Project

A. Definition
B. Project Phase (EPC Project)
C. Project Businesses
D. Projects
E. Projects for Scope of Work
F. Projects for Construction
G. Additional Definitions

A. Definition

Project is defined as a planned work or task is carried out under the agreed time frame, cost and other resources creating committed a product or service, usually with the specific goals. The Project is a unique endeavour undertaking different timing, resources, procedures, and circumstances. The Project is executed by a team-work and systematic operation in the internal and external organisations rather than individual work that is required the integrated effort to achieve the specific goals for the entire project life cycle: initiation, planning, execution (implementation, controlling and monitoring), and close-out activities.

Definition is a concise and exact statement that explains the meaning and term of a word, phrase, sentence, text, concept, or action. The Definition can be varied in aspects like precision or popularity, and different definitions with different purposes and focuses. The Project Definitions have been defining and developing in terms of the agreed project language by ThePD (The Project Definition) as for the Preferred Project Definitions. The Project Definition is a clearly and concisely defined statement of the exact meaning of words, phrases, sentences, or descriptions of the subject in the project business. The Project Definition is an essential requirement and a critical success factor for the project execution to communicate accurately with the same understanding of the meaning or terminology. Some critical project words and phrases are defined in a contract document.

Preferred Definition is the most favoured or commonly accepted interpretation or explanation of a particular term, concept, or idea that is widely acknowledged or recommended by experts, scholars, or within a specific community. The preference for the Project Preferred Definition is defined by ThePD (The Project Definition) that can be influenced by factors such as accuracy, clarity, relevance, and usage through consensus within a field of study, industry, or community to ensure effective communication and understanding among individuals with shared interests in a project or business.

Vision Statement is a declaration of what the team members should obtain or accomplish through the given task completion. A Project Vision is to guide, motivate and inspire the project team members including all project stakeholders internally and externally working on the project that helps the project team members to make the right decisions, inspire new actions or solutions, and motivate to complete the tasks successfully. A Project Vision Statement consists of only a few sentences, but still highlights the end goal that can be simple, but concise and easy to understand; inspirational and challenging; actionable; engaging and collaborative; look in the future; specific, but no limit.

Mission is an important assignment job given to a person or group of people of a company or an organisation that is trying to achieve through its plans or actions. A Project Mission Statement is to identify the Project's goals and objectives, and to justify values with a brief description of the methods to be performed. The Project Mission Statement defines the fundamental purpose of the organisation and the desired level of performance to motivate term members to work at a certain standard within the project scope of work that states what to do and how intend to do with simple and memorable key words.

Goal is an aim or purpose supported by broad statements that is a big picture of what the organisation wants to achieve, or the final outcome to be, and having one or more objectives. A Project Goal is the project team to achieve the project needs that is simply stated and must be achievable, measurable, specific, and realistic for the project team as well as internal and external organisations including the contract parties.

Objective is a specific statement that is the performance measure to support the goal achievement: how to achieve the goal. A Project Objective is the specific result of outcome and measurable with time frame that leads to achieving the project goal. Every project goal has one or more objectives in line with the goal.

Activity is an identified individual task or work to be performed by a single or multi disciplines. The Activity in the network schedule is defined the start and finish dates, durations, and relations with other activities. The Activity is often subdivided into tasks.

Task is a piece of work to be undertaken or done generally, a difficult work and a series of tasks make up an activity.  

Work is 1) an entire project scope of work, or a part of scope of work, or task, or an activity; 2) to do an activity.

B. Project Phase (EPC Project)

Project Phase is the identified stages of the project such as a planning, engineering, procurement, construction, commissioning, and hand over activity with the project management and controls. Each phase of the work is carried out a step by step as per the Project Life Cycle definitions such as initiation, planning, execution (implementation, controlling and monitoring), and close-out.

Project Life Cycle (or Project Management Life Cycle) is defined as the project progressive work processes from the beginning of the project to the end. The Project Life Cycle consists of the project initiation, planning, execution (implementation, controlling and monitoring), and close-out activities.

Roadmap is a strategic plan for how to achieve goals with core strategic plans and implementations, and to create a direction for growth. Project Roadmap is a framework of strategic planning for how to achieve the project objectives and goals in accordance with the Project Execution Plan (PEP) and company guidelines. The Project Roadmap is a plan document designed in a graph view, describing detailed actions with specific solutions that applies to the project initiation, planning, execution, and close-out activities utilising resources. To develop the Project Roadmap: communicate to the company mission and vision; develop project goals and objectives; analysis any gaps; define core strategies with goal setting and implementation and regularly review and feedback.

Proposal is a written offer in response to an ITB (Invitation to Bid), ITT (Invitation to Tender), RFQ (Request for Quotation) or Inquiry that is the bidder's or contractor's plan or suggestion document. The Proposal includes price, time frame, terms of sale, and description of goods and services to be supplied. (Also, called as the Tender (UK) or Bid (USA))

Project Initiation means that the project execution team begins the project works or activities. Establish a project organisation, project baselines and kick-off meetings with internal and external members, and define what to do; who is going to be key members; overall project scope of work (responsibility); project schedule; budget, and project goals and objectives (execution philosophy or principle) to be a basis of the Project Execution Plan (PEP) and procedures. The Project Initiation team should agree with the overall project status include risks from a proposal team or a corporate planning team.

Project Management is the managing and controlling the project scope of work with available resources that is the systematic work processes with skills, knowledge, tools and systems, and leading resources to achieve the project goals and objectives. The work process of Project Management is Initiating, Planning, Execution (Implementation, monitoring and controlling), and Close-out to complete the project successfully through the minimisation of the risks by an efficient resource and information management, and the maximisation of the company interests. A Project Manager (or Project Director) is the person who has an overall responsibility to make decisions and oversee the project.

Project Controls are a work process of the developing plans, measuring the actual performances, and creating reports for the project schedule, cost, and resources by data the gathering, status analysing, comparing actual performance with planned, and communicating with project teams to support a right and effective decision making. The Project Controls are needed a forecasting ability, developing corrective action plan, and proceeding change management process.

Engineering is the application of the scientific principle, theoretical knowledge, and technology with the practical experience to analyse and develop the sustainable design (safely, economically, and eco-friendly design: Eco-efficiency profiles). The Engineering is the preparation of plans, drawings and specifications required for the project procurement and construction works, and deliverables that are generated and developed based on the agreed design basis including specifications, codes and standards, and regulations to support to the manufacturing goods and constructing facilities. Engineering Disciplines of energy and chemical or oil and gas industries are mainly the process engineering, process safety engineering, mechanical engineering, piping and pipeline engineering, electrical engineering, control system and instrumentation (CSI) engineering and civil, structural and architecture (CSA) engineering.

Procurement is a work process of obtaining or buying goods or services from the external sources. The Procurement work process includes the supplier evaluation, selection and contract, and controls (inspection and expediting) of the purchased item, and delivery it to the demanded user or team (e.g., project equipment and materials to the construction team at the site), and making payment to the supplier.

Construction is the installation and assembling activities for the project equipment and materials at the site in accordance with approved construction drawings, procedures, and specifications. The Construction requires large number of skilled construction labours and construction equipment until the plant is mechanically completed (M/C: Mechanical Completion). After the Construction activities are completed, the plant is handed over to the operation group with all required documents. The Construction work comply with local laws and regulations, especially local labour laws, environment, and safety requirement.

Pre-commissioning (PC) is one of the construction activities that involve the verification of functional operability of elements within the system to achieve a state of readiness for the Commissioning and Start-up operation. Sometimes, for the pre-commissioning of Process units require the completion of the commissioning activities of utility facilities. The Pre-commissioning may require an energisation of equipment includes the running and entire testing of the power generation systems, testing of emergency shutdown and control systems and dynamic trials prior to commissioning and start-up operations. The Pre-Commissioning activities should be completed prior to the achievement of the Mechanical Completion Certificate (MCC).

Mechanical Completion (M/C) is the final phase of construction activities to verify the completeness of the constructed plant that each installed component conforms to or is fabricated, installed, and tested in accordance with the project specifications and procedures after all mechanical works including pre-commissioning (PC) activities are completed. A M/C is one of the project key milestones when the M/C is achieved, owner (client) releases the Mechanical Completion Certificate (MCC), and the plant is handed over for the commissioning and operation activities from the construction (normally EPC Contractor) to the plant operation group (normally owner organisation). Practically, some minor works can be transferred and performed during commissioning and operation which are not related safety and performance. Reference guideline is API 700 Plant Completion Checklist.

Commissioning is the activities performed in getting processes running to establish normal operation that include the process verification and documentation of the facility and its system components and assemblies are designed, installed, tested, and operated to meet the project requirements of individual units and systems. The Commissioning activity consists of checking and testing all functions according to their design parameters in conditions as close as possible to the design conditions, and the performance tests on mechanical equipment and piping system as well as control systems operability and functionality. The Commissioning activities are performed after construction and pre-commissioning is completed.

Start-up is the plant operation activities that is the commencement of an initial operation after achieved the completion of construction works and commissioning activities, and continued until the acceptable production capacity and quality are achieved: successful plant performance test and commercial operation start.

Operation is a practical work to produce products or the way of a part or an entire of machine, system, or plant work together smoothly and safely to produce products in accordance with the procedures.

Maintenance is the process of maintaining or preserving activities that performs equipment or facilities to minimise the possibility of damage or the lowering of performance quality because of corrosion, contamination, or deterioration for the continuous operation. The Maintenance activity is to retain facilities in a serviceable condition by functional checks, repairing, or replacing of necessary devices, equipment, machinery, etc.

Turnaround Maintenance (TAM) is the scheduled and periodic shutdown (total or partial) activity of a plant that means the daily plant operations are completely stopped during the turnaround maintenance work. A TAM (Turnaround Maintenance) involves the maintenance related activities: cleaning, inspection, repair, and replacement by a shift operation. The plant turnaround work is an important role in maintaining consistent productive capacity, and normally performed by outside contractors by every scheduled at least 1 ~ 4 years in advance. 

C. Project Businesses

Project Business is the development and delivery project to a customer based on contract terms and conditions that is a new order through competitive bidding or sole negotiation. The Project Business is the commercial entities to fulfil the contractual obligations in the planning and preparation to minimise the risks in accordance with the company policy and plan, and maximising sales and profit margins through company resources management, knowledge, and experience. The Project Management is a central function in the Project Business.

Business Cycle (or Economic Cycle) is the economy-wide fluctuations in production, trade, and general economic activities in businesses. The Business Cycle is recurrent sequences of alternating phases of expansion and contraction in the level of a time series. These fluctuations typically repeated between periods of relatively rapid economic growth and periods of relative stagnation or decline: Expansion/ Booming/ Contraction/ Recession/ Recovery cycles.

Oil and Gas Business consists of the oil and gas exploration (onshore or offshore wells) and extraction; gathering (oil and gas separation) and transporting (compressing, pumping, and boosting); refining (separation), treatment (upgrading and purification), production (petrochemical or chemical plant); and transporting (pipelines) and storing (tankage and terminal). The Oil and Gas Business is divided into two business area as an upstream and downstream business, divided at the point of, normally, oil and gas are separated and pre-treated (removal of water, salt, and sulphur, etc.). Sometimes, the Oil and Gas Business is divided into three major components: Upstream, Midstream (transportation and storage) and Downstream.

Value Chain for Oil and Gas Business is the work activities from discovering fields (Upstream) through appraisal and production to supply oil and gas products to the end users (Midstream and Downstream). Upstream business is from an exploration, transportation up to downstream facilities through the oil and gas separation and purification facilities. Midstream is the transportation of raw materials and final products by pipelines, rails, barges, oil tankers or trucks, and storages. Downstream consists of from receiving facilities of the oil or gas, and treating, upgrading, and producing of the final products, the downstream plants are a refinery, petrochemical, chemical plant, and products distribution facilities.

Upstream, Midstream and Downstream are three major components in an oil and gas business. Upstream is from an exploration, transportation up to downstream facilities through oil and gas separation and purification facilities. Midstream is the storage and transport Upstream products by a pipeline, rail, barge, oil tanker or truck. Downstream consists of from receiving facilities of oil or gas and treatment, upgrading, and producing of the final products, the downstream plants are a refinery, petrochemical, chemical plant, and products distributions.

Upstream Business in the Oil and Gas industry consists of from an exploration, transportation up to the downstream facilities through oil and gas separation and purification facilities, and compression or boosting stations.

Midstream Business in the Oil and Gas industry consists of the transportation by pipeline, rail, barge, oil tanker or truck, and storage that transports commodities such as crude oil, natural gas, natural gas liquids (NGLs, mainly ethane, propane, and butane), and sulphur products.

Downstream Business in the Oil and Gas industry consists of from receiving facilities of oil or gas and treatment, upgrading, and producing of the final products. The Downstream plants are a refinery, petrochemical, chemical plant, and products distributions. 

Natural Gas (NG) is a mixture of gaseous hydrocarbons occurring naturally and obtained from underground in atmosphere, deep inside the earth near other solid or liquid hydrocarbons (e.g., coal and crude oil) that usually be some condensate and/or oil associated with the gas. A NG consists of mainly methane (CH4), ethane, propane, and butane as well as nitrogen and carbon dioxide, etc. A NG is the last product of a chain of cracking reactions that is used for a fuel and other chemical industry.

Oil (Crude Oil) is the petroleum and other hydrocarbons in liquid form that is a hydrocarbon liquid substance and a viscous liquid at ambient temperature, formed by natural resources, and used for a fuel and petrochemical industry. (Refer to the Crude)

Oil Reserves are the estimated amount of crude oil located in a particular economic region that can be technically recovered and financially feasible at the present price of oil. Proven Oil Reserves are a reasonable certainty of being recoverable under existing economic and political conditions, with existing technology. Reserves amounts for world total: 1,726,685 million of barrels (MMbbl) - USA EIA (2017)

Oil Sand is the sediments or sedimentary rocks composed of sand, clay, water, and bitumen that contains heavy hydrocarbon residues such as tar or asphalt. These materials can be extracted by steam injection to deep below the surface of the earth for the pumping the bitumen to the surface. (Refer to the Bituminous Sand)

Oil Shale (or Shale Oil) is a type of crude oil (unconventional oil) that is trapped in sedimentary rock (shale soil layer), and contains solid bituminous materials (called as the Kerogen).

Petroleum Extraction is one of oil and gas exploration technologies that is the removal process (extraction) of oil from the well reservoirs. The Petroleum Extraction can be recovered in the range of 60% of the available resources from most wells. The Petroleum Extraction can be: the Primary Extraction; Secondary Extraction; Tertiary Extraction.

Shale Gas is the Natural Gas (NG) that is existed in fracture porosity, within the ultra low permeability shale formations. The Shale Gas may also be the source rock for other gas reservoirs. (Refer to the Tight Gas; Oil Shale (or Shale Oil))

Hydrocarbon is an organic compound composed of hydrogen (H) and carbon (C) that makes up most of the petroleum, natural gas, and fuels. The Hydrocarbon consists of hundreds or thousands of individual atoms that are linked together in any number of ways, including chains, circles, and other complex shapes. The smallest hydrocarbon, methane (CH4), is composed of a single carbon atom and four hydrogen atoms. The Hydrocarbons are used as fuels, solvents, and as raw materials for numerous products such as petroleum, chemicals, and plastics. The Emission gases of hydrocarbons are a major cause of air pollution and global warming.

Gas Processing is the separation process of oil and gas by removing impurities, various non-methane hydrocarbons, and fluids from the natural gas to make a clean raw natural gas and to meet the gas specification for delivery.

Petroleum Process is the petroleum engineering processes used to transform crude oil into useful products that consists of the oil and gas exploration (onshore or offshore wells) and extraction; gathering (oil and gas separation) and transporting (compressing and boosting); refining (separation), treatment (upgrading and purification), production (petrochemical or chemical plant); and transporting (pipelines) and storing (tankage and terminal).

Refinery is an industrial process of a crude treatment plant that consists of distillation (separation), conversion and treatment (purification) processes. The Refinery process is producing finished petroleum products from crude oil, unfinished oils, natural gas liquids, other hydrocarbons, and oxygenates. (Refer to the Refinery Product)

Petrochemical is any ​chemical ​substance ​obtained from crude oil or ​natural ​gas that includes ethane, propane, butane, and other hydrocarbons. Major Petrochemicals are acetylene, benzene, ethane, ethylene, methane, propane, and hydrogen, from which hundreds of other chemicals are derived.

Chemical Industry is to produce industrial chemicals that converts raw materials (oil, natural gas, air, water, metals, and minerals) into wide rage and immense variety of different chemical products.

U&O (Utility and Offsite) is the supporting facilities consists of utility facilities (air systems; water systems; fuel systems; power generation; steam generation, etc.), and offsite facilities (firewater system; flare system; interconnecting piping; loading/ unloading; tankage & storage; waste water treatment, etc.). U&O facilities are typically constituted 20 ~ 50 percent of an entire project cost.

Social Overhead Capital (SOC) is the basic facilities and services needed for the communities and societies that is the social capital mainly owned by the government. A SOC is the public infrastructures including the transportation (roads), education and health (schools, public libraries, and hospitals), communications and utilities (telephones, water, electricity), etc. A SOC term can be used as the economic overhead facilities and economic infrastructure.

Balance of Plant (BOP) is all infrastructural facilities except for the main product producing facilities in a plant. A BOP is generally used in a power project to all supporting facilities and auxiliary systems of the power plant needed to deliver the electricity, other than the generating unit itself. In the power plant, a BOP includes transformers, inverters, supporting structures, and control and monitoring systems of the entire plant, but not the turbine, generator, and generator step-up transformer, and all its elements.

Power Plant is an electrical power generation plant that produces electricity by converting mechanical power such as the rotation of a turbine into electrical power. In a coal-fired steam station, the combustion of coal turns water into steam and the steam in turn drives turbine generators to produce electricity. The Power Plant includes either fossil fuels, nuclear fission, or renewable sources like hydro, wind power, solar power, geothermal power, and biomass power plants.

Renewable Energy is any energy resources that is generated from natural processes, and continuously replenished or naturally and constantly regenerated over a short time scale. The Renewable Energy resources are sunlight, geothermal heat, wind, tides, water, and various forms of biomass, but do not include energy resources derived from fossil fuels, waste products from fossil sources, or inorganic sources. The Renewable Energy technologies range from Solar Energy; Wind Power; Geothermal Energy; Biomass; Hydropower (or Hydroelectric Power); Ocean Energy (Tidal Energy; Wave Energy); Hydrogen Fuel Cell; Fusion Energy, etc.

D. Projects

Oil and Gas Projects

Petroleum System is the geologic components and processes necessary to generate and store hydrocarbons including the research, resource evaluation, and exploration. The Petroleum System consists of all the geologic elements and processes related oil and gas accumulations.

Crude Oil Production is the quantities of oil extracted from oil reservoirs that is the commercial crude and the volume of average daily crude oil production rate. The Crude Oil Production includes crude oil and natural gas liquids (NGLs).

Gas Gathering System is the flow line networks as well as the process facilities that includes the collecting gas and the inlet to a major transportation pipeline with the processing systems or plants.

Compressor Station (or Gas Booster Station) is a transportation facility that ensures the gases remains pressurised to travel through a long pipeline. It must be compressed periodically along the pipeline, typically located every 60 km to 100 km, where gas is compressed either by gas turbines or diesel engines.

Gas Grid or Network is the connected set of pipelines of the gas transport and distribution systems in a region or country. The Gas Network simulation is a process of defining the mathematical model of the gas transport and distribution systems that is integrated pipe networks operating over a wide range of pressures.

Pipeline is a long-distance piping system that is used to transport the commodity substances including natural gas, fuels, hydrogen, water, and petroleum, etc.

Gas Treating Facility is to remove the inherent solid, liquid, and gas impurities from the natural gas mixtures (mainly methane (CH4) with various hydrocarbon components), which accelerate the corrosion of equipment and pipeline, and lower the heating value of the gas. The main Gas Treating Facilities are: Oil and Condensate Removal; Water Removal; Separation of Natural Gas Liquids; Sulphur and Carbon Dioxide Removal.

Gas to Liquid (GTL) is a refinery process technology to convert natural gas into hydrocarbon liquid products (synthetic gasoline or middle distillates), using the Fischer Tropsch synthesis method. Natural Gas is abundant, versatile and affordable, and GTL products contain almost none of the impurities such as sulphur, aromatics and nitrogen, and colourless and odourless. The gas is found in remote fields from a market such that delivery by pipeline is likely to be uneconomic.

Liquefaction is a process of converting a non-liquid phase (solid or gas) material into the liquid phase. (e.g., Natural Gas to LNG)

Regasification is the physical process of the reconversion of LNG (Liquefied Natural Gas) into NG (Natural Gas) suitable for pipeline transportation. An LNG Regasification is a process of converting LNG to NG at atmospheric temperature at -162 °C. 

Refinery Plant is uniquely configured to process a specific raw material into a desired products in which configuration is most economical, engineers and planners survey the local market for petroleum products and assess the available raw materials. Typical Refinery Plant process consists of the Distillation (Atmosphere, Vacuum); Heavy Oil Upgrading (Cracking, Breaking, etc.); Treatment (Desulphurisation, etc.); Reforming (Alkylation, Isomerization, etc.); Blending, etc. (Refer to the Refinery Product)

Petrochemical Plant is to produce a wide variety of petrochemicals and polymers obtained from the crude distillates such as naphtha from petroleum refining or natural gas liquids. Typical Petrochemical Plan processes are: Olefin complexes (Ethylene, Propylene; C4 + and diolefins); Aromatics complexes (BTX - Benzene, Toluene, and Xylene); Synthesis gas complexes (Coal, natural gas, or some other hydrocarbon source is steam reformed into a synthesis gas mixture (H2 and CO)): Cracking, Reforming, Polymerisation, Synthesis, etc.

Chemical Plant is an industrial plant that produces chemicals by other chemicals. The Chemical Plants are Inorganic, Organic, Ceramic, Agrochemicals, Petrochemicals, Polymers, Elastomers, Oleochemicals, Explosives, Fragrances and Flavours, and Industrial Gases production facilities.

Utility Facility is the support facilities that is any privately, publicly, or cooperatively owned lines, facilities, or systems for producing, transmitting, or distributing communication, electricity, light, heat, gas, oil, crude products, water, steam, waste, storm water, including any fire or police signal system or street lighting system, which directly or indirectly serves the public. In refinery and petrochemical plant, the Utility Facilities are: Air Systems (Air Separation Unit (ASU), Nitrogen, Instrument and Plant Air); Water System (Cooling Water, BFW, Plant Service Water, Potable Water, Demineralized Water and Condensate); Fuel Systems; Power Generation; Steam Generation, etc. (Refer to the Offsite Facility, U&O (Utility and Offsite))

Offsite Facility is the individual processing units which is not at the main industrial or commercial site, but the functioning of offsite facility is often as critical as the process units themselves. The Offsite Facilities consist of Firewater System; Flare System; Flushing Oil; Interconnecting Piping; Loading/ Unloading; Tankage & Storage (Atmospheric, Pressure and Refrigerated); Waste Water Treatment, and Environmental Treatment Units, etc. (Refer to the Utility Facility, U&O (Utility & Offsite))

Infrastructure is a fundamental supporting facility that is the system of public works in a country, state or region, such as roads, telecommunication, water supply, effluent treatment, electrical grid, and public institutions including emergency response organisations, etc.

Power Plant Project

Clean Power Generator produces the electricity from sources which are environmentally cleaner than traditional sources. Clean, or Green Power is usually defined as power from renewable energy that comes from wind, solar, biomass energy, etc. Additionally, there are various definitions of clean resources including the power produced from waste-to-energy and wood-fired plants that may still produce significant air emissions.

Combined Cycle Power Plant (CCPP) is a power plant that uses a gas turbine to drive an electrical generator, and recovers waste heat from the turbine exhaust to generate steam. The steam from waste heat is run through a steam turbine to provide supplemental electricity. Combining two or more thermodynamic cycles improves overall efficiency, which reduces fuel costs.

Combined Heat and Power Plant (CHP) is the process of generating two or more forms of energy from a single energy source that produces electricity or shaft power by an energy conversion system and the concurrent use of rejected thermal energy from the conversion system as an auxiliary energy source. A CHP is one or more units of a plant that consists of a heat engine or power station to generate electricity and useful heat to produce at the same time. (Also, called as the Cogeneration) (Refer to the Trigeneration)

Combustion Power Plant is a power plant that generates electrical power by combusting a fuel such as the natural gas.

Electrical Grid (or Electric Power Network System) is an interconnected network system for delivering electric power (electricity) from electric power generation plants to final users (homes and plant). The Electrical Grid network system consists of the electric power generation plant (or stations); high voltage (above 1500V DC) transmission lines from power generation sources to local distribution centres and low voltage (120 ~ 1500V DC) transmission lines from the local distribution centre to final users; substations; and transformers.

Hydrogen Power Plant is a power generation facility which uses hydrogen to produce electrical energy. The Hydrogen Power Plant includes a hydrogen fired gas turbine, electrolyser with hydrogen compression and storage that is a large facility, not unlike a nuclear power plant in appearance. Combining the re-electrification of hydrogen with heat generation can significantly increase the overall efficiency of the Hydrogen Power Plant solution. A Blue Hydrogen Power Plant can be preferable to a natural gas generator with Carbon Capture and Storage (CCS).

Independent Power Plant (IPP) is an electric power generation plant constructed and operated by independently of the independent power produced (IPP) that is not owned by the national electricity company. The producing electricity by the Independent Power Plant (IPP) which is not a public utility, but which makes electric energy available for sale to the third party such as an industrial complex and/or the general public through electricity grid. (Refer to the Independent Power Producer (IPP), Power Purchase Agreements (PPA))

Integrated Gasification Combined Cycle (IGCC) is an electric power plant generating electricity from coal and other low grade hydrocarbons by gasifying technology. An IGCC uses a high pressure gasifier to turn coal and other carbon based fuels into pressurised gas then remove impurities from the syngas prior to the power generation cycle in which a gas turbine generator generates electricity and the waste heat is used to make steam to generate additional electricity via a steam turbine.

Natural Gas Combined Cycle (NGCC) is the power generation plant by the burning fossil fuels more cleanly than traditional technologies that is an advanced power generation technology which allows to improve the fuel efficiency of natural gas.

Trigeneration (or Combined Cooling, Heat and Power (CCHP)) is the power and heat producing process by which some of the heat produced by a cogeneration plant of electricity and useful heating and cooling from the combustion of a fuel or a solar heat collector.

LNG Projects

Liquefied Natural Gas (LNG) is the liquid state composed predominantly of methane and contains minor quantities of ethane, propane, nitrogen, or other components normally found in the natural gas. LNG is compressed at moderate pressure (maximum transport pressure is set at around 25 kPa (4 psi)), but cooled to a temperature, around the boiling point of methane (-162°C) to remain liquid, and the volume of natural gas as liquid is 1/600th of its volume as gas.

LNG (Liquefied Natural Gas) Project (LNG Business Value Chain) includes from the wellhead to end users (the production, processing, conversion of natural gas to LNG, storage, long-distance transportation, storage and regasification), and supply: Liquefaction plant (LNG Producing); LNG Storage Tank; LNG Terminal (Export (Loading) and Import (Unloading)); Regasification; LNG Carrier, etc.

LNG (Liquefied Natural Gas) Storage Tank is a specialised type of storage tank used for the storage of LNG (Liquefied Natural Gas). A LNG Storage tanks is the ability to store LNG at the very low temperature of -162 °C (-260 °F). LNG storage tanks have double containers, where the inner contains LNG and the outer container contains insulation materials. The most common tank type is the full containment tank. Tank dimensions are typically in the order of 80~90m in diameter and 50m in height with a wall thickness in the order of 750mm, the storage volumes for this size of regasification or liquefaction plant have exceeded 160,000m^3. Most LNG projects have targeted throughputs greater than 1000 MMSCFD or 7MMTPA.

Liquefied Natural Gas Carrier (LNGC) is a specialised tank ship used to transport Liquefied Natural Gas (LNG) that is fitted with independent cargo tanks or with membrane tanks at its boiling point of -162 °C, by which independent tanks are completely self-supporting and they do not contribute to the hull strength of a tanker (three different types of independent tanks for gas carriers (IGC Code): Type 'A' (fully refrigerated condition), 'B' (LNG tankers), and 'C' (fully pressurised)). A Membrane Containment system is based on a very thin primary barrier (membrane - 0.7 to 1.5 mm thick) which is supported through the insulation. (e.g., GTT NO96 Membrane system, GTT Mark III & V system, etc.) A Semi-Membrane concept is a variation of the membrane tank system. LNGCs are to prevent leaks and keep the LNG at the cold temperature to keep the liquid form in the 200,000 M3 capacity range.

Floating Liquefied Natural Gas (FLNG) is a floating production unit of LNG (Liquefied Natural Gas) that is the use of purpose built or converted ships to enable regasification and liquefaction of the LNG to be carried out offshore. A FLNG has the advantage that can start more quickly LNG production and importation.

Floating Production Storage and Offloading (FPSO) is a floating vessel that acts as a mobile offshore production and storage facility, where oil is processed and stored until it can be transferred to a tanker for transporting and additional refining. A FPSO system is used extensively by oil companies for the purpose of storing oil from the oil rigs in the middle of the ocean and in the high seas that is one of the best devised systems to have developed in the oil exploration industry in the marine areas.

Floating Storage and Regasification Unit (FSRU) is a special type of ship used for the LNG transportation, which is capable of transporting, storing, and regasifying LNG onboard. Floating regasification also requires either an offshore terminal, which typically includes a buoy and connecting undersea pipelines to transport regasified LNG to shore, or an onshore dockside receiving terminal. Compared to conventional onshore regasification terminals, FSRUs offer more flexibility, with the option to be deployed anywhere along the shore. A FSRU is one of the fastest growing shipping sectors at present which is the dedicated fleet of specialist ships carrying liquefied natural gas (LNG).

Floating Storage Unit (FSU) is capable of storing Liquified Natural Gas (LNG) in the large tanks on top of the vessel. A FSU is to supply LNG safely to a regasification facility and occasionally to play a role as a temporary terminal in order to redistribute LNG cargo to small scale LNG carrier.

FLPS stands for Floating LNG (Liquefied Natural Gas) Power Station.

Ultra Large Crude Carrier (ULCC) is a very large crude carrier that is super tankers with the Dead Weight Tonnage (DWT) of more than 250,000 ~ 300,000, for the transport of crude oil.

Renewable Energy Project

Geothermal Power Plant is a power generation plant by geothermal energy, and types are: 1) Dry Steam Power Station: Dry Steam takes out of the ground and uses it to directly drive a turbine. Hot steam is piped directly from geothermal reservoirs into generators in the power plant; 2) Flash Steam Power Station: Flash Steam uses high-pressure hot water into cool, low-pressure. Hot water is brought up through a well and flashed into steam. The condensed water is returned to the ground; 3) Binary Cycle Power Station: Hot geothermal water is passed through a heat exchanger, where its heat is transferred to a liquid that boils at a lower temperature than water, which spins the turbines.

Hydroelectric Power Plant is a power plant that produces electricity by the force of water falling through a hydro turbine and generator.

Nuclear Power Plant (NPP) or Nuclear Power Station is an electrical generating facility using a nuclear reactor as its heat source, to provide steam to a turbine that converts atomic energy into usable power.

Ocean Energy is the mechanical energy derived from tidal movement, wave motion, or thermal gradients in the oceans and exploited for electricity generation that is the energy conversion technologies.

Tidal Energy (or Tidal Power) is a form of hydropower that converts the energy of the tides into electricity or other useful forms of energy. The Tidal Energy is the power available from the rise and fall of ocean tides on the principal of a dam or barrage that captures water in a basin at the peak of a tidal flow, then directs the water through a hydroelectric turbine as the tide ebbs.

Wave Energy (or Wave Power) is the energy produced in the motion of ocean waves to energy that is the concept of capturing and converting the energy from wind force waves on ocean surface water to electricity generation. The Wave Energy (or Wave Power) is the renewable energy, used for electricity generation, water desalination, and pumping of water, etc. 

Solar Power Plant is to convert sunlight into electrical energy either through photovoltaic (PV) panels or through mirrors that concentrates solar radiation. Photovoltaic cells convert light into an electric current using the photovoltaic effect that utilises thermal energy from the sun and further transformed into electrical energy which feeds into the grid. Concentrated Solar Power (CSP) System uses the mirrors or lenses that are stationed in an organised way to concentrate collected heat to one specific position in which the heat is further utilised to a steam turbine power and to generate electricity.

Concentrated Solar Power (CSP) technologies use mirrors to concentrate the sun's light energy and convert it into heat to create steam to drive a turbine that generates electrical power. A CSP technologies are 1) Parabolic Trough System uses trough-shaped mirrors that reflect and concentrate solar radiation onto receiver tubes containing heat transfer fluid; 2) Central Receiver uses an array of individually tracking mirrors to reflect and concentrate solar radiation onto an elevated central receiver which produces steam; 3) Linear Fresnel System uses an array of flat or slightly curved reflectors to concentrate solar radiation onto an elevated absorber tubes containing heat transfer fluid; 4) Dish Stirling System uses a parabolic dish to reflect and concentrate solar radiation onto a receiver filled with hydrogen or helium as a transfer gas.

Wind Power Plant consists of wind turbines, generators, and buildings for a common power producing system through a system of transformers, distribution lines, and substations.

Offshore Wind Farm is the wind turbines installed at the offshore that is to generate the electricity. The Offshore Wind Farm can generate substantially more energy than onshore wind turbines because of higher, and more consistent wind speeds at the sea or ocean that may produce the capacity factors in the range of 50%.

E. Projects for Scope of Work

Feasibility Study is an assessment and evaluation process of a new project or system viability that focuses the technical feasibility and commercial profitability. The Feasibility Study involves the legal, economic, technology, cost and schedule, environmental and other factors up to the completion of project as well as the commercial operations. In general, the Feasibility Study is a preliminary study performed in the early stage of the project or business such as the conceptual design or FEED engineering stage.

Conceptual Design is an initial design document for the feasibility study including operation capacities (feeds and products), screening of the process technologies, and high level process and basic documentations (BFD or PFD and overall plant layout) that results are the basis of FEED or Basic Engineering. At the Conceptual Design stage, the site (plant location) selection study, initial project schedule (Level 1) and budget cost estimate - factored estimate (-50 ~ +100%) can be performed together.

Pre-FEED is a preliminary FEED (front end engineering and design) document that is a pre-defined design package to prove the feasibility in technical and economics. The Pre-FEED is used to a basis of FEED deliverables or basic engineering.

FEED (Front End Engineering and Design, Front End Engineering (FEE), or Front End Loading (FEL)) is a type of the design and engineering documents that is developed based on a conceptual engineering or pre-FEED results. A FEED is used for the basis of the detailed design and engineering; FID (final investment decision) with accurate TIC (Total Investment Cost) estimates and overall project execution planning as well as the tendering document for EPC contractor selection. A FEED engineering depth is similar to a basic engineering, and its main outputs are process studies including process technology selection, process and utility configuration, and optimisations for a cost minimisation, supporting documentation for permits and funding, EPC execution planning including EPC cost estimate (Accuracy: +/- 15 ~ 30%), EPC Schedule, EPC tendering document, and basis of detailed design and engineering document. Type of FEED is a light, normal and extended FEED based on engineering deliverables and their depth and details depend on the client's demand.

Basic Engineering is a basis of the detailed design and engineering development for the procurement and construction that defines the technical requirements for the common design, fabrication, construction, and operation and maintenance of equipment and facilities. A cost estimate in the Basic Engineering phase may typically be refined to +/- 15 ~ 30% and, in many cases, this package may also be called as a front end engineering and design (FEED).

In general, FEED involves mechanical data sheets of the main equipment initiated from the process specifications, and the Basic Engineering performs the development and incorporation of the specific requirements of codes and standards with preliminary vendor information to be applied to the project.

Design and Engineering is the basic sciences, mathematics and engineering practices that is the process of developing the components, systems, processes, or plants by the methodical series of steps by which engineers use in creating functional products and processes, and follow to come up with the solutions to problems to meet the project specifications, code and standards, regulations, etc. The Design and Engineering is applied to convert resources optimally to meet the project requirements as well as the variety of realistic constraints, such as economic factors, safety, environment, reliability, and social impacts. 

Detailed Design and Engineering is a development of all required construction documents and drawings up to the AFC (Approved for Construction) stage for the construction, and detailed bill of materials (BOM) for the bulk material procurement based on the basic engineering or front end engineering design (FEED) package. The Detailed Design and Engineering is limited to the verification of the design basis but producing all construction drawings after incorporating vendor information.

EP (Engineering and Procurement) Project is a service agreement to perform the services necessary for both the engineering including preparation and development of plans, drawings, and specifications, and limited procurement services.

EPC (Engineering, Procurement and Construction) Project is one of the typical contract types of the oil and gas business sector that defines contractor's scope of work (EPC). A Contractor provides the works for Engineering, Procurement and Construction up to a Mechanical Completion (MC) of the plant, and hand-over to the Owner for a start-up and operation.

EPCI (Engineering, Procurement, Construction, and Installation) Project is one of the typical contract types of the oil and gas business sector that covers Engineering, Procurement, Construction, and Installation scope of works to be provided by a contractor.

EPCM (Engineering, Procurement and Construction Management) Project is one of the typical contract types of the oil and gas business sector defining the contractor's scope of work. The Contractor provides the overall project management, engineering services of the preparation of plans, drawings and specifications, and provides procurement with equipment and bulk material supply (necessary of all or part of the material requirements), and provides the construction management only. The Construction activity will be performed by construction subcontractors under the contractor's management.

Project Management Consultant (PMC) is a professional organisation of the project management who provides services on behalf of the owner in the large complex multi-unit projects or series of projects, and assists the owner in minimising costs, maximising return on investment and timely completion of the project or program. A PMC brings a set of systems, procedures, and methodologies for the owner consideration, and is responsible for overall planning and execution of the total project or program from definition through to start-up. A PMC coordinates the interfaces between the different EPC Contractors during all phases of the project or program.

F. Projects for Construction

Brownfield Plant is a revamping, upgrading or modification project of the existing plant. (Opposite of the Grass Root Plant)

Debottlenecking is an act of removing the problems or constraints within a piece of equipment, a system or process that is the improvement of a process from being workable, more efficient, or higher productivity. The Debottlenecking increases capacity for a fraction of the cost of building new facilities that requires a systematic analysis of the system to identify the specific areas causing the constraints by which the analysis may involve studying data, conducting simulations, or utilising process optimisation techniques. (Refer to the Revamping)

Greenfield Plant is 1) a planned new plant construction in which the site is previously undeveloped for commercial development or exploitation. The Greenfield Plant construction is allowed the uncomplicated and straightforward for construction works where there is no need to work within the constraints of existing buildings or infrastructure, but need to include all necessary utilities and infrastructure facilities; 2) Greenfield Project in software development is simply a new project that lacks constraints imposed by prior work.

Grass Roots Plant is a new complete plant including infrastructure facilities that is constructed and erected on a new area or site.

Revamping is the act of improving, modifying, or re-structuring a process or plant that removes obstacles, replaces or upgrades facilities, or corrects constraints to achieve the increased productivity and/or capacity in the existing plant (Brownfield Project). The Critical considerations in a Revamping project: Integrating engineering, operations, and maintenance teams; Safety in mind and actions; Gathering accurate information of the existing equipment and systems; Operations and shutdown schedule. (Refer to the Debottlenecking)

Onshore Work is the activities and operations that takes place on land, including those on swamps, rivers, and lakes.

Offshore Work is the activities and operations that takes place at sea, and activities in bay, in inland or in inland sea directly connected to an ocean. The Offshore Work includes transportation of people and equipment from shore to the offshore location, either by vessel or helicopter.

G. Additional Definitions

Deactivation and Decommissioning (D&D) is the planned shut-down or removal of a plant or facility from the operation or usage that includes the process of safely closing a plant or facility to retire it from service after its useful life has ended.

Green Energy comes from natural sources such as sunlight, wind, rain, tides, plants, algae, and geothermal heat that is a subset of renewable energy. The Green Energy is the low or zero emissions and low environmental impacts to systems for human life that protects the natural environment.

NEOM City is a smart city which is currently being built in Tabuk Province in north-western Saudi Arabia, having been announced by Saudi Crown Prince Mohammed bin Salman in 2017. NEOM (New Future) is one of the public investment fund’s projects where entrepreneurship and innovation will chart the course for this New Future - flying taxis, robotic avatars and holograms: sci-fi city vision. The NEON City is planned to cover a total area of 26,500 kM2, extending 170 kM along the coast of the Red Sea, and at an estimated cost of $500 billion.

Petroleum Reserve is a commercially recoverable deposit of oil that divided into proven, unproven, and strategic reserves.

Project Financing is a method of long-term financing of infrastructure or industrial projects that is the raising of finance based upon a non-recourse or limited recourse where the borrower will be dependent on the internally generated cashflows of the project. The lender has no recourse to the project owner’s other assets (non-recourse financing) but, the borrower’s liability is strictly defined (limited recourse financing).

Project Protocol is the statement of rules or formal systems for a common agreement or standard for the project development and implementation that enables different organisations to use the same procedures, specifications, and objectives. The Project Protocol document are normally, a project summary, project background and information, goal and objective, methodology and organisation, budget, schedule, project risk, and references, etc. (Refer to the Project Execution Plan (PEP))

Project Screening is a preliminary assessment or examination of the project suitability for the selection and application process or development methodology that evaluates or investigates many project candidates. The Project Screening identifies the opportunities to obtain an idea of whether the additional time and efforts consuming for further business cases, and may conducts by different procedures and methods to compare the strengths and weaknesses.

Petroleum Reserve

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