Offshore Oil and Gas Facilities

Predicting revenue stream using complex logistics

to meet cost and schedule

The Agbami and Greater Plutonio FPSOs are two examples

among many that showcase KBRs project execution from
the shallow water of the Niger Delta to the deep waters of
West Africa and Brazil.

Offshore Oil and Gas Facilities

Predicting and Maintaining Revenue Stream

Offshore and subsea projects are complex. Risk can occur at anytime, anywhere from
politics to public relations to procurement and construction. External market factors can
cause capital expenditures and operating costs to escalate without warning. These threats
raise questions:
Is the project timeline realistic and feasible to predict revenue streams?
How will you confidently balance logistics, safety and sustainability?
Which issues are likely to become challenges to project success?
Many companies recognize the issues that create risk. Few anticipate and avert them. KBR
has over 70 years experience designing, building and managing a broad array of technically
complex offshore projects around the world. This means that our clients can come to one
place for the services they require to make their offshore project a success. From wellhead
to downstream facilities, KBR provides expertise for subsea and pipelines, FPSOs, fixed
platforms, topsides and semisubmersibles.

Overcoming an Array of Challenges in Deepwater

As drillers announce some of the biggest discoveries in recent years in depths approaching
10,000 feet, KBR is creating solutions that overcome the logistical, technological and
environmental challenges of ultra-deepwater and remote frontier regions. To support these
discoveries, our engineers and project managers have access to high-performance software
and information technology services, an extensive library of data and lessons learned
from previous projects. Solving your deepwater challenges takes an expert with global
experience in deepwater facilities selection, floating systems, risers and pipelines and
subsea systems.

FEASIBILITY
CONCEPTUAL
DESIGN

FRONT END
ENGINEERING
AND DESIGN

Early
involvement
allows us
to identify
potential cost
savings during
the concept
select phase

Refining
conceptual
solutions
during the
definition stage
helps ensure
maximum value

PROGRAM/
PROJECT
MANAGEMENT
Engineering,
procurement
and
construction
management,
together with
risk assessment
and project
management

DETAILED
DESIGN
Fit-for-purpose
designs, with
full optimization
including
materials
engineering and
procurement
support

PROCUREMENT,
LOGISTICS
AND SUPPORT
ENGINEERING
Cost effective
solutions that
optimize both
CAPEX and
OPEX and
deliver projects
to schedule

CONSTRUCTION
MANAGEMENT
Develop
and manage
construction
execution
programs to
ensure the
lowest project
costs with the
least risk

Our services include project management (PM), engineering, procurement and construction management (EPCm) plus segmented
services, such as front end engineering and design (FEED), detailed EPCm and overall technology systems integration.

Designing more than 35 percent of the worlds offshore

production capacity, KBRs experience and expertise
comprise upstream projects ranging from fixed structures
and floating production facilities to subsea developments,
semisubmersibles, umbilicals, risers, pipelines and flowlines.

Offshore Oil and Gas Facilities

Managing Projects Globally

Deploying tools, systems and procedures globally combined with our advanced project
management software allows for borderless work sharing and increases the success of your
project. Ensuring that standards and project requirements are aligned with your vision, our
experts communicate and monitor progress using business execution tools such as IPMS,
project portals, 3D conceptual engineering, project dashboards, geographic information
systems and object engineering. Extensive experience implementing innovative design and
execution tools prompted BP to enlist KBR to design the Greater Plutonio development of
Block 18 located in deepwater offshore Angola.

Maintaining Cost and Schedule

Risking a massive offshore project by
contracting with an inexperienced EPC
company could cost your reputation. The
fact is that the criteria affecting your ability
to achieve monthly objectives depends on
getting systems and a strong EPC team
aligned with your vision and focused on
your goals. Assembling the right team to
meet your production targets and local
requirements is an area where KBR excels.
Proactively trending construction materials
and equipment occurs early in our projects

and continues during design through

procurement, shipping and installation
with our proprietary Integrated Project
Management System (IPMS). Thats
the reason Shell EA turned to KBR for
engineering, procurement, integration
and construction (EPIC) when needing to
ensure their new-build FPSO in Nigeria
stayed on track. The project team delivered
the FPSO topsides and mooring system
one month ahead of schedule, including
receipt of first oil.
As the search for hydrocarbons heads into
depths approaching 10,000 feet, KBR develops
solutions from concept to project delivery that
help integrated and national oil companies
drive down development costs and reduce
cycle times.

The Malampaya topside facility was installed ahead of schedule

with an installation weight of 11,500 tonnes, making it, at time of
installation, the largest integrated deck in Asia Pacific and the
largest in the world using the float over method. This method,
pioneered by KBR, allows a complete integrated deck to be
installed as one unit thereby maximizing the fabrication and
testing work that can be completed onshore.

Averting risk during concept, feasibility,

front-end engineering and design
(FEED), detailed design, construction
and commissioning is an area in which
we are well equipped. One area critical
to the successful execution of offshore
platforms, especially compliant and floating
facilities in deep water, is accurate weight
management and control. Miscalculations
made in the design process can result
in costly changes during fabrication
and installation.To ensure calculations
remained on target, Cabinda Gulf Oil

Offshore Oil and Gas Facilities

Managing Execution Risks

Company turned to KBR for their TombuaLandana project. To manage the weight on
this projects sensitive compliant piled tower
(CPT) facility located offshore Angola, while
preventing pricey rework, KBR engineers
used an extensive in-house historical
weight database to benchmark the design.
They then worked jointly with the client
to implement value-improving practices
that included fine-tuning the numbers and
sizes of major equipment items and the
corresponding deck area needed to satisfy
the specific project requirements.

Making Safety First

Creating an organizational climate that
practices safe behavior, rewards safety
performance, records lost time incidents
(LTI) and minimizes environmental and
social impact is a differentiator when
choosing an EPC contractor. Each year
our commitment to health, safety and the
environment is evident as we implement
proven standards and processes, hold
ISO 9001, ISO 14001 and OHSAS 18001
certifications, and continue our worldclass record of training. Achieving project
success means continuously improving

safety records and removing health

and environmental hazards that could
stall production. Having one of the best
safety records in the industry, and a solid
reputation of managing resources well
explains why Shell Malampaya chose KBR
for the FEED and EPIC of their concrete
gravity structure and topsides located
in the Philippines. Using the floatover
method pioneered by KBR, one of the many
achievements on this project included
seven million hours worked without a lost
time incident.
An integral part our success at KBR can be attributed to
our continual commitment to safety, evident in achieving
one of the best safety records in the industry.

The BP Atlantis semisubmersible platform in the deepwater

Gulf of Mexico is one of the deepest moored floating oil and
gas production facilities in the world.

Offshore Oil and Gas Facilities

Proposals Built on Proven Expertise

Loss of production from just one missed project milestone easily outweighs the perceived
savings promised by a low-bid contractor. Bids from KBR are competitive, so when you
evaluate and weigh our quality personnel, expertise, training, logistics, execution and
exceptionally high safety record, there is really no comparison. With KBR, there are no
surprises. This is why Offshore Energy Association rated our detailed engineering and
design of Benguela-Belize Block 14 Topsides as the Project of the Year after receiving a 4.7
client rating out of 5.0.

GVA Turnkey Support for Marine and Offshore Design

With experience from over 100 projects in
more than 20 countries, GVA is a worldleading marine and offshore design
company for semi-submersibles and
other floating units. GVA is a subsidiary of
KBR, but operates as a fully independent
company, providing customers with highly
skilled and specialized design services. With
more than 100 engineers deployed within
conceptual design, naval architecture,
structural design, marine and drilling
systems, we provide high-value design
solutions to each and every project.

GVA products and services allow us to

support our customers with turnkey support
from the earliest stages, throughout the
projects duration and during operation or
even later when upgrade or conversion work
is required. We are accustomed to following
our designs through all phases and have
considerable experience in major vessel
conversion projects where semi-submersibles
or FPSOs have been successfully delivered.
Our reputation has been built upon our ability
to provide cost-efficient, state-of-the-art, safe
and environmentally sound design solutions.

Balancing logistics, reducing emissions and focusing

on sustainability is how we operate on a daily basis
High Value Services with Granherne Consulting
Besides providing EPCm services, KBR offers consulting
services to the oil and gas industry through its Granherne
business unit. Operating as a fully independent company
with offices in the UK, Perth, Houston and Moscow,
Granherne provides high-value consulting solutions
in development planning, project assurance and asset
optimization. With experience on over 3,000 projects in
more than 20 countries, Granherne is the foremost frontend engineering consultancy for onshore, offshore and
deepwater oil and gas development.
KBRs consulting subsidiary, Granherne is a
leading front-end engineering consultancy for
onshore, offshore and deepwater oil and gas
developments. Granherne has provided services for more than 100 subsea developments,
including step out expansions, marginal fields
and major subsea projects.

Agbamis topsides generate 70 megawatts, weigh over

34,000 metric tons and the design was executed and
completed under budget and on schedule.

10

Offshore Oil and Gas Facilities

Besides earning an impressive list of firsts in

design and installation of fixed offshore platforms,
KBR has experience with many of the largest
FPSOs in the world
Largest FPSO in the World: Agbami
Confidence in engineering and execution abilities led Star Deep Water Petroleum Limited,
a Chevron affiliate, to enlist KBR when needing topsides for the worlds largest FPSO,
Agbami, located offshore Nigeria. The Agbami field ranks among the largest single finds in
deepwater West Africa and is one of the worlds ten largest discoveries of the past decade.
Using Stage Methodology and other tools to manage the project, KBR engineers designed
13 topside modules containing the FPSOs main process and utility systems. The project
team designed Agbami to deliver 250,000 barrels of oil per day (bopd), 450 million square
cubic feet of gas (scfg) and 450,000 barrels of water per day (bowd). With a storage capacity
of roughly 2.2 million barrels of oil, the operator moored the vessel in a water depth of
about 4,800 feet offshore Nigeria.

Deepwater Project Execution: Greater Plutonio

Located in deepwater offshore Angola, the
Greater Plutonio development at Block 18 is
another FPSO that BP chose KBR to execute.
Initially, the project team performed the
FEED for all technical aspects of the offshore
development including subsea production
systems, umbilicals, risers and flowlines and
hull and topside. Next, the team delivered
the detailed design and procurement of the
topside facilities. The Greater Plutonio FPSO
acts as a production hub for 24 subsea
wells located over the field and carries
over 24,000tonnes of topside facilities
which process over 220,000barrels/day of
oil and operates in water depths of over
1000m. Many expect the FPSO to bring
considerable long-term oil tax revenues

to Angola as well as significant

employment opportunities to local
technicians and engineers. BP announced
the beginning of production of Greater
Plutonio on October 1, 2007.

Implementing innovative design execution tools such

as object engineering, stage build approach and PDMS,
enabled KBR to support rigorous project management and
engineering schedules.

11

Designing, building and managing every type of onshore oil

and gas development project in any environment has enabled
KBR to deliver complex logistics and resolve risks that impede
revenue streams.

12

Offshore Oil and Gas Facilities

Managing Environmentally Sensitive Projects: Kashagan

When Agip KCO needed a major EPC company to provide project management services
for the first (experimental) phase and conceptual design for phases 2 and 3, they turned to
KBR. The project is in very shallow and environmentally sensitive water that is icebound in
winter. Project activities needed to develop this very sour gas field require over 20 major
contractors working in various locations around the globe. Global information management
systems have been developed and deployed to provide consistency in standards, plans,
processes and procedures. Throughout the project, KBR teams verify that contractors
comply with project procedures and requirements.

Achieving a String of Firsts with Terra Nova

When Petro-Canada needed EPC and expert
logistics to build an ice-strengthened FPSO
in offshore Canada they turned to KBR.
Terra Nova was the most extensive project
scope undertaken by a single alliance in the
industry at the time. The project team was
responsible for project management and
design of the topsides uses a subsea system
tieback to an FPSO. Terra Nova operates in
approximately 100 meters of water in Grand
Banks of Newfoundland in one of the harshest
environments in the world. The project
achieved a string of achievements including
the first FPSO to operate on the Grand Banks;
ice-strengthened to withstand a 100,000 ton
iceberg and a large diameter quick connect/
disconnect turret and riser system.

As one the largest discoveries in the past 30 years, analysts

expect the Kashagan development to produce more than 30
billion barrels of oil over its lifespan.

Managing Execution Risks with Tombua Landana

ChevronTexaco and Cabinda Gulf
Oil Company enlisted KBR when
needing FEED, engineering and project
management for their topsides production
facility located in Angola, West Africa. The
project scope challenged KBR engineers
to design a compliant piled tower (CPT)
substructure and risers for the pipeline
and subsea drilling center flowlines,

situated in 1200 feet of water. Because

of benchmarking and diligent weight
monitoring, KBR engineers kept the total
topsides operating weight within +/- 5%
of the FEED weight throughout the design
process. This resulted in a final weight
and center of gravity within the targets
established by the project, satisfying the
sensitive design constraints for the CPT.

13

By providing a full complement of engineering, procurement, construction

and commissioning/start-up (EPC-CS) services, we continue to develop
innovative technologies and project execution methods, enabling us to
deliver facilities in some of the most challenging environments on earth.

14

Offshore Oil and Gas Facilities

Largest Float-Over Installation in South East Asia

Thailands PTT Exploration & Production PLC (PTTEP) relied on KBRs experienced team
members when they needed the FEED, bid package preparation, engineering and project
management for Arthit A and B in Thailand. Out of a team of nearly 150 personnel who
worked on these projects in engineering and procurement services, nearly 95 percent had
an average of 15 years experience in offshore facility design. Lead designers and engineers
as well as the project director and engineers had an average of 20 years of offshore
design experience. Facilities in Arthit A include a central processing platform (CPP), LQ
platform, flare platform, bridges and pipelines. The facilities can process 363 million scfd
of gas, 22,950 bopd of condensate and 26,400 bopd of produced water. Arthit B consists
of six wellhead platforms (5 remote). Throughput is 120 million scfd of gas, 5,000 bopd of
condensate and 4,800 bopd of produced water.

Logistically Complex and Massive: ACG

Few offshore projects match the scale and
complexity of the Azeri-Chirag-Gunashli
(ACG) fields in the Azerbaijan sector of the
Caspian Sea. The program, led by BP in the
AIOC operating consortium, started in 1997,
targeting estimated recoverable reserves of
5.8 billion barrels of oil, and is being executed
in three overlapping phases. At peak the
three fields will deliver one million barrels
of oil per day through the new $3.4 billion,
1768km-long Baku-Tbilisi-Ceyhan export

pipeline to world markets. To manage the

complex schedule of the massive phased
development project, KBR evolved a tightly
coordinated production line approach for
the six platforms. By coordinating the design,
fabrication and installation schedules and
interfaces and incorporating lessons learned,
we achieved significant reduced cycle time
and delivered predictable outcomes of
CAPEX, schedule and ongoing operability.

KBR is an industry leader in the development of

floating production solutions for all environments
including West Africa, Australia and Asia.

15

KBR is recognized for building reliable, cost-effective, technically

superior liquefied natural gas (LNG) facilities in challenging locations.
We have built or are currently building LNG liquefaction projects in
eight countries, often in areas where it has been necessary to create
infrastructure and train the local workforce.

16

Reducing cost and shortening the supply

chain from well to liquefaction facility is a
common concern. Floating LNG is often a
solution when gas is so far offshore that
the economics of piping it onshore become
prohibitive. KBR has actively participated
in over 20 key studies dealing with floating
liquefaction and regasification designs.
These studies include GURF (Gas Utilization
Research Forum), Statoil (Hammerfest LNG
Plant) and Project Azure, the Full Floating
LNG Chain.
Unlike other EPC companies, we have
extensive engineering, procurement
and construction management (EPCm)
experience in FPSOs spanning decades

Offshore Oil and Gas Facilities

Floating LNG
including Terra Nova, Agbami, Plutonio and
others. In addition, we have been a member
of the Azure consortium, a program funded
by the European Union to advance the
development of floating LNG supply chains.
Reducing risk in offshore LNG concepts
is an area in which KBR has a great
deal of expertise. Whether designing
and installing fixed offshore platforms,
FPSOs or semisubmersibles, KBR has a
wide range of versatility. As a result, KBR
has a large upstream portfolio including
numerous gravity-based structures such as
Malampaya, Hibernia, South Arne, Wandoo
and Ravenspurn among others.

KBRs experience in offshore and

LNG make us better positioned to
integrate LNG with the design and
construction of FPSOs.

17

The Benguela Belize tower is approximately 1,680 feet (512

meters) in height, and it is one of the tallest structures in
the world.

18

Benguela Belize is part of the BBLT

Development, located approximately
50 miles (80 kilometers) offshore in
approximately 1,300 feet (396 meters) of
water. It combines an integrated drilling and
production platform hub facility supported
by a compliant piled tower and is the first
application of this structural technology
outside the U.S. Gulf of Mexico. The detail
design was completed in 12 months,
with the first handovers to the fabrication
contractor occurring 8 months after contract
award. Daewoo Shipbuilding and Marine
Engineering (DSME) and KBR used KBRs
stage methodology to successfully execute
the handover. Weight and center of gravity
control were key factors in maintaining
schedule and controlling costs. The

Offshore Oil and Gas Facilities

Maintaining Schedule and Controlling Costs: Benguela Belize

relatively small cross section of the tower
tends to make the tower weight and the
foundation design more sensitive to weight
increases and center of gravity shifts than
conventional jacket structures. The project
design team was able to improve the center
of gravity position significantly and control
the design weight so that the platform could
be fabricated and installed on schedule.
Compliant piled towers can be installed at
costs appreciably less than conventional
structures due to reduced steel requirements
and are compliant (flexible) to the changing
wind, wave and current conditions around
the facility. The Benguela Belize tower is
approximately 1,680 feet (512 meters) in
height, and it is one of the tallest structures
in the world.

Generate Revenue Stream. Manage Logistics. Deliver Sustainability.

Maintain Schedule.
Experience delivering revenue streams quickly following construction of complex facilities
in harsh, remote environments is a benefit that KBR brings to every project. Mitigating risk
on your multi-billion dollar offshore project is how we help customers around the world
derive the greatest value from their assets. Ingenuity in designs, flexibility in approach and
confidence in execution are three reasons so many companies turn to the industry expert for
safe, environmentally friendly EPC: KBR.
KBR met an aggressive, demanding
agenda for the Shell EA project, with
a schedule of 20 months from start of
topsides fabrication to sailaway of an
integrated FPSO topsides and hull. This
was the first offshore oil and gas facility
commissioned by SPDC.

To learn more, visit: offshore.kbr.com or email offshore@kbr.com

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www.kbr.com
www.kbr.com
2008
2008 KBR,
KBR, Inc.
Inc.
All
All Rights
Rights Reserved
Reserved
Printed
in U.S.A.
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