.2.4 Well Access System (WAS)

Rig based WAS is utilized for subsea tree installation, well completion and

intervention such as run or retrieve the subsea tree, run or retrieve the tubing hanger wire

line plugs and tools, well clean-up and testing, and work over operations to provide wire

line and coiled tubing access into the production wellbores.

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HORIZONTAL SUBSEA TREE2050-S01a.dwg

INTERNAL TREE CAP

CROWN PLUG

DHSV

PMV PWV

VX TEST

PAAV

AMV

AWV

ANNULUS / SERVICEOUTLET

PRODUCTIONOUTLET

WELLHEAD SYSTEM

SUBSEA TREE ASSEMBLY

XOV

TREE CAP TEST / VENT

P

2.2.5 Control and Data Management (CDM)

The purpose of Control system is to operate valves on a subsea Tree or Manifold

from a remote location and monitor pressures, temperatures, flow etc. subsea and

display on an operator screen at a remote location.

Subsea Controls Topside Equipment

1. Master Control Station (MCS)

MCS generates control commands in response to operator inputs and transmits

them to subsea equipment, displays information from the subsea equipment,

implement interlocks to prevent inadvertent errors, executes shutdowns, monitors

functions and alarms on specific conditions, records data and alarms and

interfaces with PCS, HPU, EPU, SCM’s, and platform Safety System

2. Electrical Power Unit (EPU)

The Electrical Power Unit is the power and communication interface between the

Master Control station (MCS) and the Subsea Control Modules (SCM). The EPU

provides redundant power and communication to each SCM. Besides, it

superimposes the communication signals on the power line to the SCMs. The

EPU also displays each lines input parameters on meters located on the front of

the control panel and transmits specified operating parameters to the MCS. On

the other hand, EPU provides redundant electric power to the subsea system

contains typically;

• Electric and/or Optic modems and communication processor (TEM) for

communication with subsea SCMs

• Ethernet TCP/IP connection to Master Control Station

• Transformers

• Voltage and current monitoring

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Normally powered from an Un-Interruptible Power Supply (UPS)

3. Topside Umbilical Termination Assembly (TUTA)

4. Un-interruptible Power Supply (UPS)

5. Hydraulic Power Unit (HPU)

Figure 15 : Control system basics

Control System Basic Functionality

1. Shuts in the subsea system in critical situations

2. Enables remote operation of subsea valves and chokes

3. Monitors production parameters and system integrity

• Rig based control interface during Installation and Workover

• Operator Interface during Daily Operation

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2.3 Type of Services

Subsea project services such as installation, intervention and

maintenance that been offered are under qualified engineers supervision.

Qualified and experience service technicians are also hired to maximize the

company performance.

2.3.1 Installation Services

The company offers the most inclusive offshore services they

devoted support and specialty tooling in order to have a smooth

operations. They are very passionate in showing their commitment

for installation effectiveness and efficiency. The installation include

drilling, completion. Tie-and connection, manifold and template

installation.

2.3.2 Rental Tools

FMC Technologies is also giving a rental tool services

comprise of installation, drilling, manifold pipeline system and steel

flying lead installation.

2.3.3 Field Intervention Services

The company also practice intervention such as warm well, re-

completions, cold well, well simulations and topside control

support.

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3.0 WORK CULTURE

3.1 Occupational Health and Safety

3.1.1 Safety Regulations

3.2 WORK CULTURE

3.2.1 Team Work

FMC is very optimist in providing the best work culture for their employees. The

company constantly strive to provide a better work environment to their employee so

that they will be consistently being globally recognized as a leading company in the

ability to attract, develop and retain the best people available and in the ability to free

employees to achieve superior business results. 

It is pleased to get recognition from Fortune magazine as an acknowledgement of

the contribution of all employee worldwide, who blend technology and teamwork to the

fullest. This is just another to say that oil and gas industry has greatly recognized FMC

Technologies as a “Most Admired” company. The company has a very amazing

capability to compete because of the knowledge, creativity and commitment of the

employees.

We provide equal employment opportunity for all applicants and employees. As

such, we select, assign, train, compensate and advance employees without regard to race,

color, gender, religion, national origin, age, disability, sexual orientation or veteran

status. Trust, respect and ethical business conduct are keys to achieving and maintaining

sound relationships among our employees. Basic to these relationships is the recognition

of the personal value and contribution of every employee. FMC Technologies values the

diversity of our employees and we judge and treat all employees with dignity and

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respect. Our policy against harassment is clear. Verbal or physical conduct, or the

introduction of offensive materials constitutes harassment when such conduct has the

purpose or effect of unreasonably interfering with an individual's work performance or

creating an intimidating, hostile or offensive work environment.  FMC Technologies

will not condone such behavior by its employees, vendors or customers. Individual

conduct or conversation, whether intentional or unintentional, that results in sexual,

verbal or physical harassment, abuse or intimidation against any person on the basis of

race, color, gender, religion, national origin, age, disability, sexual orientation or veteran

status is prohibited.  Inappropriate remarks and jokes based on these or other personal

characteristics are particularly offensive and unacceptable.

 

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