Venture Project Quality Plan Roll-Out

Ian Ambrose
September 10th 2006

RGX-2 T 6/7 & AKG-2 JRMEHL Offices Jebel Ali UAE

Venture Quality Reporting Interfaces

V E N T U R E

Venture Mgr RGX - Khoo Venture SHE/Quality Manager Quality Advisor

Interface

RGX2 - Bacon COP - Kline

P R O J E C T

Project Quality Managers

RGX Onshore - Smith RGX Offshore - McGettigan RGX2 T 6&7 Lee RGX2 AKG2 Mayhall COP MEI&Power McGrath COP Tanks/Camps/Civils - Arriaga

Interface

E P C

Site Quality Coordinators Site Inspectors

Procurement Quality Co-ords Shop Inspectors Functional reporting relationship

Venture Quality Process Purpose

Define the RasGas strategy for ensuring quality on RasGas projects and the Quality Management Process for implementing that strategy Providing independent objective assessment of compliance and feedback to management

Venture Quality Process Scope

Scope of the Venture Quality Management Process is applicable to all RasGas expansion projects, including..

Preliminary design, FEED & Detailed Design Procurement (contracting and purchasing) Construction, Installation & Completions

Venture Quality Process Primary Objective

A quality assurance process is in place to ensure that new construction, facilities, and equipment and materials used for operations and maintenance meet design specifications

Compliance with the quality assurance process is periodically assessed by qualified personnel independent of those having day-to-day control of the activity being assessed
Quality assurance and quality control standards for facilities, equipment and materials are commensurate with the risks associated with their use.

Venture Quality Process Principles

An oversight role independent of those performing the work is required to verify compliance and the overall effectiveness of the RasGas and Venture Quality Management Process Criticality of work products and activities to assure the integrity of the completed facility and project execution shall be the primary factor in determining the level of Quality Management Program application and the level of oversight applied

Venture Quality Plan Key Expectations

PQM, PQC, SQC resource structure in place with R&Rs defined, explained and implemented Each PMT member to be familiar and conversant with their role in VQP

Surveillance Programs of Contractors/Suppliers activities in place and understood for Engineering, Procurement and Construction
Documented Assessments by PMT on Contractors procedures

Documented Verifications of product acceptability (typically via ITPs)

Use of Venture Control Procedures CPQ 1 thru 5 (CPQ 5 approval pending)

Venture Control Procedures Key Expectations CPQ 01 Deficiency Control and Corrective Action
First line responsibility for identifying and disposition of deficiencies lies with Contractor. PMT issue/implementation of CPQ - 1 is seen as a last resort.

CPQ 1 seen as a PMT mechanism in to communicate deficiencies to Contractor/Supplier.

Use of PMT-issued Deficiency Reports notification of deficiency that can be reworked or replaced in a relatively short time period. Use of PMT-issued NCRs for non-compliance of a specific product. Use of PMT-issued CARs for process or repetitive failures

Venture Control Procedures Key Expectations CPQ 02 Quality Audits

Applicable for VQA audits of PMTs, Contractors and Suppliers VQA audits PMT to verify effective implementation of VQP/VQMS

VQA audits Contractor to verify quality elements of contract.

PQM facilitates VQA audits on PMT Formal joint or participative audits by PMT/PQM are expected Documented Assessments by PMT are expected per structured Engineering, Procurement and Construction Surveillance Programs.

Venture Control Procedures Key Expectations CPQ 03 Processing Specification Deviation Requests
Contractors/Suppliers to use a structured and documented process to record deviations to RG Eng Specs and provide the engineering rationale for PMT acceptance or otherwise. Provide increased levels of review and approval based on significance of the deviation. Eg..Stakeholder, SME, OED/Opco etc. Approved changes to RG Eng Specs that enhance Safety, Risk, Cost saving and tech improvements are communicated to all Venture Projects. Applies to one-time exceptions and permanent changes. PMT Eng Manager responsible for process ownership and tracking. Alternative processes may be used but must incorporate all parameters of CPQ 03 and be approved by PMT.

Venture Control Procedures Key Expectations CPQ 04 Procurement Surveillance Program

Surveillance and oversight by quality group is criticality based and directs focus on items critical to success of the engineering design. Does not relieve the Contractor from their QA/QC responsibility. RGEE and RGPMS compliant process. Allows structured procurement assessments to be planned and implemented. Includes reviews of quality records. PMTs PQM and PQCs are fully trained and conversant with program. Metrics Reporting, Numbers of Assessments, Verifications, NCR/CARs.

Venture Control Procedures Key Expectations CPQ 05 Construction Surveillance Program

Surveillance and oversight by site quality group is criticality based and directs focus on items critical to success of the engineering design. Does not relieve the Contractor from their QA/QC responsibility. RGEE and RGPMS compliant process. Allows structured construction assessments to be planned and implemented. Includes reviews of quality records. PMTs PQM and SQCs are fully trained and conversant with program. Metrics reporting. Numbers of Assessments, Verifications, NCR/CARs.

ENGINEERING, PROCUREMENT & CONSTRUCTION SURVEILLANCE PROGRAMS

GENERIC COMPONENTS OF PMT E,P & C SURVEILLANCE PROGRAMS PMT E,P & C Surveillance

Assessment of Contractor E, P & C Processes

Verification of Contractor E, P & C Products Criticality Assessment and Assignment of Document Review Code

Initial Assessment of Contractor Written Procedures

Periodic Assessments of Contractor Compliance with Procedures

Special Reviews
Model Reviews HAZOPS Formal Design Reviews ITPS, Weld Procedures, Pressure Testing

PMT Document & Drawing Review Of E P & C Deliverables

Third Party Verification (e.g. FEA, MWS Other Project Specific Verifications
Model tests Material tests Pressure tests N-He Leak test Etc.

PMT Verify Vendor inspectors Activities

Objectives of Engineering, Procurement

& Construction Surveillance Plans

To confirm that CONTRACTOR E, P and C complies with the following: Complies with Project Specifications and documented requirements specified by the Agreement. That the CONTACTOR E, P & C is executed according to the CONTRACTORs Project Quality Plan, Engineering, Procurement & Construction Quality Plans Verify CONTRACTOR E, P & C is in accordance with RGEE and RGPMS expectations Guide PMT staff conducting surveillance work Provide a framework for defining other third party involvement in E & C Activities Provides a facility clearly in compliance with the agreed design to assure pre-start up integrity

Work Done To Date on Surveillance Plans

Assigned a criticality rating of high, medium, low or non-critical to all Systems, SubSystems and Activities associated with the project that have engineering input Produced Document Classification Matrices for E, P & C Deliverables Produced Document Distribution Matrices that identifies Lead Reviewers, Third Party Coordinators and Reviewers Produced Assessment Schedules Produced Assessment Checklists for Assessing CONTRACTOR Procedures and implementation of Procedures Produced Verification Checklists for documents, procurement activities and construction activites. Produced Surveillance Program Procedures for E, P & C.

Criticality Ratings for Systems and Construction Activities

System category HP Process Utilities Process Support LP Process Utilities Process Support System Description WellStream Fluids Submarine Power and Fiber Optic Cable Chemical Injection Closed Drain Instrument and Plant Air Open Drain Activity Description Load Out of Deck Pipelaying Engineering Criticality High High Medium Low Low Non Critical Engineering Criticality Medium Medium

Document Classification Matrix for Vendor Deliverables

Document Classification Matrix for Vendor Documentation (more) System Quality/Quality Control Plans Criticality Inspection Test Plans MDR,s Package P&ID's Structural Calculations FEA Reports Pressure Vessel Design Calculations Electrical Calculations Instrument Calculations Power Calculations Load Calculations Design Basis FLD's Lifting Calculations Fireproofing Calculations Manufacturing Procedures/Specs MPS VDF's Spare Parts Lists WPS & PQR's and Weld map NDE Procedures Document Importance Welder Qualifications NDE Operator Qualification Pressure Testing Procedures Forging Procedures Heat Treatment Procedures Tungsten Carbide Coating Procedure Acceptance Testing Procedures Casting Procedures Load Charts DCS/TMR Graphics Specifications Flushing Procedures Subsea Cable Procedures General Assembly Drawings General Arrangement/Layout Drawings Datasheets Linepipe & Bend Procedures Coating Procedures (Linepipe/Bends/Riser) Subsea Anode Procedures/Drawings NDE Plans Painting and Coating Procedures/Specifications Valve Fire Safe Tables and certificates II Schedules Dimensional Inspection/Control Procedures Special Tools List SDRL's Name Plate Information Material Receiving Procedures Sub Vendor List Cross Sectional Drawings Structural Drawings Parts/Material List Schematics Single Line Diagrams System Block Diagrams Actuator Torque Curves/Data Fabrication and Assembly Procedures Architectural Drawings (less) Test Reports & Results Performance Data Outline Drawings Fabrication Drawing Dimensional Drawing Catalogue Components Detail Drawings Seal & Seal Flush Drawings Transportation & Preservation Procedures Lubrication Schedules Wiring and Connection Diagrams Cable Schedules Isometrics Termination Drawings & Lists Loop Diagrams IOM's Equipment List Utility Requirements Connection List

High

II

II

III

III

Medium

II

II

II

III

III

Low

II

II

III

III

IV

Non Critical

II

III

III

III

IV

I = RG PMT and 3rd Party Review II = RG PMT Review III = For Information Only

Distribution Matrix for Procurement (Vendor) Deliverables

D5648 - RasGas Expansion Project Phase II WH6 & WH8 Facilities Distribution Matrix - Vendor Document Deliverables
DOCUMENT CLASSIFICATIONS

LEGEND: II = RG PMT Review III = For Information Only IV = Document no required unless requested by RG PMT (*) Only for Specifications that are modified LR : Lead Reviewer TPC : Third Party Coordinator
.

R = Review IO = Information Only

William FitzGerald

Test Separator

Tanks & Vessesls

II II II II II II II II II II III
LR R LR LR R R R R R R R R LR LR LR LR LR LR LR LR R R

MECHANICAL

Supplier Document Register List Data Sheets/Calculations Material Specification Drawings Quality Documents Painting Procedure Schedules Spare Parts List Manufacture Data Records Vendor Data Files Installation/Maintenance Manual

CP Separator
Supplier Document Register List Data Sheets Drawings Procedures

III II II II

R R R R

LR LR LR LR

Mahadev Kutgulla

Sandy C. Gammie

J. Alan Summers

Atwell C. Goins

Ian R. Ambrose

Chris W. Pryke

Andrew Brady

Nirmal Virdee

Peter Leonard

Jerry Longley

Mike S. Weal

Bob Hawyes

Steven Ogle

David Topp

Stuart Jones

Assessment Schedule for Construction

Sample List of Engineering Assessment Checklists

Checklist for Assessing EPC Contractors INDEX Engineering
List # AA-01 AA-03 AA-06 AA-07 AA-08 Description Engineering Planning Engineering Procedures Control of Engineering Documentation Quality Management Risk Management Rev A A A A A
Back to Start

Issued

Example of Engineering Assessment Checklist

Topic:

Engineering Planning

Checklist #:

AA-01

Rev A

Project: Sub-project:

Review Date:

Item 1.

Assessment Attribute Project Execution Plan developed and executed, addressing: 1. Scope, objectives, strategies, organizations for all project phases (identifying key individuals), responsibilities, and overview of plans for: a. Executing the engineering and design, including: Identifying and incorporating the necessary inputs to the engineering and design Applying engineering-related quality assurance, including design verification, qualification of subcontractors / vendors, internal and external audit, inspection and testing, and nonconformance and corrective action procedures

Acceptable Yes No N/A

b. c. d. e. f. 2.

Cost (including cost tracking, reporting and control) Schedule (inc. scheduling methods, tracking, reporting, control and growth mitigation) Work breakdown structure (inc. physical, commercial and scope-of-work boundaries) Identification of interfaces, and interface management including meetings and reporting Other detailed plans, e.g. for Fabrication and Installation Site Logistics, and Purchasing

Processes and procedures to be used, identifying those that exist, those to be developed, and the plan for their development. Includes processes to identify issues, evaluate issues, plan mitigation, execute mitigation, and verify outcome Initial high-level project schedule Company having access to Contractor / subcontractors / vendors for QA and expediting Contractor's subcontracts not limiting Contractor's duties or Company's rights Before carrying out work, or moving any materials or equipment, Contractor obtaining and complying with Company and insurers' requirements for maximum value of shipments, promptly notifying Company, investigating thoroughly, reporting and claims handling Setting up engineering offices at or near all work sites Providing Company with offices, facilities and support, including document control, at Contractor's home and site offices

3. 4. 5. 6.

7. 8.

Surveillance Verification Checklists (86 No)

Scaffolding (00) Structural Fabrication (01) Material Identification & Traceability Welding Plant & Equipment Assembly and Fit-up Welding Process Control Welding Final Visual Inspection N.D.T. Equipment N.D.T. Performance Cutting Material/Structural Fabrication Painting (02) Surface Preparation (Pre-blast) Surface Preparation (Post-blast) Environmental Checking & Records Witnessing of Coating Application Post-Coating Application Storage & Handling of Components Storage Handling of Consumables 00-01

Sample List of Verification Checklists

(Construction)

01-01 01-02 01-03 01-04 01-05 01-06 01-07 01-08

02-01 02-02 02-03 02-04 02-05 02-06 02-07

Example of Verification Checklist

(Construction)

Example of Surveillance Program

(Procurement)

Where Do I Find the Information:

Location of Surveillance Programs (incl Check Lists) and all things related to Quality for RGXII and AKG2 (incl. Assessment Reports, CARs, NCRs, Quality Metrics, etc) G:\ Trains 6 & 7 \ 5.0 Execution \ 5.3 QA-QC Program \ Assessment Reports \ Quality Metric Reports \ RG Engineering Surveillance Program \ RG Procurement Surveillance Program \ RG Construction Surveillance Program \ Venture QMS

PMT Quality Metric Reports