Petro-Facts October 2015

October 2015
Petrofacts
Inside this issue

Log
Our record of the companys news,

activities, new contracts and
agreements around the globe
Features
Counting the gains of sand

How Petrofac has made its inroads
into the Algerian market
20
34
Mexico
Santuario
North East is
in effect
a new field
14 Where we work
There are causes for celebration on
the Berantai field, offshore in Malaysia
North Sea
This is
testament to
our record of
sustained
operations
delivery
16 I am fascinated by what we do,

and what we are capable of doing
Tim Weller, Petrofacs Chief Financial
Officer, talks prospects and pressures
20 In praise of the humble valve
The unsung component which plays a
key role in virtually all of our projects
Turkmenistan
We always
want our
innovations to
be be proven
and certified
44
Perth
This feels
more like a big
town to me
than a city of
two million
26 Gas: big markets, big projects

A graphic representation of Petrofacs
contribution to gas supplies worldwide
28 Sharjah keeps good companies
Meet some of the businesses which
make our work in Sharjah possible
34 The big picture
The Santuario North East eld, Mexico,
where first oil has just been achieved
36 Opportunity is heading
downstream
Targeted diversication has seen
Petrofac achieve success in rening
Feature article:
Counting the
grains of sand
See page 8
Algeria is in a
dynamic state
today, says
Leila Mansour
40 I always carry
A single item, carried to work each
day, reveals a lot about a person
42 Double vision
Two general managers compare
notes from opposite ends of India
People
44 Meet some of the Petrofac people

around the world, as they talk about
their projects, their plans, and some
more personal aspects of their lives
Cover
Petrofacts
Contributors
Helen
Dunne
Journalist
For ten years,
Helen was Banking
Correspondent of
The Daily Telegraph
Lee
Hoagland
Photographer
The FT and New
York Times have
published Abu
Dhabi-based Lee
2 | Petrofacts October 2015
Helen
Campbell
Journalist
Helen, a languages
graduate, writes on
energy, shipping
and technology
Jay Daniel
Wright
Illustrator
Jay was born in
Nottingham, but
currently lives in
Glasgow, Scotland
The Petrofac editorial

team is responding
to the operating
environment by
publishing two
editions this year;
contact petrofacts.
editorial@petrofac.com
with comments or
contributions.
Every employee should
receive a copy; contact
petrofacts.distribution@
petrofac.com if youd like
to receive a copy
Algeria
In ten years
Petrofac has
achieved
spectacular
growth here
Galkynysh gas treatment plant in

Turkmenistan. Photo by Phil Sayer
Editor
Lucy Almond
Art Direction
Esterson Associates
Picture Editors
Millie Simpson
Ann Whatley
Lucy Pinkstone
Consultant Editor
Paul Keers
Printed by
www.push-print.com
40
Mumbai
My own
lunchbox
travels to the
office each day
by local train
28
Sharjah
From this hub,
we ship to
around 25 core
countries for
Petrofac
Petrofacts October 2015 | 3
Log
CONTRACT RENEWALS IN THE

UK UNDERPIN OPERATIONS
ASSETS
CHANGE
HANDS
IN NORTH
SEA
Petrofacs Offshore Projects

and Operations (OPO)
business has secured
contract renewals for
operations and maintenance
work worth approximately
$400 million on the UK
Continental Shelf (UKCS).
The largest of these awards
is for the provision of
operations and maintenance
teams for CNR International
across its North Sea assets
the three platforms in the
Ninian complex; Murchison;
and Tiffany for the next
five years.
Also in the East Irish Sea
Petrofac has secured a
two-year contract renewal
from Eni, covering operations
and maintenance services
for the Douglas fixed platforms;
offshore storage installation
and Point of Ayr terminal; and
duty holder responsibility for
the Irish Sea Pioneer
operations support vessel.
This builds on Petrofacs
existing portfolio of service
provision for Eni, including
as duty holder of the Hewett
field and assets in the
Southern North Sea.
COURTESY OF CNR INTERNATIONAL
Large-scale renewal of contracts in the UK Continental Shelf, worth approximately $400 million, serves
as testament to our record of sustained operations delivery on behalf of customers
CNRIs Ninian Central platform, one of the North Sea assets included in the contract renewals
Walter Thain, Managing

Director, Petrofac Offshore
Projects and Operations, says:
This package is great news
for the business and for
everyone involved. In the
current climate, more than ever,

it is vital that operators can
have confidence in the supply
chain to continue to generate
value for them. This large-scale
renewal of contracts that we
have held in some cases for

more than a decade is
testament to our record of
sustained operations delivery
on behalf of our customers
right across the UKCS.
19
ASSET
TRANSITIONS
SINCE 1997
Tatweer Petroleum in Bahrain

has awarded a contract to
Petrofacs Offshore Projects
and Operations business to
supply a new gas dehydration
facility Petrofacs first project
in the Kingdom.
The contract covers the
installation of a new gas
dehydration facility, which is
the first in a series of planned
gas capacity projects
scheduled for the next three to
five years. With a capacity of

500 million standard cubic feet
of gas a day, it will be a
significant part of Tatweers
commitment to secure the
delivery of natural gas needed
to meet the growing demands
of the Kingdom of Bahrain.
At the signing, Manivannan
Rajapathy, Deputy Managing
Director of Petrofacs Offshore
Projects and Operations
business, said: This award
builds on our growing portfolio

track record in the Middle East,
where weve demonstrated our
ability to safely deliver project
performance and integrity.
We now look forward to
working closely with Tatweer
Petroleum and to playing a key
role in the successful future
supply of energy from the
Bahrain oil field.
Andrew H Kershaw, Chief
Executive Officer for Tatweer
Petroleum added: Installation

of the new gas processing
facility will be a significant
milestone and is a critical piece
of Bahrains future energy
strategy. Signing this contract
is the next big step for Tatweer
Petroleum in the implementation
of its long-term development
plan for the Bahrain oil field and
we are all very excited and
proud to be able to move this
project ahead.
JAMIE JONES
PETROFAC SECURES FIRST WIN IN BAHRAIN
Petrofacs contract to support

the new operator of the Sean
gas field in the Southern North
Sea could herald a wave of
similar opportunities for the
company, as the oil price
downturn is leading majors to
divest mature assets.
Oranje-Nassau Energie
(ONE) UK Limited took over
the Sean operatorship in June,
following its purchase of 50% in
the producing field from Shell
and Esso at the end of 2014.
In June, ONE awarded a
$45-million, three-year duty
holder support services
contract to Petrofac, with the
option of two one-year
extensions.
The contract supports
around 40 jobs (on- and
offshore) and will see the
company provide operations
and maintenance services to
the Sean facilities, located 68
miles offshore, north-east of
Lowestoft. In total, In total,
Petrofac employs 4,000 people
for its UKCS operations.
Petrofac has been
supporting new entrants in
the North Sea since the 1990s,
when it pioneered the duty
holder model of outsourced
asset management. This
proved attractive to smaller
independent oil companies and
those entering the region for
the first time.
These contracts were
originally seen as a life of field
offering. But in their mature
form they have sometimes
acted as a bridging phase,
where companies without
operating equity in the UKCS
are able to benefit from
Petrofacs procedures,
processes and relationships
with regulators during their
transition to full operatorships.
Petrofac supported ONE
throughout its preparations
for transfer of operatorship for
Sean, including its interface
with UK regulators.
There could be more such
agreements on the way. The
sale by Shell and Esso of their
interests in Sean came as lower
oil prices are leading the majors
4,000
PEOPLE ONAND OFFSHORE
6
NEW UKCS
ENTRANTS
ENABLED
to redefine their portfolios

and reinvest cash in newer
prospects elsewhere.
According to information
provider 1Derrick, almost $6
billion of assets were for sale
in the UK North Sea as at
end-April 2015, with a quarter
of that value coming onto the
market during the first quarter.
Many oil majors and a range
of smaller independent
companies have assets on
the market.
The flood of assets has
created something of a
backlog, pushing prices down
and making deals more likely.
A new wave of asset sale
activity and influx of North Sea
first-timers would create new
opportunities for Petrofac as
the companys experience
makes it well-placed to win new
business, either as duty holder
(more commonly now service
operator) or in support
functions during the
transitionary phase as North
Sea assets change hands.
Petrofac pioneered
outsourced asset management
in 1997 via the creation of the
duty holder model. Since then
we have managed 19 asset
transitions and enabled six new
entrant operators in the UKCS.
Log
MANAGING AND MAINTAINING

THE ARMADA KRAKEN
Petrofac has been awarded a
contract to support
maintenance management
system (MMS) implementation
for Bumi Armadas floating,
production, storage and
offloading (FPSO), the Armada
Kraken bound for the North
Sea. These services will be
performed by Bumi Armada
supported by Plant Asset
Management, the asset
performance management
consulting business within
Petrofac.
Petrofac was selected
because of their track record
of MMS services for FPSO
projects. The Armada Kraken,
converted from a Suezmax ice
class tanker, will be deployed in
the East Shetland Basin.
The Kraken field
development is one of the
biggest heavy-oil field projects

currently under development
in the UKCS with an
anticipated production life
of up to 25 years.
The scope of work includes
development of an integrated
risk-based maintenance
programme, associated repair
and replacement strategies
and spares holdings.
Recognising the potential
value and cost savings to be
achieved, Plant Asset
Management will apply its
systematic methodology to
rationalise spares holdings
with the express aim of
ensuring effective cost control
when owning, stocking and
maintaining equipment spares
for the life of the asset.
BuildMETM, Plant Asset
Managements proprietary
PETROFAC
RECOGNISED
FOR SETTING
STANDARD IN
SAFETY
Two safety awards have been

secured by Petrofac from
clients for projects in Kuwait
and Abu Dhabi.
The companys Kuwait Oil
Company (KOC) Pipelines
project team won the KOC
CEOs Health Safety Security
and the Environment (HSSE)
award for a second
consecutive year.
The award was presented
by Hashem S. Hashem, Chief
Executive Officer of KOC.
The KOC Pipelines Project
recently clocked 15.5 million
man hours without a lost-time
incident (LTI), and this
HSSE recognition for the
second successive year
shows the commitment to
safety by everyone involved
in the project.
The Petrofac delegation,
which included Andy
Nickerson, HSSE Director
of Onshore Engineering and
Construction business unit,
and Mohamed Shanan, Project
We are delighted
to have secured
this work, which
will be executed
and delivered
by adopting a
close partnership
agreement with
our client
asset management
programme development
platform will support the
project. It will provide a
controlled environment in
which to develop the asset
hierarchy, assign maintenance,
conduct the criticality
assessment and spares
analysis, and build bills of
materials.
Business Manager (Europe)
of Plant Asset Management,
John Morrison, says: We are
delighted to have secured this
work, which will be executed
and delivered by adopting a
close partnership agreement
with our client that optimises
the combined skills of Plant
Asset Management and Bumi
Armada personnel in Kuala
Lumpur to provide a high
quality, cost effective solution.
Kuwait is, and will continue to be, one of our core markets, and is of strategic importance to Petrofacs ambitions in the Middle East.
PETROFAC AMBITIONS REWARDED IN KUWAIT

Petrofac has signed a contract
with the Kuwait Oil Company
(KOC) for their manifold group
trunkline (MGT) system in the
north of Kuwait.
The lump-sum engineering,
procurement and construction
(EPC) project, valued at
approximately $780 million,
is integral to KOCs plans to
increase and maintain crude
production over the next five
years. Three new gathering

centres (GCs), which form part
of the broader project, are
already under construction
with Petrofac executing the
EPC contract for GC 29.
Due for completion towards
the end of 2017, the MGT
system will provide the
feedstock to each of the
gathering centres via three
independent networks of
intermediate manifolds and

pipelines. Each of the
gathering centres will be
capable of producing around
100,000 barrels of oil per day
together with associated water
and gas.
Marwan Chedid, Chief
Executive of Petrofacs
Engineering, Construction,
Operations and Maintenance
division, said: We have a long
track record in Kuwait which

extends over the last 15 years
and the MGT award represents
our twelfth project in the
country. Kuwait is, and will
continue to be, one of our core
markets and is of strategic
importance to Petrofacs
ambitions in the Middle East.
We look forward to working
with KOC to deliver this project
safely and on schedule.
ENGINEERING AND PROCUREMENT CONTRACT

AWARDED IN OMAN
The team behind the UZ750 project also won a client safety award
Director of KOC Pipelines,

received the award from KOC
CEO Hashem S. Hashem.
The team behind the
ZADCO Upper Zakum UZ750
Project also won a client award
as Best Contractor Safety
Initiatives for 2014.
The team designed,
produced and delivered a wide
range of corporate and project
HSSE initiatives to make sure
that all employees and

contractors who are on site are
engaged and safe at all times.
The UZ750 project is a major
offshore field development
in the United Arab Emirates.
It is located 80km off the coast
of Abu Dhabi and is being
constructed on artificial islands
a huge onshore project that
requires an unusual blend of
offshore skills.
Petroleum Development Oman

(PDO) has awarded Petrofac
an engineering and
procurement contract to
provide services for its Yibal
Khuff project, a field located
approximately 350 km south
west of Muscat in the Sultanate
of Oman.
Under the terms of the
four-and-a-half-year contract
Petrofac will be providing
reimbursable detailed
engineering, and construction
and commissioning
management support services
and procurement on an
incentivised pass-through
basis. This will extend
throughout construction and
during start-up of the
integrated oil and sour gas
facility.
The total contract value is
expected to be around $900
million with around one quarter
of the revenues relating to
professional services
(engineering, construction and
commissioning management).
Development of the field will
add to PDOs future oil
production whilst the

associated gas will be utilised
for power generation and
enhanced oil recovery
developments.
Craig Muir, Managing
Director for Petrofacs
Engineering and Consulting
Services business, says: This
contract builds on the Rabab
Harweel Integrated Project
which we are already executing
alongside PDO and represents
a further milestone in the
development of our EPCm
delivery strategy.
It reinforces our presence

in Oman where we have a
number of projects and
engineering office, and where
this will further complement
our agenda for increasing in
country value. We will continue
to maintain a strong focus on
this aspect of our delivery by
accessing the local supply
chain and recruitment of local
resources and we are very
much looking forward to
growing and strengthening the
team working alongside PDO
to deliver this project.
Located in a remote region of

Algerias Sahara Desert,
where the terrain consists of
interlocking sand dunes, the
El Merk central processing
facility operates as a key
production hub for the
Berkine Basin region.
ALGERIA:
COUNTING
THE
GAINS
OF
SAND
During the past 18 years Petrofac has made signicant inroads
into the Algerian market, thanks to its involvement in a number of
major oil and gas projects. Robin Knight describes how it
has been done and what lies ahead
PHOTOGRAPH OVERLEAF COURTESY ANADARKO PETROLEUM CORPORATION
Adel Haddad
Vice President and Country
Manager, Algeria since 2009.
Joined Petrofac in 1998.
A mechanical engineer
by training, he has worked
mainly in the oil and gas
sector in India, Kuwait,
Georgia and Kazakhstan.
Graham Mac Millan

Vice President & Director of
Projects Algeria for Onshore
Engineering & Construction
(OEC). Joined Petrofac in
2001 as a safety studies
manager, and transferred to
project management in 2007.
Grassroots
training is one
of the most
effective tools
that the
company has
Algeria is a special market with its own

environments of risks and challenges,
observes Leila Mansour, Petrofacs Legal
Representative and Business
Development Manager in Algiers. Despite
this, she says, the companys spectacular
growth since it opened its first office in the
capital in 1999 has made the name of
Petrofac in her country a respected label
of seriousness one renowned for its
ability to deliver high quality services on
time and to budget.
Success has not happened overnight.
The company was first established in
Algeria in 1999, and the first contract
awarded in 2000 the $660 million
Ohanet development. But it was not until
2007 that Petrofac made its next
breakthrough the award of a $600 million
engineering, procurement and
construction (EPC) contract to design and
install compression facilities at three
gas-producing fields at the huge In Salah
development in the central Sahara region.
Since then, growth has been impressive,
much of it linked directly or indirectly to
large ventures associated with the
Algerian state-owned oil and gas company
Sonatrach. A further four EPC contracts
have been secured with a combined value
exceeding $5 billion, and the company
now has more than 800 staff (including
over 350 expatriates) working in the
country at nine sites.
Three major EPC projects are still
ongoing a $1.2 billion contract to develop
southern gas fields in the In Salah
development (SFDP); a $650 million joint
venture with the Italian firm Bonatti to
extend the life of the Alrar gas field in
southeast Algeria; and a $970 million
contract for a gas treatment plant and
associated flowlines/pipeline at the
Reggane basin in the Sahara 1,500 km
southwest of Algiers.
Most recently the company won a
five-year contract with Sonatrach to
provide a range of engineering design and
procurement (EDP) services as well as
signing a contract for the provisional
undertaking of a joint venture, also for
EDP services. The objective is to build

local capability and capacity. These
agreements are excellent illustrations
of our strategy in action, says Craig
Muir, Managing Director of Petrofacs
Engineering and Consulting Services
(ECS) business. They use our
international capability to maximise
in-country value. And they support our
longer-term sustainability in Algeria.
These successes have not been
achieved easily. The In Salah Southern
Fields Development, to give one example,
has been a long challenging project
according to Graham Mac Millan, Vice
President Operations and Director of
Projects Algeria for Petrofacs Onshore
Engineering and Construction (OEC)
business unit. First gas is scheduled for
later this year, with further expansion as
additional wells become available to be
hooked up. There has been some delay,
he explains, due to the knock-on effect of
the terrorist attack at the In Amenas site
in early 2013, which resulted in more than
one year of standby as the client and
Petrofac evacuated expatriates.
The In Amenas incident apart, Algeria
has been relatively stable since the turn of
the century. Nevertheless, as Graham

stresses, Wherever we work in the world
we have to remain vigilant about the
specifics of our operating environment.
Thats just common sense.
Ved Prakash Gupta, the companys
Project Manager at Alrar, adds:
Construction in Algeria has had its
challenges in terms of logistics and the
availability of skilled manpower and
qualified contractors. Alrar is no exception.
But we do understand the operating
environment. Indeed, every Petrofac
project here has been completed
successfully, and both the Alrar and
Reggane projects are progressing well
according to Algeria Country Manager
Adel Haddad.
Resources to counter the challenges
facing Africas largest country rely
overwhelmingly on the hydrocarbon
sector. Oil and gas revenues account for
58% of the governments budget, 98% of
Algerias export earnings and 28% of its
gross domestic product. Substantial
untapped oil and gas reserves do exist,
mainly in the Sahara region, making it
likely that Algeria will continue to woo
outside investors.
Paul Nicholson
Director Engineering and
Consulting Services (ECS)
North Africa. Joined ECS
in 2013. Some 25 years
project and construction
management, development
and implementation
experience in the onshore and
offshore oil and gas industry.
Prole
Leila Mansour,
Petrofac Legal
Representative,
Algiers
Ved Prakash Gupta

Project Manager Alrar gas
field project. Electrical
Engineer by training with
background in thermal and
gas power plants in the oil
and gas industry. Joined
Petrofac 2007 as Delivery
Manager for the In Salah
gas project.
For Petrofac, winning the $2.3 billion EPC

contract for the El Merk central processing
facility (CPF) in 2009 was the differentiating
project, says Graham Mac Millan. We won
that contract during the global financial
downturn. It ensured stability over a period
when our peers really struggled.
First oil at El Merk was achieved in
March, 2013 and the whole project was
completed six months later in less than five
years. More than 1,000 km of electrical
cable was laid and today the El Merk CPF
operates as a key production hub for the
Berkine Basin region.
One explanation for Petrofac success
stories in Algeria such as El Merk has been
the companys focused and sustained
drive to develop strong local relationships.
They are acutely important, notes Romen
Shah, Project Manager at the Reggane
development. Paul Nicholson, Director
ECS North Africa, echoes the sentiment:
They are the cornerstone for all our
business development and growth.
Jignesh Doshi, Project Director on the
SFDP, explains: About 60% of our labour
force comes from local towns. Hence our
relationships with the local authorities and
people are very important. Our biggest
concern is that once our work starts
tapering down, there will not be adequate
employment in a desert context like this for
local people, unless other project
developments follow.
In Algiers Leila Mansour adds another

perspective. In Algeria relationships
develop the country is in a dynamic state
today. Several changes can happen during
the life of the same project. This is a country
where you must always be on the alert
as change can happen swiftly. On the
other hand, as relationships deepen,
each project can be handled differently,
and better, than the previous one.
Thats very rewarding
Another key strategy has been to invest
in grassroots training one of the most
effective tools the company has according
to Adel, and an important weapon in the
struggle to combat unemployment. In
late-2010 Petrofac funded the construction
and operation of a centre 900 km south of
Algiers at Hassi Messaoud, designed to
help young locals acquire the skills they
need for the oil and gas industry. Over 800
individuals have graduated in five technical
disciplines and the facility has been widely
praised at local and national level.
Other Petrofac funds have been used to
upgrade a training centre in the In Salah
township, build a craft centre at El Merk to
improve skills such as welding and piping,
and facilitate English language courses for
engineers through the British Council.
Also, says Paul Nicholson, each member
of our engineering team has a fully defined
training and development plan. Given a
recently enacted law which lays down that
priority be given to Algerians in recruitment,

such initiatives have emphasised that
Petrofac is in Algeria for the long-term.
The advent of a low oil price era means
that competition for business will inevitably
become more and more challenging,
acknowledges Adel Haddad. And there is
agreement among Petrofac executives
that, as Jignesh Doshi puts it, while there
are tremendous opportunities in Algeria,
as with all our markets, it requires time and
passion to get things done.
Nevertheless, with the likelihood of a
renewed political push from the top to
further develop Algerias considerable
oil and gas assets, and bring them to
market within a more competitive
framework, plus southern Europes
ongoing need for more gas, the overall
future for oil and gas services companies
in Algeria appears encouraging.
Petrofac, in particular, looks well placed
to thrive, with a fully operational
engineering and representative office in
Algiers now supporting a cost-effective
business in the field all underpinned by a
strong track record. It has taken us nearly
two decades to learn how to perform
here, concludes Graham Mac Millan.
In the last two years our peers have tried
to enter this market but are finding it heavy
going. Algeria is not so easy to enter as a
newcomer but thoroughly rewarding
once you are in.
Romen Shah
Project Manager for the
Reggane project managing
engineering, procurement
and construction. A chemical
engineer by qualification,
he has 25 years experience
in project management on
various types of projects.
Joined Petrofac in 2002.
Jignesh Doshi
Project Director Southern
Fields Development Project,
In Salah. Joined Petrofac
2002. A civil engineer
by training, he worked
previously with Bechtel
in UAE and India.
As the first Algerian woman

to work as an oilfield engineer
in the Algeria Sahara desert,
Leila Mansour clearly
has what it takes to survive
and flourish.
It was an exciting
experience, she recalls.
I was involved in logging
operations on the oil wells,
responsible for some very
expensive and sensitive
equipment and for the crew.
To spend more than 72 hours
without much sleep was
nothing exceptional. The best
moment was getting an

invoice related to the
operations signed by the
client and then going back to
the base office.
Working at the time for
Schlumberger, Leila realised
from the outset that the
desert workplace was
essentially a masculine
environment.
It meant that I avoided
asking the men for help in
case it was used as a reason
to justify their delays or lost
time in the operation. I just
had to carry on without
complaint. Eventually people
did offer me their help which,
of course, I refused!
This unabashed, can-do
attitude has typified Leilas
career. Born in Algiers, she
grew up between Algiers and
Paris before attending
USTHB Algiers University,
where she studied electronic
engineering.
My nature is to seek a
challenge. At that time the
electronics discipline at the
university had the best rating,
so it became my challenge.
In 1993 she graduated with
honours.
Joining Schlumberger in
the Sahara, the company
subsequently transferred her
to Paris. There she oversaw
the companys business ties
with the global credit insurer
Coface her first move away
from engineering.
It was very exciting to find
oneself dealing with banks,
and negotiating best value
dates to allow investment to
be on time, she remembers.
Later she joined ABB
Lummus Global Netherland
and was responsible for its
business in Algeria until it

sold its oil and gas interests.
And shortly after, in 2004,
Petrofac came calling with a
new challenge to be Legal
Representative and Senior
Business Development
Manager in Algiers. Leila was
happy to accept.
Today, she says, I dont have
a specific job framework which
limits my orientation. As Legal
Representative and Senior
Business Development
Manager Im in contact with all
kinds of people, from those in
the lowest positions to those in
the highest.
Leila explains that she is
mostly self-taught. It pushes
me to learn legal procedures,
and the best way to deal with
the authorities, banks and
ministries, she adds.
Most of her time, Leila
admits, is dedicated to her job.
In ten years Petrofac has
achieved spectacular growth
in Algeria and made its name
known for the high quality of its
services. We are all proud to
work for this company. It has
become part of my life.
What has kept her with
Petrofac, she reflects, is
the trust invested by top
management in people.
Looking ahead, she hopes to
be more involved in corporate
social responsibility issues.
Yet mindful that success in
business can never be taken
for granted, characteristically
she has another goal in mind.
In her words: Inertia is the
main danger threatening
the dominant position of
a company. My focus in
Petrofac in the future will be
to concentrate on avoiding
that danger.
In ten years
Petrofac has
achieved
spectacular
growth in Algeria
and made its
name known for
the high quality
of its services.
WHERE
WE WORK
JUMP
FOR JOY
14 | Petrofacts June 2014
All those who work or

have worked on the
Berantai field offshore in
Peninsular Malaysia have
something to celebrate.
Not only has the asset
surpassed the one million
man hour mark of safe
offshore operations
without a lost-time
injury (LTI), but it was
also Hari Merdeka or
Malaysia Day in August.
The field has operated
for more than 961 days

safely, since hitting both
first gas and first oil in late
2012 and early 2013
respectively.
The safety achievement
also includes completion
work done by contractors
and vendors.
Petrofac is operator of
the field and has led the
development under a risk
services contract, working
alongside its partner
SapuraKencana
Petroleum, on behalf of
PETRONAS.
Hari Merdeka means
Independence Day. It is a
national holiday which is
celebrated on 31 August
every year, when people
from all backgrounds,
race and religion celebrate
the formation of Malaysia,
and its independence
from colonial rule.
Photograph by Ian Teh
Petrofacts June 2014 | 15
It is Friday morning at the end of a busy

week for Petrofacs Chief Financial Officer
Tim Weller. On Tuesday, the company
announced its interim results to the
market. After briefing City analysts,
Tim has spent the intervening days
meeting some of Petrofacs institutional
investors and explaining those results in
detail. Yesterday, for example, he was in
Edinburgh to meet a number of
shareholders, including Standard Life,
one of Petrofacs largest external investors.
And over the next three weeks, he will
visit investors in London, Europe and
North America, where more than 20%
of Petrofacs shares are now held.
Its a pretty intensive period, Tim
concedes. The investor roadshow takes
between three and four weeks. The
process is then repeated after the full year
results are unveiled. I generally visit the US
a couple of times a year, and theres an

annual European roadshow.
Indeed, over the course of a year, Tim,
together with members of his investor
relations team and Petrofacs executive
team, will meet around 300 investors,
some twice a year. We meet Standard Life
two or three times a year, he adds.
Meeting investors to explain Petrofacs
story and highlight its prospects is a
vital part of Tims role, and one he takes
very seriously. Quite simply, the investors
own the business. It is their money that is
at risk. Many bought their shares at the
time of Petrofacs float and are loyal to
the company. But Tim also has to
explain the business model and
performance to City analysts who
recommend whether investors buy,
sell or hold shares in Petrofac.
Managing the investor interface is a
very important part of the CFOs job.

We are the people who have to face the
investor and analyst community, and make
sure that they very clearly understand our
expectations for the business so that they
can set realistic goals.
When Petrofac slipped out of the FTSE
100 index into the FTSE 250, it did not
suffer from an exodus of shareholders
which other companies in similar positions
have experienced. We did not see a big
shake out of our existing investors, and
actually our current second largest
external investor acquired their stake after
our exit from the FTSE100, says Tim,
indicating that the loyalty of the investment
community reflects an understanding of
Petrofacs strengths, such as its record
backlog and significant opportunities
within its core Middle Eastern markets.
Tim adds: A frequent mistake made in
I AM
FASCINATED
BY WHAT
WE DO AND
WHAT WE
ARE CAPABLE
OF DOING
A companys Chief Financial Officer knows all about

expectations especially those of the City. Helen Dunne
meets Tim Weller to talk pressure, prospects and performance.
Photographs by Joakim Blockstrom
It is very important
that we do not seek
to dress up bad news.
We have to tell it like
it is. We have to admit
mistakes and explain
the reasons
investor relations is to seek as high a

valuation as possible by telling a really
good story which is not backed up by
reality. But that is not a sustainable
position. He believes it is more
important to get the company correctly
valued. Being open, honest and
transparent with analysts and investors
is key to this process. The good stories
must be told alongside the more tricky
ones, and Tim has had some difficult
stories to explain in recent months.
Over the past year, Petrofac has
delivered three profits warnings a
result of falling oil prices, a difficult
economic background, over-ambitious
forecasts for Integrated Energy Services
and some unforeseen operational
challenges such as the additional
construction costs related to ECOMs
Laggan-Tormore project.
You dont get a lot of sleep the night
before a major profits warning, Tim
admits. It is easy to deliver good news
but it is very hard to deliver bad news.
It is at times such as these that
relationships with key investors and
analysts come into play, reinforcing Tims
rule for regular contact. They will have
met and will know members of the
executive leadership team, both on a

business and personal basis, and that
helps, he explains. It is very important
that we do not seek to dress up bad news.
We have to tell it like it is. We have to admit
mistakes and explain the reasons.
Tough call
The most significant warning came in
November 2014 when Petrofac had to
reset market expectations for 2015 very
dramatically, says Tim. We shaved more
than 20% off earnings expectations and,
as a result, the share price dropped by
more than 25% that day. It was the biggest
bad news story Ive ever had to deliver.
It wasnt a happy day. The analysts call
was tough. As a representative of the
company, you feel bad for the investor
and analyst community because youve
disappointed them.
Ironically, there is a City mantra that
profits warnings generally come in threes.
It is partly due to human nature, explains
Tim. The first warning usually alerts
investors that there is a problem, but
nobody least of all the company really
believes it will be quite as bad as it seems.
The second warning provides an update,
as the grim reality starts to dawn. And the
final one delivers the grisly truth.

It is important for Tim and his team to
keep abreast of operational and financial
performance across the whole company
if they are to ensure that the Citys
expectations reflect a realistic view of
Petrofacs prospects. Tim holds frequent
formal and informal meetings with his
team, who have responsibility for all
aspects of the companys finances
including business unit and divisional
finance, financial control, tax, treasury, IT,
internal audit, mergers and acquisitions,
and risk, as well as investor relations.
They are expected to understand not
just Petrofacs business but the sector in
which it operates. We are a major player
in the industry, and my team and I must
understand that landscape and how we fit
into the broader marketplace, he explains.
Regular senior-level internal meetings are
key opportunities for Tim and his team to
understand developments across all of
Petrofacs business units in detail. Once
again, Tim emphasises the need for
openness, honesty and transparency
in this dialogue so that Petrofacs senior
leadership team can develop a detailed
and accurate view of the companys
performance and prospects.
Career opportunities
His focus on detail probably has a lot to do
with his engineering background. Indeed,
having graduated in the subject, Tim
initially aspired to be an engineer, but there
were limited career opportunities available.
Of the 70 students in my year, fewer
than 10 became engineers, recalls Tim.
The rest became investment bankers or
accountants. Tim joined KPMG as a
trainee accountant. He shunned
investment banking because of its lack
of a tangible product, adding: It is quite
hard for my investment banking buddies
to explain to their kids what they do on
a day-to-day basis!
Accountancy appealed because of its
parallel with engineering from a numeracy
perspective. I was already financially
literate, he says. Having become a partner
in KPMGs Infrastructure Business Unit,
he left in 1997 to become a serial Chief
Financial Officer, first joining the Granada
Group, before moving to Innogy Holdings
(now RWE npower), RWE Thames Water,
United Utilities and enduring a short period
with Cable & Wireless Worldwide, where
he also had to deliver three very big
profits warnings which culminated in the
departure of a number of senior executives
and, ultimately, in the sale of the company

to Vodafone. I like businesses that create
things, explains Tim. At Petrofac, I am
fascinated by what we do and what we are
capable of doing and believe we can be
really proud of our feats of engineering.
It is fundamentally important to me that
everybody in my finance team
understands these things and really gets
to know our business.
Tim is currently a non-executive director
of G4S and The Carbon Trust and has had
non-executive roles with businesses such
as BBC Worldwide and Stanley Leisure in
the past. I see my non-exec roles as an
opportunity to get exposure to different
businesses and markets, he explains.
But also to bring value to each particular
company through my financial expertise
and broader commercial experience.
For example, having worked for utility
companies, I have developed an
understanding of the interface between
the private and public sector, which was
an attribute G4S were looking for given
that government outsourcing is a major
business development channel for the
company, he says. As a non-exec, I have
a very real responsibility to look after the
interests of a companys stakeholders
in the broadest sense of the word.

He believes non-exec directors can act
as important checks and balances
for businesses, and claims to have learned
a lot from both performing the role and the
people he has met as a result. His own
experience has also renewed his respect
for those who perform the role at Petrofac.
Share price
Despite the travails of the past 12 months,
Petrofacs share price improved following
the results announcement and all but one
City analyst now rates the company as
either a buy or a hold. Was Tim relieved?
If any executive of a listed company says
that they dont look at the share price
several times on the day of an important
announcement, they are probably not telling
the truth, Tim says. But he also believes
that, if a companys investor relations
activities are effective, the price at which the
shares ultimately settle should not come as
a shock. Indeed, he suggests that the tone
of the analysts conference call, which takes
place on the morning of big financial
announcements, provides an indication
of how the shares are likely to perform.
So, I ask, whats the share price this
morning? I havent looked yet, he laughs.
If any executive of a
listed company says
that they dont look at
the share price several
times on the day of
an announcement,
they are probably not
telling the truth
IN PRAISE
OF THE
HUMBLE
VALVE
If you are a fan of comic book
characters, you may be aware of
The Enforcers, a fearless team
who apply the rules and direct
the action. So who, or what, is
the Petrofac equivalent? At
Petrofacts, we would nominate
the humble valve that unsung
component essential to every
project the company has ever
designed, built, maintained or
managed. Peter Halliday reports
Cast your mind back to every plumbing

issue you have experienced at home.
Think of the irritating little niggles like a
dripping tap, or a shower that wont stay at
the right temperature. Think of the bigger,
more disturbing dramas, like an
overflowing cistern, or a badly behaving
boiler. Almost all of these plumbing issues
can be traced back to the same root cause
a valve of one type or another that is not
acting in the way it should.
The thing is, in the oil and gas business,
the same principle applies. Except on a
bigger scale. Much, much bigger.
Strip it back to its bare essentials and,
just like your domestic plumbing system,
every oil and gas installation from a
wellhead, to a processing facility, to a
pipeline, to a refinery is made up of a
motley collection of pipework and valves,
with maybe a few pressure vessels thrown
in for good measure.
And, because it is the valves that contain
most of the moving parts, they tend to be
the most temperamental. They are the
most likely points of failure. They can wear
out, they can malfunction and, especially
if they are incorrectly specified, they can
simply fail to withstand the rigours of
todays oil and gas business.
They range in size from tiny little needle
valves, to gargantuan man-sized gate
valves. They range in weight from a few
ounces to more than 30 tonnes. They
range in price from a few cents to
hundreds of thousands of dollars. And, in
many ways, it is these valves that are the
real workhorses, or The Enforcers, of our
industry starting and stopping the flow,
regulating it, sending it in the right direction,
preventing it from going in the wrong
direction, relieving pressure build-ups, and
acting as the last line of defence whenever
things go awry.
If you are in any doubt about the role of
the valve, consider how many of them are
routinely specified, procured, fitted, tested,
maintained and, when necessary, replaced.
Over the course of 2015, according to
estimates from the McIlvaine Company,
the oil and gas industry is set to spend a
whopping $19 billion on valves. Of that,
$10.3 billion will go on new valves, $6 billion
will be spent on related equipment, and $3
billion will be eaten up on spare parts.
Why so much? Well, again according to
McIlvaine, even a modestly sized gas
processing plant, built at a cost of
$150million, would require a $5 million
investment in valves 80% of which would
go on relatively simple on/off valves, and
20% on more sophisticated control valves.

And, of course, Petrofacs own
experience bears this out. Take, for
example, the $1 billion Rabab Harweel
project in Oman, consisting of sour gas
processing facilities, associated gathering
and injection systems, and export
pipelines. For this contract alone, Petrofac
specialists are specifying, procuring,
testing and delivering upwards of 15,000
different valves including 14,000 manual
valves, 650 actuated valves, 300 control
valves, and 200 pressure safety valves.
The cost of many of these valves may
be relatively modest at, say, $250-to-$500
a piece. But, depending on their purpose,
valves can get very sophisticated very
quickly, and the price escalates
accordingly so, for example, it is not
unusual to pay more than $300,000 for
a large emergency shutdown valve.
Tough life
A valve has a tough life. And, as the oil and
gas industry evolves, presenting ever more
difficult and demanding conditions, it gets
tougher all the time.
Depending on what they are for and
where they are sited, many valves have to
withstand a wide range of demanding
conditions. They often have to contend
with a highly corrosive mix of materials,
from seawater at the lower end of the
toxicity scale, through to the highly
poisonous, corrosive, flammable, and
explosive properties of hydrogen sulphide
$19bn
Valves involved on the
Rabab Harweel project
15,000
Spend on valves for one
gas processing plant:
$5M
at the other. They can experience pressures

of more than 300 bar (so, they have to be
around a hundred times tougher than the
valves in the tyres of your car). They can
face temperatures of more than 600C
(which is at or approaching the melting
point of many everyday metals such as
zinc, aluminium and magnesium). Or in an
emergency depressurisation situation at a
gas plant, for example, temperatures may
suddenly plummet from +30C to -100C.
The valves controlling the procedure need
to maintain their integrity throughout it all.
In an industry that wont tolerate safety
compromises, has a relentless focus on
production performance, treats even a
single drop of spilt oil as a reportable
incident, and has never been more cost
conscious, ever more expectation is
loaded onto the lot of the humble valve.
Misbehaving valve
It is generally true to say, just like those
domestic plumbing problems, in any oil
Overleaf, the Galkynysh gas
plant in Turkmenistan is
Petrofacs largest EPC
project to date.
Estimated 2015 industry

spend on valves:
and gas incident, a misbehaving valve will

be at the root of many issues or will have
failed to prevent them. Lets take the most
notorious case imaginable, the Deepwater
Horizon oil spill. Here, the cause of the
accident was traced back to the
conspicuous failure of eight different
safety systems three of which were
valves or valve control systems.
Consider also that, in the US legal
industry, there is a dedicated class of
attorneys called valve failure injury
lawyers. They earn their money by
representing oil and gas workers who have
been hurt in a valve failure and the fact
that they even exist speaks volumes about
the prevalence of such incidents.
So, clearly, in any asset integrity
campaign, and in every statutory testing
regime, valves are always a prime focus.
But, remember, the job of a valve is not just
to stop things from going wrong. It is also
about enabling things to go right. A whole
class of valves, the so-called control
valves, are there to regulate the flow

through every facet of an oil and gas
facility. They therefore have a direct impact
on the performance of that facility. And, to
achieve the optimum performance, all of
the different valves need to be correctly
specified, sized, situated and safeguarded.
In recent years, the question of valve
quality has edged up the Petrofac agenda.
The fact is, the company had begun to
suffer from quality and integrity issues
nothing on the scale of a major incident,
but an on-going series of niggling issues,
like leakage through valve casings, or the
sheering of valve stems, all of which were
adding to costs and causing delays.
The issues became so prevalent that
valve integrity became a regular agenda
item of the companys six-monthly
management review meetings, and a team
of quality specialists, under the leadership
of Dr Andrew Thomas, Quality Director
with Onshore Engineering and
Construction, was charged with finding a
Above and right, the Berantai

field in offshore Peninsula
Malaysia, operated by Petrofac
on behalf of PETRONAS.
Number of valves acquired

for BP North Sea operations:
4,000
Temperature at which a
valve may have to operate:
600C
Pressure (bars) which a valve

may have to withstand:
300
solution. A supplier quality management

system and a bi-monthly vendor forum
were put in place, bringing closer
partnerships with the major valve
suppliers, a more scrupulous regime of
monitoring and testing, and a systematic
way of capturing and reporting on any
related quality concerns.
This may sound simple in theory, but the
reality can be more complex. The valve
industry is unusually fragmented, with
hundreds of different suppliers using
thousands of different sub-contractors.
Even a highly reputable supplier with very
sophisticated valve designs may outsource
some of its manufacturing to a third party,
and thats where quality issues can
sometimes creep in, explains Andrew.
Quality initiative
Another perspective comes from Richard
King, Vice President of Engineering and
Integrity Assurance at Engineering and
Consulting Services. He says: Issues with
valve quality can take a while to come to

light. Often the purchaser is not the end
user, which means the manufacturer may
never get the feedback unless something
goes seriously wrong.
Although some issues do continue to
surface, and not all the information is
always passed back down the line, the
quality initiative has been a definite
success so much so that valve quality
is no longer a regular agenda item at
management meetings.
When it comes to actually operating an
oil and gas facility, it is difficult to overstate
the role that valves will play. Practically
every operation we ever undertake
involves a valve in some form or another,
explains Roy Armishaw, Vice President of
Operations in Asia Pacific, who overseas
all of the companys current operations in
Malaysia and Thailand. They are the focus
of our testing and certification regimes.
They are the subject of our upgrade
campaigns. And they are the main reason
Learning about valves at the
INSTEP training academy in
Malaysia, one of two training
facilities that Petrofac built to
support PETRONAS workforce.
why we would implement a shutdown.

An added consideration is that Roy and
his teams rarely get to operate a shiny new
plant. Instead, they often inherit an ageing
facility; their job is to nurse it back to full
production. The symptoms you face in an
old plant are exactly the same as those
you would face in an old house. The
plumbing is past its prime. You take things
cautiously. And you prepare yourself for
the fact that any stopcock or the oil and
gas equivalent may fail just when you
need it the most.
He therefore implores all designers to
think through the everyday realities of
operating a plant. You can never have too
many valves. We are forever having to
isolate a section of plant. And its an
absolute pain if the designer has given you
too few valves to work with or if they are in
the wrong place.
Yet another perspective comes from
Valve Engineer John Fowler, who is based
in the Aberdeen Offices of Offshore
Projects and Operations, and manages the

BP isolation valves contract. Simply put,
this means that, for its North Sea
operations, BP has outsourced its
on-going valve requirements to John and
his six-strong team. On an annual basis,
they will specify, procure and test around
1,000 different valves on behalf of BP.
And this gives them a rare insight into the
inner workings of the valve business.
The big issue is timing, explains John.
These arent typically off-the-shelf items.
They tend to be one-offs. So we are often
looking at 50-week lead times. The
problems arise when a bespoke valve is
needed quickly. Then, instead of carefully
selecting and negotiating with the right
manufacturer, you suddenly find yourself
at the mercy of a third party vendor.
They may have a similar valve in stock,
which they are willing to sell you for
100,000. But it needs to be modified,
which may cost another 50,000. So,
instead of getting a custom-made valve for
80,000, you end up paying almost twice
as much for something thats not to the
preferred or optimum specification.
Consequently a big part of Johns role
is to work very closely with BP,
understanding and advising on valve
specifications, keeping on top of
maintenance schedules, planning well
ahead for any shutdowns, carrying a
judicious stock of the most frequently used
items, and doing a full quality inspection on
every single item they handle.
Having acquired more than 4,000

valves, and tracked the details of each of
them, the team has excellent relationships
with the manufacturers and suppliers, and
are keen to share their insights with the
greater Petrofac organisation. Valves are
what we do. Its our bread and butter. So if
anyone in Petrofac ever has any valverelated questions, we can usually help,
says John.
3D printing
Although valves have been around for
as long as the oil and gas industry itself,
and still continue to fulfil the same basic
functions, they do keep on evolving.
All of the leading manufacturers pride
themselves on their spirit of innovation.
In fact Pentair, one of the largest
manufacturers, claims to file around
60 related patents every year.
For example, one hot topic in todays
valve industry is the potential for 3D
printing. Theoretically, this offers huge
promise. Highly complex designs become
easier to manufacture. Short runs of
one-off items become cost-effective to
produce. Goods can also be made where
they are needed, instead of where labour
costs happen to be low. And one of the
larger valve manufacturers, GE Oil & Gas,
has announced that it is already using 3D
printing to produce control valve parts with
special configurations.
Even so, there is an understandable
industry reluctance to adopt completely
new or novel manufacturing techniques.
As Roy Armishaw puts it, We do like
innovation, but we always want our
innovations to be proven and certified.
In our situation, tried-and-tested is good.
With so very many valves being
produced, which fulfil such a critical role,
a wide range of judicious, incremental
innovations continues to take hold.
Through its supplier quality management
programme, Petrofac has struck up a good
relationship with a manufacturer called
Emerson Process Management.
Robert Hechinger, the companys
Worldwide Quality Director, provides a
useful analogy: Compare a 1964 Ford
Mustang with a brand new Ford Mustang.
They both do exactly the same thing and,
from the outside, they look quite similar.
But, below the surface it is a totally
different car it is more reliable, more
comfortable, more economical, and much,
much safer.
It may sound strange to say so, but
valves are evolving in much the same way.
The effluent water and central

sea water injection facility in
Kuwait, a project for the Kuwait
Oil Company (KOC).
United Kingdom
1% total world
production of gas
37
Turkmenistan and
Kazakhstan
2.5% of total world
production of gas
89
Billion cubic metres
Kazakhstan
Kashagan eld development (gas & oil)
EPCM
Kazakhstan
Karachaganak: fourth stabilisation
& sweetening
weetening train
FEED
FEED/EPCM
United Kingdom
Laggan-Tormore gas processing plant
EPC
Syria
Jihar development
de
project
EPC
Syria
Ebla gas
ga
plantt project
oject
EPC
Tunisia
Hasdrubal terminal project
FEED/EPC
C
Tunisia
Chergui ga
gas plant
IES
Kuwait
40'' gas pipeline
EPC
Algeria
El Merk central
processing facility
EPC
Algeria
Alrar gas eld
development
project
EPC
Algeria
Reggane North
Development Project
EPC
Algeria
Ohanet gas
development
EPC, JV
PETROFAC
PROJECTS
Petrofac has decades of experience in

building gas plants gas processing
and gas sweetening for example
growing from a strong base in the
Middle East. This graphic shows a
selection of the companys major gas
projects in key operating regions,
either recently completed or
currently being built. These are
shown in the context of the total gas
production for each region, according
to the BP Statistical Review.
Not
currently in production
26 | Petrofacts March 2015
Algeria
In Salah ssouthern elds
development project
EPC
In Salah Ga
Gas
compression project
compr
EPC
Tunisia and Algeria

2.5% total world
production of gas
86
Turkmenistan
Galkynysh
ynysh gas eld project
FEED/EPC
UAE
Bab Compression
ession and Bab Habshan
development projects
EPC
UAE
NGL4, Ruwais,
ais, integrated
integrated gas development project
EPC
Saudi Ar
Arabia
Karan utilities
and o
offsites
EPC
Oman
Yibal Khuff (oil & gas)
EPCM
Oman
Oman
Kauther gas plant and
depletion
tion compr
compression
Khazzan central
processing facility EPC
EPC
Oman
Harweel cluster
Rabab Harweel Integrated
development project Project (gas & oil)
EPC
EP
Qatar
Gas sweetening facilities
EPC
GAS
BIG MARKETS
BIG PROJECTS
Forecasting agencies have been predicting a global
age of gas for many years. Technology, market
forces and policy are all at play. Developments such
as the North American shale gas revolution, LNG
regional trade deals and the role of gas as a
transition fuel to decarbonisation have all played a
major role in positioning gas as the fuel of the future.
According to the BP Statistical Review, natural
gas is expected to catch up with oil and coal and
emerge as the main hydrocarbon component of a
more sustainable energy mix over the next 20 years.
It is the fastest-growing fossil fuel, mainly used for
power generation, but also in homes, offices, shops
and other commercial locations for heating and
cooling, and as a raw material in the production of
fertilizer and other chemicals.
Despite pressures on the industry today
with gas prices down and capital investment under
pressure longer-term trends still point to the
increasing significance of natural gas in the energy
mix. Over the past decade, the world has consumed
around 30 trillion cubic metres of gas but reserves
today are 30 trillion cubic metres more than they
were in 2004.
Malaysia
2% of total world
production of gas
66

Malaysia
Malaysia
Berantai eld development
IES
Saudi Arabia, Kuwait,

UAE, Oman and Qatar
11 % of total world
production of gas
388
Petrofacts March 2015 | 27
SHARJAH
KEEPS GOOD
COMPANIES
Petrofac employs more than 6,000 people in the UAE;
4,000 of those in Sharjah alone. But it doesnt stop there.
Many companies across the UAE are involved in keeping
the wheels turning locally-owned, locally-managed
or international companies based in the region.
Kaye Krause-Whiteing meets the people inside the supply
chain ecosystem. Photographs by Lee Hoagland
Its all about delivering the service our

customers want. We listen, we diversify, we
deliver and, most importantly, we care. Its
clear that Salim Khoury, Senior Manager
Operations for one of Petrofacs on-site
caterers, Abela & Co, is brimming with
pride for the company that hes been with
for 25 years.
In Petrofacs Tower One cafeteria, he
tells its story. Abela & Co began its journey
in the United Arab Emirates in 1967, before
the country was formed in its current guise.
They were known as the Trucial States
back then, he says. Sadly Mr Abela is no
longer with us, but the ethos of his family
business still exists today.
Salim talks about a recent staff survey
where 89% of those surveyed said they
enjoyed working for the business.
FOOD FOR
THOUGHT
For sure we enjoy our

triumphs but we also reect,
and react, when things dont
go the way we want them to.
Salim Khoury, Abela & Co
Our CEO knows the names of everyone

working here which is more than
3,000 people and he is also interested
in how we are all doing. Thats great
leadership in my book. Every person is
empowered to make decisions that impact
our success, which breeds a sense of
belonging, he adds. For sure we enjoy
our triumphs but we also reflect, and
react, when things dont go the way we
want them to.
Salims energy and pace are well-known
even more so than usual today. Its a
crazy day, he explains. Weve just won
back a contract, so I have to go to Jebel Ali
to deal with the set up. Depending on the
moon, it could be the last day of Ramadan
so traffic will be crazier than ever, and Im
trying to get everything in order before my
summer holiday. His wife and three

children are already in Lebanon escaping
the blistering UAE heat, and its clear hes
looking forward to joining them.
Before leaving, Salim is keen to point out
how the whole Abela & Co team play their
part in keeping Petrofacs workforce fed
and watered. I only visit once a week,
so success is really down to the guys on
the ground. Since we were awarded the
contract in 2008, we have made good
progress: all our food is prepared in one
of our two central kitchens in Dubai and
transported to our customers quite a
logistics operation.
Looking at his watch, Salim rattles off
some more statistics: at Petrofac, 8,000
meals a month are served, thats 96,000
meals a year; in the UAE, Abela & Co
PRINTS
AMONG MEN
As for the most interesting

job, its probably the
business cards. Last year
we printed around 140,000.
Thats a lot of networking.
Elias Khoriaty, Pioneer
Printing Press
GUARD OF
HONOUR
Being included is a major

consideration for our guys,
particularly those we have
placed in client locations.
David Stockton, G4S
serves more than 120,000 meals a day

which translates to over 43 million meals
a year. As Napoleon would put it, an army
marching on its stomach. When pressed
about the most popular dish they serve,
Salim laughs. Without a doubt, its chicken
biryani, requested by every nationality!
I can highly recommend it, he says.
With just 0.002% of Abela & Cos
business coming from Petrofac, Salim
impresses that every customer is
important to them, regardless of size. And
with an exuberant wave, he disappears out
of the front doors into the fierce sunshine
and on to his next appointment.
Room service
The ratio between expatriates and locals
in the UAE is one of the highest in the world
at around 80/20 and not all newcomers
manage to sort out their accommodation
before they arrive. Petrofacs employees
are no exception, so having arrangements
with hotels is critical to smooth running for
new arrivals.
One of those hotels is the Golden Tulip
Hotel overlooking the Khalid Lagoon and
Al Majaz Waterfront just a stones throw
from Petrofacs office. As an apart-hotel,
we are an ideal property, says Alex
Cherfan, Operations Manager there.
We have 264 units from studios to suites,
for short- and long-stays, single residents
or family groups. A typical Petrofac stay is
around a month.
Alex takes the Petrofac account very
seriously. Did you know 12,000 bed
nights were used by new employees in
2014 alone? And in the first six months of
this year, we are running close to 7,000.
That amounts to revenue running into
millions of Dirhams. So yes, Petrofac is
an important client. The hospitality
industry can be pretty cut-throat, and we

work hard in order to stay competitive.
Keeping new arrivals happy cant always
be easy? Sure he smiles, it goes with the
territory. The biggest challenge is ensuring
that we give our guests what they want,
and within the confines of what works
commercially for us as a business.
Many Petrofac guests stay for weeks at
a time, and their stay is the backdrop for
their first impressions about the UAE.
We offer a guiding hand in that initial
period, says Alex. Our team take that
responsibility very seriously. Its often the
simple things that make the big differences,
like improving internet access and the
number of TV channels available. We have
a relationship built on respect and trust.
Thats important to me, truly, and is the
ethos of the entire Golden Tulip brand.
His eyes light up when asked about any
funny stories from his work in hospitality.
I could probably write a book, he laughs,
but he is then quick to point out that
condentiality is the most prized possession
in his trade, and refuses to name names.
We did have one individual who thought
their bedroom was haunted, he says.
Naturally, they were moved into another
room and we looked into the claims...
Morning rush
Sitting inland from the hustle of Dubai is
Meydan, well known for its horse racing
and home to the richest race day in the
world and also where DHL has located
its brand new facility.
We had outgrown our previous space in
Dubai Airports Terminal 2, says Ryan
Hunter, Vice President of Commercial,
and a real bonus for our drivers are the
indoor, air-conditioned loading bays here.
With the UAEs summer temperatures
reaching the mid-high forties, this is not

to be underestimated.
Walking around their cool loading bay
mid-morning, the parcel conveyor belt is
silent as the early morning rush has
already passed. Not for long though
laughs Fadi Abu Touq, National Customer
Manager Engineering & Manufacturing.
Come four oclock, it will be a hive of
activity again as all the vans come in for
the evening deliveries.
So what is a typical parcel? Well, its not
what you probably think, says Ryan. The
most common type of shipment Petrofac
sends through DHL is electrical and
engineering equipment destined for project
sites. Documents, while a large part of the
load, are secondary. From this hub, we ship
to around 25 core countries for Petrofac.
But it cant go smoothly all of the time,
and the more challenging aspects of
Petrofacs business, Ryan and Fadi agree,
are the criticality and time sensitivity of
all its shipments.
With the company celebrating 25 years
of business with Petrofac in the Middle
East this year, both men are proud of the
long relationship that has been established
with the business, and Ryan is keen to add:
No customer is too large or too small for
us and that very much includes Petrofac.
IN-FLIGHT
SERVICE
We have been handling

the companys travel
for more than ten years;
and the numbers
speak for themselves
Khalid AlSerkal,
Emirates Airline
Press on
A return drive from Meydan to Sharjah
finds another company meeting Petrofacs
needs. This time its in the heart of the
industrial area, a journey not for the
faint-hearted. Tankers queuing to access
Sharjah Municipalitys sewage works clog
up almost every inch of the jam-packed
road. Hundreds of businesses are here,
including Pioneer Printing Press.
Pioneers premises are in contrast to
HOME AWAY
FROM HOME
Of course Petrofac
is an important client.
The hospitality industry
can be pretty cut-throat
so we work hard to
stay competitive.
Alex Cherfan,
Golden Tulip Hotel
DHLs state of the art facility. Here the

residual aroma of solvents, and the
splashes of ink, give some indication of
the 30 years of history in the building.
Operating in the Emirate since 1982,
Pioneer is a family-run business which was
bought by General Manager Elias Khoriaty
and his cousin in 1997. We started with
one warehouse and today we have five,
Elias says, smiling.
Hes not a man for standing still, and is at
home on the shop-floor surrounded by his
many printing presses. He pauses from
time to time to pass on advice, examine a
print job or ask how one of his employees
is doing.
I think the most challenging job weve
done for Petrofac was the production of
some piping inspection handbooks, he
says. We had to use a durable paper
which wouldnt deteriorate when used in
the field. That caused us a few problems.
As for the most interesting job, its
probably the business cards we produce
across all positions in the company. Its
fascinating. Last year we printed around
140,000 business cards. Thats a lot of
networking, he laughs.
Key personnel
Back onto the highway to Dubai and into a
maze of roads to the Al Quoz industrial area.
This is the main UAE centre for security
company G4S, from where the local CEO
David Stockton oversees 12,000 people.
Petrofac has 200 G4S contractors
working in its offices. We field teams of all
sizes to our customers, explains David.
What we pride ourselves on first and
foremost is adding significant value to
everyday life wherever we are working.
With 42 accommodation sites in a
variety of UAE locations, and almost 100%
of the workforce being expatriate and

single-status, how do they manage this?
Its a topic that strikes a chord with David.
I am passionate about the welfare of our
people: we have 39 nationalities from all
sorts of backgrounds living in more than
40 accommodation sites, he explains.
How everyone integrates can throw up
challenges of course, but we all work
hard at it. All new joiners participate in a
comprehensive induction programme.
And of course, there is specialised training
depending on the nature of the company
they are going to be working for.
Being included is a major consideration
for our guys, particularly those we have
placed in client locations; the manned
security and facilities personnel we have
working for Petrofac genuinely feel part of
the culture. Since our relationship began in
2004, theres been very little churn of
people we have placed. And that speaks
volumes about the workplace environment.
International carrier
A few days later its the enormous
corporate headquarters of Emirates
Airlines which looms large. The worlds
biggest international carrier, it is also the
airline which flies thousands of Petrofacs
employees around the world for both
business and pleasure.
It is an impressive facility: two huge
buildings, its own metro station, and a large
atrium bathed in sunshine and full of shops,
restaurants and other conveniences.
And at 10 oclock in the morning, the place
is absolutely buzzing.
But then, as Khalid AlSerkal, District
Manager for Sharjah and the Northern
Emirates says, The airport is 24/7, so our
HQ never sleeps either.
Its our main centre in the UAE so most
of our 84,000 employees are either

based here or passing through. Its a great
facility, dont you think?
He is quick to praise Emirates as a
great employer and brand. But not for
one moment do any of us lose sight of
the importance of our customers, he
says, seriously.
So how does Petrofac fit into Khalids
client portfolio? It is rewarding to serve all
our loyal clients, and Petrofac is one of
them, he says. We have been handling the
companys travel for more than ten years;
our business relationship is excellent and
the numbers speak for themselves.
During 2014, almost 10,000 Emirates
tickets were issued and used by Petrofacs
Sharjah office with most frequent visits
to Chennai, London and Shanghai.
Khalid is a man who has all the facts at
his fingertips. Ive been with Emirates for
15 years, and had the opportunity to live
and work in a number of countries, he
says. Such experiences are enriching;
dealing with different environments and
cultures. It keeps your mind open.
And with Emirates, there is always
something new to learn. I like to think that
helps me add value to the clients that I
work with.
On that note, our time was up and with a
hearty handshake and a promise of coffee
soon, Khalid disappeared into the throng
of the atrium.
After making the short journey from
Dubai back to Petrofacs Sharjah HQ, its
pleasing to see the G4S guys stewarding
vehicles at the front of the buildings, three
of which are from DHL, Pioneer and The
Golden Tulip. The only thing missing from
the frame is an Emirates plane flying
overhead, but you wouldnt have to wait
long to see one of those
COOL
DELIVERY
The most common type of

shipment is electrical and
engineering equipment
destined for project sites.
Ryan Hunter, DHL
BIG
PICTURE
SANTUARIO
NORTH EAST
34 | Petrofacts February 2014
Following more than two

years of hard work, the
Petrofac Mexico team
achieved a milestone in July,
in delivering first oil from the
Santuario North East field in
Tabasco, southern Mexico.
The development was first
identified by the technical
team in early 2013 and
drilling commenced later

that year. The first well
drilled Santuario 401 was
tested and found to be 100%
oil bearing with combined
flow rates of more than
2,500 barrels of oil per day.
Three further appraisal
wells were drilled and found
to be oil bearing, all of which
were subsequently
completed as development
wells. Testing demonstrated
that the existing in-field
pipelines would, after
significant repair, be
capable of safely carrying
the additional fluids.
Santuario North East is in
effect a new field discovered
in a mature producing
environment and is our
client PEMEXs largest
onshore discovery in the
last five years. The initial
focus is on safe production,
but the team is looking at
how further value can be
created in future.
Photograph by Martin Vargas
Petrofacts February 2014 | 35
OPPORTUNITY
IS HEADING
DOWNSTREAM
Below and left,

construction work
continues apace on
the Sohar Refinery
improvement
project in Oman
Targeted diversication makes sound business sense,

and in recent years, Petrofac has made strides into
the downstream sector, with success in rening.
Petrofacts looks at how the strategy is playing out
As ever, the Annual Report and Accounts

is a signpost: in his foreword, Group CEO
Ayman Asfari said that the company was
successfully continuing its business model
diversification. In particular, he reported
that the Engineering, Construction,
Operations and Maintenance (ECOM)
business had moved further downstream,
with some notable successes in the
refining sector, and the potential to make
a similar move into petrochemicals.
Of course, this type of diversification
makes sound strategic sense, particularly
in a lower oil price environment when,
often, refining can become more profitable.
It also helps that, in several of Petrofacs
core Middle Eastern markets, many of the
national oil companies are actively
investing in their refining capacity.
But how does a company like Petrofac
actually make the moves? Its a long, slow
journey, which we take step-by-step, says
Christopher McDonald, Executive Vice
President of ECOM, responsible for
business development. The strategy is
simple. We partner with companies who
have complementary experience. And,
bit by bit, we build our own credentials.
In the Middle East, for example, Petrofac
knows the clients, it knows the contractors,
and it knows how to deliver large,
demanding projects in a sweltering desert
climate. So, it makes sense for Petrofac to
tie-up with other companies who have
deep experience of delivering refinery
projects, but no record of working in the
Middle East. That way, the different entities
can pursue a project that neither would be
considered for on their individual merits.
And the whole becomes far greater than
the sum of the individual parts.
This approach began several years ago.
There were some disappointments along
the way but in 2015, it gained real traction.
With incremental progress, success first
came in December 2012, when Petrofac
was awarded two engineering,
procurement and construction (EPC)
packages, valued at $1.4 billion, for Saudi
Aramcos Jazan Refinery and Terminal

project. Best described as a tank farm,
this assignment played to Petrofacs
existing experience, so there was no need
to enlist a co-venture partner. But it gave
Petrofac an all-important foot-in-the-door
into the refining sector. And, with a strong
emphasis on employing and developing
Saudi nationals, it reaffirmed the
companys commitment to local delivery.
Big breakthrough
Next, in November 2013, came the big
breakthrough: a $2.1 billion refinery
improvement project for Oman Oil
Refineries and Petroleum Industries
Company (ORPIC), awarded on a 50/50
joint-venture basis to Petrofac and
Korea-based Daelim Industrial Co Ltd.
One of the largest oil and gas engineering,
procurement and construction deals ever
awarded in Oman, this contract includes
an upgrade of an existing facility, plus the
addition of new refining units, which will lift
the total capacity of the Sohar Refinery by
more than 70%.
The project is moving on apace. By April
2015, the team was celebrating more than
five million man hours without a single lost
time incident (LTI). During the summer
months, the construction phase had
commenced. And everything is on track
to meet the bruising 36-month schedule.
Another major landmark came in
February 2014. Leading a three-way
joint-venture involving Korea-based
Samsung Engineering Co Ltd and CB&I
Nederland BV, Petrofac received award
notification for Kuwait National Petroleum
Companys (KNPC) Clean Fuels Project,
Mina Abdulla (MAB1) refinery.
Located in southern Kuwait, the
total value of the contract is $3.7 billion.
The scope of the lump sum engineering,
procurement and construction contract
includes the provision of 19 new refining
units at Mina Abdulla (some 50km from
Kuwait City), the upgrade of five existing
units at Shuaiba (10km further south), and
Everything is on
track on Omans
Sohar Refinery
improvement
project to meet the
bruising 36-month
schedule
We are in
petrochemicals
now where we
were in rening
a few years ago.
You could say
we are a couple
of years into a
ten-year journey.
pre-qualification in its own right.

Across the Middle East, there is also a
tendency for new refinery projects to be
closely integrated into petrochemical
projects. And, by following the same
strategy as in refining, Petrofac is keen
to develop its credentials in this related
field. We are in petrochemicals now
where we were in refining a few years
ago, explains Christopher. You could
Refining credentials
say we are a couple of years into a ten-year
In August 2014, just six months after the
journey.
KNPC win, Petrofac was able to celebrate
Even though there is a healthy market
yet another refining success: a sizable
out there, Petrofac needs to be very
engineering, procurement, construction
disciplined in its bidding behaviour.
and commissioning contract for a refinery
We cant and we wont go after everything,
package in the new Refinery and
he says. Bidding is an expensive business.
Petrochemicals Integrated Development
A single bid may cost us US$12 or 13 million.
(RAPID) project in Johor, Malaysia.
Awarded by PRPC Refinery and Cracker So we need to go through a rigorous
Sdn Bhd, a subsidiary of PETRONAS, this
screening process. Realistically, can
competitively tendered contract is valued
we win? Can we win and make money?
at more than $500 million. It includes three And, if so, whats our differentiator?
sulphur recovery units, two amine
But, when it comes down to it, whats
regeneration units, two sour water stripping actually different about a refining or a
units, a liquid sulphur storage unit, and a
petrochemicals project? In fact, all of
sulphur solidification package unit. And, as the components are quite similar, says
well as adding to Petrofacs refining
Paolo Bonucci, Vice President and
credentials, it is also the companys first
head of onshore business development
major onshore project in Malaysia.
at ECOM.
So, moving on from these initial
Just like any other oil and gas facility, a
successes, how about future prospects?
refinery or a petrochemicals plant is made
Despite uncertainty over the future
up of piping, machinery, pressure vessels
profitability of refining, and over-capacity
and valves. The difference is that,
across the global market, many operators
traditionally, Petrofac has worked on what
I would call horizontal projects. They are
are continuing to invest, particularly in the
spread across a large area. You have the
Middle East. As a recent McKinsey report
puts it: Major crude exporters in the Middle luxury of space. So designs dont need to
be particularly complicated.
East continue to add to refining capacity,
By contrast, a refinery as well as a
motivated by a number of factors. First,
petrochemical project is a vertical project.
ensuring security of domestic supply
Everything is squeezed into a smaller area.
remains a top political priority Second,
So the designs and the pipework become
Middle East players are motivated by
that much more complex.
maintaining their competitiveness in the
The core skills are the same. But
global crude markets.
you need some reference projects to
Consequently, Petrofac is seeing a
show that you can adapt them to the
healthy pipeline of future opportunities.
downstream market. We are now at that
And, depending on the project, the
stage in refining, and we are heading in the
company is getting to the stage where it
exact same direction for petrochemicals.
can pursue opportunities and achieve
accompanying inter-refinery transfer lines.
It is a largely greenfield and partly
brownfield project, says project director
Arup Dasgupta. And it is a first for KNPC,
a new refinery project to international
standards, which will bring a big increase to
the existing capacity yet be more
environmentally friendly.
I ALWAYS
CARRY
MYTIFFIN
TIN
Sai N Acharya is the piping deputy
lead engineer based in Mumbai,
where lunchtime is taken seriously.
Indian lunchboxes, called tiffins or
dhabbas, come in all shapes and
sizes. Here, Sai tells us about his
own tiffin tin rituals.
Photograph by Atul Loke
The flavour of home-cooked food is

unique. Mine is prepared by my wife:
I prefer less spicy food and she knows
my taste very well. Every day, I eat
steamed rice, roti, sauteed vegetable,
dal (lentil soup), salad and yogurt.
Cooking involves skill, planning and the
right ingredients, and she manages it all.
On special occasions or festivals, I get to
enjoy specialist sweet dishes too.
My tin itself is a Milton lunchbox with its
own carry strap; Milton is a very popular
lunchbox manufacturing company.
Tiffin tins are delivered just in time for
lunch; every day, a man called Vikas picks
up the freshly cooked food from my home
and delivers it to my office, supported by a
fully-fledged logistics team. In fact, all over
Mumbai, dhabba wallahs who are known
to be punctual and disciplined use a
complex system to get thousands of these
lunchboxes to their destinations every

day. My own lunchbox travels to the
office each day by local train!
The effort is much appreciated.
It gives immense satisfaction and
pleasure to have delicious homecooked food which provides a break
from work. It is also healthy, hygienic
and nutritious.
You know, there is a saying that food
connects with the soul. I believe that
after many long hectic hours of working,
eating a balanced meal not only
nourishes your body and mind, it also
enhances your work productivity.
I do have one health tip: one shouldnt
talk while having food. So I eat my
lunch at my work station in silence,
accompanied by the background
chatter of the latest gossip from
others in the office.
If you have an item which you take to work every day, which says something about you
and your work, let us know, at petrofacts.editorial@petrofac.com
40 | Petrofacts June 2014
Petrofacts June 2014 | 41
DOUBLE VISION
WHEN
SOUTH
MEETS
NORTH
Petrofacs engineering centres in India are

the powerhouses of its project delivery.
Petrofacts talks to two of the companys
General Managers K R S R Krishna in
Chennai and Pawan Kumar in Delhi
to compare notes from opposite ends
of the country. Photographs by Ray Smith
KRSR KRISHNA
According to Plato, You cannot
conceive the many without the
one. In the case of Petrofacs
engineering centre in Chennai
today, that one is KRSR Krishna.
Eight years ago, Krishna
moved back to his student town
of Chennai having worked all
over the world for engineering
companies, including Petrofac.
He was tasked with setting up
the operation, and today it is the
single largest engineering office
in Southern India.
The original idea to open
engineering centres in India
came in 2003, explains Krishna.
The first office in Mumbai was
already at capacity, so he was
charged with finding a second
site and Chennai was chosen
in consultation with the team in
Sharjah. Im actually from the
neighbouring province of
Andhra Pradesh, but I studied
here for my degree in
instrumentation engineering.
And I am now definitely one
of the longest serving general
managers, says Krishna.
Although not the oldest
The original plan was for 100
people, but Krishna says that
things started to go really well.

We got more and more work,
we mobilised more and more
people, and soon we were
delivering projects everywhere.
Today, there are 2,100 people,
including 700 working on
project-contracts. These
include project and engineering
managers, engineers, designers,
and 3D modellers.
Petrofacs success story in
Chennai is all down to the staff
members, whose tremendous
contributions make this such
a dependable office,
demonstrating the culture and
values of Petrofac, says
Krishna. But he can also recall a
time when it was just him and a
few others. When youre a small
team, it is very important to
establish the right kind of
culture, he explains. Now, we
are a huge team, and it is equally
as important.
Krishna describes a truly
multi-cultural, multi-lingual,
multi-religious operation. There
are four different languages in
Southern India alone; and all the
major faiths are represented
here, he says. We try to live and
celebrate together in an
inclusive way. Even competitors
in Chennai remark upon their
team spirit, he adds proudly.

Krishna is equally proud of the
range of work that Chennai
does for Petrofac and its clients,
supporting all four divisions of
ECOM from concept to
commissioning. Right now,
we have more than 10 projects
in progress, he says. These
include work in Algeria, Saudi
Arabia, Iraq, Oman, the North
Sea and Abu Dhabi. Employees
also support Petrofacs offices in
Sharjah, Woking and Aberdeen.
International assignments are
common in India, and Krishna is
no exception. He has worked in
Qatar, Kuwait, Malaysia, Oman,
the United Arab Emirates, and
even Siberia. Im happy to move
where the company wants me
to go, he explains. In fact, one
year, it wasnt just a question of
moving miles it was moving
from one extreme to another.
I went from minus 53 degrees
in Siberia, to around 50 degrees
in Sharjah a differential of more
than 100, he laughs. It might
not sound it, but it was a
fantastic life experience.
Krishna is now looking
forward to sharing his experiences
with his new colleague, Pawan,
whom he has met at industry
events in the past.
PAWAN KUMAR
For Pawan Kumar, his new
appointment as General
Manager of Petrofacs Delhi
office represents both a new
beginning and a homecoming.
Born and bred in the northern
capital of New Delhi, Pawan
didnt remain in his hometown
for long. From early on, I wanted
to become an entrepreneur and
technocrat, he says, first getting
a degree in mechanical
engineering and later an MBA.
Although new to Petrofac,
Pawan is a veteran of the
sector, with almost 34 years
experience. He began his career
with Engineers India, which he
refers to as the mother
organisation for the oil and gas
industry in India, staying there
for nearly 23 years. He went on
to hold a series of positions at
Mott MacDonald, Foster
Wheeler, Dodsal and Essar,
before being approached by
Petrofac to head up the Delhi
Engineering Centre (DEC).
The complexity of the projects
that Petrofac takes on really
appealed to me, he adds.
The DEC has worked on large
contracts such as ADCOs gas
compression project and

KNPCs Clean Fuel Refinery
project in Kuwait. The latter was
a turning point for the office.
KNPC has brought a revolution
in the development of particular
downstream processes and
plant design, he says.
We increased our numbers;
we developed our systems;
and we proved that we can
deliver better processes.
Pawan is keen to see the DEC
adapt as it grows. Managing
and delivering complex
processing plants requires the
simplification and organisation
of our processes, and Im
looking forward to the
development of capabilities and
capacities. Today, there are
600 engineers and designers,
but the aim is to enhance
manpower to 800 by the end
of next year.
The Delhi office itself is in the
city of Gurgaon, 30km
south-west of the capital.
Gurgaon is the happening city
of tomorrow Indias own
Silicon Valley, says Pawan.
He is also impressed by the
atmosphere in the office. Every
organisation has its own colour,
but here its very lively. People
are happy; they have a great
deal of ownership for their

projects. It feels like a proper
community.
Like Chennai, the Delhi office
has an impressive programme
of social events, from festivals to
picnics. But Pawan is most
looking forward to celebrating
the fourth anniversary of the
office itself, at the end of
October. We are inviting our
families in, he explains. It will
be a wonderful event.
Pawan Kumar shares his
name with a film director, a
footballer, and even a
professional wrestler but when
asked what he does in his own
spare time, he laughs. I hardly
have any spare time these days.
But I love nature, being with my
family, and most of all travelling,
he explains, detailing trips that
have included Malaysia,
Singapore and Madagascar.
After more than a decade of
travelling the world for pleasure
as well as work, Pawan is
looking forward to returning to
his home town after all these
years. It is very exciting to be
part of this, he says. I am sure
Petrofacs vision for India will
help the organisation reach new
heights. I think we have a very
bright future ahead.
People
FOUR CORNERS
OF THE EARTH
Petrofac has its fair share of globetrotters, and
some have worked in all corners of the world.
Jennie Saywell hears the travellers tales of
one of them, Mark Gillett.
Photograph by Mark Lehn
Ive been very

blessed to have
been to places
that most people
will never go to,
and to see some
unreal sights
Mark Gillett on the shoreline

of his current home town of
Perth, Australia
In 2001, Senior Consultant

Mark Gillett moved from his
South African homeland to
England. There, three years
later, Petrofacs Plant Asset
Management offered him a job.
And so began a career that
would see Mark live and work
across all four regions where
the company operates.
His first role for the
newly-formed PAM CBMnet
team involved setting up
conditioning monitoring
programmes for clients.
Although based in England, the
international scope of Marks
job meant that he was posted
to some exotic destinations.

I worked on various projects
from the North Sea all the way
down to Papua New Guinea,
he says. I was sent to Kuwait,
not long after the war, with
blackened ground and
bombed-out buildings. I was
also sent to Libya. Marks last
assignment was in Basra, Iraq.
You start off with the shock of
being picked up at the airport in
an armoured vehicle, and being
handed a bullet-proof vest.
It was quite an experience!
In 2007, Mark moved to the
PAM Maintenance Integrity
group, working on
maintenance strategies for

clients. His first assignment
was in Alaska, and while he
was mostly based in
Anchorage, the actual project
was 250 miles inside the Arctic
Circle, in a place called
Deadhorse in Prudhoe Bay.
What an incredible place
that was, Mark recalls.
In winter, its completely frozen.
In summer, the tundra is all
lakes and grasslands, teeming
with wildlife. Ive never been
one for photography, but I was
so inspired, I actually bought a
camera there and then.
The countryside was just
astonishing, and it was full of

incredible down-to-earth
people mostly sport hunters
and fishermen. I thoroughly
enjoyed myself there.
After two years Mark left
Alaska, with amazing stories to
tell, including coming within
100 metres of a mother polar
bear and her two cubs. He
remembers: We were in a
vehicle, and whenever a bear is
sighted, the wildlife security
people cordon it off. If the bear
isnt hungry, itll just go to sleep
but if its hungry, its a killing
machine. We had rangers
telling us, Dont you dare go
any closer!
Mark decided to relocate to
the Middle East in 2011, while
the company was setting up an
Abu Dhabi office, and found
himself trading one extreme
temperature for another.
When I left Alaska, it was
-50C a white-out, he says.
When I landed in Abu Dhabi,
it was 50C: a 100C swing!
Abu Dhabi was an interesting
move for Mark, who saw it as
a real melting pot of cultures.
However, his time there was
short-lived: no sooner had he
settled down than the team
won a project on the Rumaila
oil field in Iraq. Mark was made
Project Manager, and worked
there on a rotational basis,
splitting his time between
Basra and home. By the time
the project was completed,
Mark was running the rotating
equipment department.
Four years after arriving in
Abu Dhabi, the start of 2015
spelt the start of yet another
new journey for Mark. This
January, he accepted his
current job in Perth, working on
the INPEX project. Theyre
calling it a mega project, he
says. It involves combining
three very large facilities into
one giant project. Its absolutely

massive for us.
INPEX might be a project of
mammoth proportions, but
Mark finds his new home of
Perth to have more of a
personal atmosphere. Perth
feels more like a big town to me
than a city of two million, he
says. Its really welcoming and
laid-back here; theres a
massive expat community.
You are what you are, and
everyone is happy with that.
Marks wife Janice and
daughter Alexandra have
moved with him to Australia.
They never lived anywhere
other than South Africa before
theyre finding this all awfully
exciting. Im thoroughly
enjoying Australia, he says,
admitting that he feels more
settled with his family around
him. Its so nice being able to
go home every night to my
family. Before, I was going from
hotel to rental to communal
house, which is not always
easy, he adds.
After a decade of living in
different places across the
world, Mark is looking forward
to staying in one place at
least, for a few years. Ive done
an enormous amount of
travelling in my lifetime, and Id
like to do less travelling now. Im
very happy to say that Ive not
got on a plane for four
months now!
However, Mark has one final
destination in mind once his
daughter has completed her
schooling. Ive been very
blessed to have been to places
that most people will never go
to, and to see some unreal
sights. But the next place Im
moving to is England, he says.
I want to relocate back to
Lymington in the New Forest.
I have a lot of family and friends
there thats the place I really
call home.
Does Mark deserve the title
of Petrofacs most prolific
globetrotter? Do you know
someone who has lived in more
places than Mark? Are you
thinking of relocating, and
would like advice from
colleagues with similar
experience? Do let us know
at petrofacts.editorial@
petrofac.com
People
LOGIC PUZZLE
AROUND THE GROUP
WHICH SWITCH?
LUNCH BREAK
Can you solve this issues logic puzzle and win yourself a prize?
With people working for Petrofac in offices and locations right around the world, perhaps its not surprising
that even a common activity like lunch reveals a wide variety of individual tastes and local customs
A building has a panel of three

lightswitches, which are
labelled On and Off. All of
them are currently Off. The
rooms to which they are wired
are all distant. Only one of the
three switches controls the
light in the basement, which is
a long way away, and like the
other rooms, cannot be seen
from the switches.
You want to discover which
one of the three switches
controls the light in the
basement but you only want
to make one journey in order to
confirm the answer.
You are alone in the building;
you cannot dismantle the
switches or trace any wiring.
But there is a way, using the
switches, and without visiting
any other rooms, which will
enable you to go once to the
basement and know which one
of the three switches controls
its light. What do you do?
JAY DANIEL WRIGHT
For your chance to win one

of five Apple iPod Shuffles,
please email your answer
to petrofacts.competition
@petrofac.com. Closing date
for entries is 1 January, 2016.
OUR SPRING ISSUE COMPETITION WINNERS

Once again, the competition in
the Spring issue of Petrofacts
attracted dozens of entries.
The competition set you this
logical challenge. You and a
colleague need to exchange a
valuable item. However, you
have found in the past that
anything you send to each
other insecurely gets stolen in
transit. So you agree to put the
item inside a box, which can be
locked with several padlocks.
You each have a number of
padlocks with their
corresponding keys.
Unfortunately, neither of
you have keys to any of the
others padlocks.
How can you send the item
securely in the box to your
colleague, so that they can
open it? Remember that
anything you send in an
unlocked box (like a key, or
an unlocked padlock) will
get stolen.
The first five lucky winners
who worked it out, and each
won an iPod shuffle, were:
Kashyap Mishra from Delhi;

Alec Jones from Woking; Vinod
Martule from Mumbai; Dave
Ward from Southampton;
and Ranjith Chandrasekaran
from Mumbai.
And the solution? You put
your valuable item in the box,
lock it and retain the key. You
then send the padlocked box
to your colleague.
She cannot open it but she
puts on her lock, retaining the
key to that, and sending the
box, now with two padlocks,
back to you.
You then unlock and remove
your own padlock. The box
remains secured with your
colleagues padlock, to which
she has retained the key. So
you can safely send it back to
her again, and she will be able
to unlock it upon receipt and
remove the valuable item.
Congratulations to all of our
winners who came up with the
solution and good luck to
everyone considering this
issues puzzle!
Sharjah
Ahmad Warsi
Lunch is taken in the office.
Its prepared and delivered
daily by a company called
Lively who specialise in
healthy and nutritious food.
Singapore
Magdalene Samuel
Lets do what we do best
Scoob eat! Shaggy
(Scooby Doo)
Nothing beats a light lunch,
especially indulging our
sweet tooth in a (relatively)
healthy way, with a cup of
refreshing yogurt!
Bahrain
Balakrishna
Dakshinamurthy
For lunch I usually take
brown bread with butter,
fruits, one croissant, a
muffin and a glass of juice.
This is a diet lunch which I
follow to lose weight and
it works!
Oman
Mohammad
Al-Shereiqi
During lunch hours we
mostly prefer to go for
our traditional food, rice.
But in order to break
routine, employees might
go for fast food.
Azerbaijan
Jariyat Yagizarova
Lunch is a chance to refresh
the mind and socialize. Our
staff meals are provided
by a catering company
and the time spent chatting
can lead to great ideas
and cross-pollination
between departments.
Malaysia
Nur Eliena Fauzi
Give your eyes a break!
I would love to physically
leave the office and enjoy
my Salmon Scramble while
networking. And to ring my
daughter and ask, Hows
school today? This is my
version of work-life balance.
Aberdeen
Linn Dwan
I really needed a hobby so
I signed up for a distance
learning course in
Professional Make-up
Artistry. I love it, so I have
been using my lunch hour
to work on it and hope to
start a new vlog soon.
Woking
Daniel E. Penning
Most days, I eat at my
desk (sad, I know) and
today is Spaghetti
Bolognese. But I do try to
get out of the office where
possible, to get some
natural light.
In the next edition, wed like to hear about your sporting adventures a favourite sport, sports personality or personal sports story that inspires you.
Please send a photograph of yourself plus a short description that sums up your story to petrofacts.editorial@petrofac.com to arrive by 1 January 2016.
People
Michele Miccolis says that he

is sometimes mistaken by
colleagues for his son, Pierre
Petrofac Training Services are the proud sponsors of the Scottish Professional Football Leagues Petrofac Training Cup, which features
teams from the Scottish Championship, Scottish League 1, Scottish League 2 and champions of the Highland League and Lowland League
LIKE FATHER, LIKE SON
You start out following in your fathers footsteps and end up both working at Petrofac. By Jennie Saywell
Most people prefer to keep

their personal and professional
lives separate. The same is true
for Michele and Pierre Miccolis,
but its a little more of a
challenge as father and son
both work for Petrofac.
Pierre joined the company
in March 2013 as Director of
Completions for Onshore
Engineering and Construction
(OEC), and his father Michele
was hired by Petrofac last
August as Commissioning
Manager for the Rahab
Harweel project.
Petrofac had been looking for
a commissioning manager with
no success, and at this point
Pierre suggested his father.
He admits that he was loath to
put him forward . I didnt like to
propose my father, for ethical
reasons, he says.
But Pierre need not have
worried. They ended up
SPOT THE BALL
line, and 2015 was a record

high year for self-sponsors.
Website visitors increased by
43%, whilst online enquiries
rose by 64%, compared to the
previous year, she says.
Its fair to say that our profile
has never been higher
throughout Scotland, with 500
pieces of media coverage
generated throughout the
competition. We are aiming to
build upon this during our
second year.
Praise for the sponsorship
which created the first
opportunity in UK football
history for a fan to hand over
the silverware to the winners
has come from outside the
company. Following last years
Cup Final, Gordon Waddell,
Chief Sports Writer at the

Sunday Mail in Scotland, said:
Ive been working in the
national sports media for 25
years, and in that time I can
barely remember a company
doing a single thing differently
within football. Same old, same
old old players, links to both
teams, t-shirt with the
sponsors logo, holding up a
prop. Dull, dull, dull.
To say the Petrofac
approach is a breath of fresh
air is an understatement.
The PTS spot the ball
competition draws on a long
history of the challenge in the
UK. It was once played by three
million people every week!
A photo is published of a real
game where the ball has been
it, when I was ten years old, I

wrote a ten-page school report
on my fathers plant in Portugal.
My mother still has it after all
these years. I got top marks for
it, so maybe it was fate!
They may rarely be in the
same room at work, but people
still spot similarities between
father and son.
People confuse us, Michele
says. Some people would
even come to greet me and
say, Hello, Pierre! To me, our
faces and stature are different,
but the eyes are the same.
His son has had similar
experiences. The guys in
Dubai met my father and didnt
know we were related. They
came and said to me, Pierre,
Ive just seen someone who
looks exactly like you! I think
were pretty similar. The only
difference is hes bald ... and Im
only half-bald!
The biggest perk about

working for Petrofac is the
extra time they and their
families can spend together
outside work, now that they
both live in the same city at
least during leave time.
Micheles wife was especially
excited at the prospect of the
two families living in Dubai.
She was really happy because
she could see more of her
grandsons, remembers
Michele. She wanted the
family all together she
convinced me to come!
So Michele and his wife are
looking forward to Pierre
finishing the Laggan Tormore
project and being at home for
longer stretches of time.
And Pierre is looking forward
to returning to Dubai so that
he can re-join his family
if, he says, I survive the
Shetland winds!
EVE 2015: POWER TO THE PEOPLE
For years, spot the ball has run in the UK, with the public assessing where in a photograph the football is likely to
be. Now Petrofac Training Services, in their second year of soccer sponsorship, present their own competition
Where in this photograph of
soccer action is the correct
position of the football? Get it
right, and you could win
yourself a football shirt
thanks to the companys
sponsorship of Scottish
football.
Now entering its second
season, Petrofac Training
Services is hoping to build on
the success of its first year of
sponsorship of the Scottish
Challenge Cup now known
as the Petrofac Training Cup.
PTS Marketing Manager,
Jill Tough, explains how the
sponsorship has performed for
the company. In the current
climate, it is more important
than ever that our marketing
activity supports our bottom
working in different towers, in

different teams, and just two
months after Michele moved
into the Sharjah offices, Pierre
moved out to oversee the
Laggan Tormore project in
Shetland. He has been there
since October last year. We
only see him when he comes
home for rest, Michele says.
Michele and Pierre admit
that their situation is somewhat
unusual. As yet, I dont know of
anyone else like us in Petrofac,
Pierre says. Sure, there are
some relations but no fathers
and sons. Michele agrees:
I dont think its very common
especially as we are doing
the same kind of job speciality.
Perhaps Pierre was inspired
by his father to pursue a career
in oil and gas?
My father never told me I
should work in this industry,
Pierre says. But thinking about
removed from the image, and

up and down the land people
deliberate and then pinpoint
the most likely whereabouts
of the ball. It wasnt easy in its
heyday, and its not easy now.
But our own version gives
you a greater chance to win,
because one of the four spots
in our picture marks the correct
position of the ball. For your
chance to win, simply e-mail A,
B, C or D to petrofacts.editorial@
petrofac.com subject Spot
The Ball. And for the winner,
chosen at random from correct
answers received, theres a
prize of a football shirt from any
team playing in the Cup. The
winner will be announced in the
next issue of Petrofacts, out
early in 2016. Good luck!
Over three hundred

applications have been
submitted, reviewed and
scored. Our expert judges
have had their say. Now its
your turn.
After five months of
campaigning and hard work,
we now have our 18 EVE
finalists. There can only be one
winner per value but, for the
second year, we are including
an extra category: Peoples
Choice. We are inviting our
Petrofac colleagues to visit the
EVE website, read about each
of the finalists, and decide who
they think is a worthy winner.
The process is extremely easy.
All you need to do is go to
eveawards.petrofac.
com, review each
application and then hit
Ayman Asfari pictured
with Babu Philip (left)
and Samuel Paul (right)
the Vote Now button next to

the project that you think is
best. The project which
receives the most votes will win.
The Peoples Choice Award is
a new feature that was
introduced last year. Our first
ever winners were the ECS
Mumbai team for their work on
the Jazan project in Saudi
Arabia. Originally submitted
under the Driven to
Deliver category,
the team worked to save a

potential cost escalation
during the development of the
Jazan project to address the
projected rise in electrical heat
tracing from 8.5MW to 12MW.
They also persevered in
persuading the client of the
benefits of the solution not just
in terms of cost savings, but
also of energy efficiency.
All in, they saved capital
costs of around $3 million.
Babu Philip
and Samuel
Paul attended
the awards
ceremony in
Barcelona on behalf of the

team, and were honoured to be
presented with the award by
Group CEO Ayman Asfari.
Samuel says, Winning an EVE
award is a great feeling, and
winning the Peoples Choice
award shows how much
people in Petrofac appreciate
each achievement and
innovation. It was a wonderful
experience being at Barcelona
for the award ceremony and
soaking in the atmosphere
along with the other achievers
and Petrofac Management.
Being the pioneer winner for
the Peoples Choice award is a
moment to cherish and
receiving the award from none
other than
Mr. Ayman Asafari was the
icing on the cake.
Who will be our second
Peoples Choice winner?
The decision is yours
People
MY WORLD
E S SATHYANARAYANAN
Every issue, Petrofacts
asks an employee
to provide an insight
into their world.
This issue, meet
E S Sathyanarayanan,
an Executive Vice
President at Petrofac
In the BlackBerry
kingdom, the sun
never sets
You arrive at a party; how

do you describe what you
do to a stranger?
Working for a company that is
helping oil companies to
produce oil.
What do you love most
about your job?
Diversity in all respects which
is making it more interesting.
What are the biggest
challenges in your work?
Providing services to the
satisfaction of projects and
operations, and managing
peoples expectations.
Apart from your present
location, where would you
most like to work and why?
My policy is: everywhere you
go, take the weather with you.
What was your first ever
job?
Design Engineer: doing manual
calculations, detailing the
design on tracing sheets,
dealing with ammonia prints.

Which app or new
technology has changed
your life, and why?
Information technology, in
particular cell phones. It has
made 24/7 a reality.
How would you answer
the following question:
Petrofac? What do they
do?
Multinational. Multibillion dollar.
Multicultural. Providing
services to oil and gas
companies worldwide.
Is it better to start work
early, or work on late?
In the BlackBerry kingdom, the
sun never sets.
Where do you get your
best ideas?
Books, colleagues and friends
(in particular from the younger
generation).
Your colleagues from
around the world may be
reading this. Anything in

particular that you would
like to say to them?
These words from Indian Saint
Swami Vivekananda: Take risks
in your life. If you win, you can
lead. If you lose, you can guide.
Another one thought that
I like: Where the vision is one
year, cultivate flowers. Where
the vision is ten years, cultivate
trees. Where the vision is
eternity, cultivate people.
What do you most admire
in a person?
A balanced focus.
Whats your idea of
happiness?
It is a state of mind and it
cannot be enjoyed in isolation.
Whats your idea of
misery?
When you lose a person close
to you.
If you had a superhero
ability for one day, which
one would you have?
Supermans. You can wear
briefs over your trousers
(unconventional thinking).
Which book would you
recommend to someone if
they only had time to read
one book?
One by Malcolm Gladwell
either Outliers, or The Tipping
Point: How Little Things Can
Make A Big Difference.
What did you want to be
when you grew up?
A doctor. (Coincidently, even
now Petrofacs Nigel Paton
calls me Doctor Sathy).
Where was the last place
you went on holiday?
Bhutan they measure their
wealth by GNH (Gross National
Happiness).
Tell us a joke
And God promised humans
that good and obedient wives
or husbands would be found in
all corners of the world. Then
he made the earth round and
laughed and laughed and
laughed.
The optimistic
robin welcomes the
New Year was
taken by Biju
Nambiar from
Sharjah. Taken in
Ras Al Khaimah in
the UAE, it was one
of the top 50 entries
in this years
Picture Petrofac
competition
Counting the
gains of sand
Petrofac has
achieved
spectacular
growth in Algeria
In praise of the
humble valve
A valve has a
tough life. And
it gets tougher
all the time
Sharjah keeps
good companies
We started with one
warehouse; today,
we have five

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October 2015

Inside this issue

Our record of the companys news,

Counting the gains of sand

16 I am fascinated by what we do,

26 Gas: big markets, big projects

44 Meet some of the Petrofac people

2 | Petrofacts October 2015

The Petrofac editorial

Galkynysh gas treatment plant in

CONTRACT RENEWALS IN THE

Petrofacs Offshore Projects

COURTESY OF CNR INTERNATIONAL

Walter Thain, Managing

current climate, more than ever,

have held in some cases for

Tatweer Petroleum in Bahrain

five years. With a capacity of

builds on our growing portfolio

Petroleum added: Installation

PETROFAC SECURES FIRST WIN IN BAHRAIN

Petrofacs contract to support

to redefine their portfolios

MANAGING AND MAINTAINING

biggest heavy-oil field projects

Two safety awards have been

6 | Petrofacts October 2015

PETROFAC AMBITIONS REWARDED IN KUWAIT

years. Three new gathering

intermediate manifolds and

track record in Kuwait which

ENGINEERING AND PROCUREMENT CONTRACT

Director of KOC Pipelines,

that all employees and

Petroleum Development Oman

production whilst the

It reinforces our presence

Located in a remote region of

8 | Petrofacts October 2015

Petrofacts October 2015 | 9

PHOTOGRAPH OVERLEAF COURTESY ANADARKO PETROLEUM CORPORATION

Graham Mac Millan

10 | Petrofacts October 2015

Algeria is a special market with its own

EDP services. The objective is to build

the century. Nevertheless, as Graham

Petrofacts October 2015 | 11

Ved Prakash Gupta

For Petrofac, winning the $2.3 billion EPC

In Algiers Leila Mansour adds another

priority be given to Algerians in recruitment,

12 | Petrofacts October 2015

As the first Algerian woman

moment was getting an

business in Algeria until it

Petrofacts October 2015 | 13

14 | Petrofacts June 2014

All those who work or

for more than 961 days

Petrofacts June 2014 | 15

It is Friday morning at the end of a busy

a couple of times a year, and theres an

very important part of the CFOs job.