Automation INSIGHT! July 2014

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Automation INSIGHT!

EX STANDARDS ASSET PERFORMANCE FEATURED PROJECT

Luberef - Lubricants

INSIGHT! ANALYTIC

Quarterly Market Analysis JULY 2014


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INSIGHT!

FIRST WORD Dear DMS-Members, COVER: Sandy Taylor, Ahmad Al-Khowaiter & Hussain Qahtani, ISA Automation Conference and Exhibition 2013 Opening Ceremony Automation Insight! July 2014 Vol. 2 Issue 1 PUBLISHED BY Data Media Systems (for private distribution) President & CEO Mohammed Loch mloch@dmsglobal.net Administration Manager Sara Loch sloch@dmsglobal.net Editor-in-Chief Hugh Wingrove hughwingrove@hotmail.com Editoral Designer Tracy Gutierrez tgutierrez@dmsglobal.net

Automation INSIGHT!

Although all efforts to ensure accurate reporting are taken, some errors may occur. The views and opinions herein are not those of the Publishers. All Rights reserved.

Europe - Middle East - Africa INSIGHT! ANALYTIC

Weekly Market Analysis

INSIGHT! REVIEW

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Saudi Arabia

FEATURED PROJECT

CONTENTS:

ZADCO - Upper Zakum Full Field Development

INSIGHT! PAPARAZZI

MEPEC - Bahrain

December 2013

Our inventive minds can create and publish your own company magazine too! DMS Publishing Team:

Mo Loch President and CEO DMS Global

Publishing Coordinator Olga Wendland owendland@dmsglobal.net Co-editor Victoria Cox vcox@dmsglobal.net

ISA AUTOMATION CONFERENCE 2013

Welcome to the first issue of the Automation Insight in 2014! We launched this magazine end of 2013 at the ISA EMEA Conference & Exhibition in Dammam, KSA and since then we received an overwhelming response. The energy industry was delighted to see the first publication that truly addressed the technical issues of the automation sector in the Middle East. To meet this popular demand we will now be publishing Automation Insight quarterly to keep the community up to date with the latest technologies and industry trends This publication was made to be your voice. Please send us your feedback on the magazine to automation@dmsglobal.net - we look forward to your suggestions on how to make the Automation Insight the best communication platform within the automation industry.

3 4-10 12 14-17 18-23 26-28 31-32 34-38 40-41 42-43 44-45 46-50 52-54 55-58 59-65

First Word Analytic Reports Company News Post Show Report Paparazzi Partners Control System Cyber Security Functional Safety and SIS Asset Performance and Productivity Enhancements Custody Measurement Advanced Application Technology and Implementation Ex Standards Featured Project Project Listing

Dear DMS-Members, We had a very successful ISA Automation event back in December and now we are going to continue the good work at the upcoming PMI AGC-DMS Energy Forum Debates. With the Automation Insight! magazine we aim to bring awareness of the technologies, companies and projects to our audience within this great industry. This 2nd edition contains articles on asset management, custody transfer instrumentation, functional safety, cyber security and technology implementation. Last but not least, in this issue we will be discussing the demise of the Ex nL standard and its replacement by the Ex ic standard that caused a lot of confusion in the industry. I hope very much that this edition of Automation Insight! will give you a lot of ideas, which will help you to find the best industry solutions day by day! Happy reading! Hugh Wingrove Editor-in-Chief DMS Global

For editorial and advertising opportunities, contact JULY 2014 | Automation INSIGHT! | 3


Analytic REPORT

Umm Al Dalkh: ESP installation Approaching Package 2

ADCO’s North East Bab Is Approaching The EPC Stage

The first stage of the ESP installation project at the Umm Al Dalkh oil field, owned by Zakum Development Company of Abu Dhabi (ZADCO) is expected to complete by May 2014.

ANALYTIC

With an aim to increase the oil production of Umm Al Dalkh, ZADCO awarded the Dutch engineering company Tebodin to renew and enhance the facility. Tebodin has completed the front end engineering and design studies (FEED), and took over as the project management consultant (PMC). Tebodin supervises the Umm Al Dalkh ESP Installation project, which involves installation of ESPs and associated cables at the Umm Al Dalkh offshore facilities platforms. Umm Al Dalkh field, located 25 km NorthWest of the UAE’s capital Abu Dhabi, spreads over an area of 168 km and is composed of 2 reservoirs with oil carrying layers with 7700 feet depth and 235 feet thickness. The field was discovered in 1969 and the oil production first commenced 1985. The oil is pumped to Zirku Island via Upper Zakum Central Complex through a 42 inch pipeline.

Abu Dhabi Company for Onshore Oil Operations (ADCO) takes fast steps boosting its large oil and gas area North East Bab (NEB). With its general aim to increase crude oil production from 1.4 million to 1.8 million BOPD by 2018, ADCO is undertaking the phase 3 of the NEB development. North East Bab (NEB), located 31 km from UAE’s capital Abu Dhabi, is ADCO’s development which incorporates 3 fields, Al Dabb’iya, Rumaitha and Shanayel, and one undeveloped area, Jumaylah. With Al Dabb’iya, located on a coastal shallow and deep marine area, as well as Rumaitha and Shanayel along with its onshore location, the fields are placed at a vastly sensitive and ecologically significant spot. The area, with its dessert, sea and mangroves supports diverse wildlife species. This was the reason why ADCO had to implement new technologies and management systems that help minimize the environmental impact of its operations. Furthermore, NEB is ADCO’s first 4 | Automation INSIGHT! | JULY 2014

i-field full field development which incorporates real time data acquisition and analysis. NEB’s analysis includes Integrated Asset Operations Model (IOM) and Field Data Integrated System (FDIS), via Collaborative Work Environment (CWE). Currently, with its general aim to increase crude oil production from 1.4 million to 1.8 million BOPD by 2018, ADCO is undertaking the phase 3 of the NEB development. With completion of the phase, NEB will contribute an additional 112,000 BOPD as a result of Al Dabbiya’s production increase by 73,000 BOPD, and Rumaitha and Shanayel’s production increase by 39,000 BOPD. The Phase 3 development requires additional oil, gas and water handling processing facilities, as well as water and gas injection facilities to sustain reservoir pressure and enhance oil recovery. Technip has completed the front end engineering and design, while Mott MacDonald is engaged in the project management consultancy services for this project, which is moving closer to the engineering procurement and construction (EPC) stage. For Rumaitha and Shanayel a consortium of GS Engineering & Construction and Dodsal have been awarded the engineering, procurement and construction contract, while Al Dabbiya has recently received technical bids for EPC contract.

Divided into 2 packages and several phases, the ESP Installation project is currently in the construction stage for the first package. The

subsea cable works are carried out by E-Marine PJSC for the subsea cable works. The first package includes the wellhead platform associated works. This encompasses ESP installations produced separately by Schlumberger, and topside facilities carried out by Tebodin and CCTC. In terms of cable laying, CCTC and E-Marine are undertaking works which involve: • 9km cable length • Central processing complex • Wellhead platforms (WHP) 7, 1, 2, 11 and between 1 and 11. Meanwhile, the Package 2, consisting of phases 3, 4 and 5, is expecting construction contract award in August 2014. The works consist of facilities associated with installation of ESP wellhead platforms (WHP) 1, 2 and 11.

EPC contracts awarded to Three Phases of Kuwait’s Clean Fuel Project Kuwait National Petroleum Company (KNPC) has recently signed EPC contracts for each of three phases of its Clean Fuel Project. • The consortium between Petrofac, Samsung Engineering and CB&I Company was selected to work on the first phase of the KNPC’s project. The value of the contract comes to $3.8 billion. • The second phase of the project will be covered by the consortium between Fluor Corporation, Hyundai Heavy Industries and Daewoo Engineering & Construction Company. The contract signed between the consortium and KNPC is worth $3.4 billion. • The consortium between JGC Corporation, SK Engineering & Construction and GS

Engineering & Construction has won a $4.8 billion contract for the phase 3. The main aim of Clean Fuel Project is to increase the refinery’s combined capacity from 736,000 barrels per day (bpd) to 800,000 bpd by 64,000 bpd of fuel. In the second half of 2012, Foster Wheeler - Global Engineering and Construction Group was awarded the project management and consultancy (PMC) services contract. Fluor Corporation won the bid for the front-end engineering design (FEED). Siemens has been awarded a turnkey contract to supply high-voltage substations. As soon as the construction is completed, there will be at least 30 units at Mina Abdulla and Mina Al Ahmadi refineries that would produce 10 parts per million of low sulphur diesel and Euro IV gasoline, as well as other products. JULY 2014 | Automation INSIGHT! | 5


ANALYTIC

ANALYTIC

Kuwait National Petroleum Company Develops New Refinery Schemes Kuwait National Petroleum Company (KNPC) currently runs Mina Al Ahmadi and Mina Abdullah refineries, which produce a combined capacity of 930000 barrels a day (b/d) of fuel oil. However, this fuel oil is produced according to different specifications and therefore requires additional treatment before it can be used by the country’s power plants. KNPC is well on track to construct a New Refinery Project. Estimated to be around $15 billion, the project is divided into five following packages: • • • • •

Package 1 (Process Plant) Package 2 (Process Plant) Package 3 (Offsites & Utilities) Package 4 (Tankage) Package 5 (Marine Works)

AMEC has won the bid for the project management consultancy (PMC) and Fluor Corporation got the contract for the front-end engineering and design (FEED). The engineering, procurement and construction (EPC) contract will be awarded in December 2014. According to an industry source, Honeywell will provide Integrated Control & Safety System (ICSS), however they will also provide front-end engineering design (FEED) for the system. When completed by 2018, the multi-billion dollar refinery is expected to be the largest in the Middle East and will increase Kuwait’s refinery capacity by 615,000 barrels per day. It will be a key part of Kuwait’s long term strategy to produce cleaner fuels to satisfy the increasing demands for energy and adhering at the same time to the latest environmental standards.

Sabic Delays Issuing Tenders to Build Acrylonitrile Plant After years of technical and commercial studies, Saudi Basic Industries Corporation (Sabic), and its Japanese partners, Mitsubishi Corporation (Mitsubishi) and Asahi Kasei Chemicals Corporation (Asahi) signed a strategic joint venture agreement to build the first acrylonitrile and sodium cyanide plant in the Middle-East. A limited liability company called Saudi Japanese Acrylonitrile Company (Shrouq) was formed and it will be owned 50 per cent by Sabic, while Asahi Kasei Chemicals and Mitsubishi will possess the remaining 50 per cent. Initial paid-in capital will amount to $10.7 million and Sabic has also promised to be the technology and feedstock provider for the complex. Shrouq will manufacture acrylonitrile (AN) and sodium cyanide (NaCN), with subsequent sales and distribution to be carried out by the partners. The agreed plan is to establish worldscale plants with capacities of 200,000 metric tonnes per year (tpy) of AN (propylene process) and 40,000 metric tpy of NaCN at one of the SABIC affiliates’ sites in Jubail Industrial City. The hydrogen cyanide byproduct of AN production will be used as feedstock at the NaCN plant to be constructed adjacently. With this plan in mind, Sabic, Mitsubishi and Asahi established 6 | Automation INSIGHT! | JULY 2014

in April 2011 the joint venture Saudi Japanese Acrylonitrile Company (SHROUQ) in Saudi Arabia. In order to benefit from existing infrastructures, the joint venture partners selected the Jubail Industrial City site in the Eastern Province to erect this first Acrylonitrile project. In March 2014, as the financial discussions are still ongoing among the joint venture partners, Sabic has delayed issuing tenders for the EPC contract to build the acrylonitrile plant. After conducting an in-house basic engineering design and the feasibility study for the plant in 2011, a final investment decision (FID) was made in February 2013. This was followed by the launch of the tendering and bidding processes for the engineering, procurement and construction (EPC) contract. In the meantime, South Korea’s Daelim Industrial performed the front-end engineering and design (FEED) studies on the plant until October 2013. A key driver for the project is Saudi Arabia’s National Industrial Clusters Development Program aimed at growing and diversifying the Kingdom’s manufacturing sector. Moreover, the AN and NaCN are very important chemicals for downstream diversification into Acrylonitrile Butadiene Styrene (ABS), Carbon Fiber, Acrylic Fiber, Acrylamide and others which serve various industries such as automotive, construction, water treatment, oil recovery, personal care, consumer goods, pharmaceuticals, electronics, gold mining and many others. In particular NaCN will support the local mining industry in Saudi Arabia.

Acrylonitrile is part of the building block that is used to produce Acrylonitrile Butadiene Styrene (ABS), one of the most common technical plastic used in the automotive, consumer goods and all industrial applications. After the completion of this new acrylonitrile plant, Asahi will reach 1.4 million tonnes per year (tpy), thus taking the global leadership of this market. In addition to that, the joint venture with Sabic will secure competitive feedstock and energy cost to ensure the profitability of the Jubail Acrylonitrile project. From Sabic’s perspective, this project completely

meets its strategic goal for growth in expanding its petrochemical portfolio, especially with high added value polymers. Concerning the sodium cyanide, most of the applications rely on the metal mining, especially gold mining. From the technical and commercial studies, Sabic, Asahi and Mitsubishi have sized the Jubail Acyrlonitrile and Sodium Cyanide project to 200,000 tpy of acrylonitrile and 40,000 tpy of sodium cyanide. Based on the current tendering process, Sabic and its partners are planning to award the EPC contract for the Jubail Acrylonitrile and Sodium Cyanide project in the first quarter 2014, while the first commercial operations are scheduled to commence in 2016.

Sabic Contemplates Building the Region’s Largest Single Phase Downstream Complex Saudi petrochemicals giant Sabic has revealed plans to build the region’s largest single-phase downstream complex at Yanbu. The estimated $30 billion oil-to-chemicals project on the Red Sea coast of Saudi Arabia is still in its very early stages. It is also unclear whether Sabic will develop the scheme alone or with a joint venture partner. However, to produce chemicals directly from crude oil and utilize all of its derivatives would require the construction of a complex that could be two or three times larger than anything ever seen before in the kingdom.

A petrochemicals refinery would process crude and feed the offtake into three steam crackers. One would crack natural gas liquids (NGLs) and liquid petroleum gas (LPG), a second would crack naphtha and a third would crack fuel oil. This would create millions of tonnes of chemicals that would then supply several downstream units. Therefore, what we are looking at is a full oil refinery and three crackers to process the crude derivatives into intermediate chemicals,” says an industry source to DMS Analytic. The product slate of the three crackers would include ethylene, propylene, butadiene, benzene, toluene and xylene. These would be fed into downstream processing facilities that would be constructed as part of the complex. JULY 2014 | Automation INSIGHT! | 7


ANALYTIC The technology for this is available and could be licensed from a number of sources. However, the main issue around such a complex project is the cost of construction as well as the fuel required to power it. Buying crude at market price for the feedstock to produce chemicals is not an issue, but fuelling the facility will require a significant subsidy. The cost of feedstock to fuel the scheme would require an additional 30-40 per cent of crude to provide the power to run the facility. Although the initial budget for the complex has been estimated at below $30 billion, it could be much higher when you take into consideration the spiraling costs for all large-scale schemes in the Middle East. The scope of the scheme is still unknown, but if the capacity is set at 400,000 barrels per day (bpd) then up to 160,000 bpd of

ANALYTIC additional crude could be required for fuel.

Oman Rising Investments in Petrochemical

In Saudi Arabia, this would mean a subsidy of $36 per tonne for the crude used for power, which is equivalent to the $0.75 a million BTU’s that the Oil Ministry charges for ethane in industrial use. Industry sources in the kingdom indicate that securing this price would be a central factor deciding whether the scheme becomes economically viable. However, in a recent speech given by the Petroleum and Mineral Resources Minister Mr. Ali Al-Naimi, he said that the scheme is gaining momentum as plans are being formulated by the Oil Ministry and Saudi Aramco that would see greater integration between the kingdom’s refineries and petrochemicals industries. It is believed that several petrochemicals initiatives are being planned across the kingdom that would utilize liquid feedstock such as NGL’s and naphtha sourced from current or planned refineries.

France’s Vallourec to Supply Equipment for Shuqaiq Steam Power Plant The Shuqaiq power plant is an important milestone to meet the fast growing energy demand in Saudi Arabia. Consisting of four 660 MW heavy fuel oil fired supercritical boilers, a 380 kV substation, related seawater intake, flue gas cleaning system and all necessary auxiliaries, the Shuqaiq power plant will have a generation capacity of 2640 MW. In March 2014, French firm Vallourec has been selected to supply equipment for the Shuqaiq steam power plant. The plant, which is currently under construction by South Korea’s Hyundai Heavy Industries (HHI) on a $3.3 billion deal, will be located on the Red Sea coast, approximately 580 kilometres south of Jeddah. Vallourec’s scope of work is to supply 10,000 tonnes of tubes for the plant boilers, which are to be delivered in the first, second and third quarters of 2014. Nicolas de Coignac, managing director of Vallourec’s Power Business, said: “This important order illustrates that the market for new built power generation plants is today driven by Asia and the Middle East with several projects destined for Saudi Arabia. Furthermore, HHI has also sub-contracted a $23 million award to US’ GE for the supply of 24 8 | Automation INSIGHT! | JULY 2014

variable-speed drives (VSD) of 18 MW each. In addition to that, France’s Alstom has also been awarded a $227 million contract to supply four 720 MW steam turbine generator sets. Alstom’s contract includes the engineering, manufacturing, supply and field services for all four steam turbines and generators, and will also include all direct control and auxiliary systems. In September last year, SEC also awarded Pöyry with the owner’s engineer services for the conventional steam power plant and 380 KV substation in Shuqaiq. The assignment includes the design review and site supervision of the complete power plant, the 380 KV substation, the flue gas cleaning system, seawater intake and all related auxiliary systems. Saudi Electricity Company (SEC), who is the project owner on the scheme, has revealed that the power plant will be built on a turnkey basis, and it will include engineering, procurement and construction (EPC), testing and commissioning. It is scheduled to be commissioned in 2017. HHI also revealed that they will adopt a supercritical pressure power plant technology on the Shuqaiq power plant. The supercritical pressure technology is used to generate electric power by operating at such a high steam pressure that it uses less fuel and emits less pollutant than other types of steam generators. Upon completion, the steam power plant will be able to produce enough electricity for about 2 million people.

In an effort to maximize the benefit of its hydrocarbons, Oman is heavily investing in a series of mega petrochemical projects. Oman International Petrochemical Industry Company LLC (OIPIC), a joint venture of Oman Oil Company (OOC) and LG International, is building two plants in Sohar. The first one is planned to produce 1.1 million tonnes of PTA, and the second - 500,000 tonnes of PET. In late March OIPIC has awarded the PMC contract to WorleyParsons. Prior to this Oman Refining and Petrochemicals Company (ORPIC) has awarded CB&I and Engineers India Limited (EIL) to persecute two contracts within its Liwa Plastics project. CB&I will provide ethylene technology and the FEED service. Engineers India Limited (EIL) will manage and supervise the project. The $3.6bn expensive Liwa Plastics facility is to be sited next to Sohar refinery. It will have a production capacity of 1.2 tonnes per year after its completion in 2018. The gas extraction facility that is to be constructed at the Fahud Refinery in Muscat, will cover 40% of the feedstock-demand

of Liwa Plastics, while the expansion of the Sohar Refinery, at time under engineering, will provide the rest of the feedstock. Takamul Investment Company, the downstream investment arm of OOC, is also planning to set up two petrochemical projects. One is a large metaxylene/purified isophthalic acid (PIA) plant to be located in Sohar, the other project is an ammonia plant in Salalah. The ammonia plant will process chemicals from Salalah Methanol Company into value-added products. Beside that two other projects should be mentioned. The first one is Duqm Petrochemical Complex that will be built as a second phase to DRPIC’s Duqm Refinery. The second project is the expansion of Sohar PTA/PET Complex. Duqm Refinery will provide naphtha as feedstock for Duqm complex. The expansion of Sohar PTA/PET Complex is a joint venture, owned to 30% by OOC and to 70% by Vale Oman. This project was however put on hold in the third quarter of 2013. Vale Oman should re-study the project by 2015. Whether the project will be resumed or not depends on the results of global market studies which Vale is currently conducting. Oman has withdrawn from Hormoz urea and ammonia production unit project located in Southern Iran. The unit was projected to annually produce one million tons of ammonia and 650,000 tonnes of urea. JULY 2014 | Automation INSIGHT! | 9


ANALYTIC

Duqm Refinery, A Strategic Project for Oman is Moving Ahead Foster Wheeler has been awarded the Front End Engineering and Design (FEED) contract for the Duqm Refinery Project. Duqm Refinery will be the largest refinery in Oman with the Capacity of 230,000 bpd. The refinery is a part of the government’s plans to develop the Duqm costal area, with the special Economic Zone. The client, Duqm Refinery & Petrochemical Industries (DRPI), is a joint venture of Oman Oil Company (OOC) and International Petroleum Investment Company (IPIC) of Abu Dhabi. The FEED study is scheduled to be completed by mid-2015. However, the invitation to bid for the EPC contract is not expected before the end of 2015. It took DRPIC long time to award the FEED contract. Many explain this delay with the internal scandal in the OOC. The CEO of the OOC was recently sentenced to a total of 23 years in jail for accepting a bribe made by the vice CEO of the Korean-based LGI after winning a billion Riyal petrochemical project in Sohar Port. The project will play a vital role for the petrochemical industry of Oman due to the strategic location of the Duqm area, adjacent to one of the world’s key shipping trade routes.

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Oman, Petrofac’s Land of Treasure Petrofac is a leading company, providing integrated services across the oil and gas services in 29 countries worldwide. Oman is one of these countries. Petrofac won its first contract in Oman in 1988 and since then Petrofac has boosted its presence in Oman by winning four further EPC contracts. Recently great luck has smiled to Petrofac again. On 23. November 2013 Petrofac won the first of a serious of mega contracts. This first contract, worth $2.1 billion , was awarded by ORPIC to build Sohar Refinery expansion project. Not longer after, Petrofac won an EPC contract from BP for the largest gas field development project in Oman, Khazzan Field. The contract 10 | Automation INSIGHT! | JULY 2014

value this time amounted to $900 million. Last but probably not least, Petrofac has been awarded the EP contract for PDO’s Rabab-Harweel Integrated Plant (RHIP) project. This contract also includes construction and commissioning management support services during the construction and start-up phases of the integrated oil and sour gas facility. The total contract value is expected to be more than $1 billion.

DMS Analytic is a bespoke energy industry market research and market-entry service. Trust our 15-year experience of collecting global project data - we can get the critical facts you need faster!

Oman has not been the only land of treasure for Petrofac. Kuwait is it as well. Kuwait National Petroleum Company’s (KNPC) has awarded Petrofac and its JV partners with a $3.7 billion contract, with Petrofac’s share of $1.7 billion. This is an EPC contract for Clean Fuels Project at Mina Abdulla (MAB1) refinery.

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COMPANY NEWS

Added value for customers The new Endress+Hauser sales center is equipped with resources for sales, service and project management. The new offices will facilitate Endress+Hauser’s pledge to ‘support the region, from the region’, providing sales and after-sales support best suited to customers’ needs and requirements. The Managing Director of Endress+Hauser UAE is Jens Winkelmann.

Qatar (2009) and Saudi Arabia (2012), the Sales Center UAE is now Endress+Hauser’s third Endress+Hauser Inaugurates NewAfter Sales subsidiary onCenter the Arabian Peninsula. Since 2006, Endress+Hauser’s Middle East Support Center in Dubai has ensured additional sales support in the Middle East. in the United Arab Emirates

With offices in Dubai and Abu Dhabi, Endress+Hauser strengthens market presence on the Arabian Peninsula To optimize customer support, the measurement engineering specialist has established a new sales center in the United Arab Emirates. The inauguration took place on 5 March 2014.

Reliable in experience and technology.

For two decades Endress+Hauser has been represented in the United Arab Emirates (UAE) by the local representative Descon Automation Control Systems. As a commitment to the Middle East region, the Swiss company has now integrated Descon’s Endress+Hauser business into its own sales organization. On 1 January 2014, Endress+Hauser UAE started to operate in the market with a strong and dedicated team of 44 in two offices located in Dubai and Abu Dhabi. The formal inauguration of the new sales center took place on 5 March 2014 in Dubai.

Added Value for Customers

The new Endress+Hauser sales center is equipped with resources for sales, service and project management. The new offices will facilitate Endress+Hauser’s pledge to ‘support the region, from the region’, providing sales and after-sales support best suited to customers’ needs and requirements. The Managing Director of Endress+Hauser UAE is Jens Winkelmann. After Qatar (2009) and Saudi Arabia (2012), the Sales Center UAE is now Endress+Hauser’s third subsidiary on the Arabian Peninsula. Since 2006, Endress+Hauser’s Middle East Support Center in Dubai has ensured additional sales support in the Middle East.

The Endress+Hauser Group

Endress+Hauser is a global leader in measurement instrumentation, services and solutions for industrial process engineering. The Group employs approximately 12,000 personnel across the globe, generating net sales of 1.8 billion euros in 2013.

Structure

With dedicated sales centers and a strong network of partners, Endress+Hauser guarantees competent worldwide support. Our production centers in 11 countries meet customers’ needs and requirements quickly and effectively. The Group is managed and coordinated by a holding company in Reinach, Switzerland. As a successful family-owned business, Endress+Hauser is set for continued independence and self-reliance.

12 | Automation INSIGHT! | JULY 2014

Endress+Hauser Sales Center in Dubai, ready to serve UAE.

Good outlook: Endress+Hauser Sales Center in Dubai, ready to serve UAE.

Products

Endress+Hauser provides sensors, instruments, systems and services for level, flow, pressure and temperature measurement as well as analytics and data acquisition. The company supports customers with automation engineering, logistics and IT services and solutions. Our products set standards in quality and technology.

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Industries

We work closely with the chemical, petrochemical, food & beverage, oil & gas, water & wastewater, power & energy, life science, primaries & metal, renewable energies, pulp & paper and shipbuilding industries. Endress+Hauser supports its customers in optimizing their processes in terms of reliability, safety, economic efficiency and environmental impact.

Maximum transparency and reliability for bunker fuel measurement

History

Founded in 1953 by Georg H Endress and Ludwig Hauser, Endress+Hauser has been solely owned by the Endress family since 1975. Led by Klaus Endress since 1995, the Group has developed from a specialist in level measurement to a provider of complete solutions for industrial measuring technology and automation, with constant expansion into new territories and markets. For further information, please visit www.press.endress.com or www.endress.com.

Endress+Hauser Instruments International AG Middle East Support Center 7WB, Office 2100 Dubai Airport Free Zone P.O. Box 293828 Dubai, UAE Phone +971 4 253 51 00 Fax +971 4 609 18 11 info@ii.endress.com sales.inquiries@ae.endress.com www.ii.endress.com


Post Show REPORT

POST SHOW REPORT The ISA Saudi Arabia section managed though to create a global platform for companies and organizations from Europe, Asia and Africa to exchange ideas in the field of automation. Under the theme “Experience the Future”, the event was a full-scale conference and tradeshow that welcomed industry experts from almost 100 countries across the globe.

Job Titles/ Design Job Titles / Designations CEO/President/Chairman/Managing Director

235

250

Other Department Directors Managers/Supervisors/Heads

“It was a very well-run conference with good speakers”, said Paul Gruhn, Global Process Safety Consultant from Rockwell Automation. Also Edward Naranjo, Global Technical Product Manager at General Monitors has left a good feedback, admitting he was very impressed by the large number of experts attending the event. The first edition of ISA Automation Conference and Exhibition in Dammam attracted more than 750 attendees, 50 exhibitors, 86 renowned national and international speakers, including high profile conference delegates. Speakers shed light on the latest technological advances of the industry, so that all delegates could win valuable knowledge to apply to their day-to-day business activities.

Engineers

61

Consultants/Specialists Students/Media/Other Executives

19 38

42

No. Of Visitors per Region 78

34

32

Middle East and Africa United States of America United Kingdom

CHANGING THE PERSPECTIVE

Looking back at the ISA Automation Conference and Exhibition 2013

Sometimes one week is enough to begin seeing things differently. Exactly that was the purpose of the first Automation Conference & Exhibition in Dammam last December. For the first time the International Society of Automation (ISA Saudi Arabia section) made the MENA energy industry look at the automatic control as a separate branch and not only a sideline within the entire production.

“Most of all I enjoyed the opportunity to meet so many professionals and exhibitors,” said Hussain Al Marzooq, Process Control & IT Engineer at Saudi Aramco. The main aim of the ISA Automation Conference was obviously to give the local professionals a unique opportunity to learn and exchange experiences with peers from all over the world. “The energy industry needs such events to bring the key people together to make good business”, said Mohammed Loch, the CEO of DMS Global, who organized the event.

Rest of Europe Asia

106

500

The ISA Automation Conference & Exhibition was the first event In the Middle East targeting a particular stage of the production process. And, according to the overall good feedback, also successful. More than 90 percent of the participants have declared that they would take part in further technical conferences organized by the International Society of Automation. “ISA plans to organize one more conference of this kind this year and I hope that this will be a beginning of a good and lasting tradition!” said Mr. Loch.

Such specific conferences are still very rare. The majority of the events in the energy industry cover broader sectors, like oil, gas and power, instead of specifically devoting the attention to the stages of the production itself. 14 | Automation INSIGHT! | JULY 2014

JULY 2014 | Automation INSIGHT! | 15


POST SHOW REPORT

POST SHOW REPORT

The Five Intensive Days

What are the Threats? External Threats • Nation states • Hackers • Hacktivism • Competition

The official opening of the conference and exhibition took place on Tuesday, 10 December 2013. During the two days before the conference start the participants had the opportunity to join some industry specific workshops and trainings.

Recent Cyber Attacks in the Middle East

During the three following conference days the industry experts from all over the world covered all main aspects of automation industry: • • • • • • • • • • •

Internal Threats • Engineering Design • Employees • Suppliers and other external parties

2010: The Stuxnet worm is detected. It is the first worm known to attack SCADA (supervisory control and data acquisition) systems.

Control Sys and Cyber Security Wireless & Industrial Communications Asset Performance and Productivity Enhancement Custody Measurement Wireless & Industrial Communications Functional Dafety & SIS Instrumentation & Control Automation Issues Process Analyzers Technology & Implementation Advanced Applications

Source: “Fighting cyber espionage with industry standards” presentation by Arjan Meijer - Security Consultant, Hudson Cybertec

2011: The Duqu worm is discovered. Unlike Stuxnet, to which it seems to be related, it was designed to gather information rather than to interfere with industrial operations. 2012: Flame is discovered and found to be used in cyberespionage in Iran and other Middle Eastern countries. • 15th August 2012: Shamoon Virus attacks Saudi Arabia and Qatar’s RasGas • Disrupted work, emails and internet access

Source: “Securing the Plant Systems and Networks: The Human Factor ” presentation by Dr. Fadi Sibai - Security Consultant, Hudson Cybertec

Cyber Security As A Highlight Among the biggest highlights of the first day were the two lectures about Cyber Security, which attracted the maximum participants. These lectures were held by IT and engineering experts from Aramco, Sabic, Adma, ISA Europe and Invensys. The interest in this topic was probably based on the recent cyber security attacks on the energy giant Saudi Aramco. As the following graph depicts, the energy industry is the most frequent one that is affected by cyber crimes. Arjan Meijer, a security consultant in Hudson Cybertec, pointed out in his conference presentation that cyber threats could come not only from external parties like nation states, hackers or competition, but also from inside of the own company. Employees, suppliers or other parties involved in the company everyday activities could accidentally or deliberately cause the leak of information. This is the modern reality all companies should be aware of.

16 | Automation INSIGHT! | JULY 2014

As a possible security solution Mr. Meijer suggested setting up a Cyber Security Management System, following the ISA99 model. These standards reportedly encompass not only the technology but also address physical security, organization structure, people skills, policies or procedures.

Industries Under Cyber Attack in 2012

New Opportunities The ISA Automation conference and exhibition had a broad variety of objectives, covering nearly every aspect of establishing a sustainable partnership within the industry. The event created an excellent platform for face to face meetings with existing clients, building new contacts and exchanging innovative ideas. Businesses could expand their networking, connecting with major players in the industry from the public and private sectors.

Source: Industrial Control Systems Cyber Emergency Response Team; used for the presentation of Dr. Fadi Sibai - Security Consultant, Hudson Cybertec

The event, as visible in the feedback, has opened new opportunities for more product exhibitions and training courses, thereby allowing specific communities to focus on achieving their objectives and providing solutions to the different challenges of measurement and control in complex industrial environments.

JULY 2014 | Automation INSIGHT! | 17


PAPARAZZI | AUTOMATION

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8 - 12 December 2013

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3rd PMI AGC - DMS Energy Forum Debates 2014 Interview with Mohammed Loch, CEO of DMS Global and Abdul Majeed Al Gassab, President of PMI AGC Bahrain Region The GCC region is home to a number of events focused on oil & gas industry. How is PMI AGC-DMS energy Forum debates different?

intelligence in the oil & gas industry allowed us to select the most critical topics in oil & gas project management to debate on. Both PMI and DMS have a large number of members and subscribers for whom solving these challenges is a task of crucial importance. We believe we deliver a valuable service to our respective communities by offering them a platform to exchange their expertise and ideas and suggest solutions to their problems in an open forum.

Mr. Loch: We wanted to create an event that would bring together heads of major projects from both NOCs and EPCs to discuss project management challenges. With every challenge there is always more than one solution. It doesn’t necessarily mean that one solution is better than another - it just means there are different approaches to solving the same problem.

How long you have been running these debates for?

The reason why we chose the debate format for this event is because we did not want to have a one-way dialogue typically present at the conferences. The debate format allows us to bring the teams of experts presenting pros and cons of each motion and to stimulate the debate through audience interaction. Each motion ends up with a vote for or against the motion, so we get a clear idea about the thoughts of the industry on the whole on these issues.

Mr. Loch: This year we will run the 3rd annual PMI AGC-DMS Energy Forum. The idea was to have this event to take place in different GCC countries every year, so every country takes their turn hosting it and encouraging NOCS to get together and discuss their policies on contracting strategies. The first event was held in Abu Dhabi where we had 80 delegates taking part in it. This inaugural event was such a profound success that when we held the second event in Kuwait, we received an official endorsement from Kuwait NOC - KPC and doubled the attendance rate attracting over 160 delegates.

What brought PMI AGC and DMS together to create this event? Mr. Loch: PMI is the world’s leading professional authority in the project management field and this is why the DMS teamed up with PMI AGC to tap into their technical expertise on the general project management issues. This, coupled with DMS global project 26 | Automation INSIGHT! | JULY 2014

MOHAMMED LOCH President and CEO, DMS Global

A. MAJEED AL-GASSAB President, PMI-AGC Bahrain Region JULY 2014 | Automation INSIGHT! | 27


PARTNERS

3RD

Mr. Al Gassab, what technical topics did the two previous Debates cover?

PMI AGC - DMS Energy Forum: Debates 2ND - 3RD SEPTEMBER 2014 GULF HOTEL - MANAMA KINGDOM OF BAHRAIN

Mr. Al-Gassab: During the events we covered some pressing topics such as environmental risk liability, project insurance responsibilities, EPCM vs EPC, Cost plus over LSTK models, and others. What is the impetus to have it taking place in Bahrain? Mr. Al-Gassab: In Bahrain, this event is supported by BAPCO, who is a diamond sponsor of the forum. The country is currently managing a large number of exciting projects such as Bapco Modernization Program (BMP), Bapco - A-B Pipeline, MOW - Tubli STP Expansion - Phase 4, GPIC - Urea Plant Expansion, GPIC - Ammonia Plant Expansion, The Friendship Causeway, BAC - Bahrain International Airport Expansion. This is why the forum like this is very timely for the country that is facing various project management challenges at the moment. What can we expect from the event this year? Mr. Al-Gassab: This year we put together yet another stimulating discussion focusing on key project challenges. The first subject is about hydrogen outsourcing. Traditionally, in the West refineries outsource their hydrogen needs, while in the Middle East they used to produce it themselves. However there are now some pioneers in the GCC, like Yasref, who started to outsource the hydrogen and who will be sharing their experiences during the debate. The second motion will be covering various ideas on whether Project owners should award their contract to the bidders based on quality or on price. We see that lower-priced Korean and Chinese contractors winning increasingly more projects in the GCC region. Is this trend to continue? More project owners in the GCC are moving away from the lowest bid award strategy and looking more closely into the technical quality offered by the bidders to obtain the best value for money in project execution. We will then search for solutions and exchange ideas on how to avoid mega-projects overruns – one of the major challenges for any project manager. The experts from PMI and AACE will share their professional approaches to this task and 28 | Automation INSIGHT! | JULY 2014

EPCs like Technip will offer their practical perspective on their way of tackling such risks. The forth debate will be around managing centralized control rooms for green- and brown-field projects. Managing control rooms is a key part of the overall project management and this is where automation and project management come hand in hand. This is a particularly interesting subject for MAC (Main Automation Contractor) services providers. Saudi Aramco and QP will present on greenfield and brownfield projects respectively and Invensys will cover the lifecycle of the technology and its compliance with technical standards in years to come. What would be potential benefits of participating in this event and who should be attending?

neutral platform that allows people to DEBATE

Mr. Loch: There is a direct benefit from tapping into the expert knowledge and exchange of potential solutions to key project management challenges. The debate will enrich the delegates experience by offering excellent networking opportunities brining together project owners, engineering contractors, construction contractors, technology providers, equipment manufacturers and suppliers, banks and investment companies, project management specialists and government institutions.

The Energy industry is facing many challenges. This can vary from escalating costs when there is a boom in the market to cut backs when there is a down turn in the market. Either way there is always an industry challenge that needs to be addressed. It may be technical or it could be commercial.

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Cyber Vulnerability Assessment as a Tool for Control System Turnaround Planning Authors: Bryan Singer, Jim Gilsinn, and Ed Marszal - Kenexis Industrial automation and control systems (IACS) that are employed by the process industries are under attack by malevolent forces around the world. As a result, a lot of attention has been focused on cyber security of information technology (IT) in general, and IACS specifically. Since the great preponderance of IT equipment is utilized in general office environments, vendors of IT equipment tend to align the advised maintenance actions for this equipment to the general office environment. This results in problems for users of IACS, as recommendations provided by IT equipment vendors for cybersecurity maintenance can sometimes be irrelevant, and at worst can disrupt operations or cause unsafe process operation. IT vendors provide a constant stream of maintenance recommendations related to cybersecurity. These recommendations are most commonly in the form of software patches, and sometimes recommendations for manual reconfiguration. These types of recommendations occur on a very frequent basis, sometimes as little as once per week. In the general office IT environment, system administrators are capable of ensuring that these patches are reconfiguration recommendations are implemented on a daily basis, as soon as the information is received from the IT vendor.

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In the IACS environment, modification to software or hardware configuration are not as easy to make. Changes recommended by IT vendors will often require rebooting of critical machines,

or disconnection of critical equipment items. These actions can cause upsets or shutdown of process units. In today’s operating environment for oil and gas production, refining, and petrochemical production, these types of shutdowns can cost millions of dollars per incident. As a result of the difficulty in implementing recommendations for IACS cyber-security while a plant is online, the most common approach used in the process industries is to wait until a facility or a plant section is shut down for turn-around maintenance, and use that time window to implement the required modifications to the ICS. The problem with this approach is that so many software patches and configuration changes have accumulated since the last upgrade that it is difficult to make sure that all of the changes occur and are appropriately tested in the ever shortening turn-around time window. Furthermore, many of the changes that are requested by the IT vendors are unnecessary for the IACS environment. As an example, consider a list of software upgrades that might be provided by the vendor of operating system software. A bundle of software patches may have accumulated since the last opportunity to maintain the ICS. In this bundle of patches, suppose there is a patch to some web server functionality that is contained in the general purpose deployment of the operating system environment. While simply applying this patch might be sensible in an office environment, in an IACS a different analysis process is prudent. First off, it is very likely that web server functionality in a machine in the IACS is not only not required, it is not desired as it may be a pathway for malicious activity. In the IACS environment, not only would a user not blindly install the patch, they would want to ensure that this functionality is not installed in their IACS, and then not waste time installing a patch for software that should not be loaded on to the machine in the first place. In order to optimize the IACS cyber security maintenance JULY 2014 | Automation INSIGHT! | 31


CONTROL SYSTEM CYBER SECURITY work that occurs during a turnaround, the authors highly recommend performing a cybervulnerability assessment (CVA) while the plant is still in operation to allow for planning a focused schedule of activities during the turnaround. The cyber-vulnerability assessment should be planned about 6 months prior to the turnaround to allow for ample time to plan turn-around activities. It is also critical that the personnel performing the CVA are trained and experienced in performing these tasks in the IACS environment. Many of the activities that occur during a CVA can result in plant shutdown if critical IACS equipment is inadvertently compromised by the testing process. CVA technicians need to clearly understand the impact of the tests that they are performing on the IACS equipment and on the process under control. The process for CVA varies somewhat from facility to facility, depending on the type of process under control and the type of IT equipment deployed, but in general, the following steps should be considered.

Documentation Collection

The CVA begins by accumulating documentation that defines the IACS, including network diagrams and equipment configurations. This documentation needs to be reviewed for completeness and to identify any issues that might be the simple result of poor network design.

Network Traffic Capture

The data that is travelling through the network, at several key network locations, needs to be captured, collected, and reviewed. The actual data travelling across the network will indicate the health of the network in general, and also provide clues regarding any potentially malicious traffic.

Live Hosts

The network is scanned to determine the live hosts that are present. The list of live hosts that are identified is compared against the documentation for expected live hosts. Missing equipment and unexpected equipment are identified and assessed. Missing equipment may mean that control devices have failed and are not responding, and will not be available when required. These devices need to be repaired. Unexpected devices mean the additional equipment has been added to the network. If this additional equipment is required, its configuration 32 | Automation INSIGHT! | JULY 2014

needs to be reviewed and the associated documentation updated. If the equipment is not required, or in the event of new malicious installations, they must be carefully removed.

Port and Service Detection

Once the list of live hosts is ascertained, the active ports and active services that are running on those machines need to be assessed. For each device, there should be a limited set of ports and services that are active which are limited to only those necessary to perform their given actions. If additional ports are open, or unexpected services are running, this could be an indication of erroneous configuration or even malicious activity. If improper port openings or active services are identified, they must be corrected during the turnaround (or sooner, if possible), and the network documentation updated.

KENEXIS CONSUL TING

CORPORATION

Vulnerability Scanning

All of the devices on the IACS network are then scanned for known vulnerabilities. Vulnerability scanning is probably the most critical portion of the process because the process of vulnerability detection can cause IACS equipment items to crash, which can result in multi-million dollar outages. Typical “office environment� IT technicians will perform vulnerability scanning utilizing off the shelf tools similar to a desktop virus scanner. Unfortunately, the automatic scanning process can inject network traffic that can cause IT equipment to fail. The vulnerability scanning process in an IACS environment is completed with a combination of automatic tools, manual tools, and expert analysis. The result of the task is to develop a set of required patches and configuration changes that will address only the known vulnerabilities of the equipment and services that are required for the IACS mission. Additional requested changes and patches should be ignored.

Network Performance Analysis

The network traffic data that was collected earlier in the process needs to be assessed. This assessment is performed by sophisticated software tools. The assessment includes review of overall traffic rates and traffic types to identify the degree of network utilization (identify bottlenecks) and identify any traffic occurring in network segments where it does not belong. The analysis should also identify the existence and degree of network latency and network jitter. The result of network performance analysis could be reconfiguration of switch settings or rearrangement of the physical or logical configuration of the network. After the completion of the CVA, recommendations are developed for the tasks that need to be completed during the turnaround. In the experience of the authors, use of the CVA process has nearly immediate payback as the time savings of turnaround activities compensates for the effort of the CVA. Furthermore, the CVA identifies incipient problems in network security and network performance, before they can manifest themselves as multi-million dollar outages or incidents.

Global Experts in Industrial Control System Cyber Security

[ CY B ER VU LN ERA B I LI T Y A S S ES S M EN T ] [ P E N E T RAT I O N T E ST I N G ]

[

N E T W O RK ( D M Z ) D E S I G N A N D P E RF O RM A N C E A S S E S S M E N T

]

[ CORPORAT E STAN DARDS DEVELOPM ENT ] JULY 2014 | Automation INSIGHT! | 33


FUNCTIONAL SAFETY AND SIS

FUNCTIONAL SAFETY AND SIS Some Recent Disasters

In Europe in the seventies, a series of disasters raised awareness of the potential risks inherent in process industry operations. The accident at Flixborough in the UK caused 28 fatalities in 1974, and the chemical release at Seveso in Italy resulted in widespread dioxin contamination and led to the evacuation of 117,000 people in 1976.

Why Is It So Difficult To Learn From Someone Else’s Mistakes? Over the last eight years, functional safety expert Tino Vande Capelle has trained over 1,500 process industry employees worldwide under TÜV Rheinland’s competency review programme. In this article he looks at the human dimension in high hazard industry incidents, how KPIs and competency can reduce the likelihood of future events, and concludes with a checklist of the Top 10 functional safety pitfalls and how to avoid them.

Introduction There have been many process industry disasters in the past, and there will likely be many more in the future as working conditions, materials, equipment and processes change and become ever more demanding. Major accidents such as Seveso, Flixborough, Piper Alpha, Bhopal, Chernobyl, Texas City, and most recently Deepwater Horizon have all painfully revealed failures that we can learn from, failures that have caused loss of life, environmental damage and capital losses. Today, we have the knowledge that each of them could have been prevented if people had designed the plant or processes for failure and staff had possessed adequate competency to avoid such events.

34 | Automation INSIGHT! | JULY 2014

“Accidents are not due to lack of knowledge, but failure to use the knowledge we have” – T. Kletz For the past 30 years, standards have helped engineers apply good engineering practices. DIN 19250, ISA 84.00.01, IEC 61508 & 61511 and others have been put in place to create a safety culture in our industry in the hope of achieving a better world where people, environment and investment can be safe. But human nature does not like to acknowledge problems, so the weakest link in safety culture remains the human being.

These incidents were followed by the disaster at Bhopal in India in 1984, where there were between 3,000 and 5,000 fatalities on the night of the accident and up to 25,000 subsequent deaths, and Piper Alpha in 1988 where 167 died in an oil rig fire in the UK sector of the North Sea.

Functional Safety Standards And Norms

In 1984, TÜV released the handbook Microcomputers in safety technique to help developers and manufacturers design safety systems; which were followed by the requirement classes (RC) specified in the DIN19250 standard in 1989. The first Safety Lifecycle approach with Safety Integrity Level definitions were specified in IEC61508 (1997) and later IEC61511 (2004), and these changed ‘Safety’ to ‘Functional Safety’. From then onwards, good engineering practices were available to help engineers design, maintain and operate safety systems to a high standard and to achieve process safety by protecting against residual risk. Both IEC 61508 & 61511 are performanceSome three-fifths of all control system oriented standards, not failures are built-in before operation prescriptive.

commences –

The sorry roll-call of major disasters continued into the new century. In 2005, 15 were killed at the Texas City refinery in the USA, the same year 43 were injured and 2,000 evacuated at Buncefield in the UK and 2010 saw the Deepwater Horizon disaster, where 11 were killed and the worst oil spill ever recorded contaminated large parts of the Gulf of Mexico. All of these events had one thing in common: human failure, with safety culture (or the lack thereof) an integral part of the fundamental cause, thus confirming chemical safety guru Trevor Kletz’s statement: “Accidents are not due to lack of knowledge, but failure to use the knowledge we have.” The UK Health and Safety Executive (HSE) analysed 34 incidents for its report: “Out of control: why control systems go wrong and how to prevent failure”. Following its analysis, it came to the conclusion that 44% of all failures were caused by inadequate specification, 20% by changes after commissioning, 15% by design and implementation, 15% during operation and maintenance and 6% during installation and commissioning. This means approximately threefifths of all control system failures are built-in before operation commences.

Safety systems and instrumentation used HSE nowadays are increasingly reliable, but the weakest link remains the human contribution to the safety chain. Human factors can be categorized systematically and specific measurements and methods described in functional safety standards on how to avoid those potential failures.

Human error and Key Performance Indicators (KPIs)

In the safety world we can try to implement better or reliable instrumentation and systems using redundancy and diversity. But how about the operator, maintenance engineer or manager? How do we ensure that we have adequate competency that will help us achieve the necessary process safety level? In recent years there have been many initiatives defining leading and lagging indicators to measure and encourage process safety performance improvements. (See references below at the end of this article). However, “listing ‘human error’ as one of the causes of an accident is about as helpful as listing gravity as the cause of a fall” (T. Kletz, Lessons from Disasters). The aphorisms “You get what you inspect, not what you expect” and “You don’t improve what you don’t measure”, underline simple truths that lead to the basic philosophy behind Key Performance Indicators, one of the most effective tools to improve process safety. Here are some examples of potential KPIs: • Employee Participation • Process Hazard Analysis JULY 2014 | Automation INSIGHT! | 35


FUNCTIONAL SAFETY AND SIS • • • • • • • • • • • •

Training / Competency Trade Secrets Hot Work Permits Incident Investigation Pre-Startup Safety Reviews Process Safety Information Operating Procedures Compliance Audits Mechanical Integrity Management of Change Contractors Emergency Planning and Response

Despite the voluminous literature on the subject, Key Performance Indicators remains a challenge for most organizations to understand and apply effectively. Only with a strong safety culture, the support of management and staff competency can measurements be controlled and subjectivity minimized.

Competency and Training

Despite the release of guidelines such as IEC61511, different cultures, languages and interpretations have led to different approaches on how to comply with leading functional safety standards. And safety tools such as SILs and PFDavg measurements can lose the engineer in a jungle of functional safety definitions, leading ever further away from the common sense solution. The challenges for process safety implementation are not getting easier, mainly due to: • Increasing complexity of process operations, process control and safeguarding equipment • Poor management, ineffective communication with staff, lack of competency • A focus on optimizing production • Technology transfer to countries with different cultures and standards • Loss of process-specific experience due to job hopping or retirement of key personnel A comprehensive training strategy aimed at promoting competence can go some way towards overcoming these challenges. Since the release of IEC 61508 edition 2.0 (April 2012), competency has become a normative requirement, and several competency review schemes are now available, including CFSE, TÜV FS Eng, ISA 84 training, and TÜV FS for SIS professionals, amongst others. 36 | Automation INSIGHT! | JULY 2014

FUNCTIONAL SAFETY AND SIS The TÜV Rheinland scheme, for example, was launched in 2004 and by August 2012 had trained and certified more than 5,500 engineers, illustrating the process industries’ increasing understanding of the importance of having competent staff involved in the safety lifecycle.

Only with a strong safety culture, the support of management and staff competency can measurements be controlled and subjectivity minimized. Avoiding the Top 10 Functional Safety Pitfalls

The following list is based on the author’s first-hand experience from discussions with thousands of participants over more than 20 years in safety seminars, workshops and training courses. 1. Hazard identification This is the most crucial phase in the life cycle of any project and yet so many companies use HAZOP methodology as a formality. It should be the first and most important step when identifying the required safety functions for your safety instrumented system (SIS). A safety function is useless when it cannot be linked to a hazard or hazardous event. Thinking about the unthinkable or outside the box is a challenge for all hazard risk analysis (HRA) teams. Top tips include keeping the brainstorming session to a maximum of six hours, with a maximum of eight of the most experienced engineers in attendance. Another tip: take all HAZOP reports and have the auditor check that ALL required actions from previous HAZOP exercises have been implemented, tested, verified, assessed and documented. 2. Risk reduction tools Many companies use risk reduction tools such as risk matrices, risk graphs, LOPA etc. without calibrating the tools, perhaps because the head office defined the criteria or the EPC consultant proposed their own preferences. Whatever tool you decide to use, make sure that:

a) You calibrate the tool(s) first to your specific needs, criteria, environment, projects and plant specifics b)You don’t copy and paste between projects c) You periodically review (e.g. yearly) your tools and recalibrate them if needed. 3. Layer of protection (LOPA) LOPA is an ideal tool to play with numbers; which is probably why so many companies like to use it. However make sure that ALL layers are completely independent of the initiating event of other layers; meaning you can only take one credit for a layer in LOPA. Any combination of normal PLC or DCS/BPCS interlocks are maximum Risk Reduction Factor <= 10 (SIL 0). Beware of common design (systematic) failures.

will decrease the achievable SIL level after exactly 18 months. An analogy: It doesn’t matter how often you visit the doctor for a medical check up, the most important is that the necessary skills and equipment are available to ensure all potential problems are diagnosed. That is the same with your instrumentation and systems. It doesn’t matter how often you proof test them, but how will you prove the achieved coverage of the safety function? 7. Hardware with implemented software, SIL by FMEA? Nowadays most plants have field devices that have software incorporated, for example field transmitters. Some of them might only have used failure mode effect analysis (FMEA) to predict the

4. SIL & PFD There is a misunderstanding that with both a Safety Integrity Level (SIL) and Probability to Fail on Demand average (PFDavg) number you can express safety achieved for your safety instrumented functions (SIF). But the SIL & PFD are only a small part of the technical requirements. What is very often forgotten are the management or non-technical requirements of the functional safety (FS) standard(s). Applying a good FS management strategy can help you avoid systematic failures and supervise competency, assessments and audits. 5. SIS and complete loop concept Simply speaking, many safety instrumented functions (SIF) are built using a combination of different technologies from different manufacturers. Be aware that the weakest link can take down the complete safety integrity of that SIF. Example: it doesn’t make sense to use a safety-related output module to drive a non-safe interposing relay. Every single subsystem should fulfill the SIL requirements. 6. Proof test coverage and frequency There are some SIL calculation software programs on the market to calculate the achieved SIL per SIF that set the default prooftest coverage as high as 90%. There are even companies that believe that they achieve 80-90 % coverage during the periodically required SIF functionality test. Not only is the frequency that the functions are tested important, but even more important is the achievable coverage of the safety functionality. An example is given in Figures 1 and 2 on the previous page. Even when you keep the 6 month frequency the same, a coverage of 50% (Figure 2)

Figure 1 shows a theoretical prooftest interval of 6 months with 100% prooftest coverage.

Figure 2 shows a theoretical prooftest interval of 6 months with 50% prooftest coverage JULY 2014 | Automation INSIGHT! | 37


FUNCTIONAL SAFETY AND SIS It is hard to believe how many people never read the small print in certificates that come with safety devices and systems achievable SIL level of that device and often the software will not have been checked or verified. But even when you have fully compliant software and hardware in the device, it doesn’t necessarily achieve a higher SIL level by putting 2 together in a 1oo2 configuration because of software design limitations. 8. Certificates, reports and safety manuals It is hard to believe how many people never read the small print in certificates that come with safety devices and systems - only the magical SILx number. In most cases the accompanying certificate report will not be read either, but this explains to the user how the certificate (SIL level) was achieved and what the potential restrictions are (if any). Furthermore, IEC61508 ed2.0 also calls for a safety manual, where the manufacturer explains to the end user how to install, commission, operate, maintain and repair the device to comply with the SIL level. So do not buy a product unless it comes with a certificate, certificate report and safety manual, and then read and digest fully the information within! 9. Safety availability versus Process availability This is probably one of the oldest and biggest misunderstandings in the process industries. FS standards have nothing to say about process availability, only safety availability - by predicting potential ‘dangerous failures’.

stone; they are performance-oriented. This means they are open to interpretation - and are just as prone to be open to misinterpretation. You should be aware that there is a jungle of functional safety documentation, definitions and concepts out there! This paper is based on a presentation delivered at the Hazardex Conference on 26 February 2014.

References • CCPS – AIChE, Process Safety Leading and Lagging Metrics (2008) • OECD, Guidance on developing Safety Performance Indicators (2008) - OGP, Process Safety – recommended practice on Key Performance Indicators, report No. 456, Nov 2011 • HSE-UK, Developing process safety indicators HSG254, ISBN 978 0 7176 6180 0 • HSE-UK, Out of control: Why control systems go wrong and how to prevent failure (2nd edition) ISBN 0-7176-2192-8 • CCPS – AIChE, Layer of Protection Analysis, simplified process risk assessment (2001) ISBN 0-8169-0811-7 • CCPS – AIChE, Guidelines for Safe and Reliable Instrumented Protective Systems (2007) ISBN 978-0-471-97940-1 • IChemE – UK, HAZOP, Guide to best practice, ISBN 978-0-85295-525-3 • HIMA Italia safety road show presentation May 2012, “HIMA FSCS - Why is it so difficult to learn from someone else’s mistakes - rev 02” T. Vande Capelle - HIMA Paul Hildebrandt GmbH + Co KG • SIL Manual, Safety Instrumented Systems, 3rd edition, GM International, technology for safety • White paper, Functional Safety: Guiding principles for End-Users and System Integrators, (2009) Dr. M.J.M Houtermans – Risknowlogy, T. Vande Capelle HIMA Paul Hildebrandt GmbH+ Co KG • White paper, Functional Safety: Improve Industrial Process Plant Safety & Availability via Reliability Engineering (2008) Dr. M.J.M Houtermans Risknowlogy, Mufeed Al- Ghumgham – Safco, T. Vande Capelle - HIMA Paul Hildebrandt GmbH + Co KG • White paper, Safety Availability versus Process Availability, introducing Spurious Trip LevelsTM, (2006) Dr. M.J.M Houtermans - Risknowlogy • Kletz, Trevor A. (2001). Learning from Accidents, 3rd edition. Oxford U.K.: Gulf Professional. ISBN 978-0-7506-4883-7. • Kletz, Trevor A. (1993). Lessons from Disaster, How Organizations Have No Memory and Accidents Recur. Gulf Professional. ISBN 978- 08841515

10. The jungle of Functional Safety FS standards are not prescriptive or cast in

About the Author: Tino Vande Capelle was educated in Belgium where he gained a qualification in Automation & Critical Control Systems. He spent 28 years in the LNG, Petrochemical, Refining and Petroleum industries in a variety of engineering and management positions, and set up as an independent contractor in 2005. He is a Functional Safety Expert and Trainer for Safety Instrumented Systems (SIS) within TÜV Rheinland Group’s International Functional Safety Accreditation program (FS Expert ID 109/05). 38 | Automation INSIGHT! | JULY 2014

Unlimited change and expansion of hardware and software, including operating systems, while the system is running. Fully integrated and protected power distribution Three different mechani ® cal sizes, two different field wiring HIMax concepts, and rack or®panel installation. asking safety operations: Separate applicatiothat ns independentl y TheMulfititrst system improves productivity and profit Theexecuted firstin thesafety system productivity and profit same processor module; Eachthat applicatiimproves on can be modified without affecting other applications; Each appliWith HIMax, we offer: Maximum plant uptime Acatisolution on withthatusercandefiincrease ned scanoutput times. Possibilities to reduce CAPEX/OPEX Future-proof, Condition monilifetime toring forflexibility relay modules XMR architecture: scalable redundancy for operation in quad, triple (TMR), dual and single modes. Unlimited change and expansion of hardware and software, including operating systems, while the system is running. Fully integrated and protected power distribution Three different mechanical sizes, two different field wiring concepts, and rack or®panel installation. Multitasking operations: Separate applications independently Theexecuted firstin the safety system that improves productivity and profit same processor module; Each application can be modified without affecting other applications; Each application with user defined scan times. Condition monitoring for relay modules

HIMax HIMax®

HIMax

The first safety system that improves productivity and profit HIMA introduces a new era in safety and plant profitability. It’s called HIMax.

HIMax redefines what you can expect from a safety solution. You experience legendary HIMA safety performance and a new threshold in plant uptime and productivity.

HIMax is a flexible SIL 3 platform designed for critical production processes that can never afford to go down. HIMax adapts to all I/O count, response-time and fault-tolerance requirements as well as centralized or distributed applications. Yet it always delivers maximum plant availability and future-proof flexibility.

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(TMR), dual and singleredundancy modes. for operation in quad, XMR architecture: scalable HItriple MUnlimited ax redefi nes what you can expect from a safety solution. change and single expansion of hardware and software, triple (TMR), dual and modes. systemand is running. Youincluding experi eooperating ncechange legendary HIMAwhile safety performance and a new Appl i c ati ns Unlimited andsystems, expansion ofthe hardware software, Fully integrated and protected power distribution including operating systems, while the system is running. Three different iwin plthaalntlmechanical upti eand crisizes, producti vidistribution ty. applicfiatieldonswiringin the HIthreshol Max fiintegrated tsddifferent safety tipower caltwocontrol Fully andmprotected concepts, and rack or panel sizes, installation. ThreeMiddle different two different field wiring HIMA Eastmechanical FZE process i n dustry, i n cl u di n g: Multitasking operations: Separate applications independently and rack or panel P.O.concepts, Box 261487 I RA#8, UC6installation. executed processor module; Each application can Multitasking operations: Separate independently HIJebel Mbeaxmodifi is aFree fledinexithewithout bZone le same SILI 3Dubai, plaffecting atform g ned for cri t i c al producti on Ali UAEdesiapplications other applications; Each appliexecuted in the same processor module; Each application can Phone +971 4 883defi 4489 Iscan Fax +971 4 883 4778 cation with ned times. be modifi eduser without affecting other applications; Each appliprocesses that can never afford to go down. HIMax adapts to all info.hme@hima.ae I www.hima.ae Emergency Shutdown Systems (ESD) Condition monitoring for relay modules cation with user defined scan times. I/OCondition eforandrelayfaultmodules -tolerance requirements as monitoring Ficount, re & Gasresponse-ti Systemsm(F&G) With HIMax, we offer: Maximum plant uptime well as centralized or distributed applications. Yet it always delivHIMax fits with all safety and critical control applications in the process industry, including: Emergency Shutdown Systems (ESD) Fire & Gas Systems (F&G) High Integrity Pressure Protection Systems (HIPPS) Solutions for Pipeline Management & Control (PMC) Solutions for Turbo Machinery Control (TMC) Solutions for Burner Control Systems and Boiler Protection (BCS)

HIMA Middle East FZE P.O. Box 261487 I RA#8, UC6 Jebel Ali Free Zone I Dubai, UAE Phone +971 4 883 4489 I Fax +971 4 883 4778 info.hme@hima.ae I www.hima.ae


ASSET PERFORMANCE AND PRODUCTIVITY ENHANCEMENTS

ISO 55000 Will Up the Ante for Asset Performance Management Author: Paula Hollywood, Senior Analyst, ARC Advisory Group

ASSET PERFORMANCE AND PRODUCTIVITY ENHANCEMENTS one of those necessary evils that most people only think about when paying the premiums or filing a claim. Yet, it is typically impossible to obtain a home mortgage, drive a vehicle, or operate a plant, refinery, or other industrial operation without it. A company’s ability to demonstrate risk reissues, plant reliability, mitigation of loss, and avoidance of unplanned outages has always impacted insurance costs. Without a formal standard as a guide, assessments are more arbitrary. A formal standard will change the game. ARC believes that within the foreseeable future, insurance companies will require ISO 55000 certification as a condition of providing insurance.

Make Asset Management Strategic

Overview Unless you’ve been “living under a rock” for the past few years, chances are good that you have heard about the ISO 55000 Asset Management Systems standard. But how will this recently published standard impact the upstream and downstream energy and petrochemical industries? While ARC Advisory Group does not anticipate immediate impact, we do encourage owneroperators to prepare for the trickle-down effect expected from regulatory bodies and insurance providers as a result of a formal international standard for managing assets.

A Quick Review of the Origins

Originally developed by the Institute of Asset Management (IAM), a UK-based asset management association and published by the BSI (British Standards Institution), PAS (Publicly Available Standard) 55 was launched in 2004 as a general standard for managing physical assets. The initial targeted industries were those serving the public, primarily regulated infrastructure and public utilities. The structure of the standard is analogous to Deming’s Plan-Do-Check-Act (PDCA) continuous improvement cycle utilized 40 | Automation INSIGHT! | JULY 2014

in quality management systems. PAS 55 certification requires an enterprise to optimally manage capital investments, daily operations, maintenance, resources, risks, performance, and sustainability for all its assets. In August 2009, BSI filed a proposal with ISO to develop a global asset management standard for physical assets based on PAS 55. Fast forward to the present and thanks to a tremendous effort by all involved parties the international standard for management of physical assets, ISO 55000, is about to become official. This represents a significantly compressed time schedule for this type of initiative.

New Impetus for Certification

The lack of an asset management standard has left enterprises to their own devices to determine best practices. Formal industry standards provide a framework for both economies of design and improved product and service quality. Standards facilitate interoperability, production improvements, and scalability of asset management programs among different industries and between plants. Standards can also help improve quality of life by contributing to safety, human health, and environmental protection. Unless mandated by regulatory bodies, standards compliance is voluntary; however, it demonstrates an organization’s commitment to quality, performance, or safety. In addition to helping to mitigate the legal, social, and environmental risks associated with avoidable plant accidents, the basic need to obtain insurance coverage is emerging as a reason to look more carefully at strategic asset management. Insurance is

A strategic approach to asset management should leverage the power em-bedded in various operations and maintenance applications to improve asset availability and utilization. No other departments in the organization have the potential to impact the bottom line as much as operations and maintenance. Enterprises need to focus on relevant asset management issues from a business performance and financial perspective.

and personnel safety, and protect the environment by managing capital asset health. These trailblazers are applying the information from asset management applications and the lessons learned to more cost-driven issues such as spares optimization. Determining the appropriate balance between the number of spares held in stock and sufficient quantity on hand based on asset criticality can significantly reduce inventory costs and provide a financial rationalization for stock levels. If they not done so already, asset and/or risk managers should become familiar with the ISO 55000 asset management standard. An overview of the principles and technologies is available on the ISO website. Risk managers should consult with their insurance provider(s) to gain an understanding of what will be expected in terms of asset management actions and documentation going forward. Paying lip service to asset management is not enough. Industrial organiza-tions must pass the insurance “acid test,” with documentation of the results achieved and gains realized as a result of asset and risk management pro-grams.

ARC senses a palpable shift in the practice of physical asset management as industrial organziations move from the early-adopter phase to the early-majority phase of the technology adoption curve. The early adopters have proven that is possible to minimize unscheduled shutdowns, improve process

About the Author: Paula Hollywood, Senior Analyst Process Automation at ARC Advisory Group in Dedham, Massachusetts (USA) has over 30 years experience in industrial field instruments, laboratory information management systems, and plant as-set management systems. Prior to ARC, Paula worked at The Foxboro Company, Krohne and other leading companies in various product marketing and technical support capacities. Paula has a BS from Northeastern University and an MS from the University of Massachusetts Boston.

JULY 2014 | Automation INSIGHT! | 41


CUSTODY MEASUREMENT

CUSTODY MEASUREMENT

Certified and Reliable Bunker Fuel Measurement Bunker metering system from Endress+Hauser creates maximum transparency during bunkering processes

High transparency

During the bunkering, several process parameters are measured simultaneously and graphically displayed on the separate control panel, such as mass flow, bunker fuel quantity, density, pressure, temperature and an air index. By using these types of metering profiles, the supplier and consumer can continuously monitor the entire bunkering process. The metering system from Endress+Hauser can even flawlessly detect air pockets and potential ‘cappuccino effects’ that occur when stripping tanks. This creates a high degree of transparency.

Sustainable efficiency

The parameters recorded during bunkering are displayed in real time. Thus, customers can intervene in a targeted manner in case of ìirregularitiesî and - in the case of excess tank stripping initiate corresponding preventive measures. This ensures an optimal bunkering process and shortens idle times in port, since unnecessary and time-consuming ‘bunker disputes’ do not occur.

Unlimited security

The compact bunker metering system from Endress+Hauser fits anywhere; here in an installation on a barge.

Every single day, bunker oil is pumped into the fuel tanks of tanker, cargo, bulk carrier and fishing ships. The traditional quantity measurement via tank gauging, for example, can be associated with a great amount of uncertainty due to error prone volume to mass calculation as well as not considered air content caused by tank stripping and the “cappuccino effect.” Any measurement inaccuracies during the bunkering process, no matter how small, may cause cash register shortfalls, resulting in a lot of hassle and time-consuming bunker disputes. Endress+Hauser has developed a new bunker metering system that not only measures bunker deliveries with a high degree of accuracy; it does also monitor and display the presence of air in fuel oil. Measuring accuracy is of primary importance in the bunkering business, as very large sums of money are involved. For these reason, ship owners are increasingly installing special bunker metering systems that ensure transparent and highly accurate bunkering by means of the Coriolis flow measurement, which has been tried and tested for decades in custody transfer applications. Even port authorities are increasingly advocating the use of these measuring systems. The bunker fuel metering system developed by Endress+Hauser allows customers to benefit in many respects, saving time and money. 42 | Automation INSIGHT! | JULY 2014

Guaranteed profitability

The innovative bunker fuel metering system now enables accurate and indisputable billing of the supplied bunker fuel quantity with a measuring uncertainty of only ±0.5% o.r. An error-prone conversion to volume is not required since the built-in Coriolis flow meter measures the mass flow directly. The measuring system has no moving parts and, therefore, does not require maintenance. Testing on the accredited calibration rigs of the SociÈtÈ du Pipeline Sud EuropÈen (SPSE) in Fos sur Mer, France, and at the National Engineering Laboratories (NEL) in Glasgow, Scotland, confirms that our Promass F and Promass X Coriolis flow meters measure bunker fuels with various densities and viscosities with high accuracy.

Given that a great deal of money is at stake in the bunker fuel business, a measuring system’s integrity and reliability are decisive. Therefore, both the individual devices and the entire measuring system are sealed after installation and protected from tampering. Each interaction or modification to the measuring system is also registered and archived for traceability in what is known as an ‘Audit Trail’. The measuring system is certified in accordance with MID (MI-005) and recognized for commercial use by the Maritime Port Authority (MPA) of Singapore. In addition, all Endress+Hauser devices are certified on accredited calibration facilities (ISO/IEC 17025), fulfilling the important requirement for seamless traceability to national standards. The bunker metering system from Endress+Hauser is based on longtime application experiences in loading oil tankers and in consumption measurement of heavy fuels on ships.

The Endress+Hauser bunker metering system here as a two-channel installation for extended turndown ñ consists of several measuring devices for flow, pressure and temperature, thus guaranteeing a transparent and reliable bunker process.

Safe and easy operation

A separate and easy-to-understand control panel guarantees that customers have optimal control over the entire bunkering process. Important parameters can be directly tracked on the monitor, or queried in table form. Metering profiles can be printed out at any time and used as evidence in the event of uncertainty. And, last but not least, data can be queried worldwide via the ‘Remote Access’ platform from Endress+Hauser. All measurement data from current or past bunkering events are securely stored in a system database and can be retrieved via an event logbook. These and many other functions guarantee full transparency and maximum operating convenience.

JULY 2014 | Automation INSIGHT! | 43


ADVANCED APPLICATIONS

ADVANCED APPLICATIONS

Optimising Base Layer Process Control Before commissioning or after commissioning? And experience with interacting loops. The following paper describes the work IPCOS has worked on dealing with challenging interactive control loops. This experience has been gained while troubleshooting new plants and also discusses the merits of stabilising the control loops during the commissioning phase. It is not uncommon that many new processing plants are delivered with default PID tuning parameters. Suppliers in many cases are only contractually obliged to run the plant for a 72 hour performance test of to achieve a required yield or nameplate production output, with often no contractual criteria defined in terms of the “operability” of the plant. Although not typical

many plants are handed over with the control loops in manual, as placing them in auto can lead to unstable operations. In one case over a 100 alarms were being set off or operations were unable to maintain production for more than a few days. There are many reasons for this, contractual, engineering, unstable feedstock’s or simply the nature of the design with highly interacting loops, which can be impossible to tune individually.

Case Study: Interacting loops

One particular area of tuning is working on highly interactive control loops. As plants are designed with optimal heat integration and common headers for feeding trains etc the chances of interacting loops occurring will lead to control performance issues. One example of a situation involved interacting loops on a sour gas header on an amine unit. In this example three parallel flow controllers were connected to a common header and used to distribute feed between the three trains as a consequence of the 3X3 input matrix all the control loops were operated in manual which resulted in the inability to set a flow to the individual trains. The consequence of this was that in the event a particular train has constraints, it was not possible to control the flow of acid gas accurately, resulting in poor performance of the acid gas removal plant and potential environmental incidents. In order to characterise the interacting behaviour of the loops, each loop was step tested in sequence to build a “control model”. This model was used by INCA AptiTune to create a set of tuning parameters, which were then simulated and checked for Robustness.

the existing technologies in the market that only address single loops at a time. The Tuning technology developed is called INCA Aptitune and it has helped IPCOS Consulting Engineers solve many difficult PID tuning problems.

Why tune PID loops during commissioning?

One of the key benefits of PID tuning is that it can highlight defects with faulty equipment or shortcomings in the design and in addition this work can highlight the true economic impact of the shortcoming. For example at one plant our work highlighted a missing level controller in an important part of the plant. The consequence of this meant the plant was unable to be operated continuously for more than four days, causing a significant loss of production. At another site tuning a level loop highlighted a fault with a valve on another tray level control, the consequence being poor performance and operability and eventually, a restriction on production. As a consequence the management can decide the value of repairing this valve and or including this in the next turnaround. One argument is that if this work was part of the commissioning process say as “subsequent Process Control Optimisation phase”, it would benefit the ender user and the Contractor as plants could be commissioned faster, snags rectified quicker resulting in improved client satisfaction and improved profitability for all. For the past 18 years IPCOS has been helping clients “troubleshoot” new processing plants to improve the operational stability and production output by tuning base layer controls, reviewing and optimising the control structures within the DCS. IPCOS specialises in providing expert Advanced Process Control Consultants for trouble shooting new plants, revamping old plants and implementing MPC technology to optimise process profitability.

Once calculated, the PID tuning parameters were loaded into the DCS following validation and as such the loops are now operated in AUTO contributing to a safe stable operation. As a consequence of the commissioning work IPCOS has had to develop a special software tool that can calculate the tuning parameters for MIMO control challenges. IPCOS has found it necessary to develop this tool as it not possible to tune the loops with 44 | Automation INSIGHT! | JULY 2014

For further information please contact info@ipcos.com or directly to Kieron Lennox Email: Kieron.lennox@ipcos.com Tel: +971 2 642 6555 Fax: +971 2 642 6665

IPCOS Provides Independent specialised Services and People for:

IPCOS’ SERVICE OFFERING

“Payback for the project was achieved after IPCOS had revised the complete control and operating strategy, prior to implementing APC, which is now attaining record levels in plant availability and production yields” Ammonia Production Manager Yara

IPCOS – Abu Dhabi Salaam Street, PO Box 107172, Abu Dhabi United Arab Emirates Tel : +971 2| 642 JULY 2014 | Automation INSIGHT! 456555 www.ipcos.com Fax: +971 2 642 6665


TECHNOLOGY AND IMPLEMENTATION

TECHNOLOGY AND IMPLEMENTATION environment and production assets against misuse, equipment failure and against catastrophic failure in the plant. When the ESD system is activated, it may require an orderly shutdown of the production process to protect personnel and the integrity of the plant. Typically, the F&G and ESD systems are physically independent of each other and separate from the DCS.

Drivers for a Safety System Upgrade

A Practical ‘Live’ Migration Strategy for Upgrading Safety Systems in the Oil and Gas Industry Recent events in the oil and gas industry have substantially increased interest in maintaining the highest standards of safety at all times. Author: Adam Howard, EPC operations manager, Rockwell Automation

Introduction Recent events in the oil and gas industry have substantially increased interest in maintaining the highest standards of safety at all times. These events have spotlighted the potential worker, environmental and business ramifications of a significant safety event. Oil and gas producers and the operators who manage their production facilities demand the highest level of safety in order to protect personnel, the environment and production assets while maintaining maximum uptime and minimal operational disruption. Balancing these critical requirements often comes to a head when an oil and gas producer needs to upgrade a facility’s safety system. As safety systems age and become outdated or obsolete, they not only increase safety risks when compared to more contemporary systems, but can also cause lost production time due to unnecessary trips or shutdowns. 46 | Automation INSIGHT! | JULY 2014

Contrary to popular belief, installing an upgraded safety system does not necessarily require a lengthy shutdown of the facility. With careful planning and detailed, thorough engineering, a safety system can be upgraded with minimal disruption to facility operations.

The Role of a Safety System

In oil and gas production operations, the distributed control system (DCS) manages the normal operation of the plant. The function of the safety instrumented systems (SIS) is to preserve life, the environment and the equipment being monitored. The most common types of safety systems in oil and gas production are the fire and gas (F&G) and emergency shutdown (ESD) systems. The primary objective of the F&G system is to monitor for the presence of fire through smoke, heat and flame detection, as well as for potentially dangerous levels of hydrocarbons by “line of sight”, “point” and acoustic gas detection methods. If any of these conditions are detected, the system implements appropriate alarming, firefighting and suppression measures in order to minimize the impact to personnel, environment and assets being protected. The core objective of the ESD system is to protect people, the

Facility owners normally upgrade their safety systems for a variety of reasons, ranging from equipment obsolescence to the need to take advantage of the benefits of extended or more advanced functionality. Some of the major drivers include: • Prolonging field life. Many oil and gas reservoirs continue to generate viable quantities of product well beyond the intended life of the original field design. Consequently, the platform has to be upgraded – often on a rolling refurbishment basis – to accommodate these extended operations. These upgrades also can help reduce annual maintenance costs while simultaneously reducing unplanned downtime and unexpected repair costs. • Meeting current codes and standards. Currently installed safety systems were designed and built in accordance with the codes and standards in force at the time. Since then, the industry has moved forward and legacy systems have not been upgraded to current standards and technologies. For example, while IEC-61508 was introduced in 1999, many legacy systems have not yet been reassessed to determine if they comply with this standard. • Improving functionality. Operational requirements have changed in the last 20 years as technology has advanced to include capabilities such as remote operations, improved diagnostics and simplified interfacing between systems. For example, advanced asset management tools are available that can help gather and analyze vital data from across production facilities. While this may not be a prime driver for system upgrades, it is often a key factor in the cost-benefit analysis.

Safety System Obsolescence

Every piece of equipment or system will eventually come to the end of its useful lifecycle. Based on our experience, safety systems need to

be upgraded some 15 to 20 years after initial installation. For safety systems, this can become apparent in a number of ways: • Equipment obsolescence. Equipment often becomes obsolete when the underlying components are no longer manufactured. While “last-buy” options from manufacturers can temporarily address this, the ongoing maintenance and support of these systems will no longer be viable once the supplier support infrastructure can no longer service the equipment. • Erroneous operation. As safety system components age and fall “out of tolerance,” no longer performing within their designed parameters, part of the system could begin to operate erroneously. Since safety systems are designed to fail to a safe state, this can often result in unnecessary and costly shutdowns. • Inability to expand or enhance the system. Legacy systems, particularly hardwired systems, are difficult to expand, beyond small changes. Therefore, expansion to accommodate new features – such as additional subsea tie-backs, artificial lifts or compression facilities – is often difficult to accommodate due to physical space and system interface constraints. In addition, older systems may not meet current industry standards.

Safety System Upgrade Strategies

Implementing a safety system upgrade requires an in-depth analysis and risk assessment of the existing technology, so you have a solid understanding of the requirements needed for a new system. A safety system upgrade should follow a systematic and well-documented process. We recommend the following approach: • Establish a baseline • Evaluate the current system architecture • Build and thoroughly test the new system in the factory • Meticulously plan and manage the system migration

Establish a Baseline

The first step in a safety system upgrade is to establish a clear understanding of the existing design, including the specific nature of the system’s core architecture and the functional operation. The “as-built” documentation status of many mature systems is poor, conflicting or non-existent. As a result, engineers often need to “reverse engineer” the installed system to either confirm that the existing documentation is correct or mark it up to determine how to proceed. During this phase of the project, the safety integrity level requirements may need to be established or re-affirmed. In some instances, this may necessitate revisiting the original system design approach. Carrying out this assessment not only means the design of the upgraded system can be compared to current SIS standards, but also may significantly reduce the complexity of the system needed. Once this baseline is firmly defined, you can determine which system upgrades, enhancements and improvements may be JULY 2014 | Automation INSIGHT! | 47


TECHNOLOGY AND IMPLEMENTATION

TECHNOLOGY AND IMPLEMENTATION

needed. While this preparatory work can take a considerable amount of effort, it is absolutely essential in helping ensure the functionality is correct and the design is traceable.

Evaluate the System Architecture

In order to execute a “live” migration from the legacy system to the new system, designers need to exploit the inherent redundancy built into the legacy safety system. Given that most legacy systems have an “A” and “B” side (see Figure 1), each executing the same logic, one “side” can be switched off and removed without shutting down the system. It should be noted that while the system is in this degraded state, it is fully operational and, if designed that way, fail-safe. However, by switching off one “side,” the system redundancy and fault-tolerant capabilities will no longer be available, the implications of which need to be understood through an appropriate risk review. This configuration will allow the new system to be installed and run in parallel to the legacy system, allowing a safer, quick and effective migration between the systems during live plant operations.

Build, Test and Document

Once the new system is built, it is essential that it is fully tested against the defined and agreedupon baseline before it is installed in the field. By testing the system before the live changeout in the field occurs, you can be confident that the functionality will meet the operational requirements. Any functional enhancements can only be implemented and tested after these tests are completed. During this phase, it also is critical to get the buy-in from all interested parties, particularly the oil and gas company’s operators and the relevant certifying authority. Oil and gas producers will focus on safety concerns, the functionality of the new system, how it will be migrated and any operational constraints that will need to be addressed. The certifying authority will need to be assured that you have clear and demonstrable processes in place to show that the system build, test and – later on – commissioning and operation is safe and complies with legislative requirements, 48 | Automation INSIGHT! | JULY 2014

Figure 2: Safety Systems Upgrade - Live Migration

Migrating a normally de-energized output is relatively straightforward and is normally done in under a minute per output. During this time, there is no protection for that output.

Figure 1: Safety Systems Upgrade - Live Migration

as well as local and international standards. In addition to the build and test records that the system manufacturer produces, the engineering team should produce comprehensive and detailed work packs that include method statements, implementation details, reversionary plans and check sheets to verify the installation, commissioning and handover of the system. This is essential in recording – to the satisfaction of the certifying authority – the work undertaken in implementing the upgraded system.

Figure 3: Safety Systems Upgrade - Live Migration

Installing and Migrating to the New System

Once the new system has been tested and shipped, it can be installed and commissioned. The following is an overview of the steps needed to migrate from the legacy system to the new system during live operations. It is at this phase of the project that the detailed planning and preparation already undertaken will prove critical to the successful migration of your safety system. • Fully verify the functionality of the existing legacy system, including any standing inhibits or overrides retained from that system. • Install the new system in its final location. Once installed, carry out basic functional tests – often called “travel-well” tests – to help ensure that the system is fully operational ahead of the system migration. • Remove one “side” of the legacy system (in this case, side “B” – see Figure 2). This is one of the risk areas due to the possibility of inadvertent operation of the system, such as loose wiring disturbance. The system is now in the degraded state. • Hook up the field inputs, such as fire and gas detectors, to the new system, while retaining the inputs to the legacy system. The new system can now “see” the same inputs as the existing system but, because the outputs are not hooked up, the new system is not carrying out any executive actions (see Figure 3). • Fully test that both systems see all inputs and that logic solver

• The outputs of the safety system can now be migrated from the legacy to the new system (see Figure 4). At this stage, the new system will assume control. This also is where the major difference between the migration of an F&G and ESD system occurs. F&G outputs tend to be normally de-energized, or “energize to action,” whereas ESD outputs tend to be normally energized, and therefore “de-energize to action.” This is considered to be a fail-safe design philosophy. Transferring the outputs from one system to another without inadvertently tripping the plant or falsely setting off your fire and gas protection system can be challenging for system migrations of this nature.

Migration of normally energized outputs present a different challenge that can be addressed by either electrically “holding up” the output using a temporary supply or locking off the output device. This takes more planning and operational permits and is consequently more time consuming, taking typically one to two hours per output. Figure 5 shows schematically how a critical output circuit may need to be configured during an ESD system output migration. Once all safety system outputs have been migrated, full control of the safety functions will have passed from the legacy system to the new system.

Figure 4: Safety Systems Upgrade - Live Migration

output actions implemented are identical to the legacy system. In this instance “like for like” functionality (i.e., both the old and new systems respond in exactly the same manner to field input conditions) is critical unless otherwise noted. This can be done by temporarily disabling the appropriate outputs, which can be time-consuming and may not be operationally acceptable, or by observation of the new logic solver against the design documentation. • Fully verify the human machine interface (HMI) functionality for the new system.

The new system will now be subjected to full system tests. Since the facility is still live, the tests carried out may be an agreed-upon subset of the full functionality and are often guided by the requirements of the operators and the certifying authority. Any tests that cannot be carried out while the plant is live will need to be delayed until the next facility shutdown when full system tests can be carried out. Once the upgraded system is fully operational, the legacy system can then be deconstructed. The final system, which has redundancy and fault tolerance built into its design, is shown in Figure 6.

JULY 2014 | Automation INSIGHT! | 49


Automation University

TECHNOLOGY AND IMPLEMENTATION

Classic

Sheraton Dammam, Kingdom of Saudi Arabia 09 & 10 September 2014

Learning with a difference The Most Significant Manufacturing event comes to Dammam Figure 5

Finding the Best Approach

Significant cost savings and productivity benefits can be gained from an intelligently designed and properly implemented safety system upgrade strategy. It is important to remember that not all safety systems are created equal and each project has different performance, risks and cost goals. Striking the right balance requires careful consideration of the implementation approach and the specific capabilities, limitations and advantages of available technology options. Live migration of safety systems during plant operations is possible with careful analysis of the system design and operational requirements and a thorough and detailed approach to the engineering and migration strategies. In addition, the need for detailed and comprehensive planning and preparation cannot be overemphasized. However, the preparatory work can pay off in the long run for the plant operator, and one of the best resources you have available is your system’s vendor. Many safety system providers can provide guidance, design recommendations and on-site assistance to help ease the migration, minimize downtime and optimize your system’s performance. For example, the strategy outlined in this article is based on an actual safety system upgrade of over 3,000 I/O on an operational production platform project managed by Rockwell Automation. The upgrade caused the end user minimal disruption to their operational requirements while providing the upgraded system needed to meet their functional safety requirements. 50 | Automation INSIGHT! | JULY 2014

Figure 6: Safety Systems Upgrade - Live Migration

Adam Howard is the EPC Operations Manager for Rockwell Automation. He is based in Aberdeen, Scotland. Through its integrated and scalable solutions, team of more than 800 industry specialists, and extensive partner network, Rockwell Automation helps companies in the oil and gas industry improve operational efficiency, throughput and uptime; reduce their total cost of ownership; and boost worker and asset safety across the entire supply chain. For more information on Rockwell Automation services and solutions for the oil and gas industry, please visit www.rockwellautomation.com/ industries/oilgas/.

If your role is in management, engineering, IT or purchasing, visit Automation University Classic 2014 for invaluable, up-to-date latest news, views, trends and technologies of integrated information and automation solutions. Learning with a difference! After having been organised across Europe and Africa for the past ten years, Automation University is finally coming to Dammam. Don’t miss it! Ideal for business managers and engineers. Meet and consult with leading Automation and Information experts. See the latest Automation and Information advances. Meet and discuss topical issues with industry peers. Plan a program specific to your needs from over 60 hands on labs, demonstration and presentations session tailored to your specific needs.

Wide range of sectors, including Oil & Gas, Water Waste Water and Consumer Packaged Goods. Visit our extensive exhibition floor including 800 sqm of interactive and static displays from Rockwell Automation and its valued partners. Best of all: this must attend event is completely free of charge For updates visit our website: www.automationuniversity.eu


EX STANDARDS

EX STANDARDS

Why Is It Dangerous To Apply The Ex nL Rules To Ex ic? Author: Hugh Wingrove

Introduction

[ ic ] ic

Vmax

As most will be aware ‘Ex nL’ is no longer a “harmonized” standard and it is not permitted since 1st June 2013 to certify equipment for use in hazardous areas in accordance to this standard. Indeed the IEC 60079-15 document no longer contains reference to ‘Ex nL’ having been replaced by ‘Ex ic’, which, as part of the Intrinsic Safety method of protection, exists within IEC 60079-11 document.

What is ‘Ex ic’?

The basic principle to be applied is that the apparatus and system shall be intrinsically safe in normal operation. There are some constructional constraints and consequently a more precise statement is that the system is adequately safe with no ‘countable faults’ being taken into account. Because “live-maintenance” of the system is permitted, opening and shorting of the field wiring is considered as normal operation in the same way as for other IS systems. The other significant difference is that a unity factor is applied to the IS ignition curves in contrast with the 1.5 factor used in almost all ‘ia’ and ‘ib’ analysis. This means that there is significantly more power available in ‘ic’ systems. The effect of the unity factor of safety on cable parameters is to remove any concern about cable parameters, eg. a 28V resistive limited source would have the following characteristics: ia/ib

ic

Permitted current, mA

120

180

Limiting resistor, Ω

233

156

Permitted capacitance, nF

83

272

Permitted inductance, mH

2,4

2,4

52 | Automation INSIGHT! | JULY 2014

So ‘Ex ic’ essentially replaces ‘Ex nL’ as a low-energy method of protection for Zone 2 applications such that Intrinsic Safety now has ‘Ex ia’ for Zone 0, Ex ib for Zone 1 and ‘Ex ic’ for Zone 2. However, the fact that ‘Ex ic’ replaces ‘Ex nL’ for Zone 2 applications should be considered only functionally since there are requirements of ‘Ex ic’ that were not applicable to ‘Ex nL’ and vice versa.

Since ‘Ex ic’ is part of the Intrinsic Safety family Vmax it also requires segregation of its circuits from other non-voltage limiting circuits with respect to cabling and separation of terminals from non-voltage limited terminals by 50mm to avoid voltage contamination but also to have the cabling identified as IS.

‘Ex ic’ with respect to Foundation™ fieldbus applications The permitted capacitance increases considerably so as to be no longer a problem (equivalent to 1.3km). The permitted inductance remains the same but is not a problem at these currents. In circuits with higher currents the L/R ratio is improved by a factor of 1.5 and hence there is no problem here either.

‘Ex ic’ is of course developed with point-topoint instrumentation in mind but this doesn’t mean that it can’t be applied to Foundation™ fieldbus applications. It can, but this introduces a few challenges due to the way ‘Ex nL’ was deployed in these applications.

The certification requirements are the same as for other equipment specifically for use in Zone 2, i.e. Cat 3 equipment. Self–certification remains acceptable to the ATEX directive whilst in North America, FM or UL certification will still be necessary.

In Foundation™ fieldbus we need to consider the requirements of ‘Ex nL’ since it goes a long way to explaining the different approaches to segment design.

Temperature classification of ‘Ex ic’ apparatus to T4 (1350C) level is not usually a problem, since temperature classification is done in normal operation.

As a method of protection ‘Ex nL’ uses the terms ‘energy-limited apparatus’ and ‘self-protected energy-limited apparatus’. In the case of ‘energylimited apparatus’ it is assumed that sparking occurs either in the field cables and/or in circuitry immediately connected to the field cables, which makes it necessary to provide safety parameters similar to those of intrinsic safety whilst in the case of ‘self-protected energy-limited apparatus’ cable faults are not considered. On the contrary it assumes that both the field cables and the circuitry that’s immediately connected to the device are non-sparking but sparking components exist somewhere in the circuit though they are protected by energy limitation, e.g. potentiometers. Also because the maximum voltage, current, inductance and capacitance in the sparking component are limited locally by the hazardous area equipment itself, it is referred to as ‘self-protected energylimited apparatus’. Thus, when this type of ‘Ex nL’

The rules for the use of ‘simple apparatus’ are equally applicable to an ‘Ex ic’ system as they are to an ‘Ex ia’ or ‘Ex ib’ system.

What are the main differences between ‘Ex ic’ and ‘Ex nL’? When it comes to ‘Ex ic’ transformers require separation in accordance with the requirements of IEC 67009-11 and there can only be one source of power feeding the device accordingly. The power supply also needs to be defined as ‘associated energylimited apparatus’ in the case of ‘Ex ic’, ie. sparking occurs either in the field cables and/or in circuitry immediately connected to the field cables making it necessary to provide safety parameters, whilst this was not a requirement of ‘Ex nL’.

ic

equipment is connected to a power supply in the [ ic ] safe area, the issue of sparking within the field cable was notissues a consideration andassesed hence an associated Sparking need to be energy limited power supply was not needed. This Sparking issues need to be assesed meant that the only consideration when specifying a Foundation™ fieldbus power supply (FFPS) was Unlike ‘Ex ia’ and ‘Ex ib’, which use 1.5, ‘Ex ic’ its maximum voltage output with the current limiting being done uses unity factor of safety to allow more energy to within the Foundation™ Device Coupler (FDC). be available to the instrument but ‘non-incendive’ uses a factor of 1.1 and consequently there may be occasional problems of compatibility.

nL

nL It seems fair then that, since ‘Ex ic’ is supposed to replace ‘Ex nL’ for all intents and purposes, the same topology would be considered for Foundation™ fieldbus segments. However, there is one main factor to consider and that is that there now needs to be a limitedenergy association between the ‘limited-energy apparatus’ and the power feed. Thus, since the current is limited in the FDC already, the voltage has to be limited (clamped) somewhere as well to complete the energy-limiting requirement and this is where opinions vary. The natural assumption is that, since associated power sources are generally linked to the power supply, the FFPS would include a ‘clamping’ feature to limit the voltage to the trunk. However, the current-limitation is done in the FDC, and not within the power supply as expected and so why not the voltage clamping as well? After all High-Power Trunk (HPT) segments control both the voltage and current in the Isolated FDC (IFDC) or Fieldbus Barrier to great effect!

Can an ‘Ex ic’ device be used in place of an ‘Ex nL’ device on an existing Foundation™ fieldbus spur? Many manufacturers today are not prepared to supply ‘Ex nL’ devices due to the fact that it is not a normalised standard any more even though the same device was certified as ‘Ex nL’ previously. This obviously causes a problem for those end-users that have many segments with spur connections that are classified as ‘Ex nL’ and so they need guidance on this. Opinions vary but I believe that if ‘Ex nL’ was considered safe, and no-one doubts this, those devices that were previously supplied as ‘Ex nL’ devices can continue to be supplied as such. However, suppliers have more at risk and are not prepared to make this association but there is another consideration that may make it possible to do this. Since the change to ‘Ex ic’ is only supposed to apply to newly manufactured equipment the same will apply to the segment installation and as such existing segments will continue with ‘Ex nL’ spurs. After all it simply can’t be expected for suppliers to locate all the equipment they have sold in the past as ‘Ex nL’ and remove all the labels showing this certification and so the users won’t be expected to recertify the segments either! So, since it was always permissible JULY 2014 | Automation INSIGHT! | 53


FEATURED PROJECT

EX STANDARDS PROJECT NAME:

Luberef - Lubricants Refinery Expansion Name of Client:

SAUDI ARAMCO-LUBEREF ( Lubricating Oil Refining Co.)

Status:

Construction

Budget ($ US):

1,000,000,000

PMC:

Jacobs Engineering Group Inc.

Facility Type:

Lube Oil

Main Contractor

Samsung Engineering Co.

Sector:

Refining

Location

Yanbu

PROJECT BACKGROUND

to use an ‘Ex ia’ or ‘Ex ib’ device instead of an ‘Ex nL’ device due to the ability to match the safety parameters users perhaps should use this practice and add ‘Ex ic’ devices to the list of devices that can be used in-lieu of ‘Ex nL’ devices. Is the trunk an intrinsic safety system in accordance to IEC 60079-25? There is confusion since, although the trunk is deemed to be high-energy in respect to FISCO, it is partially energy-limited due to the need to have the power supplies made safe, ie. provide voltage clamping amongst other things, according to the requirements of IEC 60079-11. The trunk runs from the Host I/O card to the field via the Foundation™ fieldbus power supply and so presumably forms an Intrinsic Safety system including the devices connected to it and the cable but this is where the confusion starts. It is only partially energy-limited and so assumptions have been made that make some nervous but the general agreement is that separation of all trunk terminals from non-energylimited equipment connections such that the bulk power feeds to the FFPS must be separated by 50mm from the trunk terminals or protected in such a way that no voltage contamination can take place that would raise the voltage above the permissible limit. This is also a requirement at the FDC between the trunk and the spurs since the spurs are truly ‘Ex ic’ and the trunk is ‘Ex nA’ even if it has voltage-limitation in accordance with ‘Ex ic’. So the trunk is ‘Ex nA’ and so presumably the Host I/O card or an ‘Ex d’ device can be connected 54 | Automation INSIGHT! | JULY 2014

to it without any consideration. This is however where the confusion continues because, since the connections must not be able to add any voltage to the system, they must be passive. In the case of ‘Ex d’ devices this certainly cannot be proven and they should not be connected to the trunk as a result but what of the Host I/O card? This is a 4-wire device that contains isolation between the two circuits so maybe it is passive and can be connected to the trunk legitimately but who is going to confirm this and certify it accordingly (presumably a requirement of ‘Ex ic’ just as it is for ‘Ex ia’ and ‘Ex ib’)? Could it be deemed to be SELV or PELV compliant? Again it would take a brave person to declare this to be the case and shouldn’t there be a certificate to declare this conformity? This approach therefore has a certain element of risk. I mentioned earlier that the natural assumption was to locate the voltage-limitation in the FFPS but that the usual approach in HPT architectures is to locate this in the FBB and this is also an option when it comes to ‘Ex ic’. The advantage of this approach is that no consideration of the trunk definition needs to be taken into account. It is ‘Ex nA’ from the Host to the field enclosure where it is converted to Ex ic at the spur and as a result no consideration of the Host I/O card classification or terminal separation is required and ‘Ex d’ devices can be connected to it. No risk!

Summary ‘Ex ic’ is not a direct replacement for ‘Ex nL’ and introduces an element of confusion but with the right amount of application the transition can be smooth and free from risk. Acknowledgement, I would like to thank Chris Towle at MTL and Peter Walsh at SIRA for their expert contributions to this article.

Acknowledgement

I would like to thank Chris Towle at MTL and Peter Walsh at SIRA for their expert contributions to this article.

Saudi Aramco Lubricating Oil Refining Company (Luberef) plans to expand its lubricants refinery in Yanbu, Madinah. The expansion of the refinery is expected to produce a new type of base oil known as type three, which will be used in high quality car engines. Upon completion, the capacity of oil lubricants will be doubled from 280,000 tonnes per year (tpy) to 560,000 tpy.

PROJECT STATUS Mar 2014

Industry sources within Samsung Engineering has revealed that the construction works are currently 25 per cent complete.

Jan 2014

Construction works are ongoing as per schedule, with completion expected in January 2016.

Sep 2013

Construction works have commenced on the scheme.

Jul 2013

Engineering works are still ongoing. Construction works are expected to begin in September 2013.

Feb 2013

Engineering designs are ongoing.

Nov 2012

The client has signed the PMC contract with Jacobs Engineering.

Nov 2012

Luberef has revealed plans to award the project management consultancy (PMC) contract to Jacobs Engineering from the US.

Oct 2012

Samsung Engineering has officially been awarded the $871 million EPC contract on the Yanbu refinery expansion scheme. Mechanical works are slated for completion in July 2015.

Oct 2012

Luberef has received bids for the project management consultancy (PMC) contract from six engineering companies.

Oct 2012

South Korea's Samsung Engineering and Hyundai Engineering & Construction are in pole position to scoop the EPC contract. The two companies submitted the lowest bids and a winning contractor will be announced once clarification meetings are complete.

Sep 2012

Luberef has revealed plans to close its $1 billion loan deal before January 2013. Negotiations are ongoing with banks with the aim to start work on documentation for the deal and finalizing terms over the next few weeks. JULY 2014 | Automation INSIGHT! | 55


FEATURED PROJECT

PROJECT STATUS

FEATURED PROJECT

PROJECT STATUS

Sep 2012

Luberef has received bids for the EPC contract from four international companies.

Feb 2011

Aug 2012

Upon approval from the board of directors, Luberef has made its final financial investment decision on its $1 billion expansion scheme.

As per the agreement, the expansion will include the construction of a lube hydrocracker that will produce high quality type-three oil, used in the engines of luxury cars.

Feb 2011

Jun 2012

The client has postponed the bid submission deadline to 1st September 2012. An award is expected in October 2012.

Jacobs Engineering Group from the US has been awarded the FEED contract for the lube oil refinery in Yanbu.

Oct 2010

Jun 2012

The client Luberef has shortlisted seven pre-qualified companies for the EPC contract. The deadline to submit bids is 30 June 2012 and the project will be executed on a lump-sum turnkey (LSTK) basis.

Industry sources close to the project revealed that the FEED job requires in excess of 300,000 man hours. As a result, the recommendations have yet to be approved by the board.

Oct 2010

May 2012

The deadline to submit the bids for the engineering, procurement and construction (EPC) contract is on 30th June 2012.

Luberef has revealed their preferred two companies for carrying out FEED works are: • CBI & Lummus • Jacobs Engineering

Apr 2012

The contract, which will be a lumpsum turnkey (LSTK) one, is being tendered on an in-kingdom and out of kingdom basis. This means engineering and other essential parts of the work will be carried out overseas at the headquarters of the winning contractor.

Jun 2010

Apr 2012

As of early April 2012, Luberef has floated tenders for the engineering, procurement and construction (EPC) contracts.

Four US based companies have presented their offers for the FEED contract on the lube oil refinery. They are: • Bechtel Engineering • CBI & Lummus • Foster Wheeler • Jacobs Engineering

Mar 2012

Completion of the scheme is expected in June 2015.

Apr 2010

Luberef has also requested local and international companies to submit bids for designing the lubricants refinery. The deadline to submit bids has been set for early June 2010.

Mar 2012

The tender documents are likely to be issued in April 2012.

Apr 2010

Oct 2011

Several pre qualified companies were invited to submit the bids for the EPC contract.

With a view to analyze their value engineering options, Luberef is reviewing the scope of the project. As a result, they have asked Bechtel Engineering to conduct value engineering studies to work out the most cost-effective way of building the scheme.

Apr 2011

Jacobs Engineering has commenced FEED work on the refinery. It is expected to be completed by the end of 2011.

Dec 2009

The client has floated invitations to bid (ITB) for the front end engineering and design (Feed) contract.

Mar 2011

KBR has been awarded the technology solutions contract. As per the agreement, they will be responsible for the Solvent De-asphalting (SDA) technology and basic engineering services on the refinery.

Feb 2011

Luberef have disclosed that the tendering and bidding processes for the engineering, procurement and construction (EPC) contract is expected to be launched in the second half of 2011. The project is slated for completion by the first quarter of 2015.

Feb 2011

Other work includes increasing the capacity of the vacuum distillation unit and adding storage tanks, as well as an upgrade of electrical facilities. The FEED study is expected to be completed in late 2011.

PROJECT SCOPE Saudi Aramco Refining Lubricating Company (Luberef) plans to expand its lubricants refinery in Yanbu. The expansion of the refinery would double the existing capacity of oil lubricants from 280,000 tonnes per year (tpy) to 560,000 tpy. Upon completion, the facility would be able to produce a new type of base oil. The oil produced will be oil of type three, which is used in car engines. The expansion of the lubricants refinery includes the following: • Construction of 23,000 barrel per day (bpd) Lube hydrocracker • Construction of offsites and utilities • Construction of supporting services such as a tank farm and additional storage • Construction of additional storage tanks • Construction of a catalytic ISO de-waxing complex, which will include hydrogen

56 | Automation INSIGHT! | JULY 2014

manufacturing, sour gas absorption, sulphur recovery • Construction of a Hydro finishing unit • Construction of a Sulphur complex • Construction of prilling units • Construction of Propane de-asphalting unit expansion • Increasing the capacity of the vacuum distillation unit • Upgrade of electrical facilities As of early February 2011, Jacobs Engineering Group Inc. from the US has won the FEED contract. The FEED job requires more than 300,000 man hours. The expansion at Luberef ’s Yanbu refinery will also include the construction of a lube hydrocracker that will produce high quality type-three oil, which are used in the engines of luxury cars and are not manufactured in the Gulf, to the Yanbu complex. Other work includes increasing the capacity of the vacuum distillation unit (VDU) capacity from 26,000 bpd to 40,000 bpd and adding storage tanks, as well as an upgrade of electrical facilities. Moreover, Luberef is also tendering a smaller package for JULY 2014 | Automation INSIGHT! | 57


PROJECT LISTING

FEATURED PROJECT

PROJECT SCOPE

Saudi Arabia

a propane de-asphalter (PDA) that will increase its propane de-asphalting from 6,500 bpd to 12,500 bpd, as well as increase the asphalt capacity to 12,000 bpd. Other upgrades will include modifying existing pipe work and building a new cooling water system complete with cooling towers. Luberef currently produces around 280,000 tonnes per year (tpy) of lubricants at its Yanbu refinery and about 550,000 tpy in total from both Yanbu and Jeddah. The company has not disclosed the exact capacity of the expansion. The scope of the lump-sum turnkey (LSTK) project involves the combination of grassroots construction and brown field rehabilitation. It includes the construction of a 23,000 barrel per day (bpd) lube hydrocracker and catalytic ISO-dewaxing complex, which will include hydrogen manufacturing, sour gas absorption, sulphur recovery and prilling units. In November 2012, Luberef has revealed plans to award the project management consultancy (PMC) contract to Jacobs Engineering. The scope of the PMC contract for Jacobs Engineering includes the forming of a project management team that will oversee the work of the engineering, procurement and construction (EPC) contractors and subcontractors on site. All work carried out by the EPC contractors and sub-contractors will have to comply with Saudi Aramco’s and Luberef ’s procedures and standards.

PROJECT SCHEDULE FEED ITB

4Q-2009

FEED

1Q-2011

EPC ITB

2Q-2012

EPC

4Q-2012

Completed

1Q-2016

58 | Automation INSIGHT! | JULY 2014

PROJECT FINANCE Saudi Aramco Refining Lubricating Company (Luberef) was primarily established in 1978 as a 70:30 joint venture between the state owned Saudi Aramco and the US oil major ExxonMobil. However, in late 2007, Jadwa Industrial Investment Company acquired ExxonMobil’s 30 per cent interest in the Saudi Aramco Lubricating Oil Refining Company (Luberef) to become the sole partner to Saudi Aramco in Luberef. The strategic location of Luberef on the east side of the Red Sea south of Suez Canal provides the opportunity to market Base Oil products in diverse regions such as Red Sea, East & South Africa, East Mediterranean, Arabian Gulf, Indian Subcontinent. There are two more outlets in Jebel Ali at UAE Dubai and in Aqaba at Jordan. Saudi Aramco Lubricating Oil Refining Company (LUBEREF) is a limited liability company established in 1978 under the rules and regulations of the Kingdom of Saudi Arabia. As of late September 2012, Luberef has revealed plans to close its $1 billion loan deal before January 2013. Negotiations are ongoing with banks with the aim to start work on documentation for the deal and finalizing terms over the next few weeks. The loan benefits from Luberef ’s ties to state oil firm Saudi Aramco, which is a joint venture partner on the Yanbu export refinery with the local Jadwa Industrial Development Company. Proceeds from the deal, which will have a 10 year tenor, will be used to finance the development of a new hydrocracker at the Yanbu site. Saudi banks have offered both riyals and dollars to the company and the state-owned Public Investment Fund is also expected to make a significant contribution to the firm’s expansion plans. * Information provided by DMS Projects Matrix. For more details, please contact us T:+973 1740 5590, F: +973 1740 5591, Email: info@dmsglobal.net Log onto www.DM SGLOBAL.net

PROJECT

FACILITY

BUDGET ($ US)

STATUS

Abdulkarim Holding Company - Headquarters Office Tower

Commercial Buildings

80000000

Construction

AJOC - KJO - Expansion of Khafji Crude Production Facilities (Hout Field Onshore & Offshore)

Oil Production

1522000000

Construction

Al Jubail Petrochemical Complex (Kemya) - Elastomer Plant (Overview)

Carbon Black

5000000000

Construction

Al Khafji Joint Operations (KJO) - NGL and Export Terminal Facilities

Natural Gas Liquefaction (NGL)

50000000

Construction

Al Omran Cement Company - Taif Cement Plant

Cement

350000000

Engineering & Procurement

Al Rajhi Bank - Headquarters Building

Commercial Buildings

200000000

Engineering & Procurement

Al Rayadah Investment Company - Obhur Residential Scheme

Mixed-Use Development

500000000

EPC ITB

Al Rayadah Investment Company - Science Museum

Mixed-Use Development

300000000

EPC ITB

Alargan Homes Company - Al Suhoul - Phase 1 Contract 1

Residential Development

50000000

Construction

Alargan Homes Company - Al Suhoul - Phase 1 Contract 2

Residential Development

50000000

Construction

Amias Real Estate - Sail Tower - Kempinski Hotel & Residence

Hotels

350000000

Engineering & Procurement

Arabian Amines Company (AAC) - Morpholine and Diglycolamine (DGA) Plant

DGA

300000000

EPC ITB

Arriyadh Development Authority (ADA) - Riyadh Light Rail Transit (LRT) Network {Riyadh Metro}

Railway

23580000000

Engineering & Procurement

Atoun Steel Industry Company - Yanbu 2 Steel Plant

Steel Plant

267000000

Construction

Basic Chemical Industries Company (BCI) - CP Kelco - Xanthan Gum Facility

Propylene

Cayan Investment & Development Company (CIDC) - Lamar Towers

Mixed-Use Development

532000000

Construction

CONSTRUCTION - King Abdullah City for Atomic and Renewable Energy (Kacare)

Nuclear Power Station

7000000000

Feasibility Study

CONSTRUCTION - CDC - Swicorp Joussour Company - NorSun Corps - Polysilicon Plant

Polysilicon

1000000000

Construction

Damac Properties - Al Jawhara Tower

Residential Development

150000000

Engineering & Procurement

Damac Properties - Riyadh Tower

Mixed-Use Development

200000000

Design

Feasibility Study

Farabi Petrochemicals Company - Jizan Petrochemicals Plant

Linear Alkyl Benzene (LAB)

700000000

Feasibility Study

GACA - King Abdul Aziz Airport Expansion - Maintenance Hangers Expansion (Phase 1)

Airport

1100000000

Engineering & Procurement

General Authority for Civil Aviation (GACA) - King Abdullah bin Abdul Aziz Airport

Airport

500000000

EPC ITB

General Aviation Civil Authority (GACA) - Arar Domestic Airport Expansion

Airport

100000000

EPC ITB

General Aviation Civil Authority (GACA) - King Abdul Aziz Airport Expansion (Overview)

Airport

6000000000

Construction

General Aviation Civil Authority (GACA) - Prince Mohammed Bin Abdulaziz Airport Expansion

Airport

1000000000

Engineering & Procurement

General Aviation Civil Authority (GACA) - King Khalid International Airport Terminal 5 Building

Airport

600000000

Engineering & Procurement

General Organization for Social Insurance (GOSI) - Hilton Hotel & Resort

Hotels

500000000

Engineering & Procurement

Grain Silos & Flour Mills Organization (GSFMO) - Jizan Grain Silos (Overview)

Food Processing Plant

150000000

Construction

Grain Silos & Flour Mills Organization (GSFMO) - Jizan Grain Silos - Flour Mill

Food Processing Plant

50000000

Construction

Grain Silos & Flour Mills Organization (GSFMO) - Jizan Grain Silos - Wheat Silos Plant

Food Processing Plant

99700000

Engineering & Procurement

Ibn Rushd - PET/PTA - Yanbu Petrochemicals Complex

Polyethylene

400000000

Construction

JULY 2014 | Automation INSIGHT! | 59


PROJECT LISTING

PROJECT LISTING

Saudi Arabia

Saudi Arabia

PROJECT

FACILITY

BUDGET ($ US)

STATUS

PROJECT

FACILITY

BUDGET ($ US)

STATUS

Idea International - Yanbu Polysilicon Plant & Solar Wafer Production Plant

Polymers

1100000000

EPC ITB

Makkah Municipality - Solar Power Plant

Solar

640000000

EPC ITB

IDEA Soda Ash & Calcium Chloride Company (ISACC) - Soda Ash and Calcium Chloride Complex

Detergents

300000000

EPC ITB

Makkah-Madinah Rail Link - Haramain High Speed Rail Link (Overview)

Railway

12000000000

Engineering & Procurement

Jeddah Municipality - King Abdul Aziz Airport Expansion - Floodwater Prevention Scheme

Canal

903000000

Engineering & Procurement

Makkah-Madinah Rail Link - Haramain High Speed Rail Link (Phase 1, Package 2)

Railway

2000000000

Engineering & Procurement

Jouf University Hospital

Mixed-Use Development

145000000

Engineering & Procurement

Makkah-Madinah Rail Link - Haramain High Speed Rail Link (Phase 2)

Railway

9900000000

Construction

Marafiq - Jubail Sea Water Reverse Osmosis 4

Water Treatment

250000000

Engineering & Procurement

Minerals Railway - Al Zabirah to Al Jalamid Railway Project

Railway

280000000

Engineering & Procurement

Ministry of Education - Imam Mohammed bin Saud Islamic University

Mixed-Use Development

400000000

EPC ITB

Ministry of Education - King Saud University

Education/Training Facilities

90000000

Engineering & Procurement

Ministry of Health (MOH) - Expansion of the King Faisal Specialist Hospital and Research Centre

Medical/Health Facilities/Spa

354000000

Engineering & Procurement

Ministry of Health (MOH) - King Abdullah Medical City

Medical/Health Facilities/Spa

2500000000

EPC ITB

Ministry of Health (MOH) - King Fahad Medical City Development (Overview)

Medical/Health Facilities/Spa

950000000

Engineering & Procurement

Ministry of Health (MOH) - King Fahad Medical City Development - Cancer Center

Medical/Health Facilities/Spa

370000000

Engineering & Procurement

Jubail Chemicals Storage & Services Company - Petrochemicals Quay 2 (PCQ 2)

Petrochemical Plant

4500000000

Engineering & Procurement

Jubail Chemicals Storage and Services Company (JCSSC) - Storage, Handling & Shipping Terminal at King Fahd Industrial Port

Marine Terminal

400000000

Engineering & Procurement

Kayan - Sabic - Biological Wastewater Treatment Plant Upgrade

Waste Water Treatment

100000000

Construction

Kemya Elastomer Plant - Ethylene Propylene Diene Monomer (EPDM) Plant

Ethylene

600000000

Construction

Kemya Elastomer Plant - Halobutyl Rubber Plant (HRP)

Petrochemical Plant

600000000

Construction

Kemya Elastomer Plant - Methyl Tertiary Butyl Ether (MTBE) Plant

MTBE

1000000000

Construction

Kemya Elastomer Plant - Offsites and Utilities

Offsites & Utilities

500000000

Construction

Kemya Elastomer Plant - Polybutadiene Rubber (PBR) Plant

Petrochemical Plant

600000000

Engineering & Procurement

Kemya Elastomer Plant - Carbon Black Plant

Carbon Black

300000000

Construction

Khnaiguiyah Mining Company - Khnaiguiyah Zinc-Copper Project

Zinc

257000000

Feasibility Study

King Abdullah Financial District - Capital Markets Authority Tower

Office Buildings

300000000

Construction

Ministry of Health (MOH) - King Fahad Medical City Development - Central Services Building

Medical/Health Facilities/Spa

80000000

Engineering & Procurement

King Abdullah Financial District - Saudi Stock Exchange Headquarters Tadawul Tower

Commercial Buildings

267000000

Engineering & Procurement

Ministry of Health (MOH) - King Fahad Medical City Development Neuroscience Center

Medical/Health Facilities/Spa

290000000

Engineering & Procurement

King Fahd Causeway Authority - Saudi-Bahrain Causeway Expansion

Roads

285000000

Design

Medical/Health Facilities/Spa

200000000

Kingdom Holding - Emaar Properties - Kingdom Tower or Mile High Tower

Mixed-Use Development

1300000000

Construction

Ministry of Health (MOH) - King Fahad Medical City Development - Research Laboratory and Consultant Offices

Engineering & Procurement

Knowledge Economic City (Overview)

Mixed-Use Development

8000000000

Engineering & Procurement

Ministry of Health - King Khalid Medical City

Medical/Health Facilities/Spa

4300000000

Design

Ministry of Higher Education - Najran University - Medical College for Women

Medical/Health Facilities/Spa

48000000

Kuwait Gulf Oil Company (KGOC) - Gas and Condensate Export System

Condensate Refinery

2000000000

Construction

Engineering & Procurement

Luberef - Lubricants Refinery Expansion

Lube Oil

1000000000

Construction

Ministry of Higher Education - Najran University Hospital

Medical/Health Facilities/Spa

150000000

Maaden - Alcoa - Al Zabirah/Al Baitha Bauxite Mine

Bauxite

200000000

Construction

Engineering & Procurement

MAADEN - Development Overview

Petrochemical Complex

5000000000

Engineering & Procurement

Ministry of Housing - Housing Programme

Residential Development

67000000000

EPC ITB

Ministry of Transport & Communication - GCC Railway Network

Railway

12000000000

Design

Maaden - Gold Processing Plant

Gold Refinery

300000000

Engineering & Procurement

Ministry of Transport - Jeddah Light Rail Transit (LRT) Network {Jeddah Metro}

Railway

5600000000

EPC ITB

Ministry of Transport - Jeddah Ring Road Scheme (Phase 3)

Roads

61000000

Engineering & Procurement

Ministry of Transport - Jeddah Ring Road Scheme (Phase 4)

Roads

66000000

Engineering & Procurement

Ministry of Transportat - Dammam Light Rail and Bus Network (Dammam Metro)

Railway

7500000000

Feasibility Study

National Industrialization Company (TASNEE) - Metals Smelter Complex

Zinc

1000000000

Feasibility Study

Utilities

500000000

Engineering & Procurement

MAADEN - Ras Al Khair Alumina Refinery

Aluminium Smelter

1000000000

Construction

MAADEN - Ras Al Khair Aluminium Smelter

Aluminium Smelter

7000000000

Construction

Maaden - Sabic - Mosaic - Waad Al Shamaal Mining City/Phosphate City (Overview)

Phosphate

6900000000

Engineering & Procurement

Maaden - Sabic - Mosaic - Waad Al Shamaal Mining City/Phosphate City (Package 1) - Ammonia Plant

Petrochemical Plant

850000000

Engineering & Procurement

Maaden - Sabic - Mosaic - Waad Al Shamaal Mining City/Phosphate City (Package 2) - DAP / NPK / BOP

Petrochemical Plant

750000000

Engineering & Procurement

National Titanium Dioxide Company (NTDC) - Cristal Global - AC Arc Ilmenite Smelting Plant

Maaden - Sabic - Mosaic - Waad Al Shamaal Mining City/Phosphate City Phosphoric Acid Plant

Phosphoric Acid

933000000

Engineering & Procurement

National Titanium Dioxide Company (NTDC) - High Pressure Oxidation Line (HPOL)

Offsites & Utilities

250000000

Engineering & Procurement

Maaden - Sabic - Mosaic - Waad Al Shamaal Mining City/Phosphate City Sulphuric Acid Plant & Power Plant

Sulphuric Acid

1500000000

Engineering & Procurement

National Water Company (NWC) - Northern & Eastern Manfouha Water Treatment Plant Expansion

Waste Water Treatment

80000000

EPC ITB

Madinah Development Authority - Madinah Metro (Monorail)

Railway

1600000000

Design

National Water Company (NWC) - Privatization of Water and Wastewater Network

Waste Water Treatment

5600000000

Engineering & Procurement

60 | Automation INSIGHT! | JULY 2014

JULY 2014 | Automation INSIGHT! | 61


PROJECT LISTING

PROJECT LISTING

Saudi Arabia

Saudi Arabia

PROJECT

FACILITY

BUDGET ($ US)

STATUS

PROJECT

FACILITY

BUDGET ($ US)

STATUS

National Water Company (NWC) - Riyadh Sewerage Network - Phase 2 (Al Monsaiah Quarter)

Sewerage Treatment

400000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Aniline Formalin and Dinitroluene (DNT) Nitric Facilities Package

Formaldehyde

500000000

Construction

National Water Company (NWC) - Riyadh Water Treatment Plants, Drilling of Deep Wells & Water Storage

Waste Water Treatment

60000000

Engineering & Procurement

Sadara Chemical Company - Jubail Petrochemicals Complex - Aromatics Complex

Petrochemical Complex

300000000

Construction

National Water Company (NWC) - Sewage Treatment Plant at King Abdul Aziz International Airport

Sewerage Treatment

273000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Chlorine Plant

Petrochemical Complex

500000000

Construction

National Water Company (NWC) - Wassia Water Treatment Plant

Water Treatment

350000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Cycrogenic Tank Farm

Petrochemical Complex

500000000

Construction

National Water Company (NWC) - Wassia Water Treatment Plant - Package 1

Water Treatment

100000000

EPC ITB

350000000

Construction

Water Treatment

150000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Ethylene Oxide Derivatives (EOD) Unit

Ethylene Oxide

National Water Company (NWC) - Wassia Water Treatment Plant - Package 2 National Water Company (NWC) - Wassia Water Treatment Plant - Package 3

Water Treatment

100000000

EPC ITB

Ethylene Oxide

600000000

Construction

National Water Company (NWC) - Wassia Water Treatment Plant - Package 4

Water Treatment

500000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Ethylene Oxide Plant

NCP - Petrochem - Petrochemical Complex

Petrochemical Complex

4000000000

Engineering & Procurement

Sadara Chemical Company - Jubail Petrochemicals Complex - High Pressure Low Density Polyethylene (HP-LDPE) Plant

Low Density Polyethylene (LDPE)

400000000

Construction

Petro Rabigh Refinery & Petrochemical Complex Expansion - Phase 2 (Overview)

Aromatics

5000000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Hydrogen Plant

Petrochemical Complex

380000000

Construction

Petrochemical Plant

500000000

Construction

Petro Rabigh Refinery & Petrochemical Complex Expansion - Phase 2 - Tank Farm Package (UO2) & Common Facilities (UO3)

Refinery

500000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Methyl-Nnitrosobenzamide (MNB) Package

Petrochemical Complex

2000000000

Construction

Petro Rabigh Refinery & Petrochemical Complex Expansion - Phase 2 - Utilities and Offsites (UO1)

Offsites & Utilities

5000000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Mixed Feed Cracker

Offsites & Utilities

1650000000

Construction

Petro Rabigh Refinery & Petrochemical Complex Expansion - Phase 2 - MTBE Plant

MTBE

500000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Offsites & Utilities Sadara Chemical Company - Jubail Petrochemicals Complex - Oxygen Plant

Petrochemical Complex

380000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Polyethylene Oxide Diacrylate (POD) Plant

Polyethylene

300000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Polyethylene Package

Polyethylene

1300000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Polymeric Methylene Diphenyl Disocyanate (PMD) Facility

Polyolefins

500000000

Construction

Sadara Chemical Company - Jubail Petrochemicals Complex - Port Tank Farm

Petrochemical Complex

400000000

Construction

Propylene

500000000

Construction

Petrokemya - Acrylonitrile Butadiene Styrene (ABS) Plant

Styrene

561000000

Construction

Polysilicon Technology Company (PTC) and Saudi Steel Pipe Company (SSPC) Jubail Polysilicon Plant - Phase 1

Polysilicon

378000000

Engineering & Procurement

Public Investment Fund (PIF) - Saudi Arabian Investment Company (Sanabil) Solar Panel Manufacturing Plant

Solar

6400000000

Feasibility Study

Public Pension Association (PPA) - King Abdullah Financial District (KAFD)

Mixed-Use Development

7800000000

Engineering & Procurement

Public Pension Authority (PPA) - Information Technology and Communications Complex (ITCC) {Overview}

Industrial Park

2600000000

Engineering & Procurement

Sadara Chemical Company - Jubail Petrochemicals Complex - Propylene Oxide (PO) Facility

Qurain Petrochemical Industries Company (QPIC) - Royal Commission for Jubail & Yanbu (RCJY) - PTA & PET Plant

Paraxylene

1200000000

Feasibility Study

Sadara Chemical Company - Jubail Petrochemicals Complex - Refinery Tank Farm Package

Oil Storage Tanks

500000000

Construction

Rafal Real Estate Development Company - Burj Rafal

Mixed-Use Development

800000000

Construction

Toluene Di-Isocyanate

1000000000

Construction

Riyadh Municipality - King Abdullah International Gardens

Theatre/Entertainment/Leisure Facilities

200000000

EPC ITB

Sadara Chemical Company - Jubail Petrochemicals Complex - Toluene Di-Isocyanate (TDI) Production Facility

Royal Commission for Jubail & Yanbu (RCJY) - Ras Al Khair Industrial Wastewater Treatment Plant (IWTP)

Waste Water Treatment

80000000

EPC ITB

SAGIA - Saudi Aramco - Jizan Economic City (JEC) - Port (Dredging and Reclamation Package)

Port

1400000000

Construction

Sabic - Celanese Corporation - National Methanol Company (Ibn Sina) Polyacetal Plant Factory

Offsites & Utilities

400000000

Engineering & Procurement

Sahara & Maaden Petrochemicals Company (Samapco) - Ethylene Dichloride (EDC) and Acrylic Complexes

Ethylene

750000000

Construction

Sabic - ExxonMobil Chemical Company - Kemya - Yanpet - Synthetic Rubber Plant

Butadiene

5000000000

Construction

Saline Water Conversion Corporation (SWCC) - Dow Chemical Company - Pilot Water Treatment Plant

Water Treatment

60000000

Feasibility Study

Sabic - Hadeed Steel Plant Debottlenecking

Steel Plant

150000000

Construction

SAMREF - Yanbu Oil Refinery Revamp - Clean Fuels Project (Overview)

Refinery

2000000000

Engineering & Procurement

Sabic - Mitsubishi Rayon - Alpha 2 - Petrochemical Plants

Dimethyl Ether (DME)

500000000

EPC ITB

1500000000

Oil Storage Tanks

450000000

Engineering & Procurement

SAMREF - Yanbu Oil Refinery Revamp - Clean Fuels Project - Process Units Package (Phase 1)

Oil Processing Facility

Sabic Terminal Services Company (Sabtank) - Vopak - Expansion of Tank Farm Facilities at Jubail Industrial Port

Engineering & Procurement

Saudi Arabian Fertiliser Company (Safco) - Fifth Urea Plant

Urea

550000000

Sabic - Shell - Sadaf Polyurethane Plant

Styrene

300000000

Feasibility Study

Engineering & Procurement

Sadara Chemical Company - Jubail Integrated Refining & Petrochemicals Project (Overview)

Refinery

20000000000

Construction

Saudi Arabian General Investment Authority (SAGIA) - Pfizer - Pharmaceutical Manufacturing Plant at King Abdullah Economic City (KAEC)

Medical/Health Facilities/Spa

400000000

Feasibility Study

Sadara Chemical Company - Jubail Petrochemicals Complex - Acrylic Acid Monomers Complex & Plastics Plant

Acrylic Monomers

1700000000

Construction

Saudi Arabian Railways - North-South Railway Project (NSR)

Railway

3000000000

Engineering & Procurement

62 | Automation INSIGHT! | JULY 2014

JULY 2014 | Automation INSIGHT! | 63


PROJECT LISTING

PROJECT LISTING

Saudi Arabia

Saudi Arabia

PROJECT

FACILITY

BUDGET ($ US)

STATUS

PROJECT

FACILITY

BUDGET ($ US)

STATUS

Saudi Aramco - Abqaiq Greenfield Gas Fired Electricity and Steam Plant

Gas Fired Power Station

400000000

Engineering & Procurement

Saudi Aramco - Upgrade of Waste Water Treatment Facilities - Jeddah Refinery

Waste Water Treatment

100000000

Engineering & Procurement

SAUDI ARAMCO - Arabiyah and Hasbah Gas Field Development (Overview)

Gas Field Development

3000000000

Engineering & Procurement

Saudi Aramco - Wasit Gas Development - Arabiyah Offshore Facilities

Offshore Platform

100000000

Construction

Saudi Aramco - Wasit Gas Development - Industrial Support Facilities

Offsites & Utilities

100000000

SAUDI ARAMCO - BAPCO - New Arabia Pipeline

Oil

350000000

FEED

Engineering & Procurement

Saudi Aramco - Wasit Gas Development - Onshore Facilities - Gas Processing Unit

Gas Processing

200000000

Engineering & Procurement

Saudi Aramco - Wasit Gas Development - Onshore Facilities - NGL Fractionation Plant

Natural Gas Liquefaction (NGL)

150000000

Engineering & Procurement

Saudi Aramco - Wasit Gas Development - Onshore Facilities - Sulphur Recovery Units

Sulphur Recovery

250000000

Engineering & Procurement

Saudi Aramco - Wasit Gas Field Development (Overview)

Gas Field Development

6000000000

Construction

Saudi Binladin Group - Saudi Oger - Jabal Omar Development Company - Real Estate Project

Mixed-Use Development

2700000000

Construction

Saudi Aramco - Bulk Storage Terminal

Floating Storage and Offloading (FSO)

600000000

EPC ITB

SAUDI ARAMCO - Carbon Dioxide Injection Plant - Uthmaniyah Field

Carbon Dioxide

100000000

Engineering & Procurement

Saudi Aramco - Crisis and Disaster Management Center

Office Buildings

30000000

EPC ITB

Saudi Aramco - Dow - Ras Tanura Gas Plant (Overview)

Gas Field

4000000000

EPC ITB

Saudi Aramco - Dow - Ras Tanura Gas Plant - Ethylene Cracker and TDI Units

Gas Processing

500000000

Construction

Saudi Aramco - Expansion of Khurais Oilfield

Oil & Gas Field

3000000000

FEED

Saudi Aramco - Fadhili Co-Generation Power Plants

Co-Generation

650000000

Engineering & Procurement

Saudi Aramco - Fadhili Gas Plant

Gas Field

1000000000

FEED

Saudi Aramco - Hasbah Offshore Development Program - Gas Processing Plant

Gas Processing

1500000000

Engineering & Procurement

Saudi Electricity Company (SEC) - 3,600 MW Thermal Power Plant

Thermal Power Station

3000000000

EPC ITB

Saudi Electricity Company (SEC) - Al Omran Substation

Substations

100000000

Construction

Saudi Electricity Company (SEC) - Double Circuit Overhead Transmission Lines

Power Transmission Lines

62600000

Construction

Saudi Electricity Company (SEC) - Jeddah South Thermal Power Plant

Power Plant

5000000000

Construction

Saudi Aramco - Hawiyah Greenfield Gas Fired Electricity and Steam Plant

Gas Fired Power Station

220000000

Engineering & Procurement

Saudi Electricity Company (SEC) - Muhayil West Substation

Substations

117000000

Construction

Saudi Aramco - Integrated Gasification Combined Cycle (IGCC) Power Plant

Power Plant

2400000000

EPC ITB

Saudi Electricity Company (SEC) - Power Plant 12 (PP12)

Power Plant

2000000000

Construction

Saudi Aramco - Jizan Export Refinery (Overview)

Refinery

7000000000

Construction

Saudi Electricity Company (SEC) - Power Plant 13 (PP13)

Combined Cycle

2000000000

Design

Saudi Aramco - Jizan Export Refinery - Crude Distillation Unit/Vacuum Distillation Unit, Flare & Pipe Rack Complex

Refinery

500000000

Construction

Saudi Electricity Company (SEC) - Power Plant 14 (PP14)

Combined Cycle

1760000000

Feasibility Study

1430000000

Construction

Diesel Hydro Desulphurisation (DHDS)

220000000

Construction

Saudi Electricity Company (SEC) - Power Plant Conversion (PP10) - (Blocks A1, A2, B1, B2 and C1)

Combined Cycle

Saudi Aramco - Jizan Export Refinery - Diesel Hydro-Treater Unit Saudi Aramco - Jizan Export Refinery - Hydrocracker Unit

Hydrocracker

250000000

Construction

5000000000

Construction

Marine Terminal

500000000

Construction

Saudi Electricity Company (SEC) - Qurayyah Independent Power Plant (IPP) {Overview}

Independent Power Plant (IPP)

Saudi Aramco - Jizan Export Refinery - Marine Terminal Facilities Saudi Aramco - Jizan Export Refinery - Naphtha Hydrotreater Complex

Hydrotreating

500000000

Construction

Saudi Electricity Company (SEC) - Rabigh 2 Independent Power Plant (IPP)

Independent Power Plant (IPP)

1800000000

Saudi Aramco - Jizan Export Refinery - Power Plant Interconnection

Power Plant

75000000

Feasibility Study

Engineering & Procurement

Saudi Aramco - Jizan Export Refinery - Site Preparation

Oil Production

1000000000

Construction

Saudi Electricity Company (SEC) - Rabigh Steam Independent Power Plant (IPP)

Independent Power Plant (IPP)

500000000

Design

Saudi Aramco - Jizan Export Refinery - Sour Water Stripper & Amine Regeneration Unit

Refinery

500000000

Construction

Saudi Electricity Company (SEC) - Rabigh VI Power Plant

Power Plant

4000000000

Construction

Saudi Aramco - Jizan Export Refinery - Tank Farms

Oil Storage Tanks

1000000000

Construction

Saudi Electricity Company (SEC) - Shuaibah Power Plant II

Combined Cycle

1400000000

Construction

Saudi Aramco - Jizan Export Refinery - Utilities Package

Offsites & Utilities

1000000000

Construction

Saudi Electricity Company (SEC) - Shuqaiq Steam Power Plant

Power Plant

600000000

Engineering & Procurement

SAUDI ARAMCO - King Abdulaziz Centre for Knowledge & Culture

Theatre/Entertainment/Leisure Facilities

300000000

Construction

Saudi Electricity Company (SEC) - Al Lith Substation

Substations

94000000

Saudi Aramco - King Abdullah Petroleum Studies & Research Centre (Kapsarc)

Education/Training Facilities

300000000

Engineering & Procurement

Engineering & Procurement

Saudi Electricity Company (SEC) - Al Madain Substation

Substations

111000000

Engineering & Procurement

Saudi Electricity Company (SEC) - Al-Kharj 2 Substation

Substations

150000000

Engineering & Procurement

Saudi Aramco - Liquefied Natural Gas (LNG) Receiving Terminal

Liquefied Natural Gas (LNG)

1000000000

Feasibility Study

Saudi Aramco - Midyan Gas Processing Plant

Gas Processing

800000000

Construction

Saudi Aramco - Ras Tanura Refinery - Aromatics Unit

Aromatics

1000000000

EPC ITB

Saudi Aramco - Ras Tanura Refinery - Clean Fuels Package

Aromatics

500000000

EPC ITB

Saudi Electricity Company (SEC) - High Voltage District Current (HVDC) Link Riyadh to Makkah

Power Transmission Lines

100000000

Engineering & Procurement

Saudi Aramco - Riyadh Refinery - Clean Transportation Fuel

Isomerisation

2500000000

Engineering & Procurement

Saudi Electricity Company (SEC) - Yanbu to Umluj Overhead Transmission Line

Power Transmission Lines

84300000

Engineering & Procurement

Saudi Aramco - Shale Gas Production

Shale Gas

Unknown

FEED ITB

Saudi Aramco - Shaybah Arabian Light Crude Increment Program

Oil Field Development

410000000

Engineering & Procurement

Saudi Aramco - Shaybah NGL - Recovery Unit (Overview)

Natural Gas Liquefaction (NGL)

6000000000

Construction

64 | Automation INSIGHT! | JULY 2014

* Information provided by DMS Projects Matrix. For more details, please contact us T:+973 1740 5590, F: +973 1740 5591, Email: info@dmsglobal.net Log onto www.DM SGLOBAL.net

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