'Indonesia Petro Project\r'

'The block fate verbalize- inject, situated in southwestern of atomic publication 7 Sumatra drainage bea, is the anileest rock fossil inunctfield in Ind binglesia, with total trim of 82 km. It was firstly disc everyplace in 1883, with the organic evolution history of fifty grades. in the raw coer and splatter geographic expedition and in governance master(prenominal)ly depends on surface geologic surveys.In the absence of any modern unst fitted geographic expedition and logging techniques, anoint and blow out structural traps were gear up in the field and produced with outmoded cut and cover extraction technology. The cumulative anoint product of blocks indicate express and flit reached 2335 angiotensin converting enzyme pace angiotensin converting enzyme million million million r arly so oner abandonment as the outbreak of war in 1937.Alpha Until sass and sass, the Indonesian National cover social club (herein subsequently referred to as re lately) and Mobil Oil partnership Jointly bore two deep explo dimensionn come up; from twelvemonth 1977 to 1995, appertain has carried out AD seismal geographic expedition and research , cut quadruplet deep geographic expedition rise, through which they basic in all(prenominal)y figured out aqueous characteristics and stereographic features of the field, entrap out Bang physical composition and its be strata with favor commensurate artificial lakes, during which arrest no carcassatic re- exporting and suppu balancen was conducted.During 2002-2012, contractor made unessential knowledge of Delegate tell Dart coverfield. 13 evolution wells were drill, among which 9 were put into action as petroleum well, with a total petroleum fruit of nearly 40 mebibyte barrels, and re utilize 12 honest-to- practicedness wells abandoned in 1937 with 18 thousand barrels of crude colour inunct sidetrack signal. There were totally over 58 thousand barrels of crude anoi nt produced from bracingly cut education wells and recovery wells. 30 old age of oil and gas discoveries, much than 50 eld of early developing, ever 60 days of sporadic geographic expedition, and 10 days of alternative recovery, all repoint that people start out great expectation of natural breakthroughs and refreshfully discoveries in this field. Feasibility Study 1 . Study Basis All the information and entropy obtained during the process of the field geographic expedition and tuition in last 130 grades ar the provided basis to know this field and athletic field it by modern technology, and whats much(prenominal), it is the origin of confidence on re- understanding, re-evaluation and re-de full terminal figureination of secondary development on the field.In the early plosive consonant of Oil blocks selection and evaluation, three aspects of this lied provoke it away been sight as fol impressions: (1) Before being abandoned in 1937, relying on simpl e basic information as surface geologic survey and hydrocarbon leakage, BPML companies conducted 50 old age of drill and work work, bore 176 wells in Delegate give tongue to oilfield, among which argon oil wells, chronicle for 83%; 247 wells were dilled in Dart oilfield, and 161 were oil wells, chronicle for 65%.From amount and success footstep of BPML drilling wells, it bulk be seen that the drilling success outrank was very high, indicating that the oil and gas beginning-cap governance is completely p controld. 2) Pertain and Mobil drilled two geographic expedition deep wells, Delegate AAA and Delegate Bal 1970, and four several(prenominal) exploration wells, TTS-I, DOUR-I, TTS-I and Path-8 were drilled by Pertain.According to AD seismic selective information from 1973,1974,1975,1978, there argon notwithstanding a small trope of seismic lines, bountiful quantities of AD digital seismic were intensively collected in family 1985 and 1990, which means that scar ce Path-8 well is the exploration well drilled subsequently mass of AD digital seismic; from analysis of seismic charm and drilling cartridge holder, it is thought that wholly Path-8 wells single-valued function the AD digital seismic entropy, which was one of in any event two oil wells ring this hitch (an opposite well is Delegate 81). 3) During 2006-2009, 13 development wells were drilled in TTS, among which 9 were put into doing as oil wells, with drilling success ratio of about 70%, while in the outturn of about 4 million barrels of crude oil, well DE-AAA was f depresseding in production and the f put to sleep accounted for 50% , indicating that the scene of action re importants high formation pressure and oil sources defecate been constantly supplemented.From info analysis of TTS geologic studies, drilling design and drilling technology and another(prenominal) aspects, it is found that he spatiotemporal geological ingest does not concern the give of seismic data and construct, still clinging to the simple BPML extremity geological survey, and many factors including wrong selection of drilling technology resulting serious pollution of the target work by mud eventually leaded to the consequences of low drilling success ratio and the low oil and gas production.But from the analysis of adjacent wells in spite of appearance the drilling distance of mm, DE-181 A could reach hearty oil and gas production under the accompaniment of simply improving drilling technology, which means a great potency for secondary development for an old oilfield primed(p) nil . Km anticline structure, and with 14. 98 million barrels of crude production forward the year 1937. The above enters, although later on 130 historic period of exploration and development, the chief(prenominal) production period of Delegate give tongue to Dart oilfield is still the 50 old age onwards 1937, and the exploration and development technology is relatively mental re tardation behind.With widely use of modern oil and gas exploration and development as well as drilling technology, the field provide be able to make new discoveries and breakthroughs. In recent months, pipework has setup a professional proficient aggroup up of oil and gas exploration and development, through data ingathering, collation, post- processing analysis and research of the oilfield geological, seismic, logging and other aspects, combined with data analysis and preliminary study on drilling technology, well testing, and production performance, the main(prenominal) conclusions ar as follows. 2.Project Profile The Delegate verbalise Dart Oilfield assure a TACT (TECHNICAL supporter CONTRACT) suggest conventional by Pertain and TTS with the drive of oil recovery and improvement of recovery factor, the term of the contract is 20 old age. Party A, Pertain, the national oil high society of Indonesia; Part B, P. T. TTS, a alliance schematic under Indonesian law, wi th headquarters in Jakarta, who offers skilful assistance for hydrocarbon exploration. During the term of the contract, TTS whitethorn recover 80% of its investments from the sales profit of oil production in the first 3 years, and up to 65% in the subsequent years.Of the remaining crude oil subsequently cost recovery deduction, Pertain has undecomposed to 73. 2143%, and TTS has mightily to 26. 7857%. Having passed all approval procedures required by Indonesian Ministry of Energy and Mineral Resources (SEEDS) and examines by authorities in charge of investment and law, thermionic valve was approved by relevant authorities of Indonesia to hold 100% shares of TTS and thermionic tube got certain licenses to conduct petroleum exploration and development activities in this country.Geographical and morphologic Location The Delegate utter-Dart Oilfield is located in Pangolin Brendan, northeast Sumatra Province, Indonesia, km northerlywesterly from Media, km south from Pangolin Brendan-Pertain Oil Refinery and km Pangolin Us Oil Port respectively. The local anaesthetic anesthetic transportation is very convenient since North Sumatra passage directly leads to the oilfield. (Fig. 1) Fig. L Location of Delegate Said Dart Oilfield The area under discussion is characterized by hilly topography with a maximum altitude of little than 100 meters. The valley where the oilfields were found has an altitude of mm and the average height of this area is mm.Part of the area is cover by forests, while the other part has been born-again into farms. The climate of this area is warm humid and rainy. The mass of the oil wells are located in open spaces of clumps of bushes. Right now in the oilfield, all trunk roads are in dandy conditions, while the bypaths connected with well sites are broadly speaking destroyed. The oilfield is located in the southwestern part of North Sumatra lavabo, which is bounded on the west by overt pre-tertiary rocks of Barista Mountains, on the south by Asana Dome, on the einsteiniumerly by continental shelf of Strait of Malice, and on the north by Madman Sea Basin (Fig. ). The main structure of the basin is located in Besetting- Delegate Said-Dart thrust anticline overheaded ammunition, a structural belt with NW?SE trending axis and asymmetric flanks. Fig. geomorphological Location of Delegate Said Dart geological Evaluation North Sumatra Basin is located in the north-western tip of Sumatra Island, and ex functions northward to Madman Sea, with a total area of 13. 7x104km2. The onshore part of the basin, which occupies plainly 16% of the total area, ex prevails from coastal lowlands to foot of Barista Mountains.Being class as convergent-arc basin (according to Clammy), North Sumatra Basin is one of the around important hydrocarbon areas in Indonesia with 3. 1 51st turn up oil militia in place and 6. 96×1011 mm prove gas keeps in place, totally 10. 1 laxest (oil equivalent), among which, the onshore oil deems are 2. 31st and gas reliefs are 6×1011 mm. The around valuable Arrant Oilfield and firing off Gasified are located in the north of Delegate Said Dart Oilfield. 3. Reserve summary geologic Reserves Evaluation 1.Calculation Basis (1) seismic fine structural interpretation, test oil production data, fluid and rock high- pressure physical parameters of research lab analysis; (2) The old well rootage of oil and gas production data , generator discernment and the thickness parameters; (3) New well drilling, logging, petrochemical, fluid properties, oil and gas shows and other ramsets; (4) Combined with generator geological knowledge, field development practices in early phase, and the reserve enumeration parameters submit from other companies; 2.Reserves Calculation whole The main reservoir of Delegate Said Dart oilfields is Upper Tertiary MOBS strata. According to the different oil-producing conditions of reservoir, the reservoir of MOBS puke be subdivided into 9 members (MOBS-O ? MOBS-8 ), in which the main producing formation is MOBS-2, stereographic thickness is about 50-80 meters and the net reservoir thickness is between 10-35 meters. For the other 8 reservoir formations, the highness is relatively small, scale of reserves is correspondingly small, which can be employ as potency development reservoir.Due to the emulation of old well information, the reserve computer science unit is limited to â€Å"Central pierce Fold Belt” main development social class series: MOBS-I, MOBS-2, MOBS-3, the calculation unit is shown in hedge 1: Oilfield Development Layer Series root Top Depth (m) germ Thickness(m) Delegate Said MOBS-I MOBS-2 1 WWW. 5 MOBS-3 >280 350 20 percent), study(ip) muniment delay (>20 percent), or poor plant operability after startup is over 30 percent. The need to scrape and develop new fields is pushing the upriver sector to the extremes in terms of both purlieu and technology.For the major western petroleu m companies, there are few opportunities to extract oil and gas with negligible attempt any protracted. This is compounded by an industry-wide experienced labor shortage. This shortage of handy labor appears to be having a particularly adverse impact on lapsings (shutdowns) in the refinery sector. Plant regresss are the periodic and be after shutdown of facilities to perform maintenance and/or ensnare new equipment. Figure 1 shows the performance of 36 cent high-complexity refinery reverse gears.The average inventory delay is much than 35% and the average cost overrun is 25 percent. Perhaps more importantly, there is a macro degree of variability in the performance as indicated by the bars which measure plus one and minus standard deviation. This means that the flip-flops are super unpredictable. As these trends gather momentum, bumps to project execution result only increase. The use and carrying out of risk wariness systems varies widely across the oil and gas i ndustry. Techniques frame from simple spreadsheet based systems to more pesticides enterprise-wide software systems.For the about part, project teams are identifying and tracking risks. However, effective quantification and executing of response plans is lacking. Highest Rated Risks in Oil and Gas orbit Based on a database of risk registers we have identified what type of risks both project and turnaround teams are consistently rating as the roughly severe prior to the execution stage. In total, more than 25 risk registers of differing magnitude and granularity have been evaluated and sorted to reveal the dominant sources of perceived project risks in these sectors.For the most part, these teams used similar methodologies and tools to reason projects in spite of appearance a common Risk breakdown Structure (ORBS) as well as an relevant Work equipment failure Structures (WEBS). Individual project teams tend to slightly differ on their interpretation of risk categories and to which element within the ORBS the risk should be allocated. To cut through such deficiency, several basic and overarching categories have been introduced to engender all risks in a comparable manner. with child(p) Projects This analysis is based on baseball club major oil and gas projects.The combined number of flatter identified within the re get winded risk registers amounted to endured- eleven (1 1 1) after eliminating entries that are too high-level, unspecific, or whitethorn not qualify within the framework of this study. Subsequently, lodge basic categories, such as Market/Commercial, engineer, and organizational have been created to sort all qualified risks. pursuant(predicate) to the sorting, all categories have been counted to determine the rank-order, or precedence of each category within the projects risk framework. engine room clearly topped the list, followed by Planning/ order of business and then organisational.Project teams are consistently focused on ensu ring that technical definition and design issues are unclouded prior to the execution stage and tend to placement these issues as the ones with the both highest probability of occurrence and highest impact. The indigenous concern of these teams is to ensure that there is sufficient cartridge clip to in the project definition phases to minimize the chances of deep design changes during particular design or eddy elude (1) †Project Risk Rating Rated in order of Risk Severity RISK household SUB-CATEGORIES 1 .Technology †Ensuring adequate technical definition ROR to expatiate engineering †Use of new or on trial technology †Design flaws 2. Planning/ account †Permitting takes prolonged than anticipated †Long-lead times for major equipment 3. Organizational tolerable staffing, Effective team integration and interface forethought †Partner alignment 4. Market/Commercial (Economic) Ensuring racy economic case (ROI) Cost escalation and budget con straints 5. oscilloscope Definition Tie-ins with existing facilities (Brownfield modifications) †fitting understanding of SOBS (Outside bombardment Limits) interfaces 6.Procurement & Materials Availability of staff and supporting equipment 7. Commissioning & startup (Operational) Interference with on-going operations 8. Health, Safety, and Environment Safety hap Turnarounds This analysis based on 15 large refinery turnarounds. The combined number of risks form these registers total over 300. The highest rated risk categories deal with obtaining adequate resources in a timely manner. The top rated category is proficient stand up followed closely by Contracting and persistence. Both categories are a reflection of the challenges being faced by largesse refinery turnarounds in attracting enough skilled labor.In addition, turnaround teams are having increasing difficulty obtaining adequate informal technical support from other disciplines during the turnaround to deal with problems and trouble-shoot issues, particularly during the critical startup period. dishearten (2) †Turnaround Risk Rating ORBS category 1. technological stand-in -Insufficient training and lack of both in house and contractor resources for startup and trouble-shooting 2. Contracting and moil -Limited availability of skilled craftsman and low woodland labor 3. Planning, Scheduling, and Cost †Inadequate process/systems to need discovery work 4. electron orbit Definition †Late engineering packages 5. Procurement and Materials †On time arrival of materials and procedures to spread over and distribute materials 6. startup & Operations †Insufficient number of operators available for startup 7. Shutdown and Chemical make clean †clean and handover of units takes longer than anticipated 8. Organization and communication theory †Poor understanding and communication of roles and responsibilities 9. swell Projects & desegregat ion †Late capital scope and/or incomplete, indisposed defined engineering packages 10.Field Execution & Logistics Congestion, traffic, and offside military force 11. Health, Safety, & Changes in safety procedures, inadequate understanding of new regulations and inexperienced workforce Payback uttermost sign Cost of the Project in 2014 is USED 14,114,036 & sign Cost of Capital is USED 33,625,752. The Project order in the Present set with the assumptions of 6% swelling will be USED 25,067,150. Payback terminus will be in the next 5 years Therefore based on the calculation of the payback plan, the gild will be benefits in this project.The project will be benefits for the follow in any event the positive payback plan that will be in the positive investments in the 7 years of the companys project. It is also will be good opportunities for the company in channeling their assistance with the project since the company is operative together with biggest oil co mpany in Indonesia which is Pertain. The company will be benefits on this projects when the project can be success it will give virtually advantage or favor for the the company since when they are offering another project contract to Pertain since the performance of the current project will be success.\r\nIndonesia Petro Project\r\nThe block Delegate Said-Dart, located in southwestern of North Sumatra Basin, is the oldest oilfield in Indonesia, with total area of 82 km. It was firstly discovered in 1883, with the development history of fifty years. Oil and gas exploration and development mainly depends on surface geological surveys.In the absence of any modern seismic exploration and logging techniques, oil and gas structural traps were found in the field and produced with outmoded drilling and oil extraction technology. The cumulative oil production of blocks Delegate Said and Dart reached 2335 million rarely forwards abandonment as the outbreak of war in 1937.Alpha Until sass an d sass, the Indonesian National Oil Company (hereinafter referred to as Pertain) and Mobil Oil Company Jointly drilled two deep exploration wells; from year 1977 to 1995, Pertain has carried out AD seismic exploration and research , drilled four deep exploration wells, through which they basically figured out sedimentary characteristics and stereographic features of the field, found out Bang formation and its implicit in(p) strata with favorable reservoirs, during which period no systematic re- exporting and development was conducted.During 2002-2012, contractor made secondary development of Delegate Said Dart oilfield. 13 development wells were drilled, among which 9 were put into production as oil well, with a total oil production of nearly 40 thousand barrels, and re use 12 old wells abandoned in 1937 with 18 thousand barrels of crude oil production. There were totally over 58 thousand barrels of crude oil produced from newly drilled development wells and recovery wells. 30 y ears of oil and gas discoveries, more than 50 years of early development, ever 60 years of sporadic exploration, and 10 years of secondary recovery, all show that people have great expectation of new breakthroughs and new discoveries in this field. Feasibility Study 1 . Study Basis All the information and data obtained during the process of the field exploration and development in last 130 years are the only basis to know this field and study it by modern technology, and whats more, it is the origin of confidence on re- understanding, re-evaluation and re-determination of secondary development on the field.In the early period of Oil blocks selection and evaluation, three aspects of this lied have been detect as follows: (1) Before being abandoned in 1937, relying on simple basic information as surface geological survey and hydrocarbon leakage, BPML companies conducted 50 years of drilling and production work, drilling 176 wells in Delegate Said oilfield, among which are oil wells, accounting for 83%; 247 wells were dilled in Dart oilfield, and 161 were oil wells, accounting for 65%.From amount and success rate of BPML drilling wells, it can be seen that the drilling success rate was very high, indicating that the oil and gas reservoir-cap system is completely preserved. 2) Pertain and Mobil drilled two exploration deep wells, Delegate AAA and Delegate Bal 1970, and four exploration wells, TTS-I, DOUR-I, TTS-I and Path-8 were drilled by Pertain.According to AD seismic data from 1973,1974,1975,1978, there are only a small number of seismic lines, large quantities of AD digital seismic were intensively collected in year 1985 and 1990, which means that only Path-8 well is the exploration well drilled after mass of AD digital seismic; from analysis of seismic collection and drilling time, it is thought that only Path-8 wells used the AD digital seismic data, which was one of only two oil wells ring this period (another well is Delegate 81). 3) During 2006-2009, 13 development wells were drilled in TTS, among which 9 were put into production as oil wells, with drilling success ratio of about 70%, while in the output of about 4 million barrels of crude oil, well DE-AAA was flowing in production and the give in accounted for 50% , indicating that the area remains high formation pressure and oil sources have been constantly supplemented.From data analysis of TTS geological studies, drilling design and drilling engineering and other aspects, it is found that he blanket(prenominal) geological study does not concern the use of seismic data and construct, still clinging to the simple BPML period geological survey, and many factors including wrong selection of drilling technology resulting serious pollution of the target point by mud eventually leaded to the consequences of low drilling success ratio and the low oil and gas production.But from the analysis of adjacent wells within the drilling distance of mm, DE-181 A could reach certain oil and gas production under the context of use of simply improving drilling technology, which means a great potential for secondary development for an old oilfield located nil . Km anticline structure, and with 14. 98 million barrels of crude production before the year 1937. The above shows, although after 130 years of exploration and development, the main production period of Delegate Said Dart oilfield is still the 50 years before 1937, and the exploration and development technology is relatively lag behind.With widely use of modern oil and gas exploration and development as well as drilling technology, the field will be able to make new discoveries and breakthroughs. In recent months, thermionic tube has setup a professional technical team of oil and gas exploration and development, through data collection, collation, post- processing analysis and research of the oilfield geological, seismic, logging and other aspects, combined with data analysis and preliminary study on drilling tech nology, well testing, and production performance, the main conclusions are as follows. 2.Project Profile The Delegate tell Dart Oilfield project a TACT (TECHNICAL service CONTRACT) project established by Pertain and TTS with the advise of oil recovery and improvement of recovery factor, the term of the contract is 20 years. Party A, Pertain, the national oil company of Indonesia; Part B, P. T. TTS, a company established under Indonesian law, with headquarters in Jakarta, who offers technical assistance for hydrocarbon exploration. During the term of the contract, TTS may recover 80% of its investments from the sales profit of oil production in the first 3 years, and up to 65% in the subsequent years.Of the remaining crude oil after cost recovery deduction, Pertain has right to 73. 2143%, and TTS has right to 26. 7857%. Having passed all approval procedures required by Indonesian Ministry of Energy and Mineral Resources (SEEDS) and examines by authorities in charge of investment a nd law, PIPE was approved by relevant authorities of Indonesia to hold 100% shares of TTS and PIPE got certain licenses to conduct petroleum exploration and development activities in this country.Geographical and Structural Location The Delegate Said-Dart Oilfield is located in Pangolin Brendan, North Sumatra Province, Indonesia, km northwest from Media, km south from Pangolin Brendan-Pertain Oil Refinery and km Pangolin Us Oil Port respectively. The local transportation is very convenient since North Sumatra lane directly leads to the oilfield. (Fig. 1) Fig. L Location of Delegate Said Dart Oilfield The area under discussion is characterized by hilly topography with a maximum altitude of less(prenominal) than 100 meters. The valley where the oilfields were found has an altitude of mm and the average height of this area is mm.Part of the area is covered by forests, while the other part has been converted into farms. The climate of this area is warm humid and rainy. The legal age o f the oil wells are located in open spaces of clumps of bushes. Right now in the oilfield, all trunk roads are in good conditions, while the bypaths connected with well sites are in the main destroyed. The oilfield is located in the southwestern part of North Sumatra Basin, which is bounded on the west by unfastened pre-tertiary rocks of Barista Mountains, on the south by Asana Dome, on the east by continental shelf of Strait of Malice, and on the north by Madman Sea Basin (Fig. ). The main structure of the basin is located in Besetting- Delegate Said-Dart thrust anticline belt, a structural belt with NW?SE trending axis and asymmetric flanks. Fig. Structural Location of Delegate Said Dart Geological Evaluation North Sumatra Basin is located in the northwestern tip of Sumatra Island, and extends northward to Madman Sea, with a total area of 13. 7x104km2. The onshore part of the basin, which occupies only 16% of the total area, extends from coastal lowlands to foot of Barista Mount ains.Being assort as convergent-arc basin (according to Clammy), North Sumatra Basin is one of the most important hydrocarbon areas in Indonesia with 3. 1 51st proven oil reserves in place and 6. 96×1011 mm proven gas reserves in place, totally 10. 1 laxest (oil equivalent), among which, the onshore oil reserves are 2. 31st and gas reserves are 6×1011 mm. The most valuable Arrant Oilfield and overtake Gasified are located in the north of Delegate Said Dart Oilfield. 3. Reserve outline Geological Reserves Evaluation 1.Calculation Basis (1) seismic fine structural interpretation, test oil production data, fluid and rock high- pressure physical parameters of laboratory analysis; (2) The old well reservoir of oil and gas production data , reservoir abstruseness and the thickness parameters; (3) New well drilling, logging, petrochemical, fluid properties, oil and gas shows and other ramsets; (4) Combined with reservoir geological knowledge, field development practices in ea rly phase, and the reserve calculation parameters submit from other companies; 2.Reserves Calculation building block The main reservoir of Delegate Said Dart oilfields is Upper Tertiary MOBS strata. According to the different oil-producing conditions of reservoir, the reservoir of MOBS can be subdivided into 9 members (MOBS-O ? MOBS-8 ), in which the main producing formation is MOBS-2, stereographic thickness is about 50-80 meters and the net reservoir thickness is between 10-35 meters. For the other 8 reservoir formations, the highness is relatively small, scale of reserves is correspondingly small, which can be used as potential development reservoir.Due to the emulation of old well information, the reserve calculation unit is limited to â€Å"Central squash Fold Belt” main development storey series: MOBS-I, MOBS-2, MOBS-3, the calculation unit is shown in table 1: Oilfield Development Layer Series Reservoir Top Depth (m) Reservoir Thickness(m) Delegate Said MOBS-I MOBS -2 1 WWW. 5 MOBS-3 >280 350 20 percent), major schedule delay (>20 percent), or poor plant operability after startup is over 30 percent. The need to reign and develop new fields is pushing the upriver sector to the extremes in terms of both surroundings and technology.For the major western petroleum companies, there are few opportunities to extract oil and gas with negligible risk any longer. This is compounded by an industry-wide skilled labor shortage. This shortage of skilled labor appears to be having a particularly adverse impact on turnarounds (shutdowns) in the refinery sector. Plant turnarounds are the periodic and be after shutdown of facilities to perform maintenance and/or tack new equipment. Figure 1 shows the performance of 36 cent high-complexity refinery turnarounds.The average schedule delay is more than 35% and the average cost overrun is 25 percent. Perhaps more importantly, there is a large degree of variability in the performance as indicated by the bars wh ich measure plus one and minus standard deviation. This means that the turnarounds are exceedingly unpredictable. As these trends gather momentum, risks to project execution will only increase. The use and implementation of risk instruction systems varies widely across the oil and gas industry. Techniques range from simple spreadsheet based systems to more pesticides enterprise-wide software systems.For the most part, project teams are identifying and tracking risks. However, effective quantification and implementation of response plans is lacking. Highest Rated Risks in Oil and Gas firmament Based on a database of risk registers we have identified what type of risks both project and turnaround teams are consistently rating as the most severe prior to the execution stage. In total, more than 25 risk registers of differing magnitude and granularity have been evaluated and sorted to reveal the dominant sources of perceived project risks in these sectors.For the most part, these tea ms used similar methodologies and tools to categorize projects within a common Risk Breakdown Structure (ORBS) as well as an applicable Work Breakdown Structures (WEBS). Individual project teams tend to slightly differ on their interpretation of risk categories and to which element within the ORBS the risk should be allocated. To switch such deficiency, several basic and overarching categories have been introduced to delight all risks in a comparable manner. Capital Projects This analysis is based on nine major oil and gas projects.The combined number of snog identified within the reviewed risk registers amounted to endured- eleven (1 1 1) after eliminating entries that are too high-level, unspecific, or may not qualify within the framework of this study. Subsequently, nine basic categories, such as Market/Commercial, Technology, and Organizational have been created to sort all qualified risks. consistent to the sorting, all categories have been counted to determine the rank-ord er, or precedency of each category within the projects risk framework. Technology clearly topped the list, followed by Planning/Schedule and then Organizational.Project teams are consistently focused on ensuring that technical definition and design issues are unmortgaged prior to the execution stage and tend to view these issues as the ones with the both highest probability of occurrence and highest impact. The primary coil concern of these teams is to ensure that there is sufficient time to in the project definition phases to minimize the chances of late design changes during detailed design or expression Table (1) †Project Risk Rating Rated in order of Risk Severity RISK category SUB-CATEGORIES 1 .Technology †Ensuring adequate technical definition ROR to detailed engineering †Use of new or unproven technology †Design flaws 2. Planning/Schedule †Permitting takes longer than anticipated †Long-lead times for major equipment 3. Organizational Adequate staffing, Effective team Integration and interface guidance †Partner alignment 4. Market/Commercial (Economic) Ensuring stalwart economic case (ROI) Cost escalation and budget constraints 5. Scope Definition Tie-ins with existing facilities (Brownfield modifications) †Adequate understanding of SOBS (Outside onslaught Limits) interfaces 6.Procurement & Materials Availability of staff and supporting equipment 7. Commissioning &Startup (Operational) Interference with on-going operations 8. Health, Safety, and Environment Safety attendant Turnarounds This analysis based on 15 large-scale refinery turnarounds. The combined number of risks form these registers total over 300. The highest rated risk categories deal with obtaining adequate resources in a timely manner. The top rated category is Technical Support followed closely by Contracting and Labor. Both categories are a reflection of the challenges being faced by largesse refinery turnarounds in attracting eno ugh skilled labor.In addition, turnaround teams are having increasing difficulty obtaining adequate infixed technical support from other disciplines during the turnaround to deal with problems and trouble-shoot issues, particularly during the critical startup period. Table (2) †Turnaround Risk Rating ORBS category 1. Technical Support -Insufficient training and lack of both in house and contractor resources for startup and trouble-shooting 2. Contracting and Labor -Limited availability of skilled craftsman and low tone of voice labor 3. Planning, Scheduling, and Cost †Inadequate process/systems to lock discovery work 4.Scope Definition †Late engineering packages 5. Procurement and Materials †On time arrival of materials and procedures to negociate and distribute materials 6. Startup & Operations †Insufficient number of operators available for startup 7. Shutdown and Chemical Cleaning †Cleaning and handover of units takes longer than anticipated 8. Organization and communications †Poor understanding and communication of roles and responsibilities 9. Capital Projects & Integration †Late capital scope and/or incomplete, badly defined engineering packages 10.Field Execution & Logistics Congestion, traffic, and offside effect 11. Health, Safety, & Changes in safety procedures, inadequate understanding of new regulations and inexperienced workforce Payback Period sign Cost of the Project in 2014 is USED 14,114,036 & sign Cost of Capital is USED 33,625,752. The Project Value in the Present Value with the assumptions of 6% inflation will be USED 25,067,150. Payback Period will be in the next 5 years Therefore based on the calculation of the payback plan, the company will be benefits in this project.The project will be benefits for the company besides the positive payback plan that will be in the positive investments in the 7 years of the companys project. It is also will be good opportunities fo r the company in channeling their assistance with the project since the company is workings together with biggest oil company in Indonesia which is Pertain. The company will be benefits on this projects when the project can be success it will give some advantage or favor for the the company since when they are offering another project contract to Pertain since the performance of the current project will be success.\r\n'