Saudi Aramco Engineering Standards

International Standards Workshop for the Global Oil & Gas Industry Doha April 3-4, 2006

Saudi Aramco Engineering StandardsNabil A. Al-Nuaim, Coordinator AlSaudi Aramco Engineering Standards

Saudi Aramco Engineering Standards

Present standards administration Structure Share standards strategies

Saudi Aramco Engineering Standards

Standards Documents & Statistics Standards Review Cycle Standards Administration Structure Standards Strategies

Saudi Aramco Engineering Standards The standards documents incorporate . . . . . . . .

50 yrs+ of documented knowledge and experience(Based on industry Standards: Clarifications, Additions or Exceptions)

1021

600

617

603

01-Mandatory Docs (MSAERs) 2-None Mandatory Docs 3-Engineering Forms

Saudi Aramco Engineering Standards 1-Mandatory Documents . . . . . . . . . .

(1021 Documents, 34 disciplines)Standards Management & Procedures

(SAEPs) 12% 25% 36%

Design and Construction

(SAESs) 27%

(SAMSSs)Materials or Equipment Procurement

(SASDs)Standard Installation Drawings

Saudi Aramco Engineering Standards 2-Non-Mandatory Documents . . . . . . . . . .

(617 Documents)Typical Installation Drawings for repeated use Design, Equipment O&M and Testing

(Library Drawings)22%

(Best Practices)2%

76%

(Engineering Encyclopedia)Standards Supporting Docs & Course Materials

Saudi Aramco Engineering Standards 3-Engineering Forms . . . . . . . . . .

(603 Documents)Manufacturer Drawings and Cataloging of Spare Parts Site Performance Evaluation Confidential Bid Equalization

Non-Material Requirements (NMRs or 7900)7%

Pre-Commissioning2%

Life Cycle Cost (LCCs)

13%

46% 32%

Spec and Data Sheets Inspection Requirements (175 forms)Inspection and Testing Data, Operating Limits & Equipment data

Saudi Aramco Engineering Standards

Standards Documents & Statistics Standards Review Cycle Standards Administration Structure Standards Strategies

Saudi Aramco Engineering Standards Standards Review Cycle . . . . . . . . . .Alignment with Industry/International Standards Continuous Revisions: (Minor, Major or Editorial)

Time-based (3-5) years Planned major revisions Value Engineering studies

Event-based Capital Program Waivers Feedback from users

Time-based - annual

Standards evaluation survey Standards Quality Index

Saudi Aramco Engineering Standards

Standards Documents & Statistics Standards Review Cycle Standards Administration Structure Standards Strategies

Saudi Aramco Engineering Standards Administration Structure . . . . . . . . . .

BOE Responsibilities: Guidance on technicalissues

Board Of Engineers (BOE)Chairman Chief Engineer

28 membersStandards Coordination (BOE Secretary)

Administration ofstandards processes

Systems: SAP e-Standards Systemfor BOE approvals of new & revisions of standards

Responsible Organizations

Procedures:SAEP-110, 119, 125, 134, 301, 302

(15)Standards Committees

SAP e-Waiver System forwaiving requirements

SAP e-RVL for managingmanufacturers approved list

(34)

Web-based e-SMS formanaging standards database and activities

Committee Members(359)

Saudi Aramco Engineering Standards 34 Technical Committees . . . . . . . . . .Paints & Coatings 4-Rotating Equipment HVAC Onshore Structure

Valves Vessels Civil Piping Welding Cathodic ProtectionInstrumentation

Offshore Structure Co-generation Heat Transfer 4-Electrical Materials & Corrosion Pluming & Utilities Other Organizations Loss PreventionNon-destructive Testing

Flare System Design Custody MeasurementTrays & Packing Process Design Communication High IntegrityEnvironmental Protective Sys.

Security Process Control

Saudi Aramco Engineering Standards

Standards Documents & Statistics Standards Review Cycle Standards Administration Structure Standards Strategies

Saudi Aramco Engineering Standards

TARGETStrategy 1 Strategy 2 Strategy 3

Participate in National / International Standards Committees

Promote Internal & External Awareness

Transform standards into Knowledge Sharing hub

Industrial cost-effective engineering measures to build and operate reliable and safe facilities

Plans to increase company engineers participation in international standards working committees: Continuous awareness of international standards changes Incorporate our own special requirements 12 engineers are voting members in industry standards working committees

Saudi Aramco Engineering Standards

ObjectiveStrategy 1 Strategy 2 Strategy 3

Participate in National / International Standards Committees

Promote Internal & External Awareness

Transform standards into Knowledge Sharing hub

Industrial cost-effective engineering measures to build and operate reliable and safe facilities

Base engineering courses on standards to promote internal awareness 75% Invite suppliers, engineering firms, operating facilities in Value Engineering sessions to promote external awareness 10 VE sessions completed Improve wrong perceptions and promote understanding

Saudi Aramco Engineering Standards

ObjectiveStrategy 1 Strategy 2 Strategy 3

Participate in National / International Standards Committees

Promote Internal & External Awareness

Transform standards into Knowledge Sharing hub

Industrial cost-effective engineering measures to build and operate reliable and safe facilities

Capture engineering knowledge and lessons learned through integration of business processes Develop IT web application to encourage participation of engineers in the standards development process web based e-SMS

Saudi Aramco Engineering Standards

Standards Documents & Statistics Standards Review Cycle Standards Administration Structure Standards Strategies

Saudi Aramco Engineering Standards Standards Review/Development process is expensive Standards Revisions350 300 250 200 150 100 50 0 2002 2003 2004 2005

New Mandatory Standards Developed

357 289

370 318

35 30 25 20 15 10 5 0 2002 2003 2004 2005

19 10 12

15

Lots of engineering man-hours is involved, very expensive process In the long-term, more feasible to participate in international standardization organizations and adopt international standards

Saudi Aramco Engineering Standards

1000+ mandatory documents in 34 specialized fields Based on industry practices (50+ years of experience) Standards exist to ensure building & operating cost effective, reliable and safe facilities 3 strategies to manage the corporate standards Saudi Aramco is committed to: increase its participation in international standards committees; more feasible Transform standards into KS hub as a mechanism to manage resources

Saudi Aramco Engineering Standards

THANK YOU

Saudi Aramco Engineering Standards

Membership Mahmoud Naffa, API 579 Fitness for Service (Vessels) Chuck Baldwin, ASCE & PIP (Onshore Structures) Adnan Awwami, Pipeline Research International Council (Welding) Steve Khouie, API RP 520, 521 & 537 (HIPPS) Scott Miller, API & ASNT (Non-Destructive Testing) Hussain Al-Qahtani, API (Custody Measurement) Thani S. Al-Anazi, IEC (Electrical) Environmental Eng., WEF (Environmental) Environmental Eng., AIHA (Environmental) Environmental Eng., NGWA (Environmental) Environmental Eng., AGSE (Environmental) Environmental Eng., AAPG (Environmental)API: American Petroleum Institute, WEF: Water Environmental Federation AIHA: National Ground Water Association, NGWA: Association of Groundwater Scientists and Engineers AGSE: Association of Groundwater Scientists and Engineers, IEC: International Electrical Commission AAPG: American Association of Professional Geologists

Saudi Aramco Engineering Standards

New web-based Standards Management System (e-SMS)

Allow users to access standards & SME per discipline

Allow users (PM, operations, etc.) to input feedback on standards

Facilitate access to industry standards and historical documents

Engineering Standards

Track technology implementation into standards Administer BOE and committees meetings & actions items

Generate Standards Administration Reports & Notifications

Saudi Aramco Engineering Standards

Technical Societies1. American Society of Mechanical Engineers 2. Institute of Electrical & Electronics Engineers 3. Society of Petroleum Engineers 4. American Chemical Society 5. Project Management Institute 6. American Welding Society 7. American Institute of Chemical Engineer 8. Energy Frontiers International 9. American Society of Heating Refrigerating and Air conditioning Engineers 10. Air and West Management Association 11. Arabian Supply & Resource Management Society 12. The American Society for Non-Destructive Testing 13. National Association of Corrosion Engineers 14. Arabian Society of Human Resource Management 15. American Society of Civil Engineers 16. Vibration Institute 17. Saudi Arabain Quality Council 18. Association for Advancement of Cost Engineers 19. American Society of Industrial Security 20. Gas Processors Association 21. Instrumentation, Systems & Automation Society 22. Dhahran Geoscience Society 23. Society of American Value Engineers 24. American Society of Safety Engineers

Saudi Aramco Engineering Standards

SAP e-Standard SystemNEW / MAJOR MINOR EDITORIAL CANCEL

STANDARDS COMMITTEE BOE Comments

STANDARDS COORDINATION

BOE members (review)

No

Is it reviewed by BOE?

YesIs it New/ major

Yes NoComments resolved

NoIs it Editorial

Yes

STANDARDS COORDINATION

Yes

No BOE for approval

Saudi Aramco Engineering Standards

SAP e-Waiver SystemWaiver Originator Proponent Responsible Dept. ReviewerWaiver Required

Waiver Returned Unapproved No

Approved Waiver

Yes

Inspection Dept. Responsible Dept. For Approval

Saudi Aramco Engineering Standards

SAP RVL Approval WorkflowRequest to: - Add/remove manufacturer from RVL. -One-time use of a manufacturer

Originator to initiate e-RVL SAP request SCC discusses request with SC members to evaluate the justification NO Deny Request

Justification Acceptable

NOT ACCEPTABLE NOT ACCEPTABLE

SCC to initiate review process Technical Review by RSA

NOT ACCEPTABLE NOT ACCEPTABLE NO

Commercial Review by PD Review and plant survey by VID (ID) as needed Responsible Department Manager (RDM) approval One time use is granted, or SCC updates RVL SAP Database is updated