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OIL AND GAS PROJECT GAS COMPRESSOR PLANT PROJECT

GAS COMPRESSOR PLANT PROJECT OIL AND … CASE STUDY | GAS COMPRESSOR PLANT PROJECT Project Data Name: Gas Compressor Plant Project Shipping Period: Oct. 2015 to Apr. 2016 Volume: 627

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Page 1: GAS COMPRESSOR PLANT PROJECT OIL AND … CASE STUDY | GAS COMPRESSOR PLANT PROJECT Project Data Name: Gas Compressor Plant Project Shipping Period: Oct. 2015 to Apr. 2016 Volume: 627

OIL AND GAS PROJECTGAS COMPRESSOR PLANT PROJECT

Page 2: GAS COMPRESSOR PLANT PROJECT OIL AND … CASE STUDY | GAS COMPRESSOR PLANT PROJECT Project Data Name: Gas Compressor Plant Project Shipping Period: Oct. 2015 to Apr. 2016 Volume: 627

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CASE STUDY | GAS COMPRESSOR PLANT PROJECT

Project Data

Name: Gas Compressor Plant ProjectShipping Period: Oct. 2015 to Apr. 2016Volume: 627 pieces/1837 tons/9928 cbFreight Highlights: Max. heavy lift 67 tonsClient: Odebrecht E&P GmbH

The Location

The gas compressor modules that deugro transported were destined for the Peruvian jungle in an extremely remote area. The location, a gas compression plant, is part of an infrastructure project in the south of Peru to reinforce the natural gas and liquids transportation system. The gas pipeline will be built starting from the gas compression plant and will stretch over the Andes Mountains to end by the southern coast of the country. The route traverses mountains with up to nearly 5,000 meters of altitude and tunnels

through rivers, as well as protected areas, primarily in the tropical zone.

This route entails various geographical challenges and restrictions, due to varied climates, ranging from hot and humid with heavy rainfall in the lower jungle to the portion closest to the moun-tain chain where temperatures fall below 0°C and vast sections of ice form in the winter season. Finally, reaching the coast, the climate turns hot, dry, and desert-like.

Opportunities for the Region

The energy project Gasoducto Sur Peruano (GSP) is one of the most ambitious projects in the history of Peru and will deliver great benefits to the region. It will have a positive economic impact, mainly in the region called Macror, in the south. According to forecasts, the project will increase Peru‘s GDP by about 0.7% annually.

• Energy for the South of Peru The GSP project will ensure that the regions of Cuzco, Apurímac, Puno, Arequipa, Moquegua, and Tacna will reap economic benefits from

the fuel in an environmentally friendly way. The lower-priced fuel will stimulate growth in the region, as it helps industry to bring down production costs.

• Job Opportunities During the construction phase, more than 7,000 direct jobs and 25,000 indirect jobs were created related to the project. GSP, the lead company, and its subcontractors are committed to giving workers from the region preference when it comes to hiring.

The gas compression plant in a remote area of the Peruvian jungle.

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PROJECT EXECUTION AND DEUGRO‘S SCOPE OF WORKIn October 2015, deugro Peru SAC was selected by Odebrecht E&P GmbH to transport the gas compressor modules supplied by GE Nuovo Pignone, Italy at the Port of Vibo, with a subsequent call in Marina di Carrara. The delivery point was the final job site in the remote Peruvian jungle, accessible only by river during an approximately f i v e - m o n t h - l o n g window.

At first glance, the cargo details may not look overly challenging, since the heaviest unit did not weigh more than 67 tons; however, we have to take a closer look.

As if there were not already enough restrictions on reaching Iquitos as a transshipment port in regular conditions due to water levels, this season, El Niño made the time window for arrival even more narrow by further limiting the

The Challenges

• Extremely remote area in the jungle• Restrictions due to climate (El Niño, tropical

rainfalls)• Fluctuating water levels within a single day,

up to 1.6 meters• Delicate offloading operation in the midstream

Amazon River• Adequate barges available

“En route, the barges en-countered difficult water conditions, as a huge amount of debris was carried down- stream with the river after heavy tropical rainfall.”

water levels. A contingency plan was worked out to potentially discharge the barges in Manaus, instead of Iquitos, if necessary. Luckily, however, the carrying vessel Happy Diamond reached Iquitos after sailing upstream cautiously for eight

days without prob-lems. It was only when sailing off after completing the dis- charge in Iquitos that the vessel got stuck for several days on the river.

The delicate offload- ing operation took place midstream on the Amazon River. Nine barges, each with a capacity of up to 2,500 tons, were ready to receive the cargo upon arrival of the sea vessel. deugro‘s in-house transport engineering experts were on hand throughout the process to ensure smooth opera-tions and maximum cargo intake on the barges, all while adhering to the supplier‘s stowing restric-tions. The Transport Engineering Division, together

Lifting one of the main compressor units out of the vessel. Positioning onto custom-made beams on a barge. Offloading accessories from the vessel onto a barge.

Offloading operation midstream on the Amazon River.

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El Niño

El Niño is a climate anomaly. It refers to the respective warming and cooling of surface waters over the central and eastern equatorial Pacific Ocean, which affects atmospheric circulation world-wide. El Niño usually peaks around Christmas, hence the name of the phenomenon (Spanish for “the little boy” or “the Christ Child”). It recurs every few years, lasting around 12 months.

El Niño can cause various natural disasters in the Pacific area, in such places as Peru, California, Bolivia, Ecuador, Paraguay, and the south of Brazil, with heavy rainfall and cata- strophic flooding. On the other side, it can cause severe droughts in the north of Brazil, parts of Africa, and Southeast Asia.

“deugro successfully delivered the cargo to the site within the contractual timeframe.”

with a locally-contracted Port Captain, coordi- nated and supervised the entire discharge day and night until all 624 pieces were stowed safely on the barges. The vessel only stopped unloading once in three and a half days, for three hours due to heavy rain.

Upon completion of the discharge into nine barges, each sailing with a draft of less than 1.2 meters in fully laden conditions, the barges sailed further up the Ucayali and Urubamba Rivers for another 15 days to finally reach the job site. En route, the barges encoun- tered difficult water conditions, as a huge amount of debris was carried downstream with the river after heavy tropical rainfall.

One of the biggest challenges we faced was the quality of barges available in this remote area. When we compared the construction plans

Mode of Transport Description of Transport Leg Distance Days

Ocean transport Vibo/Marina de Carrara – Macapá(Amazon river mouth)

7,820 km 15

River transport by ocean vessel Macapá – Iquitos 3,300 km 8

River transport by barge Iquitos – Site ramp (Ticumpinia) 1,890 km 15

provided with the real barges, we found that the actual structure of the barges did not match the drawings submitted by their owners. This situation required intense naval engineering works to attain the actual barge conditions reflected

in the drawings, and proceed with the barge-related calcu-lations required by the client’s under- writers.

The client was responsible for preparing the ramp, a rather demanding task, considering that the water levels varied within a single day by up to 1.6 meters as a result of the unpredictable tropical rainfall.

deugro successfully delivered the cargo to the site within the contractual timeframe to the full satisfaction of the client.

A bulldozer provides support for a steep climb with the cargo.

Preparing equipment for the roll-off operation.

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SIDE STORY: A STRANDED BARGEAfter the first convoy, consisting of three barges carrying the high-value compressor main units, as well as the modular trailer, two pulling units, and accessories, departed from a planned security stop at Pucallpa on the Ucayali River, the first barge faced heavy amounts of debris floating down the river. The barge had to seek shelter on the side of the river while the water level went down. This happened so fast that the barge got stuck on a sand bank and the debris restricted any further maneuvering. As part of the contingency plan, rescue barges with heavy machinery prepared to sail towards the barge to assist with dredging and liberating the barge from the debris. The location on the barge was in an extremely remote area with no communication

access. deugro‘s Transport Engineering Division representatives were sent to the site together with the project‘s HSES representative. In order to get here, both had to fly to Pucallpa, chartering a Cessna flight to the closest village, Bolognesi. To finally reach the barge, they hired a motor canoe, sailing for two hours to get there. Luckily, heavy rains had come down two days before in the upstream area, so the crew was able to free the barge safely without external help and continue the voyage. As the rains continued, deugro representatives had to wait in Bolognesi, which had only one “hotel“. Both colleagues were glad when the conditions finally cleared up and they were able to leave the remote village and return on a scenic Cessna flight over the

Peruvian jungle area.

However, the project faced more than just climate- related challenges. For about five days, it was not possible to sail on the Ucayali River due to an organized strike. The people in the area were demanding that the government be more involved and attentive. The commercial barges were at risk of attacks by thieves or pirates. In response, deugro anchored the subcontracted barges at a safe distance along the sheltering riverbanks until safe voyage could be guaranteed. The delivery timeframe was not affected, as the first barges had already passed the strike area and had started un- loading at the job site jetty.

Arrival to site. A self-propelled barge with one set of main units and eight-axle modular and pulling units.

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Contact:

deugro Peru SACCalle Dos de Mayo 534 | Of. 503Miraflores, Lima | Peru

Phone: +51 12219386 | E-mail: [email protected]

Visit: deugro.com /deugro