Client: Petroleum Development Oman
Project value: US$1.25 billion
Location: Harweel Cluster, southern Oman
The Rabab Harweel Integrated Project (RHIP) is the largest development in Petroleum Development Oman’s (PDO) portfolio. Petrofac is providing engineering, procurement, construction management and commissioning support services for this mega project worth US$1.25 billion.
Unlike most other oil and gas projects in the Middle East, RHIP is not being delivered on a lump-sum turnkey basis. Instead, Petrofac is providing its services on a reimbursable basis with incentives. This means Petrofac’s profit is linked to the achievement of specific milestones and a potential gain share on procurement.
“We are proud of our role in the delivery of this landmark project, the start-up marks an important milestone. In addition to an excellent safety performance, it’s particularly pleasing that such a complex project has come in ahead of plan and that we have been able to return significant value to PDO through our engineering expertise and by leveraging our extensive procurement and supply chain capabilities.”
Elie Lahoud, Petrofac’s Group MD, E&C – Oman, Iraq and Saudi Arabia
Logistics has played a major role in this project which is located deep in the South of Oman around 200km from the nearest port and 80km from the nearest village.
Another key factor is the high levels of hydrogen sulphide being processed and compressed at very high pressures. As part of our solution we minimised hours on site by pre-assembling the pipe racks and transporting them safely 1,100km via road and sea to site and installed with precision fit to the millimetre. This was a first in Oman and was a significant part of the project strategy.
Located in the Harweel Cluster of fields, deep in the desert in the south of the Sultanate, the RHIP facility will include sour gas processing facilities and associated gathering and injection systems and export pipelines. It will handle the production of oil and gas from the Harweel oil reservoirs via miscible gas injection and the production of gas with condensate from the Rabab reservoir through partial recycling of sour gas.
When complete, the facility will deliver:
The project has a total workforce of around 4,500. This includes around 600 Petrofac employees working on the project.
Delivering in-country value is key to our success for the RHIP development and our commitment to supporting the sustainable future of Oman.
We have exceeded all of our targets for Omanisation, with 27 Oman nationals employed in the Muscat office and 12 onsite. More than a third of the project’s total procurement value was sourced within Oman.
Technical training to UK NVQ standards
To support this contract Petrofac Training Services (PTS) was asked by PDO to provide technical training for their employees to the level of the UK NVQ standards. The scope covered technical training, including vendor training for approximately 190 PDO operators, technicians, supervisors, engineers and managers in:
We developed the required training materials for NVQ systems and a competence programme, unpinned by behavioural safety training.
At the time of award, RHIP was the first project to be undertaken in Oman by Petrofac on a reimbursable and incentivised basis. In addition to safe project execution, we have, over the course of the contract, focused on returning significant value to PDO through leveraging our extensive procurement and supply chain capabilities. We have also directly transferred the experience gained on RHIP in support of our second in-country EPCm project, Yibal Khuff.
Roberto Bertocco, Managing Director, EPCm