Watson Millican & Company’s technical experts were retained by a Central Asian oil and gas producer to review the design of a new gas processing plant. Watson Millican conducted a review of the proposed gas plant design to ensure optimum process performance and the ability to meet contractual guarantees. Watson Millican also completed an independent assessment of a large change order for addition of an inlet separation facility including process design review and cost estimate.
Background
A Central Asian oil and gas producer (owner) engaged a domestic contractor for the engineering, procurement and construction (EPC) of a two-train, 150 MMscfd natural gas and condensate processing plant in the Caspian region. The contractor hired a subcontractor to provide the design and fabrication of the major gas processing components within the plant. As a result of technical discrepancies over the well stream data, the owner was concerned that the plant design was not adequate to meet the downstream product requirements. The owner also disputed the cost and scope of a change order submitted by the EPC contractor for the addition of an inlet separation facility to separate and stabilize the expected gas field condensate.
Watson Millican & Company Scope
The owner engaged Watson Millican during detailed design phase of the gas processing plant to conduct an independent process design review of the facility as well as provide an independent conceptual design and cost estimate for the addition of an inlet separation facility. Watson Millican consultants reviewed well stream data, plant design drawings (Process Flow Diagrams and Piping & Instrumentation Diagrams), and equipment data sheets to assess expected plant performance against industry standards and required product specifications. Watson Millican provided detailed recommendations to the owner for discussions with the EPC contractor to improve expected plant performance.
Watson Millican also performed process simulations to develop a conceptual design and cost estimate for an inlet gas-condensate separation and stabilization unit that was required. The design and estimate were used by the owner, with the direct assistance of Watson Millican, to evaluate and then negotiate the proposed change order submitted by the contractor. The result was a reduction in the change order cost and the avoidance of potential delays and litigation over the change order.
Project Scope:
Value: US $30 Million
Services: Design; Construction; Chemical and Mechanical Engineering; Natural Gas Processing Plan Operations; Product Quality; EPC Contracts
Sectors: Natural Gas and Condensate Processing, NGLS