PT Caltex Pacific Indonesia

ENGINEERING SERVICES - SPECIFIC PROJECT SPECIFICATION

Scope of Work - Phase 1 Engineering Review Work

PROCESS ENGINEERING REVIEW WORK PACKAGE OF EXISTING CGS 1, 3, 4 and 5
Duri Central Gathering Station Upgrade Program
Duri Operating Unit, PT Caltex Pacific Indonesia, a subsidiary of ChevronTexaco Corporation

1.0 INTRODUCTION

This Specification defines the Company’s basic requirements for the Process Engineering Review
Work Package of Existing CGS 1, 3, 4 and 5 - Duri Central Gathering Station Upgrade Program, as
prepared by the ESA Contractors.

This Specification must be read in conjunction with the Company-produced project-specific

documentation, called Engineering Service Agreement (ESA) Contract.

The objective of this work is to:

1. Verify capacity of equipments (tanks, pump, heat exchangers, Flow Splitter, Gas Boot and etc)
within the Oil Treating portion including its Venting system of the Duri Central Gathering Stations
(CGS) 1, 3, 4 and 5. These facilities were built according to certain design parameters (Original
Design). However, over time, actual conditions have deviated from the original design
assumptions.
2. Ascertain impacts of these changes and potential impact of continued change on tank capacity
and residence time as well as heat exchanger capacity.
3. Obtain Heat and Material Balance for original design and current condition at each CGS.

Process variables that have changed include:

1. Oil API Gravity – decreased
2. Incoming fluid temperature – decreases substantially in rain events
4. Overall oil/water cut – water cut slightly increasing
5. Sand production % - increased
6. Sand fill within the tanks – increased

2.0 COMPANY’S GENERAL REQUIREMENTS

2.1 Format

(i) The package shall be delivered to Company hardcopy, indexed, hard cover bound, in English
and softcopy stored in CD 650 MB, or as further specified in the ESA Contract.

(ii) The overall format and organization shall be submitted for the Company’s review and
approval, before the work proceeds.

2.2 Computer Aided Design and Drawing

(i) The Contractor shall use an-approved CAD-based system to develop the package as specified
in the ESA Contract. The CAD system shall be supplemented by an integrated database containing
equipment attributes and design data intelligently linked to the P&ID graphics.

In the beginning of the services, the Contractor’s shall verify the Key Plan such as Process
Flow Diagram, Piping and Instrumentation Diagrams, Plot Plans and Single Line Diagram in this regard
shall take cognizance any requirement of this specification, and shall be accompanied by detailed
functional software and hardware specifications for, and descriptions of the system he intends to use.
Included shall be symbol conventions proposed for use in the production of all basic design drawings.

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(ii) The Contractor shall prepare to arrange suitable system demonstrations for the Company’s
review and approval.

2.3 Company Responsibilities

The Company’s role, and the Company’s project information input and facilities provided, are
described in ESA Contract.

2.4 Contractor’s Deliverables

(i) The scope of the Contractor’s Deliverables, shall be as listed in Table 1, and shall be subject
to pre-contractual agreement with the Company. The Contractor shall further propose a delivery
schedule for key documentation.

(ii) Any Contractor-proposed modifications and additions to the above-mentioned

documentation requirements shall be highlighted for the Company’s attention.

TABLE 1
Contractor’s Engineering Review Package (Apply for each CGS)
1.0 INTRODUCTION
2.0 COMPANY ORIGINAL PROCESS DESIGN REVIEW
3.0 CURRENT PROCESS CONDITION REVIEW AND THE RECOMMENDATIONS
4.0 PROCESS DESIGN CALCULATION AND SPECIAL STUDIES

Expected outcomes (deliverables) of the engineering review include:

1. Identify the equipments throughput capacity at current conditions at each CGS
2. Understand impact on tank capacity and residence time at each CGS, assuming constant flow,
due to:
a. Changes in Inlet Fluid Temperature
b. Changes in Sand fill
c. Recommendations for improving tank residence time including the installation of baffles.
d. Identify the impact of Baffles if recommended
3. Recommend type of baffles and orientation within the tank(s)
4. Calculate heat duty required to raise temperature by 40oF from 150oF to 190oF in the heat
exchangers at each CGSs.

3.0 GENERAL SECTION

3.1 Basic Engineering Design Data for Site

(i) Unless furnished by the Company, the Contractor shall develop the necessary basic
engineering design basis for all conditions peculiar to the Facility site in question. These shall be
presented in the form of Basic Engineering Design Data Sheets, the format and contents of which
require the Company’s review and approval.

(ii) Data shall include:

 Meteorological conditions
 Civil engineering design basis (covering earthquake potential, soil and subsurface
conditions, etc)
 Site surface design grade level, all as determined by the Soil Survey Programs covered
below
 When available, typical atmospheric corrosion rates for steels at the various operating
temperatures, shall also be included here
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3.2 Introductory Statements

(i) The Contractor’s introductory statement to the Engineering Review Package shall include an
executive summary of the basic design parameters and rationale, and the production and performance
objectives for the overall facility.

(ii) Also included shall be a dissertation on the alternative cases studied by the Contractor, and
the final design assumptions used by the Contractor. Special Studies of substantial relevance shall also
be referenced, and discussed if necessary. A bibliography of key references shall be provided.

3.3 Overall Block Flow Diagram

The Contractor shall produce an overall Block Flow Diagram for each CGS, the primary function
of which is to schematically show process units’ functionality, and interconnections with key off-plot
facilities. Similar drawings shall be prepared for utilities and services.

3.4 Overall Balances

(i) Based on information developed for individual process units and other producing and
consuming facilities, the Contractor shall complete overall balances. As a minimum, balances
summarized shall be:
 Overall mass balances, under selected operating modes.
 Solid wastes.
 Any other materials, as required by the process.

(ii) In addition, balances shall also be provided for the maximum case in which the peak demand will
occur, or any other critical or peculiar design case. Where appropriate, e.g. for crude oil, the overall
material management and priorities of supply shall be described, and reflected in the facility design.

4.0 PROCESS UNITS SECTION

The Process Engineering Review package of each CGS shall include the following elements, where
applicable to the specified process.

4.1 Introduction

Introductory and summarizing statements, as described in §3.2.

4.2 Process Description

(i) This shall be a narrative, which traces the principal streams of each unit, through the Flow
Diagram, describing and defining the process scheme, during normal operations, startup, shutdown,
specific emergency conditions which have an impact on design decisions, and alternative operations.
Special design features of each process shall also be highlighted.

(ii) In addition, the following subjects, at minimum, shall also be described in sufficient detail to
give a clear understanding of the process, its limitations and its flexibility:
 Chemical changes and changes in state; internal arrangement of columns and vessels
 Surge volume considerations
 Intentional hydraulic overcapacity
 Liquid residence times
 Battery limit conditions

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 Hazards peculiar to the process, including those hazards associated with equipment entry for
inspection and repair

4.3 Flow Diagrams

Process Flow and Control Diagrams, complete with heat and material balances, shall be produced
for each design case. All physical data will be in Company-specified or approved units of
measurement.

4.3.1 Graphic Content

Flow diagrams shall show the following as a minimum:

 Principal process equipment, marked with equipment numbers, service, operating temperature
and pressures and with process duty where applicable.
 Main process streams and lines essential for understanding the material balance around each
piece of equipment. All such lines to be designated by stream numbers. Bold lines should be used
sparingly, indicating the path of the main process flow.
 The destination of byproduct streams and waste streams.
 Chemical, liquid catalyst and additive systems, where used for process reasons.
 Primary means of control
 Heat duties for exchangers and heaters.
 Heat and material balance, and pressure profile.
 Motive equipment suction and discharge conditions with estimated driver power ratings

4.3.2 Tabular Data Content

In a tabulation at the bottom of each flow sheet, the information below shall be shown for each
numbered stream.

 Physical phase of the stream

 Stream volume rate at flow and standard conditions
 Mass flow rate
 Density at standard conditions, or API gravity where appropriate
 Complete tabulations must be provided for each design case.
 Data which may be presented elsewhere will be included here

4.4 Hydraulic Sizing Calculations

Hydraulic sizing calculations for all process fluid circuits shall be documented.

4.5 Piping and Instrumentation Diagrams

(i) P&IDs shall consist of a complete issue of such diagrams produced generally in accordance
with and as specifically required by Process Engineering Review Work Package. As a minimum,
however, preliminary line sizes and piping specification allocations shall be included.

(ii) P&IDs shall be subject to examination as part of the overall facility HAZOP reviews, as
specified or agreed by the Company. Similarly, P&IDs shall also be subject to examination as part of the
Environmental Impact Assessment, and the requirements Pollution Source Control and Waste Reduction.

(iii) The Contractor shall ensure that specifications for detail design also incorporate:
 the need for sufficient instrumentation/test connections for performance testing of equipment,
 sufficient piping, valves and flanges for safe startup and shutdown of process units segments of
utility systems, offsite and receiving/shipping systems,
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 sufficient primary instrumentation for total data reconciliation and Advanced Control and Facility
Information systems.

5.0 SCHEDULE AND COST

5.1 Schedule

1. Contractor to provide expected time line for work with proposal. We will consider the schedule in
our evaluation and selection of the Contractor.
2. Work should be complete by no later than 15-Oct-02

5.2 Cost

1. Per the terms of the Engineering Service Agreement, Contractor shall submit a reimbursable price
for the work described herein with a “not to exceed” limit for the overall total of the work. In
addition to the unit rate price, Contractor shall submit a total estimate for completing all the
deliverables described above. We will consider the cost in our evaluation and selection of the
Contractor. We will evaluate Contractor performance based on overall capability to meet or beat
this estimate.
2. Costs should be identified on a “per CGS” basis.
3. Contractor shall also submit a unit rate for any additional work that may be necessary that is not
included herein.

6.0 SELECTION CRITERIA

For this specific project, addition to ESA contract requirements, please add some requirements
that need to be submitted by contractors in their bid proposal as follow:
1. Service Execution Plan (SEP). Contractor shall submit the SEP to company, including but not
limited to project organization, project schedule, detail description of service activities, based on
scope of work given by Company, and Curriculum Vitae (CV) of proposed Contractor project
team.
2. Detail information for Key Personnel. These services call Senior Process Engineers as one of
Key Personnel. Contractor shall submit the detail CV, list of experiences including his role and
responsibility, and any related information.
Failure to complete the requirement in its entirety will result in DISQUALIFICATION of applicant.

Selection criteria for this bid are as follow:

1. Work history - Quality of work done for IBU-CT (Indonesia Business Unit-ChevronTexaco) & Other
Company
2. Project completion date – Time completion is critical for this project
3. Proposal response - Quality of proposal and whether or not they provided the requested
information
4. Resources available – Competency of proposed resources
5. Total Cost as per the submitted Scope of Work – As per ESA Contract

End of Specific project Specification

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