Eastern Bechtel Co. Ltd.

OGD-III Onshore Gas Development Project Phase III

EXHIBIT "D"

SCOPE OF WORK

1. INTRODUCTION

a. Overall Project Description

The Onshore Gas Development Project Phase III (OGD III) is for the turnkey construction
of a gas processing facility adjacent to an existing gas processing facility.

b. Project Location

The Project is located at Habshan, Emirate of Abu Dhabi, UAE approximately 150km
south west of Abu Dhabi. All Project areas are located in the oil fields and are subject to
all associated restrictions and regulations.

The temporary facilities area for SUBCONTRACTOR’s offices, workshops, laydown, etc.
is located in the A4 area approximately 7km from the Jobsite as shown on drawing No.
25113-000-P10-0000-P0005 Rev 1

The Jobsite is located to the south east of the existing plant area as shown on drawing
No. OGDIII-DW-030 Rev 5

c. Subcontract Scope

The scope of work of this subcontract is generally for the supply, fabrication, installation,
and inspection of insulation and cladding for equipment, vessels and piping as further
defined below.

2. GENERAL SCOPE OF WORK

a. Project Management

SUBCONTRACTOR shall be responsible for all Project Management activities required

to execute the WORK to meet the requirements of the Subcontract documents, including
but not limited to the following:
• Provision of sufficient and suitably qualified personnel for the performance of the
work. In order to ensure compliance, SUBCONTRACTOR shall submit CV’s for
key personnel as detailed below for review and acceptance by CONTRACTOR:
o Project Manager
o Site Manager
o Jobsite HSE Manager
o Quality Assurance / Quality Control Manager
o Lead Planner
o Insulation Fabrication Lead Supervisor(s)
o Cladding Fabrication Lead Supervisor(s)
o Installation Superintendent(s)
• Provision of sufficient and suitable equipment required for the performance of the
work.
• Implementation of the approved HSE Program.

Exhibit D, 15 April 2007 Page 1 of 15 Subcontract 25113-000-FC3-NN00-00001

 • In addition to the HSE Manager, SUBCONTRACTOR shall provide one (1) safety
officer per fifty (50) craft personnel.
• Management of all SUBCONTRACTOR personnel, sub-tier subcontractors,
suppliers, vendors, etc. to ensure compliance with the SUBCONTRACT
requirements.
• Planning and scheduling of all aspects of the work in accordance with the
requirements of the Special Conditions titled “COMMENCEMENT, PROGRESS
AND COMPLETION OF THE WORK” and “SUBCONTRACT SCHEDULE”
• All home office support required to meet the Subcontract requirements.

b. Engineering & Design

SUBCONTRACTOR shall be responsible for all supplementary engineering and design

required to develop insulation and cladding systems to meet the requirements of the
Subcontract documents.

This shall include but not be limited to the following:

• Material Take Offs
• Fabrication Details
• Installation sketches
• Procedures
• Quality Control Plans
• Inspection and Test Plans
• Method Statements
• Progress quantity calculations
• Production of Certification Dossiers
• As-Built Drawings
• Any other engineering or design activities required

c. Procurement & Materials

SUBCONTRACTOR shall be responsible for all material selection, procurement, logistics,

material receiving, fabrication, testing and verification required for the WORK in
accordance with the Subcontract documents and as detailed below:

• Material Selection
SUBCONTRACTOR shall be responsible for all activities required including but
not limited to the following:
• Identification of all materials required
• Collation of all data required from material suppliers
• Production of Material Approval Requests for each element of the
materials
• Submittal of documents in a timely manner to support schedule
requirements
• Incorporation of all CONTRACTOR and OWNER comments

• Procurement
SUBCONTRACTOR shall be responsible for all activities required including but
not limited to the following:
• Sourcing vendors of the material acceptable under item 2.b.i above
• Ensuring all Subcontract requirements, including technical, commercial
and schedule, are complied with in all Purchase Order terms and
conditions

Exhibit D, 15 April 2007 Page 2 of 15 Subcontract 25113-000-FC3-NN00-00001

 • Placement of purchase orders with the approved vendors and submittal
of unpriced copies of all purchase orders to CONTRACTOR
• Monitoring of material status to ensure materials are supplied in sufficient
quantity to meet schedule requirements
• Expediting activities required to ensure materials are produced to
support Project schedule requirements
• CONTRACTOR may at it’s sole discretion elect to perform all or part of
the material procurement activities, provided solely that written notice is
provided to SUBCONTRACTOR in advance.
• In the event CONTRACTOR free-issues material to SUBCONTRACTOR,
SUBCONTRACTOR shall be responsible for taking receipt of the
material directly and immediately on delivery from CONTRACTOR’s
vendor; i.e. Material shall be received and stored in
SUBCONTRACTOR’s area.

• Logistics
SUBCONTRACTOR shall be responsible for all activities required including but
not limited to the following:
• Shipping of materials, including land transportation / sea freight / air
freight / courier as required to support the schedule requirements
• Customs clearance including provision of all documentation required to
allow CONTRACTOR to obtain Customs Clearance Authorizations from
OWNER to allow duty exemptions to apply. CONTRACTOR will not be
held responsible for any delays associated with obtaining Customs
Clearance Authorizations. SUBCONTRACTOR shall be responsible for
all other activities required to complete any customs clearance and
importation requirements.
• Transportation of materials to the A4 Area laydown and fabrication areas
• Transportation of materials to the work fronts at the Jobsite area

• Fabrication
SUBCONTRACTOR shall be responsible for all activities required including but
not limited to the following:
• Supply, construction, testing and commissioning of insulation and
cladding fabrication shop(s) and sheet metal fabrication shop(s) at the
A4 Area for the pre-installation fabrication of all materials required to
complete the WORK.
• Performance of all fabrication activities required for the work

• Testing & Inspection

SUBCONTRACTOR shall be responsible for all activities required including but
not limited to the following:
• Provision of all testing equipment required, including supply of valid
calibration documentation prior to mobilization
• All calibration testing required for test equipment at a frequency to meet
the Subcontract requirements.
• Subcontracting any Third Party Inspection services required.
SUBCONTRACTOR shall submit to CONTRACTOR full details of any
proposed Third Party Inspection service provider for review and approval
prior to engaging them in the WORK.
• Performance of all testing to ensure that the materials, fabrication, and
installation are performed in accordance with the Subcontract
requirements.

Exhibit D, 15 April 2007 Page 3 of 15 Subcontract 25113-000-FC3-NN00-00001

 • Submittal to CONTRACTOR of test and inspection reports within forty-
eight (48) hours of completion of the test performed.
• Identification of any non-conformances, submittal of Non-Conformance
Reports including recommended corrective actions, incorporation of any
CONTRACTOR comments, and performance of the corrective actions
required to remove the non-conformance.

d. Construction

• Mobilization

SUBCONTRACTOR shall be responsible for the performance of all activities

required to perform the mobilization to commence work. Mobilization shall
include but not be limited to the following activities:
• Submittal and acceptance by CONTRACTOR of all required
documentation as stated in Item 4.a below
• Construction and operation of SUBCONTRACTOR’s Camp facilities as
detailed in Item 2.d.iii below
• Construction and operation of SUBCONTRACTOR’s A4 Area Temporary
Facilities
• Mobilization of Key Personnel
• Mobilization of resources sufficient to commence work

• Oil Field Passes

It is a legal requirement of the UAE that all manpower and certain types of
equipment require valid oil field passes prior to entering the A4 Area or Jobsite.

SUBCONTRACTOR shall submit to CONTRACTOR a request for a Letter of

Assistance to allow application for oil field passes. Accompanying this request
shall be the following information and documentation:
• Numbers of personnel requiring oil field passes
• A list of equipment types and quantities requiring oil field passes
• A copy of SUBCONTRACTOR’s valid Abu Dhabi trade license showing
“Oil Field Services” as part of the license
• A copy of SUBCONTRACTOR’s valid Abu Dhabi Chamber of Commerce
registration showing “Oil Field Services” as part of the license
• A copy SUBCONTRACTOR’s registration with COMPANY
• A copy of SUBCONTRACTOR’s insurances compliant with the Special
Condition titled “INSURANCE”

Furthermore, all manpower for which the oil field passes are applied shall have
entered the UAE on Abu Dhabi visas. All equipment shall be registered in the
Emirate of Abu Dhabi only.
Upon receipt of the above, CONTRACTOR will apply for a Letter of Assistance
from the Supreme Petroleum Council. This process typically takes Seven (7) to
Ten (10) working days (Based on a 5 day working week).

Letters of Assistance are required independently for all sub-tier subcontractors

who will require oil field passes. The same procedure applies as above but all
documentation is required to be in the sub-tier subcontractor’s name.

SUBCONTRACTOR shall ensure that all requests for Letters of Assistance are
submitted with all supporting documentation and in a timely manner to allow
sufficient time to process the request.

Exhibit D, 15 April 2007 Page 4 of 15 Subcontract 25113-000-FC3-NN00-00001

 After receipt of the Letter of Assistance, SUBCONTRACTOR shall be
responsible for all activities required for obtaining oil field passes for manpower
and equipment.

• Camp Accommodation
All camp accommodations either rented or constructed by SUBCONTRACTOR
shall be in accordance with all requirements of the following Volume III, Prime
Contract Exhibits;
• B.18 - Construction Temporary Facilities and Camp Accommodations
Planning
• B.20 – COMPANY’s General Standards for the Living and Working
Conditions of CONTRACTOR’s personnel
• B.21 – Instructions to CONTRACTORs working in or near COMPANY
existing facilities
• B.27 – Camp Accommodations

SUBCONTRACTOR shall be responsible for all activities associated with the

arrangement and / or construction, operation, maintenance, and demobilization
of camp facilities including but not limited to the following requirements:
• Leasing of any land required for the camp construction.
SUBCONTRACTOR shall submit an unpriced copy of the lease
documents to CONTRACTOR. Where SUBCONTRACTOR elects to
lease existing camp space in the local area, SUBCONTRACTOR shall
submit an unpriced copy of the camp lease documents to
CONTRACTOR.
• Submittal of camp layout details prior to commencement of WORK,
identifying compliance with the requirements of the above Prime
Contract Exhibits
• All earthworks required to prepare the location for camp construction.
• Supply of all materials required for the camp construction
• Provision of all services required for the operation of the camp including
but not limited to power, water, catering, waste collection and disposal,
laundry, cleaning, janitorial, sewage collection and disposal, telephones,
IT, manpower, equipment, maintenance, etc.
• Demobilization of the camp and restoration of the location to its original
condition including removal of underground services

CONTRACTOR may at any time perform audits and inspections of

SUBCONTRACTOR’s camp facilities to ensure compliance with the
Subcontract requirements. Any deficiencies shall be corrected by
SUBCONTRACTOR within five (5) calendar days.

• Temporary Facilities
All temporary facilities shall be in accordance with all requirements of the
following Volume III, Prime Contract Exhibits;
• B.18 - Construction Temporary Facilities and Camp Accommodations
Planning
• B.20 – COMPANY’s General Standards for the Living and Working
Conditions of CONTRACTOR’s personnel
• B.21 – Instructions to CONTRACTORs working in or near COMPANY
existing facilities
• B.26 – Field Services

Exhibit D, 15 April 2007 Page 5 of 15 Subcontract 25113-000-FC3-NN00-00001

 SUBCONTRACTOR shall be responsible for all activities associated with the
arrangement and / or construction, operation, maintenance, and demobilization
of temporary facilities including but not limited to the following requirements:
• Defining the area required for the temporary facilities. This area shall not
exceed 8,000 m2 and shall be located in the A4 Area at a location to be
nominated by CONTRACTOR.
• Submittal of temporary facilities layout details prior to commencement of
WORK, identifying compliance with the requirements of the above Prime
Contract Exhibits
• All earthworks required to prepare the location for temporary facilities
construction.
• Supply of all materials required for the temporary facilities construction
• As a minimum, SUBCONTRACTOR’s temporary facilities shall include
the following facilities:
o Offices for all non-manual personnel
o Toilet facilities
o Fully staffed First Aid Clinic
o Ambulance
o Material Storage Area(s) (including sheltered material storage
and climate controlled material storage as required by the
material manufacturers).
o Insulation fabrication shop(s)
o Cladding fabrication shop(s)
o QA/QC testing facilities
o Lunch Facility for total workforce (non-manual and manual)
o Car parking area(s) to incorporate bus parking areas for all craft
personnel buses.
• Provision of all services required for the operation of the temporary
facilities including but not limited to power, water, cleaning, janitorial,
waste collection and disposal, sewage collection and disposal,
telephones, IT, manpower, equipment, maintenance, etc.
• Demobilization of the temporary facilities area and restoration of the
location to its original condition including removal of underground
services

• Access
SUBCONTRACTOR is responsible for the construction, maintenance, removal,
and restoration of all required temporary accesses for the performance of the
WORK. This shall include but not be limited to, temporary laydown areas,
access roads, modifications to existing roads, etc.

CONTRACTOR will only provide the following initial accesses:

• East and West main access roads as shown on drawing 25113-000-
CG0-CG00-C0012 Rev 1
• A4 main access road as shown on drawing 25113-000-CG0-CG00-
C0012 Rev 1
• SUBCONTRACTOR shall be responsible for any access required from
the main access road to the assigned temporary facilities area
• Permanent plant roads as shown on drawing 25113-000-P10-0000-
P0001 Rev 1.

Any repairs or modifications required to the CONTRACTOR provided access

will be the responsibility of SUBCONTRACTOR.

Exhibit D, 15 April 2007 Page 6 of 15 Subcontract 25113-000-FC3-NN00-00001

 • Manpower

SUBCONTRACTOR shall be responsible for the provision of all manpower

required to execute the work in accordance with the Subcontract requirements
including but not limited to the following:
• Resource planning to meet Project needs
• Recruitment of personnel
• Qualification and testing of personnel
• Obtaining visas and work permits
• Mobilization of personnel to Abu Dhabi
• Obtaining oil field passes
• Provision of accommodation, transportation, and food in accordance with
Section 2.d.iii above
• Provision of all required personal protective equipment
• Provision of all small tools required for performance of the work.
• Demobilization of personnel to their point of origin or further work
locations.

SUBCONTRACTOR’s manpower shall be suitably qualified and experienced

for the performance of the work. For foreman level and above,
SUBCONTRACTOR shall submit work histories for review by CONTRACTOR.

• Equipment & Vehicles

SUBCONTRACTOR shall be responsible for the provision of all equipment and
vehicles required to execute the work in accordance with the Subcontract
requirements including but not limited to the following:
• Resource planning to meet Project needs
• Provision of equipment and vehicles (either hired or owned)
• Inspection and testing (including third party if required) of all equipment
and vehicles.
• Presentation of equipment and vehicles to CONTRACTOR for inspection
prior to entry to the site. Should the equipment or vehicle not pass
CONTRACTOR’s inspection prior to entry to site, SUBCONTRACTOR
shall be responsible for all requirements to either demobilize the item or
perform all required repairs and / or modifications to pass the inspection
at SUBCONTRACTOR’s cost
• Maintenance of all equipment and vehicles
• Operation of all equipment and vehicles
• Demobilization of equipment and vehicles

• Scaffolding

At the time of bidding this Subcontract, it is not determined whether

SUBCONTRACTOR or CONTRACTOR will provide the scaffolding required for
the execution of the work. Prior to award of Subcontract, CONTRACTOR will
elect to perform the scaffolding in one of the two (2) methods below:
1. CONTRACTOR to perform all scaffolding
Under this option, CONTRACTOR will be responsible for the
performance of all scaffolding required to execute the works.

SUBCONTRACTOR shall be responsible for submittal of scaffold

requests a minimum of seven (7) calendar days prior to insulation and
cladding work commencing at the location.

Exhibit D, 15 April 2007 Page 7 of 15 Subcontract 25113-000-FC3-NN00-00001

 SUBCONTRACTOR shall liaise with CONTRACTOR’s personnel during
the erection to ensure the scaffold does not clash with the insulation and
cladding installation activities.

SUBCONTRACTOR shall be responsible for submitting scaffold removal

requests immediately on completion of the work. Where scaffold has
been identified as not being used by SUBCONTRACTOR for in excess
of seven (7) calendar days, CONTRACTOR reserves the right to remove
the scaffold without notice to SUBCONTRACTOR.

2. SUBCONTRACTOR to perform all scaffolding

Under this option, SUBCONTRACTOR will be responsible for the
performance of all scaffolding required to execute the works including but
not limited to the following:
• Strict compliance with CONTRACTOR Standard Work Process
Procedures (SWPP) Exhibit “D” Appendix D-4
• Provision of scaffold plans for each area for review by
CONTRACTOR prior to erection commencing
• Coordination with CONTRACTOR and other subcontractors to
ensure minimization of disruption
• Provision of all required resources including, manpower,
equipment, materials, tools, consumables, etc. for the
performance of the work.
• Erection, modification, maintenance and removal of scaffolding
as required for the execution of the work.

Any other party may utilize SUBCONTRACTOR’s scaffold while it is in

position, provided that the use does not impact SUBCONTRACTOR’s
WORK. No other party may be permitted to modify
SUBCONTRACTOR’s scaffold.

3. DETAILED SCOPE OF WORK

3.1 Overall

SUBCONTRACTOR shall be responsible for the provision of all resources required for the supply,
fabrication, installation, testing and completion of hot, cold, acoustic, personal protection, and
miscellaneous other types of insulation and cladding to piping and equipment.

The WORK shall be performed at all locations identified on the drawings.

Piping insulation and cladding shall include but not be limited to the insulation and cladding of:
• Straight and spooled pipe
• Bends, elbows, tees, reducers,
• Pipe supports (as required)
• Flanges
• Valves (Welded and flanged)
• Inline devices and instruments (as required)
• Level gauges

Equipment insulation and cladding shall include but not be limited to the insulation and cladding
of:
• Vessels
• Drums
• Exchangers

Exhibit D, 15 April 2007 Page 8 of 15 Subcontract 25113-000-FC3-NN00-00001

 • Boilers
• Rotating Equipment
• Packaged Equipment
• Filters
• Pumps
• Motors
• Tanks
• All associated flanges
• All associated man ways, clean out ports, etc.
• All associated appurtenances

3.2 Releases to Work

All work shall be performed under work release basis. CONTRACTOR shall release pipe and
equipment for insulation and cladding to commence through transmittal of a written Work
Release. CONTRACTOR’s work release shall include all information required for the execution of
the WORK.

Upon receipt of CONTRACTOR’s Work Release, SUBCONTRACTOR shall review and respond
within seven (7) calendar days providing the following information:
• Material take off of all materials required for the work (identifying a separate item for
wastage)
• Reconciliation of materials available showing
o Total Ordered
o Total Delivered
o Total Previously Consumed through other work releases
o Total consumed by this work release
o Balance materials
• Level 3 Schedule for the performance of the work, including resource loading

On a monthly basis, SUBCONTRACTOR shall incorporate all work releases into the Subcontract
Schedule and progress curves and provide updates to CONTRACTOR.

3.3 Prior to Commencement of WORK

SUBCONTRACTOR shall be responsible for the performance of inspections of the location prior
to commencement of any work release. SUBCONTRACTOR’s location inspection shall include
but not be limited to:
• Check of scaffold to ensure erection complete and inspection complete
• Check of location to determine whether other subcontractors are working in the area and
liaise directly to coordinate activities
• Check of accesses to location for SUBCONTRACTOR’s equipment. If required,
SUBCONTRACTOR shall construct any additional accesses required.
• Check of any work restrictions in the area due to introduction of hydrocarbons or other
hazardous materials
Upon completion of the checks above, SUBCONTRACTOR shall take any and all actions
necessary to correct any deficiencies to allow work to commence.

SUBCONTRACTOR shall be responsible for the performance of pre-commencement inspections

of the pipe or equipment being insulated to ensure the work is available.

SUBCONTRACTOR shall identify and prepare an area at the work location for the laydown and
storage of the materials during the work. SUBCONTRACTOR shall be responsible for all
preparation, barricading, maintenance and security required for the location.

Exhibit D, 15 April 2007 Page 9 of 15 Subcontract 25113-000-FC3-NN00-00001

 SUBCONTRACTOR shall ensure all personnel have received the correct safety training required
for the performance of the work including but not limited to:
• Jobsite Induction
• Working at Height
• Confined Spaces
• STARRT Card
• Permit To Work

SUBCONTRACTOR shall be responsible for the application and obtaining of any and all permits
to work from either CONTRACTOR or OWNER.

3.4 Work to Be Performed

The work to be performed shall be defined on the Subcontract drawings as detailed in Exhibit E
and as attached to CONTRACTOR’s Work Release. The Insulation Codes used to identify
insulation and cladding requirements on the Line Designation Tables (LDT’s) and all piping and
equipment drawings are as follows:

CODE DESCRIPTION
A Acoustic
C Cold
E Electric Traced
H Heat Conservation
H (VB) Heat Conservation with Vapour Barrier
J Steam Jacket
P Personnel Protection
PAA Personnel Protection with Acoustic Insulation
P (SG) Personnel Protection Safety Guard
S Steam Traced and Insulation

SUBCONTRACTOR shall be responsible for the performance of all activities required for the
performance of the work as follows for each of the different types of insulation and cladding:

a. Hot Insulation and cladding

For insulation codes AH, E, H, H (VB), J, P, P (SG) and S the insulation and cladding will
be applied in accordance with the following specifications:
• DGS-6500-010 titled Hot Insulation for Piping and Equipment
• Project Specification 25113-000-3PS-NN00-N0019 titled Addendum Project
General Specification Hot Insulation For Piping and Equipment

Note - Insulation codes AH, P, and P (SG) may not strictly be governed by the above
referenced specifications. SUBCONTRACTOR shall verify requirements in all other
specifications to determine if other requirements apply.

For insulation code S, SUBCONTRACTOR shall fit one diameter oversize mineral wool
sections to accommodate the tracer(s)

b. Cold Insulation and cladding

For insulation codes C, P, and P (SG) the insulation and cladding will be applied in
accordance with the following specifications:
• Project Specification 25113-000-3PS-NN00-N0020 titled Addendum Project
General Specification Cold Insulation For Piping and Equipment
• 25113-000-3PS-NN00-N0020 Attachment- 001 DGS-6500-020 titled Cold
Insulation for Piping and Equipment

Exhibit D, 15 April 2007 Page 10 of 15 Subcontract 25113-000-FC3-NN00-00001

 Note - Insulation codes P and P (SG) may not strictly be governed by the above
referenced specifications. SUBCONTRACTOR shall verify requirements in all other
specifications to determine if other requirements apply.

For pipe supports on cold service lines installed by others, SUBCONTRACTOR shall
remove temporary protection, if any, at cold pipe support, make good the rebated edges
and tie-in the pipe insulation and cladding to the support.

c. Acoustic Insulation and cladding

For insulation codes A, AA, AB, and AC the insulation and cladding will be applied in
accordance with the following specifications:

• Project Specification 25113-000-3PS-NN00-N0040 titled Addendum Project

General Specification Acoustic Insulation for Pipes, Valves and Fittings

• 25113-000-3PS-NN00-N0040 Attchment-001 DGS-6000-003 titled Acoustic

Insulation of Pipe, Valves and Flanges

The second letter indicates the class of acoustic insulation required as follows:
1. Code AA = Acoustic insulation only at 50mm thickness
2. Code AB = Acoustic insulation only at 100mm thickness
3. Code AC = Acoustic insulation only at 100mm thickness with 1.2mm thick steel
coated cladding.

Where acoustic insulation is indicated along with hot or cold insulation, the following shall
apply:
1. Code CAA= indicated thickness of cold insulation under 50 mm of Acoustic
insulation code A. BIDDER shall apply a second vapour barrier over the acoustic
layer of insulation. Refer to para.14.8.2 of appendix 1 of acoustic specification
above.

2. Code CAB = Indicated thickness of cold insulation under 100 mm of Acoustic

insulation code B. BIDDER shall apply a second vapour barrier over the acoustic
layer of insulation. Refer to para.14.8.2 of appendix 1 of acoustic specification
above.

3. Code CAC = Indicated thickness of cold insulation under 100 mm of Acoustic

insulation code AC. BIDDER over the acoustic layer of insulation, with 1.3mm
thick steel coated cladding. Refer to para.14.8.2 of appendix 1 of acoustic
insulation above.

4. Code HAA = Indicated thickness of hot insulation (Spec. 25113-000-3PS-NN00-

N0019.) under 50 mm of Acoustic insulation code AA. Note, where the
designation is HAA00 the acoustic insulation alone is adequate for thermal
purposes.

5. Code HAB = Indicated thickness of hot insulation (Spec.25113- 000-3PS-NN00-

N0019.) under 100 mm of Acoustic insulation code AB.

6. Code HAC = Indicated thickness of hot insulation (Spec. 25113-000-3PS-NN00-

N0019.) under 100 mm of Acoustic insulation with 1.3mm thick steel coated
cladding.

Exhibit D, 15 April 2007 Page 11 of 15 Subcontract 25113-000-FC3-NN00-00001

 d. Other Insulation and cladding:

• Refractory Insulation will be in accordance with the following specifications:

1. Project Specification 25113-000-3PS-NR00-N0024 titled Addendum Materials

Installation and Testing Requirements for Refractory Systems.
2. 25113-000-3PS-NR00-N0024 Attachment -001 DGS 6531 020 Rev 0 titled
Materials Installation and Testing Requirements for Refractory Systems.

Materials shall be provided Free Issue to SUBCONTRACTOR.

SUBCONTRACTOR’s scope is insulation of the Radiant, Stack and Transition only
refer to Tag A, G and H of GA drawing No. 25113-V1A-MBH0-BA001 Rev 0

• Insulation of instrument tubing; - stainless steel ½” diameter instrument tubing

(~ 200 linear meters) tails including inline valves. Insulation to be 25mm thick
glass rope with 3mm thick vapours seal mastic.
• Installation of fire boxes around valves: There are approximate 200 ESD valve
boxes and 80 wafer check valve boxes. Boxes shall be provided Free Issue to
SUBCONTRACTOR as flat packs. These boxes will vary from 0.5M x 0.5M x
0.5M up to 4M x 1M x 1M. SUBCONTRACTOR’s responsibility will be to
assemble flat packs, cut holes for pipework, pneumatic and power cables, seal
penetrations and fill the boxes with expandable foam.

3.5 Work After Start-Up and Commissioning

SUBCONTRACTOR’s scope of work also includes correction of any punch list items or
defects including correction of any items identified after start-up and commissioning
activities have been performed including but not limited to modifications to correct items
caused by thermal expansion and contraction.

4. QUANTITY AND PROGRESS MEASUREMENT

a. Piping Insulation and cladding

Piping insulation and cladding quantities shall be measured per linear meter based on
neat-line, centre line to centre line measurements from isometrics. No additional
allowances shall be made for any fittings, bends, tees, trunnions, supports, etc. Lengths
through valves and flanges shall not be measured.

Valves shall be measured per valve box, per valve size only. Valves shall include any
flanges connecting the valve to the pipework.

Other than valve flanges, flanges shall be measured per pair of flanges, per size only.

Progress measurement shall be performed in strict accordance with the following control
points:

For Cold Insulation:

1. First Layer 35%

2. 2nd Layer 30%
3. Vapor Barrier 10%
4. Cladding 10%

Exhibit D, 15 April 2007 Page 12 of 15 Subcontract 25113-000-FC3-NN00-00001

 5. Final Inspection / Punchlist Completed 15%

For Hot Insulation:

1. Rock Wool 60%

2. Cladding 25%
3. Final Inspection / Punchlist Completed 15%

b. Equipment Insulation and cladding

Equipment insulation and cladding shall be measured per piece of equipment.
SUBCONTRACTOR shall provide a square meter (m2) quantity measurement for review
and agreement by CONTRACTOR to allow quantity and progress measurement. Such
measurements are for progress information only and shall not be used for adjustments to
the price.

Included in the measurement of the equipment shall be all nozzles, support brackets
flanges, man ways, and appurtenances up to and including the first bolted connection.

Progress measurement shall be performed in strict accordance with the following control
points:

For Cold Insulation:

1. First Layer 35%

2. 2nd Layer 30%
3. Vapor Barrier 10%
4. Cladding 10%
5. Final Inspection / Punchlist Completed 15%

For Hot Insulation:

1. Rock Wool 60%

2. Cladding 25%
3. Final Inspection / Punchlist Completed 15%

5. DELIVERABLES
a. Pre-Mobilization Deliverables

Prior to commencement of mobilization SUBCONTRACTOR shall ensure that the

following documents are submitted to CONTRACTOR for review and are returned with
authorization to proceed:

Item Description Reference

1 Designation of Authorized Representative Exhibit A, GC-2
2 Project Specific HSE Plan Exhibit A, GC-13
3 Full and Comprehensive Risk Assessment Exhibit A, GC-13
4 Project Specific Emergency Plan Exhibit A, GC-13
5 Environmental Compliance Plan Exhibit A, GC-14
6 Insurances Exhibit B, SC-2
7 Subcontract Schedule Exhibit B, SC-9
8 Security Plan Exhibit B, SC-11
9 Bank Guarantee(s) Exhibit B, SC-13
10 Lump Sum Breakdown (For Lump Sum Prices) Exhibit B, SC-14
11 Quality Management System Documentation Exhibit B, SC-17
12 CV’s of Key Personnel Exhibit D, Item 2.a

Exhibit D, 15 April 2007 Page 13 of 15 Subcontract 25113-000-FC3-NN00-00001

 13 Material Approval Requests Exhibit D, Item 2.c
14 Request for Letter of Assistance Exhibit D, Item 2.d
15 Camp Layout Details Exhibit D, Item 2.d
16 Temporary Facilities layout details Exhibit D, Item 2.d

b. Pre-Commencement Deliverables

Prior to commencing any activities in the field, SUBCONTRACTOR shall ensure that the
following documents are submitted to CONTRACTOR for review and are returned with
authorization to proceed:

Item Description
1 Quality Control Plans for the work
2 Inspection and Test Plans for the work
3 Valid Calibration documents for test equipment
4 Material Take Offs
5 Fabrication Details
6 Installation sketches / application details
7 Method Statements
8 Sub-Tier Subcontractors for Approval

c. Construction Deliverables

During the course of the work SUBCONTRACTOR shall ensure that the following
documents are submitted to CONTRACTOR for review

Item Description
1 HSE Reports and statistics
2 Progress Reports and Schedule updates
3 Updated Material Take Offs
4 Material Reconciliations

6. WORK EXCLUDED

Any item not specifically detailed elsewhere in the Subcontract required to execute the supply
and installation of insulation and cladding shall be deemed as included in the Subcontract scope
of work and pricing.

7. PROJECT WORK HOURS

The Project working hours are ten (10) hours per day, six (6) days per week, Saturday through
Thursday. Specifically, the working hours are as follows:

Shift Start Finish

Morning 0700hrs 1200hrs
Lunch Break 1200hrs 1300hrs
Afternoon 1300hrs 1800hrs

SUBCONTRACTOR shall as a minimum work the above hours. Should SUBCONTRACTOR

elect to work additional hours to those stated above (Including work on Fridays),
SUBCONTRACTOR shall request permission from CONTRACTOR.

8. SPECIFICATIONS

Exhibit D, 15 April 2007 Page 14 of 15 Subcontract 25113-000-FC3-NN00-00001

 The following specifications are included and form part of the Subcontract documents:

Item Specification Number Rev. Title

Addendum Project General

1 25113-000-3PS-NN00-N0019 3 Specification Hot Insulation For Piping
and Equipment
25113-000-3PS-NN00-N0019 Hot Insulation for Piping and Equipment
2 0
Attachment -001- DGS-6500-010
Addendum Project General
3 25113-000-3PS-NN00-N0020 3 Specification Cold Insulation For Piping
and Equipment
25113-000-3PS-NN00-N0020 Cold Insulation for Piping and
4 0 Equipment
Attachment 01 - DGS-6500-020
Addendum Project General
5 25113-000-3PS-NN00-N0040 2 Specification Acoustic Insulation for
Pipes, Valves and Fittings.
25113-000-3PS-NN00-N0040 Acoustic Insulation of Pipe, Valves and
6 0 Flanges
Attachment 001 DGS-6000-003
Addendum Materials installation and
7 25113-000-3PS-NR00-N0024 2 Testing Requirements for Refractory
System
25113-000-3PS-NR00-N0024 Materials Installation and Testing
8 0 Requirements for Refractory Systems.
Attachment 001 DGS 6531 020
Refractory Application and Dryout
9 25113-V1A-MB00-EL001 1
Procedure
10 25113-V1A-MBH0-JE001 1 Refractory Installation Procedure
11 25113-000-V1A-MBH0-ME001 0 Erection Manual
12 25113-000-V1A-MSXN-BE007 1 Thermal Insulation Summary

Exhibit D, 15 April 2007 Page 15 of 15 Subcontract 25113-000-FC3-NN00-00001