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Convegno Nazionale IPMA Italy – ″Projectification″ SAIPEM ONSHORE DIVISION – Jazan Project Execution 24 Gen 2019 Picture by Agostino Napolitano

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Convegno Nazionale

IPMA Italy –

″Projectification″

SAIPEM ONSHORE

DIVISION –

Jazan Project

Execution

24 Gen 2019

Pic

ture

by A

gost

ino N

apoli

tano

2

Jazan IGCC Project

Pic

ture

by A

gost

ino N

apoli

tano

CONTENTS

1. Introduction to the

Program

2. Project

Description

3. Project execution

Strategy

3

Program Overview

Saudi Aramco was charged with developing the infrastructure for the first phase of the

Jazan Economic City which includes the Jazan Refinery and Terminal, the Commercial

Seaport, an IGCC Power Plant and major Infrastructures.

These infrastructure will provide a base for investments in heavy and secondary

industries, petrochemicals, mining and other conversion industries.

The main goal of the Economic City is to stimulate manufacturing and industry in the

Kingdom’s southwest region.

• By creating more than 1,000 jobs directly, and 4,000 jobs indirectly, for the local

community.

• Promote training of local people through Jazan Contractor’s Consortium for Training

and Employment – “Maharat” of at least 5,000 young Saudi’s.

Investment for Refinery and IGCC Power Plant range to about 20 USD billions

The awarded value to Saipem is equal 3.1 USD billions

Introduction to the Project

Jazan IGCC Project

4

Project Location

Introduction to the Project

5

Contractor Offices

& Camp

JIGCC

Project Location

Introduction to the Project

6

Refinery , Terminal & IGCC

Introduction to the Project

7

• Gasification and SARU Block (IGCC-EPC-1) - Saipem

• Sulfur Recovery (EPC- 2) - Saipem

• Air Separation (EPC-3) – Air Products

• Power Block (IGCC-EPC-4) - Sepco

• Utilities & Common Area (IGCC-EPC-5) – Tecnicas Reunidas

• Sea Water Facilities (EPC-6) – China Harbour

Saipem EPC-1

Saipem EPC-1

1

Saipem EPC-2

Saipem EPC-2

Air Product EPC-3

Sepco EPC-4

Tecnicas Reunidas EPC-

5

China Harbour EPC-6

IGCC Packages

Introduction to the Project

8

From

Refinery

Oxygen

ASU(by 3rd Party)

AGRRaw

Syngas

Sulfur

AGR Acid Gas

Power

Block

4GW

Treated Syngas

HRU

Tail Gas

Nitrogen

SARU

Waste

Sulfur

SWS Acid Gas

ARU Acid Gas

SWS Acid Gas

Treated

Syngas

TPD

G-SRU

110 MBD

GFU

1,082 TPD

R-SRU(Refinery Plot)

Utilities

& Offsite

Plant/Inst Air

Potable Water

Chilled Water

Fire Water

Sea Water

Fuel Gas

Flare System

Perimeter Roads

Telecom.

Off-plot Drainage

Oxygen

VR from

Refinery

HSFO

Nitrogen To

Refinery

Power

To Grid

Power/Steam

to Refinery

Pure H2 to

Refinery

Steam

Steam

JIGCC Overall Process Scheme

Introduction to the Project

Metal

Ashes

9

Jazan IGCC Project

Pic

ture

by A

gost

ino N

apoli

tano

CONTENTS

1. Introduction to the

Program

2. Project

Description

3. Project execution

Strategy

10

Jazan IGCC Project

Project: IGCC Program – EPC Package 1 & 2

(Integrated Gasification Combined Cycle Project)

Client: Saudi Aramco

Location: Jazan, Kingdom of Saudi Arabia

Contract type: Lump Sum Turn Key

Contract value: 3.1 bn USD

Scope of Work: Engineering, Procurement, Construction,

Pre-commissioning & Commissioning assistance

Summary Data

11

Jazan IGCC Project

Scope of Work

EPC Package 1

Plant Facilities:

GFU - Gasification Unit Unit A01

(4 blocks equal to 2,360,000 Nm3/h - produced Syngas)

HRU - Hydrogen Recovery Unit Unit A02

(2 blocks equal to 184,000Nm3/h - produced H2)

AGR - Acid Gas Removal Unit Unit A03

(4 blocks equal to 2,110,000 Nm3/h - Treated Syngas)

SARU - Soot Ash Removal Unit Unit A06

(4 blocks equal to 788 kg/h - produced Ash)

Project Duration:

44 Months

12

Jazan IGCC Project

Scope of Work

EPC Package 2

Plant Facilities:

Sulphur Recovery Unit for Jazan Refinery Unit J30

(3 trains x 541 t/d sulphur recovered)

Sulphur Recovery Units in IGCC area Unit A07

(3 trains x 509 t/d sulphur recovered)

Project Duration:

44 Months

13

Jazan IGCC ProjectMain Project Quantities

Unit of

Measure

EXECUTION PHASE

QUANTITIES

Equipment No. 1.927

Reinforced Concrete M3 105.810

Steel Structures ton 67.201

Piping Steel ton 45.558

Piping RTR-PVC ton 2.613

Piping Fabrication DIA 2.463.495

Piping Erection DIA 1.393.020

Ele & Instr. Cables km 6.472

Total I/O Num. 53.653

14

Jazan IGCC ProjectMain Project Quantities

Concrete

71,053 m3 of reinforced Concrete Quantity

equivalent to:

45% more concrete of the Empire State Building

15

Jazan IGCC Project

Main Project Quantities

216,398 M2 of Paving equivalent to:

Piazza del Duomo x 13

Concrete/Asphalt Paving

16

Jazan IGCC Project

Main Project Quantities

Steel Structures52,461 tons of Steel Structures equivalent to:

Brooklyn bridge x 3

17

Jazan IGCC Project

Main Project Quantities

Piping Erection (TONS)

35,766 tons of Piping equivalent to:

Giuseppe Garibaldi Aircraft carrier x 2.5

18

Jazan IGCC Project

Main Project Quantities

Piping in Dia-Inches (Fabrication & Erection)

Factorized Inches 3,218,993 equivalent to:

256 km of Linear Welding

(distance miLAN to FLORENCE)

19

Jazan IGCC Project

Main Project Quantities

Electrical and Instrumentation Cable Length

Over 4,652 km of Cable to be

pulled equivalent to:

Milano –jazan ground distance.

20

Jazan IGCC Project

Building the largest gasification plant in the world

Project Magnitude

21

Jazan IGCC Project

Pic

ture

by A

gost

ino N

apoli

tano

CONTENTS

1. Introduction to the

Program

2. Project

Description

3. Project execution

Strategy

22

Jazan IGCC Project

Construction

Procurement

Engineering

Project Management

Project Management in Milan Office and Site

Project Execution Strategy

Project Management Team initially based in

Milan throughout the Home Office activities,

together with Saudi Aramco

Then relocated in Jazan at the beginning of

Construction

23

Jazan IGCC Project

Construction 1

Procurement

Engineering

30% activities in H.O Milan 70% activities in SIP

Chennai

Project Management

2.650.000 Engineering Manhours at the end of the Project

General activities executed at Head Office Milan:

➢ FEED Verification

➢ Process, Utilities, Material & Corrosion, Loss Prevention

Detailed Engineering Equipment:

➢ Supply follow up (after PO) of Critical Equipment managed

in Milan

➢ Supply follow up (after PO) of non critical equipment (e.g.

pumps and static equip.) developed with support of SIP

(Saipem India Projects)

Instrumentation, Civil, Piping, Electrical:

➢ Detail plant engineering, and follow-up of bulk

materials developed with support of SIP.

Buildings

➢ Detailed engineering developed in Al-Khobar

Project Execution Strategy

24

Jazan IGCC Project

Construction 1

Procurement

Engineering

Project Management

✓ More than 1000 Purchase Orders placed

✓ Suppliers selected in 27 Coutries

✓ Around 1.5 USD Billions of Materials Purchased

Sinergy between Package 1 & 2

Project Execution Strategy

25

4%

Jazan IGCC Project

Italy

39%

Saudi Arabia

6%

South Korea

40%

Germany

3%

India

3%

United States

Distribution of Suppliers

26

Construction 1

Construction Execution Plan

Procurement

Engineering

Project Management

Jazan IGCC Project

▪ CONSTRUCTION EXPECTED MANHOURS AT THE

END OF THE PROJECT : 109.000.000

▪ OVERALL MANPOWER AT PEAK : 14.000

Project Execution Strategy

27

Jazan IGCC ProjectConstruction Execution Plan

Manpower curve

6.219 6.320 6.393 6.530 6.902 6.940

7.159 7.330 7.332 7.477 7.380 7.433 7.433 7.399 7.489

7.321 7.289 7.207 7.030

6.788

-

1.000

2.000

3.000

4.000

5.000

6.000

7.000

8.000

9.000

10.000

02-16 04-16 06-16 08-16 10-16 12-16 02-17 04-17 06-17 08-17 10-17 12-17 02-18 04-18 06-18 08-18 10-18 12-18

% M

on

thly

To cover both Projects

28

Jazan IGCC Project

Currently on site active 1950 Saipem employees (for Pack 1&2)

0 100 200 300 400 500 600 700 800 900

ALGERIAN

BANGLADESHI

BRITISH

CROATIAN

EGYPTIAN

FILIPINO

INDIAN

INDONESIAN

ITALIAN

JORDANIAN

MEXICAN

NEPALI

NIGERIAN

PAKISTANI

POLAND

PORTUGAL

ROMANIAN

SAUDI

SRI LANKAN

SUDANESE

TUNISIAN

Manpower by Nationality

29

Jazan IGCC Project

0 50 100 150 200 250 300

ALGERIAN

BANGLADESHI

BRITISH

CROATIAN

EGYPTIAN

FILIPINO

INDIAN

INDONESIAN

ITALIAN

JORDANIAN

MEXICAN

NEPALI

NIGERIAN

PAKISTANI

POLAND

PORTUGAL

ROMANIAN

SAUDI

SRI LANKAN

SUDANESE

• Currently on site active 571 Supervision Personnel (for Pack 1&2)

30

Jazan IGCC Project

TCF designed by Saipem team and constructed in Direct Hiring

Laydown Area and Warehouse ViewCamp Area View

SAIPEM CAMP AREA

Project Execution Strategy

31

Jazan IGCC Project

Construction Execution has been a mix of:

DIRECT HIRING (20%)

➢ HRU (A02) Mechanical Works

➢ A51 Interconnecting Piperack Mechanical Works

SUBCONTRACTING (80%)

➢ Other areas, A01, A03, A06

➢ General subcontractors (NSH / CCC)

➢ Specialized subcontractors (CBI / OLAYAN)

Project Execution Strategy

32

Construction Execution Strategy – Subcontracting Plan

Jazan IGCC Project

33

Jazan IGCC Project

Aerial Video 2016 - 2017

The first year of Construction