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EES Project Company Review

Code 1 – Approved As Submitted No Change

Code 2 – Approved as Noted
Code 3 – Not Approved See Comments
Code 4 – Receipt Noted
By Anne Broughton at 12:42 pm, Jul 23, 2008

By:______________ Date__________

Escravos Export System Project

Project Execution Plan

DOCUMENT NO. EES-EXGN-ADM-PLN-FOD-000-30001-00

PROJECT NUMBER: FAC-2005-40021787

H01 July 21 2008 Issued for Approval GS JC,EO JC

F01 July 08 2008 Issue for CNL Approval GS BD BD
E04 06 June 08 Issue for CNL Approval GS BD BD
E03 19 May 08 Issue for CNL Approval GS DMB DMB
E02 20 Feb 08 Issue for CNL Approval GS AE GS
E01 26 Jan 08 Issued for CNL Approval OTN AP OTN
E0 7 Jan 08 Issued for CNL`s review and comments GS AP OTN
REV DATE DESCRIPTION ORIG CHK APPR
APPROVED BY: COMPANY APPROVAL:

DATE: DATE:
Project Area Discipline Type Originator Package Sequence-Sht Revision
Document Control No.
EES EXGN ADM PLN FOD 000 30001-00 H01
Revision History
REV DATE ISSUE PURPOSE ORIGINATOR CHECKED APPROVED
BY: BY:

F01 08 July Issued for CNL Approval GS BD BD

H01 July 21 2008 Issued for Approval GS JC,EO JC

Holds:
 Table of Contents

1.0 ACRONYMS .................................................................................................................................. 1

2.0 PROJECT DESCRIPTION ........................................................................................................... 1
3.0 SCOPE OF SERVICES................................................................................................................. 1
3.1 Engineering ........................................................................................................................... 2
3.2 Cost Estimating and Scheduling ........................................................................................ 2
3.3 Heath, Environment and Safety (HES) ............................................................................. 2
3.4 Communication, Knowledge Transfer and Retention..................................................... 2
3.4.1 Communication ....................................................................................................... 3
3.4.2 Information Retention ............................................................................................ 3
3.4.3 Knowledge Transfer ............................................................................................... 3
3.5 Project Management ............................................................................................................ 3
4.0 ESCRAVOS EXPORT SYSTEM PROJECT WORK PLAN.................................................. 4
4.1 Contractual Compliance...................................................................................................... 4
4.2 Methodology......................................................................................................................... 4
4.3 Work Location...................................................................................................................... 6
4.3.1 Lekki Office............................................................................................................. 6
4.3.2 Site Visits ................................................................................................................. 6
4.3.3 Work Sequence........................................................................................................ 6
5.0 ORGANIZATION.......................................................................................................................... 6
5.1 Organization Chart............................................................................................................... 6
5.2 Expatriate Rotation Schedule ............................................................................................. 6
5.3 Contact List........................................................................................................................... 6
5.4 Description of Labor Force................................................................................................. 7
5.4.1 Project Personnel..................................................................................................... 7
5.5 Subcontracting Plan ............................................................................................................. 7
5.5.1 Horizontal Directional Drilling Study.................................................................. 7
5.5.2 Pigging Study .......................................................................................................... 7
6.0 QUALITY ASSURANCE/QUALITY CONTROL PLAN...................................................... 8
6.1 FODE Quality Policies and Objective............................................................................... 8
6.2 Design Procedures................................................................................................................ 9
6.2.1 Work Flow Processes ............................................................................................. 9
6.2.2 Documentation and Reporting of QA/QC Results ............................................. 9
6.2.3 CNL Review and Approval ................................................................................... 9
6.2.4 Documentation Submittal .................................................................................... 10
6.2.5 Non-Conformance Audit Exercise and Mitigation Plan.................................. 10
7.0 HEALTH ENVIRONMENT AND SAFETY (HES) PLAN.................................................. 10
7.1 FODE Policies - Health, Environment and Safety (HES) ............................................ 10
7.1.1 Health Policy ......................................................................................................... 11
7.1.2 Environmental Policy ........................................................................................... 11
7.1.3 Security Policy....................................................................................................... 11
7.1.3.1 Security Plan............................................................................................ 12

Page i
 7.2 Health, Environment and Safety Plan ............................................................................. 12
7.2.1 HES Training Requirements................................................................................ 12
7.2.2 Project Orientation ................................................................................................ 12
7.2.3 Worksite Inspections ............................................................................................ 12
8.0 COMMUNICATION PLAN ...................................................................................................... 12
8.1 Document Retention and Distribution............................................................................. 13
8.2 Correspondence .................................................................................................................. 13
8.3 Document Numbering System ......................................................................................... 13
8.4 Document Transmittals ..................................................................................................... 13
8.5 Data Storage Format .......................................................................................................... 13
8.6 Change Management ......................................................................................................... 14
8.7 Information Security.......................................................................................................... 15
9.0 PROJECT CONTROLS BASELINE ........................................................................................ 15
10.0 NIGERIAN CONTENT .............................................................................................................. 17

List of Appendices

APPENDIX A1 - FODE CONTACT LIST ..................................................................................................... 18 

APPENDIX A2 - DESIGN APPROVALS MATRIX ....................................................................................... 19 
APPENDIX A3 - DOCUMENT DISTRIBUTION MATRIX............................................................................. 20 

Page ii
Project Procedure PROJECT EXECUTION PLAN Page 1

1.0 ACRONYMS

EESP Escravos Export System Project

CNL Chevron Nigeria Limited
PEP Project Execution Plan
FEED Front End Engineering Design
SPM Single Point Mooring
PLEM Pipeline End Manifold
FODE Field Offshore Design Engineering
GIE Gulf Interstate Engineering
RFQ Request for Quotation
HAZOP Hazard and Operability Study
SSFA Safety System Function Analysis
RFI Request for Information
CAD Computer Aided Design
HDD Horizontal Directional Drilling
QA/QC Quality Assurance Quality Control
HES Health Environment and Safety
ISO International Organization for Standardization
PQMS Project Quality Management System
IT Information Technology
WA Work Authorization
CTR Cost, Time and Resources
RWE Request for Work Estimate

2.0 PROJECT DESCRIPTION

The existing Escravos 26” Crude Export Pipeline is approximately 40 years old and is subject
to numerous age related, third-party and security risks. It passes through two Platforms,
Okan Production Platform and the Berth Operating Platform, and is capable of loading
through SPM 2 and 3. The Escravos Export System Project (EESP) will install a new export
pipeline and a new loading berth.

The new EESP facilities will include:

• A new 30” pipeline approximately 40 km long

• New SPM/PLEM and sub-sea pig receiver (the new SPM design is not in the
FEED scope)
• Terminal piping from the shipping pumps discharge complete with all
multidiscipline engineering and safety requirements and one new pig launcher, for
the new pipeline
• Pipeline protection system for the new and existing pipelines.

3.0 SCOPE OF SERVICES

The Escravos Export System Project (EESP), Phase 3 scope of services is defined by CNL
document RWE 092 as revised with CNL-approval during the execution of the project
contract (FAC-2005-40021787). FODE-GIE intends for the set of EESP Phase 3 project

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Project Procedure PROJECT EXECUTION PLAN Page 2

deliverables as defined in RWE 092, Appendix 8, and revised as project document EES-
EXGN-TEC-LST-CNL-000-00001-00 to fully represent the project-scope at project
completion.

As an introduction to the Project Execution Plan, the following paragraphs describe the high
level functions embodied in executing the scope of services.

3.1 Engineering
• Design Calculations and Drafting
• Technical Studies and Reports
• Specifications and Data Sheets
• Quality Assurance/Quality Control for all documentation
• Collaborate in decision making

3.2 Cost Estimating and Scheduling

• Create Material and Equipment Lists
• Identify/ Screen Suppliers
• Prepare Requests for Quotation (RFQ’s)
• Tabulate the Bids
• Report and Clarify the Bid Tabulation
• Support CNL Schedule Assurance Process
• Support CNL Estimate Assurance Review Process
• Identify expected labor rates and productivity factors

3.3 Heath, Environment and Safety (HES)

• Promote Health, Environment and Safety as top priorities
o Apply API RP 14C to design
o Apply CNL SID to design
• Process Hazards Assessment and Risk Reduction Methods
o Participate in HAZOP
o Participate in SSFA
o Analyze costs and benefits of Risk Reduction Measures
o Prioritize and implement Risk Reduction Measures according to cost and
benefit

The process of quantifying risks and identifying reduction measures will be achieved by
formal technical review sessions and team meetings.

3.4 Communication, Knowledge Transfer and Retention

Effective communication facilitates decision making by providing the right information to the
right people at the right time.

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Project Procedure PROJECT EXECUTION PLAN Page 3

3.4.1 Communication
• Assign a single point of accountability for management and communication of
project information.
• Conduct weekly and monthly internal meetings
• Informal and telephone conversations as required
• Disburse information to CNL through formal document transmittals
o Weekly Meetings
o Weekly and Monthly Progress Reports
o Memorandums
o Letters
o Request for Information (RFI)
o Trends
o Technical documents supporting the FEED Engineering effort
• Weekly Team Meeting with CNL

3.4.2 Information Retention

• Record and issue Minutes of Meeting
• Retain electronic records
• Implement revision controls for all documents
• Implement access control to information

3.4.3 Knowledge Transfer

• Transfer knowledge to Nigerian workers and contractors
o Formal learning sessions
o Via work assignments

3.5 Project Management

• Source and hire personnel per the Organization Chart approved by CNL
o Identify and engage subcontractors to perform critical functions
o Ensure Organizational Capability
• Resource Allocation – Define Roles and Responsibilities
• Manage Interfaces
o Discipline interfaces and exchange of information
o Internal interfaces
o Interface with Client
• Assure Quality
o Develop an effective written Quality Assurance program for safely achieving
customer satisfaction and continuous improvement
• Project Control
o Keep records and report time expended
o Account, forecast and report costs
o Measure and report progress achieved

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 Project Procedure PROJECT EXECUTION PLAN Page 4

4.0 ESCRAVOS EXPORT SYSTEM PROJECT WORK PLAN

4.1 Contractual Compliance

The work will be conducted so as to comply with:

• CNL contract number. FAC-2005-40021787

• Work authorization number 42 including but not limited to:
1. FEED Scope of Work, document number RWE 092
2. The latest revision of the Basis of Design, project document number EES-
EXGN-PPL-PHL-FOD-000-30001-00

4.2 Methodology
The work will be done according to selected FODE-GIE procedures (part of the quality
assurance plan) as modified by comments in the last column of the table below.

PROCEDURE NO. REV COMMENTS

Project Management Process
Project Organization
Project Execution Plan
Project Procedures
Subcontracts
Project Files
Correspondence
Document Distribution
Project Closeout
Definition of Terms
Project Opening and Project
Closing
Change Order Requests
Project Archiving
Engineering/ Design Process
Document Review and
Approval
Design Basis
PM-001 0 As is.
Maintained on the Project P-drive in FODE-GIE Office Server in
PM-005 1
Lekki Lagos
As written in this plan and posted on the Project P-drive in
PM-010 5
FODE-GIE Office Server in Lekki Lagos
PM-025 1 As modified herein.
PM-045 1 As is
PM-050 0 Additionally, the Document Information System (DIS) will be
used on this project. All official documentation to and from CNL
will be posted to the Chevron eRoom.
PM-055 0 As is
Exception: If the Project Manager is unavailable, the Project
Manager’s designee can approve outgoing correspondence.
PM-060 0 As is
Exception: Document distribution may be accomplished by hard
copies or electronic copies..
PM-065 5 As is.
PM-070 0 As is.
PM-075 4 As is.
CNL 0 Chevron Trend Alert Form, Document No. EES-EXGN-TEC-
Document FRM-CNL-000-0001-00
PM-085 0 As is.
EN-001 1 As is.
EN-015 2 As is
Exception: Document Review and Approval will be in
accordance with the schedule shown in the deliverable logs.
EN-020 1 As is

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 Project Procedure
PROCEDURE
Engineered Items Lists
Specifications and Data Sheets EN-030
Engineering Requisitions
Engineering Calculations
Engineering Reports
Design Drawings
Materials Library
Vendor Qualification
Bidding for Materials and
Equipment
Close-out of Procurement
Records
Quality Assurance Process
Project Quality Assurance
Quality Training
Quality Audits
Nonconforming Product
Quality Documents and
Records
Management Review
Quality Audits Planning and
Follow-up
Creation, Revision and
Cancellation of Standard
Procedures
Customer Feedback
Personnel Training
Budget
Deliverable Logs and
Schedules
Manloaders
Project Control
Project Estimating
Rev H01
PROJECT EXECUTION PLAN Page 5
NO. REV COMMENTS
EN-025 1 As is.
3 Due to the size of the project team, approval process will include
only “Preparer”, “Checker”, and “Project Manager” approval (in
lieu of Project Engineer). Approval process will be in accordance
with the milestones shown in the deliverable logs.
EN-035 4 Due to the size of the project team, approval process to include
only “Preparer”, “Squad Check” and “Project Manager” approval
(in lieu of Project Engineer). Approval process will be in
accordance with the milestones shown in the deliverable logs.
EN-040 1 As is.
EN-045 1 As is
EN-050 2 Approval signatures and dates may be recorded in the “Review”
or “Check Print” stamps placed on each individual drawing being
reviewed or checked, or alternatively on a single coversheet
affixed to the set of drawings being reviewed or checked.
MM-020 0 Refer to CNL’s approved vendor lists.
MM-025 1 Refer to CNL’s approved vendor lists.
MM-030 1 Refer to CNL’s procurement specifications.
MM-075 0 As is
QA-001 0 As is.
QA-010 4 As is.
QA-015 3 As is.
QA-020 1 As is.
QA-025 2 As is.
QA-030 2 As is.
QA-040 1 As is.
QA-045 1 As is.
QA-055 3 As is.
QA-065 2 As is.
AD-020 3 As is.
PC-005 2 As is.
PC-010 3 As is.
PC-015 2 As is.
PC-020 3 As is.
PC-025 1 As is.
EES-EXGN-ADM-PLN-FOD-000-30001-00 July 21, 2008
 Project Procedure PROJECT EXECUTION PLAN Page 6

PROCEDURE NO. REV COMMENTS

Project Revenue Invoicing PC-030 2 As is.

4.3 Work Location

4.3.1 Lekki Office
The bulk of the work will be done at the FODE offices at

Block 24, Erastus Akingbola Street

Lekki, Phase 1
Lagos. Nigeria.

4.3.2 Site Visits

Key personnel will visit and inspect the Escravos Terminal area shortly after the kick off
meeting. Subsequent site visits will be scheduled later in the project. The timing of these
visits will be determined by the schedule and sequence of work.

4.3.3 Work Sequence

The sequence of activities is shown in the project schedule, document number EES-EXGN-
PRC-SCH-FOD-000-30001-00.

5.0 ORGANIZATION

5.1 Organization Chart

FODE has developed a FODE EESP organization chart. Refer to document number; EES-
EXGN-PRC-ORG-FOD-000-30001-00“

As described in the organization chart, the project manager’s team comes with a wide range
of experience. This will encourage a reduction of the time spent on supervisory issues, given
the relatively high level of technical expertise placed at the lead engineer positions. This will
enable the engineering coordinator to focus on the challenge of reducing inter-disciplinary
interface issues. Additionally, the CAD team is grouped under the senior Drafter to ensure an
efficient use of the drafting resources in a multi-tasking role.

5.2 Expatriate Rotation Schedule

FODE has arranged leave cover for critical positions. The alternate candidate will work extra
hours to meet the job schedule during the incumbent’s absence on leave.

5.3 Contact List

The contact list is in Appendix A1.

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5.4 Description of Labor Force

5.4.1 Project Personnel
FODE will be assigning 32 personnel on the EESP FEED. A tabulation of the specific
individuals that have been identified to support the EES Project is shown below.

JOB ROLES AND RESPONSIBILITIES (FODE TEAM)

POSITION INCUMBENT
Project Manager Bob Davey
Engineering Coordinator Glen Sumner
Lead Pipelines Engineer (1) Glen Sumner
Lead Pipelines Engineer (2) Gabriel Rosoiu
Specialist Pipelines Engineer (Hydraulic) Tharma Naguleswaran
Lead Installation/Survey Engineer Gary Fellers
Lead Piping Engineer Keith Buchan
Lead Electrical Engineer Berlian Syako
Lead Structural Engineer Florian Smochina
Lead Instrument Engineer Ranjit Gupta
Intermediate Designers George Udoh, David Okokhia
Junior Engineers Oliver Onoh
Electrical Designer Marketa Fiserova
Senior Drafter/Head CAD Services Olusola Olotu
Project Services Manager James Crawford, Michael Stephens
Project Controls Engineer Joel Tiongco
Cost Estimate Engineer Kayode Aderibigbe
Document Control Supervisor Grace Oyinlola
HES Engineer Remmy Okorie
Technical Assistant Princewell Nnakwe

5.5 Subcontracting Plan

Subcontracted work is described in the paragraphs of this section.

5.5.1 Horizontal Directional Drilling Study

Section 3.3 of the CNL FEED Scope of Work requires a study of the feasibility and cost of
horizontal directional drilling. Refer to the Scope of Work – HDD Study, document number
EES-EXGN-PPL-RPT-FOD-000-30001-00.

5.5.2 Pigging Study

Section 3.3 of the CNL scope of work requires a study to determine the cost to run inspection
pigs in the new pipeline. This task will be subcontracted to a firm that specializes in pigging.

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Project Procedure PROJECT EXECUTION PLAN Page 8

It is anticipated that the work will be done in Lagos. There are two aspects to the cost of
running an inspection pig; the capital cost to provide a means for launching and recovery, and
the cost of conducting the operation.

The pigging contractor will also provide input for a related but separate task, the process and
cost of commissioning the pipeline. Refer to Scope of Work – Pigging Study, document
number EES-EXGN-PPL-RPT-FOD-000-30004-00

6.0 QUALITY ASSURANCE/QUALITY CONTROL PLAN

6.1 FODE Quality Policies and Objective

It is the policy of Field Offshore Design Engineering (FODE) to provide quality engineering
services to our Clients; meeting or exceeding contract goals. FODE recognizes the
fundamental importance of an effective Quality Assurance Program as an integral part of the
Company’s scope of work, and is committed to a process of continual quality improvement in
the production of engineering work products and management services.

The Company’s primary quality objective is to consistently achieve Client satisfaction by

reaching mutually agreed expectations established in the contract for the execution of the
Escravos Export System Project with CNL, by employing good business practices, and by
executing in accordance with professional standards and ethics. The project activities
encompassed within this policy include Project Management, Design and Engineering.

A Project Quality Management System (PMS), [FODE Quality Management System,] which
as a minimum, complies with the minimum requirements of the Quality Standard ISO 9001:
2000 has been developed to pursue the quality objective of the Team. System compliance
shall be verified by a program of internal project system auditing. Documents required by
FODE Quality Management System shall be controlled and managed according to FODE
document control and records procedure (PM-055 Rev.0) and the project Quality Assurance
Plan as modified to meet CNL requirement.

The Project Team declares its total commitment to achieving this policy objective through the
observance and implementation of the following principles:

• The Project Team produces a quality product by fully understanding and satisfying
contract needs and requirements.
• Development and use of qualified personnel, trained with necessary skills and
experience to perform their duties.
• Performance in accordance with the documented Project Quality Management
System with the aim of satisfactory product realization and error free
performances.
• Open communication with CNL and project suppliers to ensure awareness and
maintenance of project quality standards and objectives.

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• Active encouragement of all users to continuously review, develop and improve

the Project Quality Management System and to implement a culture of continuous
improvement throughout all activities.
6.2 Design Procedures
All critical activities on the EESP shall be done according to written procedures listed in
Section 4.2 of this document, as modified for the EES Project. Where necessary, revisions or
new procedures will be developed.

6.2.1 Work Flow Processes

The process defining the work flow to be used in performing the EESP engineering and
design works/services is summarized in Appendix A2, Design Approvals Matrix. This is
intended to facilitate continual improvement in FODE’s performance relative to client
satisfaction.

6.2.2 Documentation and Reporting of QA/QC Results

The project procedures will be modified as necessary to meet CNL’s requirements for
documentation and retention.

All calculations, reports and drawings shall be in the English language. Units of Measure
will be according to CNL Drafting and Design Guideline. Refer to document 55-FAC-CNL-
PRO-0005.

FODE shall submit for CNL review and approval all drawings, specifications, data sheets,
calculations, reports, schedules, forms, lists, plans, analyses, programs, procedures, manuals,
certifications and all other documentation as Technical Requirements dictates. All designs
and documentation that require CNL review or approval shall be submitted immediately to
CNL upon completion of FODE`s internal review.

FODE shall provide a Master Document Register of all documents to be prepared during the
course of the project. CNL will review this register and advise FODE of any documents
which require longer review period cycles. CNL reserves the right to amend these review
period cycles at any time.

6.2.3 CNL Review and Approval

CNL review of FODE documentation submittals will be coded to reflect approved, approved
as marked, not approved or noted as shown in project document.

CNL will review and return one (1) drawing/document submitted for approval marked as
either:

Code 1 – Approved/No Comment

Code 2 – Reviewed/With Comments
Code 3 – Reviewed/Resubmit
Code 4 – Not Reviewed

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Work may proceed immediately on drawings Code 1, 2, or 4. Work may not proceed on
drawings marked Code 3. Drawings marked Code 2 shall be revised and returned to CNL. If
comments are extensive or were not fully incorporated, additional review/revise cycles will
be required until documents achieve Code 1 condition. Drawings marked Code 3 shall be
revised and resubmitted for CNL approval. Code 4 indicates that the CNL does not intend to
“approve/not approve” the document submitted. This does not relieve the FODE from fully
complying with the Technical Requirements.

CNL shall have fourteen working (14) days to comment on the submittal, counting from the
working day after the release of transmittal by FODE Document Controller to CNL
Document Controller. Certain key documents shall have longer review periods. Should
“comment/approval” not be received by FODE after the comment period, FODE may
proceed with work as though the submittal had been marked “Code 4”, “Receipt Noted”.
Document review status shall be included as a topic during weekly progress review meetings.

6.2.4 Documentation Submittal

FODE shall submit all design drawings, engineering calculations and document deliverables
for CNL review in electronic and/or hard copy format per the requirements of FODE
Document Control Procedure/Project Controls and Administration.

FODE shall submit final FEED report encompassing all design drawings, engineering
calculations and document deliverables to CNL in electronic format and hard copy format.

6.2.5 Non-Conformance Audit Exercise and Mitigation Plan

Audit exercises will be executed during the EESP FEED project. The exercise will be carried
out according to FODE Quality Audit procedure (QA-020 Rev 1). The purpose of the audit
shall be to identify non-conformance to the Quality Management System in the approach
taken in executing the FEED project. Information gathered from this audit will be reflected
in the Project Close-Out and Lesson Learned reports. As much as is possible, lessons learned
will be reflected before the end of the FEED project.

7.0 HEALTH ENVIRONMENT AND SAFETY (HES) PLAN

7.1 FODE Policies - Health, Environment and Safety (HES)

It is FODE policy that all activities shall be planned and executed in a manner that:

• Preserves the health, safety and security of all staff, contractor staff personnel and
members of the public
• Minimize the impact of operations in the environment and
• Is sensitive to the needs of the host communities.

Implications of implementing this policy are that:

• All activities shall be analyzed to systematically identify related hazard risk and
sensitivities.

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• Arrangement shall be implemented to address consequences should they arise.

• Any activity that adversely impacts healthy, safety and the environmental or may
adversely impact relations with the community shall be suspended until an
acceptable solution is found.
• All personnel, including those of the sub-contractors, shall be trained and made
fully aware of the hazards, risks and sensitivities and control in place.
• Plans and procedures shall be in place to respond to any emergency

Every employee and sub-contractor employee is to perform their work in accordance with
this policy. Each employee is required to report, and where necessary suspend any activity
which he considers, is in contravention of this policy. Safety incidents will be reported to
FODE EESP Project Manager.

7.1.1 Health Policy

Since work may affect any system of the human body, it is essential that early recognition of
health hazard is established, monitored and controlled. FODE places great emphasis on the
promotion of total health concept and the protection of the personnel. All personnel must be
certified medically fit before employment and medical examination conducted annually in
our clinic.

Dr Hammond Clinic
Zenon House
2 Ajose Adeogun Street
Victoria Island, Lagos
Tel- 01-2700740, 01-2630138

7.1.2 Environmental Policy

FODE Nigeria Ltd pledges to reduce the incidence of environmental pollution or damages to
zero. This shall be done by ensuring the following:

• Good house-keeping shall be required. This means that all personnel are required
to ensure that all equipment is in the appropriate places and ensuring that all waste
materials are properly disposed.
• Ensure that courses on pollution prevention and control are attended by our
employees.

The HES Engineer is responsible to ensure that waste materials (paper) generated during the
FEED project are collected and disposed of in a manner that does not compromise
confidentiality.

7.1.3 Security Policy

The security of FODE employees, third parties, the properties of the client and community
are FODE’s primary concern. We will take action to address any incident of theft.

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7.1.3.1 Security Plan

• A private security outfit has been retained for access control on a 24 hour basis.
Adequate fence and lighting systems are provided on company premises to prevent
unauthorized access and ensure operational integrity.
• Management has ensured that access and exit control to/from company premises is
appropriate. Staff and visitors are issued with identity cards which are required to
be worn at all times. A movement register is in place for staff to record time,
mission and destination.
• Company vehicles are fitted with appropriate security devices and appliances.
• Training programs, seminars and courses shall be organized to educate staff and
purpose of educating staff and improving their level of security consciousness. A
discussion is in hand with the CNL HES team to facilitate this.

7.2 Health, Environment and Safety Plan

7.2.1 HES Training Requirements
FODE shall provide all personnel with the required training enabling our employees to
perform their job in a safe and environmentally sound manner. Since the EES Project is
primarily office based during this FEED effort, with occasional site visits, such training
includes first aid, fire extinguisher operation, and CPR.

7.2.2 Project Orientation

FODE will ensure that all Project Team members receive HES orientation upon joining the
team. This will include a discussion by the HES Engineer on FODE’s HES policy and the
specific HES challenges on the EES Project.

7.2.3 Worksite Inspections

FODE project team will ensure safe conditions in the design office. Periodic inspections will
be carried out to ensure compliance.

8.0 COMMUNICATION PLAN

The success attained on any engineering project is principally dependent on a comprehensive

and effective documentation procedure. This involves the management, utilization and
storage of project related information throughout the duration of the project.

All formal communication shall be carried out in the eRoom created by the client and strictly
controlled by the document controller of both CNL and FODE.

Informal and routine communications can be done via emails; however, FODE will not act on
informal communications. The document Control Procedure mandates that such email
documents will be archived in the Project Folder at periodic intervals.

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8.1 Document Retention and Distribution

Documents that will be generated on the EES Project will be retained throughout the project
life. These documents will be distributed either in electronic format and/or in hard copy to the
relevant parties on the project.

8.2 Correspondence
All formal correspondence must be approved by the Project Manager and copied to the
Document Controller. In the absence of the Project Manager, the Project Services Manager is
mandated to approve such outgoing correspondence.

8.3 Document Numbering System

All documents generated in the course of the EES project shall be numbered in line with CNL
Document Numbering and Coding Specification. (refer to document number EES-EXGN-
ITM-SPC-CNL-000-00003-00).

8.4 Document Transmittals

A Project Transmittal Form has been developed to be used in accordance with the CNL
Document Control and Exchange procedure document (refer to document number EES-
EXGN-ITM-SPC-CNL-000-00004-00).

8.5 Data Storage Format

FODE has developed an EES Information Storage System which is designed to manage
efficiently the flow of document on the project. Refer to document number EES-EXGN-ITM-
PRO-FOD-000-30001 “Information Storage System”.

The information storage system is designed to manage efficiently the flow of documents
throughout the lifecycle of the EESP project.

A systematic set of information systems – comprising data transmission/retrieval systems (e.g

email, E-room, FTP) and data storage systems – are used to ensure timely and secure data
storage and retrieval.

The flow-diagram below summarizes the information retrieval and storage process

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As shown in the process diagram above, FODE project group interfaces with the Document
Controller (DC) and the Client project group (Client). Data for design work is received
through the DC. The DC stores electronic data received from Client on the File Server
P:\drive and advises the project group of the location. After retrieving, drafting, or reviewing
data for final transmission to client (for approval or review), documents are sent to the DC
who appends/ verifies the required document numbering systems, files a copy on the server,
and transmits document to the Client DC.

8.6 Change Management

During the course of the project, there will likely be changes that will require formal approval
by CNL. A format for submitting change requests has been issued by CNL. A Trend Form
describing the proposed change, with the justification for making the change must be

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submitted to CNL. This must be accompanied by a Contractor Estimate (CWE). Change

requests will be compiled and submitted for approval as required during the project.

8.7 Information Security

It is FODE’S strategy that all information used and generated in the course of this project
shall be managed as a corporate asset and be safe guarded.

Information security and access rights are defined and documented. Data custodians shall
enforce information security standards and ensure the integrity of data within their area of
responsibility and comply with the statutory requirement.

Information back up is also available in our IT systems and with controlled access in our
organization. Our Data Security, Desktops and Server have controlled access with the use of
passwords. The EESP documents reside on the Intranet on the P-drive that has write
protection and controlled access to identified folders. As much as possible data will be
transferred by electronic means instead of printing. We will shred unused and waste paper to
avoid release of client confidential information to unauthorized persons.

Backups are carried out on a regular basis. A 1000GB external hard disk drive is used for
daily archiving, while 2 x HP Storage Works Ultrium 232 Tape drives are used for weekly
and monthly backup of all servers. A copy of the monthly server backups is kept off-site to
ensure speedy recovery in the event of unforeseen disaster.

9.0 PROJECT CONTROLS BASELINE

9.1 Project Controls Update Procedure

Project planning and control is a proactive, predictive, responsive and preventive work
process which involves a set of tools and software to plan, monitor and control activities that
impact the project’s Total Cost and the Project Schedule. In the planning process, cost and
schedule from the proposal set the project baselines (budget and schedule) and are broken
down to detailed levels that are traceable and measurable. In the control process, actual
project execution shall be measured against the plan, and deviations shall be mitigated or
trended. The control process relies on analyzing the progress reports. It also involves
measures to increasing awareness and communication (e.g., trending and reporting), assuring
appropriate resources,  enforcing implementation (e.g., management oversight), and focusing
on the overall picture.

This project started with a Request for Work Estimate (RWE) from CNL, outlining the scope
of the proposed work, the required Work Breakdown Structure (WBS) and the Deliverables.
CNL raised and approved a Work Authorization (WA) requesting FODE to develop a
Contractor Work Estimate (CWE). The CWE document is supported by Cost, Time and
Resource Analysis (CTR) sheets that identify each of the Deliverables and allocate it
resources by individual and discipline. The CTR is assigned a timeline in the Level 2

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schedule allowing the resource data to be integrated with the schedule files. The CTR number
can be directly mapped to CNL’s WBS.

The planning and scheduling is based on detail logic precedence networks using the critical
path method (CPM). Primavera Project Planner (P3) – Version 3.0 or MSProject are the
available software packages. The hierarchy of schedules is:
Level I Project Management Schedule
II Contract Milestone Schedule
III Detail Engineering, Procurement and
Construction Activities
IV Detail Construction and Commissioning
activities

9.2 Progress Reporting and Management Oversight

Once CNL has approved the CWE, the hours and costs detailed in it become the Base Budget
for that Deliverable.

The CTR sheets become the basis of the Weekly Progress Report which is the summation of
various internal reporting systems. Progress is primarily reported in terms of Earned Value as
this incorporates both the cost and schedule elements of the Deliverables. To calculate the
Earned Value of a Deliverable each CTR is weighted and given intermediate nodes, each
having a value that is ‘earned’ when the node is achieved. Each node is assigned a
completion date tying it back to the Schedule.

The Weekly Progress Report is subject to internal reviews with the Discipline Leads and
Managers in order to determine if progress is being achieved to plan and to identify any
variances that might have a cost or schedule impact on the project. If such a variance is
identified it will be processed through a Trend Alert Form. The Risk Matrix will also be
reviewed for additions, deletions and potential impacts. Workaround plans may also be
developed for discussion and approval by CNL

Summary information from the Internal Weekly Progress Report, which updates the progress
of the CTR’s, is presented in tabular and graphical form in the Weekly Reports presented to
CNL.

9.3 Trending
Trends can be brought forward by the Discipline Leads, CNL or may be identified during the
preparation of the Weekly Progress Report and the subsequent internal reviews with the
Discipline Leads and Managers. Any variances that might have a cost or schedule impact on
the project will be evaluated for mitigation or workaround. If a variance cannot be
dispositioned this way it will be processed through a Trend Alert Form.

9.4 Forecasting
Project cost forecasts incorporate changes that have not been identified or detailed by the

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trend program, but could have an impact on the project. Effectively it is a ‘heads up’ that
there are issues that may impact on the project and need to be dispositioned.
10.0 NIGERIAN CONTENT
The scope of work will be completed in Nigeria. Technical lead positions are supported by
local engineers. This will ensure that during the project, technology and knowledge transfer
take place. Additionally, at least one local engineer is included for the sole purpose of
gaining pipeline hydraulics knowledge during the FEED and study work activities.

Project management activities will be handled from the FODE office in Lekki Nigeria.

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APPENDIX A1 - FODE CONTACT LIST

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 APPENDIX A2 - DESIGN APPROVALS MATRIX

DOCUMENT Lead Interdisciplinary Project Issue Client Project Issue

Discipline Lead engineers Manager for comments manager For
Engineer Client incorporated
Review Design

Project Specs x x x x x
Equipment Lists x x x x x x
Data sheets x x x x x x x
Requisitions x x x x x x
Calculations x x x x x x
Material x x x x x x
Specifications
Reports / x x x x x x x
Studies
Eng. Drawings x x x x x x x

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 APPENDIX A3 - DOCUMENT DISTRIBUTION MATRIX
 
DOCUMENT CLIENT WEB PROJ LEAD PROJ ESTIMATE E- DCC
PAGE MANAGER DISCIPLINE CONTROLS ENGINEER ROOM
ENGINEERS MANAGER
PEP X O X
Monthly X X O
progress reports
Weekly X X O
progress reports
MoM X X O
Change orders X O X X
Project schedule X O X
Correspondence O X X
Org chart X O X
RFI X O X
Engineering X O X
drawings
Engineering X O X
calculations
RFQs X O X X X
TBAs X X O X X X
Equipment Lists X O X
LEGEND
X COPY
O ORIGINAL

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