Pipelines on Rails The Pipeline Alternative
Why Pipelines on Rails? Utilizing tank cars on existing railways or even building a new railway can often be quicker, cheaper and a more flexible way to move large volumes of petroleum and petro-products than building a new pipeline.
Why WorleyParsons Pipelines on Rails? WorleyParsons is the number one provider of engineering and project services to the global Hydrocarbons industry. We use our industry domain knowledge together with our diverse transport capability and understanding of complex rail requirements, to deliver integrated transport solutions incorporating rail, product handling and storage requirements, for our Hydrocarbons customers. WorleyParsons provides robust solutions for our clients by assessing engineering, economics, financing, operations and risk, and we incorporate these into our Pipelines on Rails project solutions that are efficient, both to deliver and operate.
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The Challenge Is there an alternate, more viable option to a pipeline to transport your product? A thorough understanding of all viable options and comparative analysis of the relative feasibility, costs and in particular the operational continuity risks spanning the full asset lifecycle, is imperative to making the right investment decision.
Challenges throughout project life-cycle Cost/Benefit of rail vs pipeline Risk of supply disruption Planning a logistics network
Regulatory constraints Physical constraints of terminal
Securing local construction resources
Cost of ownership of tank cars Operation and maintenance of a tank car fleet Negotiating access tariffs
Our Response WorleyParsons analyzes logistics options, prepares bankable feasibility studies, and delivers integrated Pipelines on Rails systems comprising terminals, tank cars, operating plans, and associated infrastructure. All of this informs our approach to devising optimal solutions to our customer’s challenges.
Progressive risk mitigation
Options analysis (DELTΔ Tool) Logistics chain optimization modelling Route selection
Approvals management Flexible terminal designs supporting both rail and pipe
Execution planning Construction logistics Local contractor relationships Ownership/outsource analysis Railway costing models Chinese procurement Sustaining capital projects Project portfolio management
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A phased approach Our phased approach to project development and delivery is a global discipline proven to progressively mitigate risk and provide delivery assurance.
WORLEYPARSONS’ EXPERIENCE COVERS ALL FIVE PHASES OF THE ASSET LIFECYCLE 1 IDENTIFY
2 EVALUATE
3 DEFINE
4 EXECUTE
5 OPERATE
Our Services
• Options/scoping studies
• Prefered Option selection
• FEED
• Business case
• Master Planning
• Procurement strategies
• Site Selection and permitting
• Risk assessment
• Pre-feasibility study
• Stakeholder engagement
• Simulation modelling • Execution strategy
• Detailed engineering
• Brownfield projects
• Bankable feasibility study
• Procurement
• Portfollio management
• HSE and IR strategies
• EPCM
• Project execution plan
• Project controls
• Cost estimate
• EIS/EA • Approvals management
• Water Solutions
• Mobilisation
• Asset management
• PMC • HVE/HVPD • Environmental Management
• Reliability and integrity • Business improvement
• Commissioning
• Operations and maintenance
• Completeions
• Support • Liability management • Restoration
Pipelines on Rails Service Offering Analyzing Markets Analyzing Markets and creating reliable railbased transport solutions across international borders, that enable multiple paths, using competing transport carriers, to multiple destinations.
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Transport Options Robust Assessment of Transport Options including engineering, economics, financing, operations, risk analysis, and flexibility to serve multiple and changing markets.
Practical Experience Practical Experience of the WorleyParsons team in designing and delivering liquid bulk terminals, railway corridors, and tank car rolling stock.
TCO Crude Export Project CUSTOMER TENGIZCHEVROIL (CHEVRON)
LOCATION KAZAKHSTAN
Key Achievements • Developed feasibility studies and resource calculations for loading facilities, storage and transhipment terminals, rail facilities and trunk routes • Coordinated design activities on interlinked private and state managed railway systems, state and private terminals and sea ports in several countries • Optimized infrastructure and resource requirements for state railways making significant savings for the customer • Devised stage payment regime for contractors on the state railway (first of its kind in Kazakhstan) • Construction monitoring and payment verification
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Global experience
1. T CO Crude Export Project
2. Diesel and Jet Fuel Trans-shipment Facilities
3. C ondensate Trans-shipment Facility
Detailed Design, Procurement, Commissioning/Start-up
EPCM, Detailed Engineering, Preliminary Design
Fast track delivery on congested brownfields terminal
Fast track project in harsh marine environment was completed without interruption to existing methanol export facilities
4. A PI West Pilbara Iron Ore Project
5. O akajee Port and Rail – Fuel Infrastructure
6. E thiopia-Djibouti Railway Assessment
Conceptual Design and Definitive Feasibility Study
Feasibility Study
• Fuel infrastructure and fuel procurement strategy to support 126ML pa 6 iron ore mines at 60 MTPA, 400km railway and port facility
• Fuel infrastructure and fuel procurement strategy to support 186ML pa 3 iron ore mines at 45 MTPA, 530km railway and port facility
• 6 x 96kL Rail tank cars
• 12 x 96kL Rail tank cars
• Developed fuel supply chain cost matrix
• Fuel rail train and road train loading and unloading gantries at port and mines
Tengizchevroil Kazakhstan
Feasibility Studies, Design Coordination, Construction Supervision Optimized infrastructure and resource requirements for state railways making significant savings for the customer
API Management Pty Ltd Pilbara, Western Australia
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Kinder Morgan Bulk Terminals North Vancouver, Canada
Oakajee Port and Rail Pty Ltd Mid-West Region, Western Australia
EnCana Oil and Gas Partnership Kitimat, Canada
Citadel Capital Ethiopia
Feasibility Study, Operations Plan Developed detailed business case, operations plans, and market penetration strategy to support our customer in negotiations with the government owners, including a comprehensive plan to import petroleum products to three distribution terminals as Ethiopia has no pipeline infrastructure
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7. T onkolili Iron Ore Project - Fuel Infrastructure
African Minerals Limited Sierra Leone, West Africa
Definitive Engineering Study • Fuel infrastructure design to support magnetite mine at 25 MTPA, 125km railway and port facility • 18 x 96kL Rail tank cars • Fuel rail train and road train loading and unloading gantries at port and mines
8. F easibility Study for Liquid Sulphur Handling Facilities for Shah Gas Development Abu Dhabi Gas Industries Ltd Abu Dhabi, United Arab Emirates
Pre-FEED, Feasibility Study, Conceptual Engineering, Cost Estimating Delivery Rail alignment through challenging terrain of shifting sand dunes
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9. L a Guajira Thermal Coal Project
CCX Colombia La Guajira, Colombia
Conceptual Design, Environmental Permits 180 Km railway
10. M TBE Trans-Shipment Terminal
Hancock/GVK WorleyParsons Ausenco JV Kitimat, Canada
Preliminary Engineering, Procurement, Detailed Design, Commissioning/Start-up Management • $12 million expansion • New methanol handling facilities • New 30,000 tonne storage tank
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WorleyParsons delivers projects, provides expertise in engineering, procurement and construction and offers a wide range of consulting and advisory services. We cover the full lifecycle, from creating new assets to sustaining and enhancing operating assets, in the hydrocarbons, mineral, metals, chemicals and infrastructure sectors. Our resources and energy are focused on responding to and meeting the needs of our customers over the long term and thereby creating value for our shareholders.
Zero Harm is our corporate vision for health, safety and the environment (HSE). We are committed to our vision and apply it to all operations, at all times, in all locations, and at all levels of responsibility. We will actively work to align our expectations and behaviors to achieve Zero Harm in our dedication to continuous improvement. These expectations are reflected in our integrity management framework, OneWay™, and linked to our global systems and procedures.
EcoNomics™ provides our customers with the systems, technologies and expertise to optimize and balance financial, social, and environmental outcomes, improving sustainability performance while enhancing profit and long-term viability. WorleyParsons’ vision is to be a leader in sustainability by helping our customers capture new markets and business opportunities created by the new energy economy.
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Our values
Performance • Industry leadership in health, safety and environmental performance • Delivering on our promises • People accountable and rewarded for performance • Innovation delivering value for our customers • Creating sustainable value for our shareholders
Relationships • Open and respectful • A trusted supplier, partner and customer • Collaborative approach to business • Willing to challenge and innovate • Seeking enduring customer relationships
Leadership • • • • •
Energy and excitement Integrity in all aspects of business Minimum bureaucracy Committed, empowered and technically capable people Delivering profitable sustainability
Agility • Smallest assignment to world-scale developments • Comprehensive geographic presence • Global expertise delivered locally • Responsive to customer preferences • Optimum customized solutions
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For further information please contact: Larry Shughart Transport Consulting Practice Leader Tel: +1 352 284 1250 Email: larry.shughart@worleyparsons.com
Pipelines on Rails The Pipeline Alternative
www.worleyparsons.com
Warren Williams Global Director, Transport Tel: +61 3 8676 3101 Email: warren.williams@worleyparsons.com