Innovative Reverse Engineering Approach in Design and Construction of New Gas Processing Facility in Brown Field Block Through Optimum Utilization of Excess Materials and Idle Equipment to Improve Capital Stewardship and Inventory Management. Case Study: Field X Associated Gas Recovery Project
Abstract Successful project management boils down to effectively and efficiently managing resources to meet the project's cost and schedule. The ability to manage project effectively becomes increasingly important to recover capital project expenditures in expiring Production Sharing Contracts (PSC) blocks. The longer the time needed for a project to complete, the higher the project capital and the lower the capital recovery. Referring to look back result of several major capital facility projects, the key challenge in meeting the project cost and schedule is related to procurement of long lead materials and key process equipment. In brown field blocks, there is an opportunity to perform reverse engineering by optimally utilizing the excess materials in the warehouse and idle/unused process equipment to solve the key challenges. As additional benefit, utilization of excess materials and idle process equipment will improve inventory management and capital stewardship, since the cost to relocate and modify the equipment are significantly lower than the cost of buying a new equipment. Field X Associated Gas Recovery Project (AGRP) provided an excellent case study of successful reverse engineering approach using excess material and idle equipment in design and construction of a new gas processing facility in brown field block. Field X AGRP is designed to recover and process associated gas from X field to be used as fuel gas for the gas turbines at the internal Power Generation Plant. However, based on lesson learned from similar opportunity in the past, the cost of construction and installation of a new gas processing facility using new construction materials and new process equipment is very high, which is uneconomic at the current oil price environment. Therefore, to make the project economic, the project team shall consider the utilization of available excess material in the warehouse and idle/unused equipment into design basis. Project team conducted assessment to several facilities across the concession area to gather equipment specification data of idle process equipment and the size of available excess materials. The gas processing facility design was reverse engineered to optimally utilize the idle process equipment and excess materials. The utilization of idle equipment and excess material in construction of the gas processing facility has successfully generated cost saving up to 5 times the project cost from avoiding purchase of new equipment and new construction materials. The project successfully recovered associated gas at the rate of 0.5 MMSCFD to be used as fuel to gas turbine and produced 60 BOPD condensate from gas-liquid separation process