July 2014

GFIRA12001

WBS: 120506-1-01-05-03

TERMS OF REFERENCE

“Energy Efficiency in Key Industrial Sectors”

This Terms of Reference will be used for the preparation of the bid for the supply of
equipment and technical services for the implementation of hot charging of steel billets from
Continuous Casting Machine No.5 (CCM No.5) to Rolling Mill 500 (RM 500) at Esfahan Steel
Company (ESCo), Esfahan, Iran. This document specifies the scope of supply for equipment and
services to be provided by the contractor in that connection.

The proposal should contain a detailed description of the equipment and services to be
provided and the key experts/personnel to be assigned for preparation the abovementioned proposal.
The cost breakdown for each activity should be included in the proposal. All deviations from the
Terms of Reference should be clearly indicated in the proposal.

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Table of Contents
1. General Information and Bidding Requirements............................................................................. 2
2. Definitions ....................................................................................................................................... 2
3. Description of Required Services ................................................................................................... 6
4. Functional Description .................................................................................................................... 8
5. Provisional List of Equipment/Supplies ......................................................................................... 18
6. Training Requirements.................................................................................................................. 20
7. Provisional Work Schedule ........................................................................................................... 22
8. Contractor's General Responsibilities ........................................................................................... 24
9. Counterpart’s Responsibilities (ESCo) ......................................................................................... 24
10. Terms of Guarantee ...................................................................................................................... 25
11. Reporting Requirements ............................................................................................................... 26
12. Evaluation Criteria ......................................................................................................................... 26
13. Performance Tests, Guarantees and Penalties ............................................................................ 28
14. Spare Parts ................................................................................................................................... 32
15. Quality Assurance & Quality Control Plan ...................................................................................... 33
16. Specification for packing, Marking and forwarding ......................................................................... 42
17. Instruction of Submission of Drawing and Document ..................................................................... 59
18. PERFORMANCE GUARANTEES AND TEST POCEDURES ..................................................... 83
19. Technical Appendices ................................................................................................................... 87
Appendix A – Company Information ................................................................................................. 87
Appendix B – ESCO construction steel product brochures for beam, equal angles and channels .. 95
Appendix C – CCM No.5 technical and product specification .......................................................... 96
Appendix D – CCM No.5 Product quality guarantees ..................................................................... 100
Appendix E – CCM No.5 technical drawings .................................................................................. 101
Appendix F – Technical description of RM500 billet heating furnace ............................................. 105
Appendix G – RM500 furnace original side drawing ....................................................................... 108
Appendix H – RM500 furnace control and automation and system................................................ 109
Appendix I – Possible hot charging layout and modified CCM No.5 .............................................. 110
Appendix J – What is hot charging? ............................................................................................... 111
Appendix K – Preliminary list of equipment, supplies and services ................................................ 112
Appendix L – Site Photographs ...................................................................................................... 114
Appendix M – Definition of the scope of supply .................................. Error! Bookmark not defined.
Appendix N – Definition of Contractor Vendor list .............................. Error! Bookmark not defined.

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1. General Information and Bidding Requirements

1.1 Background
This Project is a contract under the GEF-funded project titled Industrial Energy Efficiency in Key
Sectors” led the United Nations Industrial Development Organization (UNIDO). The objective of the
project includes the implementation of a demonstration energy efficiency project (i.e. “The Project”) in
the Iranian iron and steel sector and promotion of sector-wide uptake of the selected energy saving
technology. The executing partner is the Iranian Fuel Conservation Company (IFCO) and focal
sectors include iron and steel production. The beneficiary steel company is Esfahan Steel Company
(ESCo).

1.2 This Document

The objective of this document is to form the basis of the procurement process for the implementation
of the Demonstration Energy Efficiency Project and to appoint the lead Contractor under an
Engineering, Procurement and Supervision (EPS) contract arrangement to implement the Project.

The Terms of Reference (TOR) defines all technological aspects and functional requirements of the
hot charging Project to be engineered and supplied to the Counterpart (ESCo) by the appointed
Contractor. The technical aspects include the following sections:

• Definitions
• Description of Technical Services
• Functional Description
• Provisional List of Equipment/Supplies
• Provisional Work Schedule
• Training Requirements
• Technical Appendices

The TOR also defines the responsibilities and scope of services to be provided by the Contractor and
Counterpart.

2. Definitions

2.1 Project
The Project will implement a “hot charging” solution to transport hot billets from Continuous Casting
Machine No.5 (CCM No.5) to existing Rolling Mill 500 (RM500) reheating furnace. The Project will
charge the reheating furnace with hot billets directly from CCM No.5 at temperatures approximately
700°C. During stoppages the furnace shall be charged with cold billets from the stock yard( existing
Equipment). Overall, the furnace shall be charged at a ratio of approximately 70% hot; 30% cold
individually. The Project should achieve significant production and energy cost savings.

2.2 Counterpart
The Counterpart is Esfahan Steel Company (ESCo). The Project will be implemented at the
Counterpart’s primary industrial premises – an integrated steelworks located outside Esfahan, Iran.

2.3 Implementing Agency

The United Nations Industrial Development Organization (UNIDO) is the Implementing agency.
UNIDO will support the Project and is responsible for managing the tender and procurement process
and executing payments to the Contractor.

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2.4 Contractor
The Contractor will be contracted for all engineering, procurement & manufacturing ( main contractor
scope of work ) , training , and Supervision for erection and commissioning (EPS) tasks as specified
under a single EPS contract arrangement.

2.5 Hot charging

Hot charging normally involves charging temperatures of between 300 to 800°C directly from the
continuous casting machine to the reheat furnace. Hot charging is normal practice in the steel industry
and has several benefits including significant energy cost savings when compared to cold charging.
(The best available billet transfer technique is direct rolling of billets of around 900 to 1000°C directly
to the rolling mill.)

2.6 Rolling Mill 500 (RM500)

Rolling Mill 500 (RM500) is a medium section hot rolling mill with production capacity of 1 million
tonnes/year (965,685 tonnes were rolled in 2012).

2.7 RM500 Reheating Furnace

RM500 uses a walking hearth reheating furnace to reheat billets from ambient temperature up to
1250°C before rolling.

2.8 Continuous Casting Machine No.5 (CCM No.5)

ESCo is constructing a new 6 strand billet continuous casting supplied by DANIELI. CCM No.5 is
currently under construction and commissioning expected in the First half of 2015. CCM No.5 will
produce 1million tonnes/year of low, medium and high carbon steels and high strength low alloy
steels (about 90% low and medium carbon steels in total). Plant includes continuous caster, mould,
oscillator, oxy cutting station for billet cutter, billet cooling, conditioning, storage and dispatch section
along with all associated services, utilities and systems.

2.9 Steel billets

CCM No.5 will produce Semi-finished continuous cast steel billets used for the rolling of long products
(of square shape with cross sections of 150 x 150 mm to 200 x 200 mm).

2.10 Rolled steel products

RM500 produces low, medium and high carbon, and high strength low alloy constructional steel
products, including flanged I-beam, equal angles, flanged channels.

2.11 Steel grades

RM500 produces grades: St 37-2, St 44-2 and St 52-3 (Equivalent standard EN 10025: S235JR,
S275JR and S335JR).

2.12 Site Conditions

2.12.1 Location
This plant will be located in the way of Esfahan-Sharekord (45 km from Esfahan city), Esfahan
province in the centre. Esfahan City is located in Esfahan province, approximately 800 Km far
from Bandarabbas port in south of Islamic Republic of Iran.

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2.12.2 Site elevation
1757.5 meter above sea level

2.12.3 Accesses
A) Railway and freeway connection to plant
B) Roads

The traffic width for bridges and culverts is road worthy.

Maximum width of traffic for carry equipment is 3.5 m and maximum height is 4.5 m.

Maximum trucks axle force for lone axle is 13 tons and couple axle is 20 tons.

Maximum allowable weight of truck and loads in roads is 40 tons.

C) Ports

Normally equipment will be shipped to southern Iranain ports (Persian Gulf).

The main ports are Imam Khomeini port, Bandar Abbas port, Booshehr port.

Alternatively Anzali port on Caspian Sea may be utilized, for equipment shipment.

D) Air port

The nearest of international airport to site is Shahid Beheshti airport (25 Km from
Isfahan city 70 Km from the site).

2.12.4 Atmospheric temperature

Max. +41.8 °C

Min. -17.8 °C

Average temperature in summer +28 °C

Average temperature in winter -5 °C

2.12.5 Soil temperature

Freezing zone depth of soil: <500 mm

2.12.6 Atmospheric pressure

Max. 626.9 mm Hg

Min. 603.2 mm Hg

2.12.7 Wind
Max. Speed 48 m/sec.

Wind directions-predominant

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 21.6% Northwest
15.2% Southwest
13.8% Southeast
13.2% west

2.12.8 Evaporation
Daily evaporation from free surface: 18.48-25.10 mm daily

2,614.98-3,559.82 mm annual

2.12.9 Relative humidity

Average Relative humidity 30%-50%

Maximum Relative humidity 100%

Minimum Relative humidity 1%

2.12.10 Precipitation
Rainfall + Snowfall

max. yearly precipitation 293.2 mm (1986)

max. monthly precipitation 90 mm

max. daily precipitation 62.1 mm

min. yearly precipitation 79.3 mm (1973)

2.12.11 Ground water

Ground high: close to surface

Quality: saline and corrosive (i.e. sodium sulphate,

sodium chloride)

2.12.12 Seismic factor:

Esfahan is located in a zone of medium relative seismological danger.

The codes used in seismic calculations have to follow the standard IRAN-2800.

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2-13. Utilities Data

1 Compressed air 4.5 atm ( gauge )

2 Water 4.0 atm ( gauge )

Electrical

3 Frequency 50 Hz + 1%

4 Main supply 10 kv , 3 phase

5 Plant distribution 380 v , 3 phase

6 Up to 75 kw 380 v, Direct on line starting

75kw to 160 kw 380 v, Delta / star starting

160 kw to 315 kw 380 v, soft starter starting

Over 315 kw 10 kv , delta / star starting

3. Description of Required Services

UNIDO seeks an experienced international engineer and supplier of steel billet handling equipment to
engineer, procure and manufacturing and supervision the Hot Charging Project. The scope of
technical and supply services to be provided should consist of, but not be limited to, the following
items.

3.1 Project implementation

The Contractor will be fully responsible for the implementation of the project as specified in the Project
Functional Description (see Section0).

3.2 Engineering, procurement & manufacturing and Supervision (EPS)

The Contractor will be contracted for all engineering, procurement and Supervision (EPS) tasks as
specified under a single EPS contract arrangement.

3.3 Subcontracting
The Contractor is encouraged to deliver the project in partnership with one of more local engineering
companies under subcontracts (e.g. to procure mechanical equipment, undertake civil and
construction works etc) in order to be cost effective.

Subcontractor should be approved by UNIDO/ESCO

3.4 Site survey

The Contractor's team leader should visit the project site prior to submit their offer (technical and
commercial proposal) execution in order to:

• Become familiar with the Counterpart's (ESCo) premises, local conditions and the
Counterpart's requirements and expectations

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 • Clarify and advise on technical and other responsibilities of the counterpart
• Adjust the technical specification of supplies to the local conditions and
• Discuss and harmonise with the Counterpart and UNIDO the proposed work plan and
schedule of the overall conversion process

Photographs of the site are provided in

Appendix K.

3.5 Engineering design

The Contractor will design all engineering aspects of the Hot Charging Project. The Contractor will
prepare and deliver detailed engineering drawings, technical documentation, manuals and list of
spare parts of all new and modified equipment manufactured by the Contractor and local contractor
(Esco. Scope of work)(i.e. the “Engineering Design”). A suggested concept design, prepared by
ESCO’s engineering department, is presented in Section 0.

3.6 Equipment procurement

The Contractor will procure all equipment as required and specified by the Engineering Design
including equipment, bulk materials, first fills, operating consumables and spares. The suggested
provisional list of equipment is presented in Section 0.

3.7 Transportation and related costs

The Contractor will be required to transport any International equipment to Iran and to site ahead of
erection. UNIDO will assist this process by procuring and importing any International equipment
supplied by the Contractor into Iran and ensuring compliance with the United Nations Security Council
Sanctions list of prohibited equipment to ensure no equipment is in violation of such items.

3.8 Construction
The Contractor is also invited to offer any management and supervision services to ensure successful
implementation of the Project. This supervision will include, but not is not limited to the following.

• Site establishment, pilling, foundations, civil works execution

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 • Plant erection
• Equipment installation
• Commissioning and start-up, performance test and handover

3.9 Management and supervision services

The Contractor is also invited to offer any management and supervision services to ensure successful
implementation of the Project. This supervision will include, but not limited , the following.

• Site establishment, pilling, foundations, civil works execution

• Plant erection
• Equipment installation
• Commissioning and start-up, performance test and handover

3.10 Training services

The Contractor will provide training services (including abroad /insite training) and all required
documentation as specified in Section0.

3.11 Production assistance

The Contractor is also expected to provide production assistance to the Counterpart following
commissioning and start-up, performance testing and handover of the Project equipment (i.e. post-
commissioning), to ensure a smooth transition of production is achieved.

3.11.1 Post-commissioning monitoring and troubleshooting site visit

The Contractor is expected to conduct post-commissioning monitoring and troubleshooting visits to
the Counterpart’s site four (4) months after handover, as required by the Counterpart.

3.11.2 Preparation of Safety Document

Prepare and submit a Safety Document including all technical, training and legal requirements dealing
with industrial safety in line with the best available international industrial practices and local
regulations. The aim of the Safety Document is to prevent major accidents which might result from
any hazardous industrial activities at the steel plant and to limit the consequences of any mishaps for
man and the environment. The documentation has to be prepared in time (not later than one (1)
months prior to shipment of equipment) to enable ESCo to take the necessary measures required
from their side. Involvement of Counterpart's staff in the process of preparation of the Safety
Document is required.

4. Functional Description
The Project’s required function, scope and technical performance is defined as follows.

4.1 Project Function and Scope

The hot charging project will transport hot steel billets directly from the new CCM No.5 to the RM500
heating furnace, thus connecting the continuous casting and rolling processes into one continuous
process.

The existing production process flow and steps involved in converting pig iron into rolled steel are
shown in

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Figure 1.

Figure 1: Overview of the existing production process at ESCo from steelmaking to rolling.

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 Pig Iron& DRI

Basic Oxygen
steelmaking
(Converter)

1610°C

Ladle Furnace Sampling

1580°C

Billet Continuous Quality Control

Casting (QC)

925°C Cold
Charging

Rolling Mill 500

Billet Billet cooling and
Heating Furnace Rolling Mill 500
Cooling Bed storage
350°C 25°C 1250°C

Rolled Steel

The proposed new process including hot charging between CCM No.5 and reheating furnace is
shown in Figure 2 overleaf.

4.1.1 Aim of hot charging

The aim of hot charging is to minimise conveying time and maximise the charging temperature of
billets (within the technical limitations) in order to reduce the fuel consumed by the furnace to reheat
the billets to the discharge temperature of 1250°C (and so maximise the potential energy and cost
savings). The system should allow for the required level of quality control and must not jeopardise
product quality downstream.

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Figure 2: Proposed new process including hot charging between CCM No.5 and heating furnace.
Hot metal/Pig Iron

Basic Oxygen
steelmaking
(Converter)

1610°C Sampling

Ladle Furnace
Billet Cooling & 30% at
Cold Charging 25°C
1580°C

Billet Continuous Quality Control Rolling Mill 500 Rolling

Casting (QC) Heating Furnace Mill 500

925°C 1250°C

70% at
Hot Charging 700°C Rolled Steel

4.1.2 Expected benefits

The expected benefits, compared to the current practice of 100% cold charging, include the following.

• Significant energy and production cost savings.

• Increased production and throughput, and reduced overall production times.
• Reduced waste, higher yields and improved product quality due to reduced scaling, oxidation
and decarburisation.
• Reduced use of crane for billet transfer (reduced operation and maintenance costs).
• Reduced billet surface and dimension defects caused by crane transfer.

4.1.3 Suggested hot charging concept design

A scale drawing of the CCM No.5 and a possible hot charging solution is shown in Figure 3. To
facilitate hot charging, a simple modification and additional handling equipment has been proposed by
ESCo’s engineering department. The original design shows that after primary cooling, billets are cut
at a temperature of 975°C and transferred along a roller table to cross transport. The cross transport
table then transfers billets at 925°C to the cooling bed on the right hand side where the billets then
cool to 430°C before transfer to the collection table and on to the stock yard for cooling and inspection.
Hot charging could be achieved by modifying the cross transport to enable distribution of billets in
both directions (or by retrofitting a pushing device). Hot charge billets could then be transferred to the
left hand side into alignment with the roller table axis, lifted to correct elevation and then charged to
the directly to furnace over the minimum distance. There is space available to construct lifting
equipment to the left of CCM No.5 cross transport. A roller table (capable of sending one billet at a
time) could also be constructed to transport hot billets to the furnace roller table. Automated
inspection equipment could be included between the CCM No.5 cross transport table and the furnace
roller table. Also 2 hot billet storage area with capability of 35 hot billet ( totally – 1 CCM heat ) storage
should be considered because of some interference between CCM production and rolling mill

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condition. The fixed stopper located at the start of the furnace roller table may have to be replaced by
a retractable stopper with control system.

Based on the CCM capacity (Max. 1.2 MTPY), this project should be able to transfer all billets
produced by CCM and minimum capacity of billet transferring should be consider 30 second per each
billet.

Figure 3: Schematic Top view of the new continuous caster and a drawing of a possible layout
of billet transport equipment to charge hot billets from the CCM No.5 to the RM500 furnace

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4.2 Steel product and grades
Rolling Mill 500 primarily produces constructional I-beams. About 90% of production is I-beams of
sizes 14 and 18(i.e. with heights of 140 and to 180mm) and made from low and medium carbon steel.
The steel grades include St 37-2, St 44-2 and St 52-3 (Equivalent standard EN 10025: S235JR,
S275JR and S335JR).

4.3 Billet charging temperature

The hot charging system will transport hot steel billets directly from the CCM No.5 to the RM500
heating furnace at a temperature of approximately 700°C. The actual hot charging temperature
achieved could be higher and should be maximised in order to increase energy and production cost
savings (also by using special covers on transfer area) .

4.4 Percentage of hot charging and cold charging

The reheat furnace may also be charged with cold billets from the stock yard. It should be possible to
charge the furnace directly with hot billets for at least 70% of overall production. Cold billets can be
charged during stoppages or to allow for rolling of special steels which require billets from other
sources. A minimum hot charging percentage of 70% hot; 30% cold over the total production period is
expected. The actual hot charging percentage achieved could be higher and should be maximised in
order to increase energy and production cost savings.

4.5 Billet quality and automatic inspection equipment

Hot charging is normally applied only if billet surface quality is good enough so that cooling and
scarfing is not required and billets can be charged directly to the furnace (without need for inspection).

CCM No.5 includes mould electromagnetic stirrers (M-EMS) which significantly improves billet quality
and productivity. Additionally, the surface and dimensional quality of billets produced by CCM No.5
are guaranteed by the supplier, DANIELI. Copies of the product quality guarantees are provided in
Error! Reference source not found..

In compliance with their billet surface quality control standards however, ESCo requires inspection of
hot billets to be included to ensure product quality downstream. Therefore, the project should include
automated, high-temperature inspection equipment and a billet rejection handling system to verify
compliance with quality control requirements. ESCo has suggested the solution could include
ultrasonic and/or magnetic flux leakage flaw detection technologies capable of testing hot surfaces.

4.6 Status, implications, layout and configuration of CCM No.5

ESCo is constructing CCM No.5 – a new 1 million tonne/year continuous caster capable of producing
billets with cross sections of between 150 x 150mm and 200 x 200 mm at lengths of between 6 to
12m. The equipment has been supplied by DANIELI. The technical specification of CCM No.5 is
summarised in Table4 in Appendix C. The product specifications are shown in Table5 in Appendix C
including billet dimensions, casting speed and throughput. Side view and top view drawings are
displayed in the Appendix D – CCM No.5 Product quality guarantees

(see overleaf)

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14
Appendix D.

4.6.1 Implementation Status

CCM No.5 is currently under construction and commissioning expected in the first half of 2015. The
CCM No.5 equipments have already been manufactured and now are under installation in site.

4.6.2 Implications for hot charging

The layout and configuration of CCM No.5 and surrounding non-critical buildings/structures should not
restrict the implementation of hot charging. However, the hot charging project may require
modifications to the CCM No.5 (e.g. cross transport table function and foundations). Further, the hot
charging project should proceed as soon as possible to minimise any potential delay to the CCM No.5
project.

It is noted that the cross transport table is unidirectional (i.e. billets can only be transported in one
direction towards the billet cooling bed). Therefore, additional equipment may have to be retrofitted to
the CCM No.5 in order to facilitate the hot charging function.

4.6.3 Plant layout and available space

The layout of CCM No.5 is shown in Figure 6 in Appendix D – CCM No.5 Product quality guarantees

(see overleaf)

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16
Appendix D. This indicates that available space for additional equipment between caster and furnace
is limited. In terms of obstacles, there is a line of structural steel supports supporting the roof of the
workshop. The existing layout is not considered to restrict the implementation of hot charging.
However, the contractor should conduct their own site survey to gather sufficient information prior to
Engineering Design.

4.7 Transport distance

The horizontal distance between CCM No.5 billet stopper and the furnace roller table is 20.3m,
vertical distance is 1.5m and lateral distance from the CCM cross table axis to the furnace roller table
axis is approximately 3m. The exact distances should be verified by the Contractor during a site
survey.

4.8 Casting speed and throughput

The target production capacity of CCM No.5 and RM500 is around 1 million tonnes per year. The
casting speed and throughput of CCM No5 are listed in Table5 in Appendix C. Casting speed ranges
from 1.5 to 3.5 metres per minute and overall throughput from 164 to 215 tonnes per hour. ESCo
estimate that typical average throughput will be around 1.4 metres per minute. The exact casting
speeds should be confirmed with ESC according to the planned billet and steel specifications to be
produced by CCM No.5.

4.9 Rolling mill 500 heating furnace

The RM500 heating furnace is described in

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Appendix E, Appendix F and Appendix G in detail.

During operation, the temperature of the RM500 walking hearth heating furnace should be kept as
close to constant and any change in temperature must happen gradually in order to prevent damage
to the refractory, in compliance with the furnace’s operational guidelines. The temperature of each of
the six firing zones must be in accordance with the type of steel, charging temperature and required
rolling temperature.

Normally, hot charging results in a reduction of hot billet residence time (e.g. 120 to 80 minutes)
resulting in energy savings and increased productivity. However, consecutively charging hot billet
followed by cold billets (or cold followed by hot) introduces changes in charging temperature and risks
damage to the refractory. Therefore, changes in charging temperature during operation should be
minimised and changes must be controlled carefully to maintain the specified temperatures.

Technically, it is considered possible to charge the furnace with cold and hot billets consecutively
without modification or additional automation to the heating furnace. Energy savings can be achieved
by reducing fuel consumption when charging at higher temperatures and in order to maintain the
correct temperatures in each firing zone and the overall energy balance.

However, ESCo is concerned that maintaining the correct temperature by manually reducing or
increasing fuel supply may be difficult given the current status of furnace control and automation and
will subsequently increase the risk of damage to the furnace. To reduce this risk, the proposed Hot
Charging Project must include recommendations for furnace operation and control for handling the
switch between hot billets and cold stock (e.g. recommended furnace zone temperatures profile for
different cold and hot charging temperatures, fuel supply, energy mass balance etc).

Additionally, switching between cold and hot charging must also be continuous with no significant
delay (e.g. delays to allow for specified gradual temperature changes) in the heating zones that could
then adversely affect the hot rolling schedule. To overcome this challenge, the hot charging project
could include the addition a hot buffer for preheating cold billets, for example, or other appropriate
solutions, as deemed necessary by the Contractor and specified in the Engineering Design.

Significant modification to the RM500 rolling line (for the purposes of increasing production throughput)
and the significant upgrade of RM500 furnace (to increase the control automation level) is considered
outside the scope of the Hot Charging Project. Moreover, the other modifications required for adopting
the RM 500 furnace to CCM 5 relate to Hot Billet charging project.

4.10 Production planning and process control

Introducing hot charging and thus linking the casting and rolling processes into a single, continuous
process suddenly speeds everything up, increases the temperature at which billets are handled and
transferred to the rolling mill and reduces time for quality inspection. Overall control of the casting and
rolling processes must to be aligned to balance CCM No.5 output and RM500 furnace input. In order
to achieve this alignment, the Hot Charging Project must include an adequate managerial and control
solution. It is expected that this will include a degree of automated control for hot billet handling and
furnace charging.

5. Provisional List of Equipment/Supplies

The hot charging system will consist of mechanical, hydraulic, control, automation and electrical
equipment (including motors and drives). The final equipment will depend on the Engineering Design
provided by the Contractor. A preliminary list of main equipment has been proposed by ESCo’s

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engineering department, shown in Table 1. It is expected that certain equipment can be procured
locally but more advanced plant will have to be imported. The full breakdown of proposed equipment
is included in Appendix J.

Table 1 Preliminary list of main equipment for the hot charging system.

Suggested
No. Equipment Quantity source of
supply

1 Mechanical and hydraulic equipment

1.1 Modifications of CCM No. 5 cross transfer system and comb transfer Local
_
system

1.2 1 set Local

(Billet
Steel structure of Collecting and Billet cross transport table cross
transport
table)

1.3 Steel structure of Pulling mechanisms Local

1.4 2 sets of Local

Steel structure of Lifting/rotating equipment lifting
gears

1.5 Steel structure of Pushing machine Local

1.6 Steel structure of Intermediate storage table 1 Local

1.7 1 set Billet Local

Steel structure of Billet cross transport equipment 1 cross
transport

1.8 24 Sets of Local

Steel structure of Roller Tables
Roller

1.9 Quality control system 1 set International

1.10 1 set Billet Local

Steel structure of Billet cross transport equipment 2 cross
transport

1.11 Steel structure of Intermediate storage equipment 2 Local

1.12 Steel structure of Reject table Local

1.13 Steel structure of Billet cross transport equipment 3 Local

1.14 Hydraulic unit and equipment (all hyd. cylinder and accessories International
included )

1.15 Hydraulic components and accessories on board International

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 1.16 Oil and grease lubrication system and accessories included International

1.17 Compress air system and accessories included (in battery limits) International

1.18 All gear boxes , gear motors , bearings ,seals, ropes, chains, wheels , International
… and all other catalogue items of all mechanical equipment base on
Appendix N – Definition of Contractor Vendor list

2 Process electrical system

24 gear International
2.1 All Electric motors & drives and components
motor sets

2.2 Electrical panels and desk International

2.3 Earthing system Local

2.4 Interconnecting cabling (cable list, terminal list, …) Local

2.5 Steel cabins for switchboards and pulpits Local

3 Process automation and control systems

3.1 Process control automation and components 1 set International

3.2 Quality inspection automation and control equipment 1 set International

3.3 Field instruments devices and accessories and components International

3.4 Interconnecting cabling (cable list, terminal list, …) Local

3.5 Material Tracking International

6. Training Requirements
The required training to be provided by the Contractor to the Counterpart’s personnel is described as
follows.

6.1 Training should be led by experts from the Contractor (and subcontractor(s) as requires) across
all aspects of the Project, including, but not limited to, billet quality inspection, billet handling
system and automated control systems.

6.2 Management and operational staff from the ESCo’s Steelmaking, Quality Control, Rolling Mill
500, Automation & Control, Energy Management and Engineering teams should undertake the
training.

6.3 The Contractor should provide sufficient training in the control, operation and maintenance of
the hot charging system to ESCo’s technicians, operators and maintenance personnel, to
ensure smooth transition of production from before and after the hot charging intervention.

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 Training should involve abroad / onsite training at similar company (equipped with hot charge
system) / ESCo’s steelworks following commissioning and performance testing(estimated two
months onsite training course).

6.4 Similar workshops to be held in the operation of the hot charging (with similar productions)
equipment and control system (estimated two man months).

6.5 Additionally, a broader training programme is recommended for the Steelmaking, Quality
Control and Rolling Mill 500 teams in advanced production management and scheduling
techniques to prepare the team for the introduction the hot charging system and ensure the
management systems are properly aligned.

6.6 External training in all engineering aspect related to hot charging at the premises of the
design/lead supplier of the technology has been requested by the ESCo’s engineering
department (estimated two man months).

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7. Provisional Work Schedule
7.1 The provisional work schedule is presented below. The exact dates for contracting and target
dates/deadlines for project task completion are to be confirmed by UNIDO and the Counterpart.
7.2 A work schedule similar to that outlined above is envisaged to be submitted by the Contractor
for the engineering, fabrication, purchase/subcontract, deliver, supervision on installation, and
commissioning of the plant and training of plant personnel.

7.3 To ensure a harmonious and coherent construction process and to coordinate all work and
activities to be performed by the Contractor and the Counterpart, the main activities and
responsibilities of both parties are specified in Section 0 and 9.

7.4 Major deviations from this proposed schedule should be indicated and discussed in the
Contractor's tender.

7.5 The delivery time of documentation should allow sufficient time for the Counterpart to carry out
the necessary work required from it.

7.6 The equipment should be delivered to the plant site according to Project Time schedule and
neither the timing of the delivery of services and equipment nor their scope can be modified
without the written consent of UNIDO. Please note that speed of delivery is of utmost
importance. The project is intended to be completed by March 2016. The contractor should
deliver as part of the proposal an appropriate time schedule taking into account the activities
listed below:

22
23
8. Contractor's General Responsibilities
The appointed Contractor will undertake timely implementation of the following obligations.

8.1 The Contractor is responsible for applying the internationally best available industrial practice in
hot charging of steel billets.

8.2 The Contractor is responsible for ensuring that all equipment supplied through the contract are
new equipment of recent conception, free of defects and operational failures.

8.3 The Contractor is responsible for the control of all the work, services and supplies which are
executed by its subcontractor(s) and will supervise the work, services and supplies provided by
the Counterpart or its subcontractor(s) with regard to the implementation of the conversion
process. If the above work/services/supplies are not satisfactory and/or do not correspond to
the agreed requirements, terms, schedules and/or safety standards, or if the training of the staff
does not reach the standards necessary for a safe operation of the converted production lines,
the Contractor is obliged to intervene and to request fulfilment of such provisions, work,
services and supplies and to timely inform UNIDO as well as the Counterpart accordingly.

8.4 The Contractor's responsibilities are valid up to the expiration of the guarantee period. The
Contractor is required to intervene and to rectify each operating defect or irregularity which is
due to a fault of the original design, manufacturing or material.

8.5 Make all required mechanical, piping, electrical, instrumentation, testing and any other work,
labour, services, supplies, utilities and supporting systems, for the erection, commissioning and
start-up of equipment and for the trials, test runs and full scale safe production (if required, this
work will be defined and specified in cooperation with the Counterpart).

9. Counterpart’s Responsibilities (ESCo)

The Counterpart (ESCo) will undertake timely implementation of the following obligations.

9.1 Provision of all utilities, of required quality and quantity at the points of connection to the
equipment, and supporting systems, as required by the Contractor (if required, this work will be
defined and specified with the assistance of the Contractor immediately after the contract has
been awarded). This may include the following.
• power connection including the power switches
• earth system
• water supply
• compressed air supply ( out of battery limit )
• Site establishment, pilling, foundations, civil works execution
• Local manufacturing ( base on scope of work T.O.R / S.O.S)
• Civil work
• Plant erection
• Equipment installation
• Commissioning and start-up, performance test and handover
• High pressure fire extinguishing water etc.

9.2 Relocation of any production or civil equipment if it is found necessary by all parties.

24
9.3 Provision of all required documents and permits from respective authorities related to the site,
construction, and re-construction or equipment installation.

9.4 Written statement(s) that the utilities will meet the contractor's requirements within a specified
time as agreed with UNIDO and the Contractor.

9.5 Adequate care, in-plant transportation, lifting and storage procedures of equipment at the
project site prior to and during the period of erection until final acceptance will be trained in start
up the project by HSE department.

9.6 Fully operational testing utilities before start of commissioning of the equipment.

9.7 All data, information, drawings, documents etc. required by the Contractor and/or UNIDO
related to existing equipment of this site for the successful implementation of the Project.

9.8 Organizational and logistic assistance as well as support for the Contractor and UNIDO during
and in connection with their activities on site.

9.9 Provide transportation of equipment from the harbour or airport to which it is delivered in Iran to
the project site are not under of ESCO responsibility. Then adequate care, storage and
insurance of equipment during the above transportation within the country and subsequently at
the project site during the period of erection will be excluded.

9.10 The title and ownership rights of the equipment purchased through the project will be
transferred to ESCo upon completion of the projects in accordance with the provisions of the
project documents. Until that time, the ownership rights of the equipment remains to UNIDO.

9.11 All civil engineering and construction work required for the overall implementation of the
Project (if required, this work will be defined and specified with the assistance of the Contractor
immediately after the contract has been awarded).

10. Terms of Guarantee

10.1 The Contractor should guarantee the quality and completeness of all its work, supplies and
services specified in Section 3 above.

10.2 The terms of mechanical, electrical, performance and safety guarantee for the equipment
supplied, and processes/technologies transferred should be quoted in accordance with the
international practice and standards. The duration of the guarantee should be at least twelve
(12) months from the date of final acceptance of the plant in line with the terms of the contract.

10.3 The Contractor guarantees that the proposed scope of supply and services is complete and will
allow the achievement and continued production of steel billets from CCM No.5 and rolled steel
products from RM500 and in the agreed quantities and quality and in accordance with specified
standards.

10.4 The contractor guarantees that the furnace is charged continuously with hot billets at a nominal
temperature of 700°C for 70% of production time and charged from cold stock at 30%.

25
11. Reporting Requirements

The Contractor shall submit the regular reports in English language as important obligations as follow
in order to monitor and control the project status and progress according to the timetable and all
deliverables included in the contract.

11.1. Progress report 1, to be submitted within 1 month of the contract signature and latest after
the first visit to the project site and will include project work plan, project timetable, project
Gantt chart (including milestones, critical path etc.)
11.2. Progress report 2, to be submitted following delivery of the equipment to the project site
(month 9)
11.3. Progress report 3: covering the installation and commissioning of the equipment (month 12)

11.4. Progress report 4: covering the training on operation and maintenance (month 15)

11.5. Draft Final report, upon completion of the total work describing all the works performed
under the contract (month 18)

12. Evaluation Criteria

12-1 The necessary conditions that determine the tender offer’s confirmation at first are:

I. At least one similar (hot charge) project in last 5 years must be implemented. The
relevant performance’s contractor must be desirable and the document of previous
owner’s consent is needed. However, the confirmation would be done by surveying
the submitted documents, as an example: contracts, consent’s letters, and maybe
visit of the implemented projects and also search and inquiry method.

II. The confirmed supplier’s countries are: West Europe, North America, Japan and
South Korea.

III. Submission of operation and maintenance training.

IV. Obtaining of at least 65 score from the table of followed technical-commercial

evaluation:

Table of technical-commercial evaluation for tender offers

Obtained
# Technical commercial indices
Score

Accordance of offer context completeness according to the enclosed

1 40
table No. 1 in following

Offered Time schedule for design and engineering , supplying of

2 equipment , project execution supervision till final project delivery (will 6
be compared according to Time schedule)

Submit supplier and manufacturer of equipment (type and origin of

3 15
equipment) ,comparatively

Quality and quantity of erection and commissioning supervision in

during the commissioning and 4 month after commissioning with
4 5
offered chart of supervision and technically man month segregated (will
be compared)

26
 The duration of guarantee of all parts and equipment and performance
5 of whole system after commissioning (for every 3 months excess one 4
year 2 scores)

Submit training plan in detail for erection and commissioning, operation

6 2
and maintenance, comparatively

Submit list of Commissioning and operation spare part during of

7 4
guarantee period

Submission of tender offer in the completely, vivid, and separated

manner on the basis of titles and rows of technical-commercial
8 3
evaluation criteria table with related table of contents to facilitate the
evaluation of tender offer, comparatively

Reference list of similar projects, comparatively (for each similar project

9 15
in 5 latest years 5 scores)

10 Quality control procedure and construction standards, comparatively 6

Total 100

12-2 The price affected by technical score in order to determining the winner is calculated
by the following formula:
Balanced price=Proposed price/ (40+60 %( technical score)) * 100

Table No.1:

Max.
# Subject Obtainable
Score

1 Submission a full list of equipment on the basis of tender documents 3

2 Submission of Equipment arrangement & general layout 3

3 Submission of UFD,P & ID,PFD 5

4 Submission of proposed design for modification of current venture 9

5 More usage of current equipment, comparatively 5

Submission of system’s specifications completely including energy

6 4
consumptions, method of maintenance and repair, repair’s graph, etc.

Submission of manufacturer and supplier of equipment and main

7 parts and subsidiary parts( both for Iranian and International 8
supplier’s list will be compared)

Submission of initial spare part’s list(for 2 years production after final

8 1
project delivery)

9 1
Submission of material and part’s list for pre-

27
 commissioning ,commissioning and 18 months operation period

Submission of full technical information and main equipment

10 1
catalogues and relevant system’s documents

13. Performance Tests, Guarantees and Penalties

13.1. Preliminary Acceptance Test (Cold Test)

Preliminary Acceptance (PAC)

- On completion of erection of the PLANT including utilities and auxiliaries, preliminary

acceptance tests (cold tests) shall be performed for starting-up and commissioning.
- Cold tests shall be performed on the individual equipment/ sub-assemblies of the PLANT and
shall be designed to conduct the systematic check of the components and of the functional
operation thereof.
- Cold tests comprising idle, no-load and under-load tests shall be conducted under sole
responsibility of supervisory personnel deployed by the SUPPLIER and in the presence of
supervisory personnel of EMPLOYER. The EMPLOYER shall, for the purpose of cold tests,
provide skilled operating personnel.
- Detailed programmer of cold tests shall be drawn up by the SUPPLIER two (2) months in
advance of cold test and shall be submitted to EMPLOYER for approval. Such programmer
may be revised and adjusted during the test run as may be mutually agreed.
- Results of cold tests shall be recorded jointly be the SUPPLIER and the EMPLOYER.
- On successful completion of preliminary acceptance tests, and liquidation of the defect lists
(except minor defects, which, in the opinion of the EMPLOYER, will not affect the
commissioning of the plant), preliminary acceptance certificates shall be issued by the
employer within thirty (30) days of successful completion of preliminary acceptance tests, and
liquidation of the defect lists.
- In the event of delay in completion of preliminary acceptance test and issue of preliminary
acceptance certificate for reasons not attributable to the supplier for more than ninety (90)
days beyond the schedule date, the supplier shall receive a “deemed preliminary acceptance
certificate” (deemed PAC) to enable in supplier draw the corresponding payments.
“Deemed PAC” shall, however not relieve supplier of his obligations for preliminary
acceptance tests as per contract.

Note: Supplier should warrantee supply of spares for at least 10 years.

13.2. Commissioning

Successful commissioning shall mean all activities after issue of preliminary acceptance certificate
up to integrated operation of plant, covered in scope of supplier and which shall include partial
load/full load runs for mechanical/electrical layout and gathering of operational data, calibration

28
setting and commissioning of systems and shut down, inspection & adjustment after running of
plant.

- After the issue of preliminary acceptance certificate, start-up and commissioning of plant x in
an integrated manner would be undertaken under the sole responsibility of supervisory
personnel deployed by supplier. A detailed programmer of commissioning shall be drawn by
the supplier 1 month in advance.
- The employer shall, for the purpose of start-up and commissioning, provide operating
personnel for normal operation, which shall work under the instructions and guidance of the
supplier’s personnel.
- Start-up and commissioning of the plant shall be taken up only when electric power system,
fluid system, auxiliaries and feed materials as well as the preceding/ succeeding parts of the
PLANT are ready. Supplier shall rectify the defects observed in its scope of work during
commissioning period promptly.
- During the start-up and commissioning, required adaptation, adjustment and gradual &
sustained increase in production capacity is demonstrated. PLANT shall deem to have been
successfully commissioned when it is able to transfer the products complying with the
specifications and capacity and temperature as detailed in the supplier SPECIFICATION.
- Results of successful commissioning shall be recorded jointly by the supplier and the
employer.
- The supplier shall arrange all measuring instruments required for successful commissioning.
- The supplier shall take steps to liquidate all defects after which the employer shall issue
Successful Commissioning Certificate.
- On completion of Successful Commissioning and commencement of commercial production
and subject to SUPPLIER's meeting the requirement as per above stated clauses, the
employer shall issue Successful Commissioning Certificate within thirty (30) days.
- The PLANT shall be taken over by the employer when Successful
- Commissioning Certificate has been issued by the employer subject to the following:
a) The supplier has supplied the fast wearing items for two (2) years normal operation and
maintenance.
b) The supplier has liquidated all the objections/observations, if any, contained in the
Preliminary Acceptance Certificate to the satisfaction of the employer.
c) All As-built drawings & documents are furnished by the supplier.
- In the event of delay in successful commissioning and issue of Successful Commissioning
Certificate due to reasons not attributable to the supplier for more than one thirty (30) days
beyond the schedule date, the supplier shall receive a "Deemed Successful Commissioning
Certificate" to enable the supplier draw the corresponding payments.
- "Deemed Successful Commissioning Certificate" shall, however not relieve supplier of his
obligations for Successful Commissioning as per Contract.

29
13.3. Final Acceptance Test (Performance Guarantee Test)

Performance Guarantee Tests (PG Test) shall mean such, as are prescribed in contract specification
as well as statutory tests, if any, to be carried out by the Supplier.

After commissioning, stabilizing the plant will conduct performance/acceptance tests for all
major items of equipment supplied to demonstrate that the equipment supplied is capable of
achieving the performance parameters in accordance with the terms and conditions of the Employer.

During testing, the use will be made of all measuring instruments, gauges, flow meters
installed for the normal operation of equipment as well as special instruments and other accessories
required to prove the guarantees.

The guarantee tests will be conducted over a continuous period of 7 days.

The guarantee tests should be performed for all sections.

Supplier shall be allowed to conduct PG tests only after liquidation of all defect lists and after Supplier
has satisfied the Employer that all plant and equipment/systems/instruments are stabilized and are in
normal operation mode.

PG tests shall be deemed to be successfully completed when:

a) Guarantee test has taken place for full test period and shall conform to the guarantee
parameters

b) Guarantee test has proceeded with short duration interruptions not exceeding

a total of 8 hours(not attributable to the supplier), then the time for which

The guarantee test is interrupted will be reduced from total time and average valves
will be considered taking the reduced time period into account.

. If the total interruption exceeds 8 (eight) hours, then performance tests will be

Stopped and subsequently repeated after rectification of defects.

. If the analyses of raw materials or utility services deviate from the specification,

then purchaser and supplier will consult each other to arrive at new performance

Values considering effect on account of above deviation which will be mutually agreed.

. If , for reasons for which the supplier is responsible, it is not possible to achieve

30
 the performance values as a whole or in part during performance test the supplier

Shall be allowed to repeat the test as per the following schedule of contract document.

Liquidated damages for non- fulfilment of performance guarantee parameters.

In case after repeated performance guarantee tests, the supplier fails to achieve the

guaranteed parameters as specified , following liquidated damages shall apply in

Regard to the guaranteed parameters supplier price.

Results of PG test shall be recorded jointly by Supplier and Employer.

The final tests so as to demonstrate performance guarantees shall be carried out by the Supplier and
Employer.

The final tests so as to demonstrate performance guarantees shall be carried out by the Supplier
under sole responsibility of its supervisory personnel in the presence of Employer within a reasonable
period of time from the date on which the plant is successfully commissioned. These tests will be
conducted uninterrupted for a period of 3 days. The test run results will be averaged arithmetically
over the test period. If the result of these test not be in accordance to the contract specification, the
tests shall be repeated by the Supplier within one month from the date plant has failed in PG test.

In case PG tests are delayed for reasons attributable to Supplier, equipment-aging factor shall not be
considered during performance Guarantee tests.

Note: If any standards about noise level, vibration and requirement of ISO 18000, 14000, etc.
have not been used in this contract, the first Iranian Standards and the Second the same
related International Standards should be used. All of related penalties should be considered
in the Article.

13.4. Final acceptance (FAC)

Final acceptance certificate (FAC) shall be issued by the Employer within ninety (90) days from
the latest date when:

a) Performance guarantee tests in respect of plant as a whole have been carried out and
performance guarantee values achieved
b) Performance of the plant has been established to be integrated with the material handling
system, electric power system, fluid system and auxiliaries serving the plant.
c) The Supplier has met any and all other obligations under this contract.
d) Final documentation, if any, incorporating latest modifications in as-built drawings has been
submitted by the Supplier in requisite copies as per contract.
e) The Supplier has undertaken rectification in a definite manner for all objections/ observations
mentioned in the successful commissioning certificate.

31
 f) The plant has operated normally for a period of 12 months from the date of successful
commissioning certificate.

14. Spare Parts

14.0. General

The objective of this specification is to define the requirements for spare parts, including:

- First fill and 6 months operating consumable

- Commissioning spare
- Two years fast wearing
- Capital (Operational) spares
- Special tools& tackles
Note: Employer has the right to change the quantity, type and kind of spare parts.

14.1. First Fill and 6 months normal operating consumable

The plant shall be supplied with the first fill and 6 months normal operating consumable materials
and also sufficient for start-up, commissioning and demonstration of Performance Guarantee
periods of the whole plant. The required consumable material such as, oils, grease, lubricants
(including flushing oils), etc are included in the scope of supply of consumables by the Supplier.
The first fill and consumable materials to be supplied by supplier

14.2. Commissioning Spares

The plant shall be supplied with the required spare parts & fast wearing of the whole plant for
the start-up, commissioning, demonstration of Performance Guarantee.
Supplier shall take all necessary spare parts during commissioning out of stock of two years spare
parts and will refill later free of charge.

14.3. Two Years spare parts

Supplier should supply spare parts for 2 years of normal operation

Note: The complete set of drawings for non-standard fast wearing spare parts should be
provided by SUPPLIER in CAD (DWG) format. In these drawing it should be submitted all
enough information to allow further manufacturer to fabrication these parts.

14.4. Capital (Operational) spares

Capital (Operational) spares include critical spare parts, which are advisable to hold operation/stock
at all times because, in the event of an unexpected breakage or failure of such items, the time to
repair or to replace it would incur serious loss of production.

32
 Capital spare parts

14.5. Special Tools and Tackles

The plant shall be supplied with the required special tools, tackles and instrument of the whole plant.
The list of the special tools, tackles and instrument for the whole plant must be confirmed during the
engineering phase

15. Quality Assurance & Quality Control Plan

15.1. Quality Assurance

The Supplier shall institute a quality assurance system to demonstrate compliance with the
requirements of the Contract. The system shall be in accordance with the details stated in the
Contract. Employer /Consultant shall be entitled o audit any aspect of the system.
Details of all procedures and compliance documents shall be submitted to the Employer /Consultant
for approval before each design and execution stage is commended. When any document of a
technical nature is issued to Employer/Consultant evidence of the prior approval by the supplier
himself shall be apparent on the document itself.
Quality assurance procedures shall be carried out by the Supplier at the works during manufacturing
in International or local workshop. The procedures shall cover all inspection and testing of structural
steel, equipment of the plant, auxiliary plant, mechanical services equipment, electrical apparatus and
drives, refractory, control system, pipe work and installation materials, supplied as part of the Contract
works.
The procedures shall include all verification of the quality of materials and workmanship and all
statutory requirements.
Compliance with the quality assurance system shall not relieve the Supplier of any of his duties,
obligations or responsibilities under the contract.

15.2. Quality Control and Technical Inspection

15.2.1- Definitions

- Quality Inspection Categories

Quality Inspection Categories are as follows:

Class A: Inspection, test and test run are carried out in the presence of Employer/Consultant’s
inspectors. After completion, Supplier will present an inspection record and test reports in
accordance with the terms of the Contract. An inspection protocol will be signed by Supplier and
Employer/Consultant to confirm the inspection.
Class B: Inspection, test and test run for manufactured and/or serial parts are carried out on a
random selection in the presence of Employer/Consultant’s inspectors. The remaining parts can
be inspected without the presence of the Employer/Consultant. After completion, manufacturer
will present to Employer/Consultant an inspection record in accordance with the terms of the
Contract.

33
 Class C: Manufacturer will proceed with inspection without Employer/Consultant’s participation,
however, the manufacturer shall provide an inspection certificate for Employer/Consultant and the
Supplier.
- Codes and standards

Following standards will be applied:

• DIN Standard
• VDE Regulation
• ISO
• ISIRI
• IEC
• Standards of Supplier’s country (which should be equal or better than above
mentioned standards and also should be provided to Employer/Consultantin English)
All equipment and materials will be supplied to metric units of measurement and materials codes.

15.2.2. Pre-Inspection Meeting

The purpose of a pre-inspection meeting is primarily to ensure that the quality requirements are being
handled satisfactorily and that all requirements in the purchase order, contract, the applicable
specifications, standards, and drawings are fully understood and confirmed by all concerned parties.

The pre-inspection meeting is normally held with the Supplier’s inspector and the sub-
supplier/manufacturer/ vendor inspector and the Employer/Consultant’s inspector, when necessary.

The Supplier inspector and Employer/Consultant’s inspector shall decide the necessity and schedule
of the meeting. The pre-inspection meeting is mandatory for critical items.

The following items may be discussed in the pre-inspection meeting:

• Channel of communication

• Inspection and Test Plan

• Sub-supplier/manufacturer/ vendor Quality system

• Area of concerns

• Fabrication/construction sequence, etc

• The sub-supplier/manufacturer/ vendor’s quality control program, including details of the

manufacturing/construction and its sequences, witness/hold points for inspection, and the
quality control system shall be studied.

The sub-supplier/manufacturer/ vendor’s quality control and inspection organization shall be checked
and reviewed for its ability to retain the required quality of workmanship.

Coordination procedures, such as communication channels between the parties concerned and
submissions of records etc., should be clearly understood by the sub-supplier /manufacturer/ vendor
at this meeting.

34
15.2.3. General

The Supplier will test and inspect all equipment and material as per Technical Rules to Tender The
Supplier shall carry out all tests mentioned in the specifications and as directed by
Employer/Consultant, whether mentioned in the Contract Documents or not, to ensure that all
materials, equipment, machineries and other prefabricated components of the Works are
manufactured, fabricated and assembled in accordance with the drawings, specifications, and
international standards, codes and sound engineering practice.
In order to understand Supplier’s recommended sub-supplier and its inspection criteria, within 2 (two)
months after Basic Design Review, Supplier should provide Employer/Consultant with the names and
addresses of the sub-suppliers of Supplier’s scope of supply.
When sub-contracting, the Supplier shall satisfy Employer/Consultant that a quality specialist
responsible for quality together with sufficient and suitably qualified staff will be assigned to control
the quality product aspects of the Contract. The Supplier shall retain responsibility for the quality
control, inspection and testing activities carried out in the manufacturing works of Sub-suppliers.
If Employer/Consultant considers that the proposed quality specialist and/or quality personnel is
unsatisfactory or becomes unsatisfactory during the course of the Contract due to staff changes or for
any other reason, the Supplier shall employ for the period of the Contract and at the Supplier’s cost
an independent quality specialist and/or sufficient and suitably qualified staff approved by
Employer/Consultant.
The Supplier should provide the applicable standards and regulations for the materials and equipment
inspection.
For each equipment or system a detailed Quality Control and Testing Manual (QCTM) shall be
prepared by the Supplier and submitted to Employer/Consultant for approval. The date of submission
shall be after approval of detailed design drawings by Employer/Consultant and before start of
construction. Employer/Consultant will review and inform the Supplier of their comments. After editing
the QCTM according to Employer/Consultant comments and final approval of it by the
Employer/Consultant, all the technical inspections shall be done according to this QCTM. The
following documents shall be included in QCTM as minimum requirements:
- List of units & drawings
- Welding Procedure Specification (WPS)
- Quality Control Plan (QCP)
- Visual and dimensional inspection guidelines
- Sandblast and painting specification
If any equipment or a part of it shows defects that requires repairs, the Supplier shall not proceed to
make such repair without the prior approval of Employer/Consultant. In all such cases a technical
report on the repairs which need to be executed must be prepared by the Supplier and submitted to
Employer/Consultant. All defective areas shall be non-destructively tested before and after repair.
The documents required for the approval of the Materials, machineries and equipment, as set out in
the Contract, must be delivered to Employer/Consultant in six complete sets and in such time, as to
enable Employer/Consultant to perform the necessary review and checking.

35
All project material and equipment ready for delivery are subject to a visual final inspection prior to
packing. Also those particular objects to be put in sealed bags, cases and crates have to pass such
inspection too.
The documents necessary for final inspection and release for packing shall be prepared as set out in
the Contract and shall be delivered to Employer/Consultant together with the pertinent technical
specifications. These documents will include but not limited to the following:

• Reports on tests performed

• Casting certificates/Material Certificate
• Pressure testing certificate
• Certificates of the pertinent testing laboratories or institutional inspection authorities.
• Results of any non-destructive tests, together with the pertinent sketches and descriptions.
• Reports on welder's qualifications.
• Specifications of welding electrodes and methods used.
• Assembly drawings of the machinery and equipment.
• Detailed workshop drawings of the contract and spare parts.
• Catalogues
• Erection specifications and information.
• Maintenance and operating manuals of Sub-Suppliers checked by the Supplier.

The Supplier shall keep adequate records to enable the status of design appraisals and acceptances
of certifying authorities to be assessed at any time (e.g. correspondence, details of documents
submitted, approvals gained, comments received from certifying authorities, sub-order inspection
requirements etc.).
The inspections, tests, witnessing, verifications, acceptances, clearances, etc., carried out or issued
by Employer/Consultant shall neither relieve the Supplier of its responsibilities regarding failures and
defects, nor will it affect the guarantee assumed in the Contract.

15.2.4. Tests

All materials, instruments and equipment for the tests shall be provided by the Supplier to the
approval of Employer/Consultant. Special tests which cannot be performed at the Supplier's premises
or with the equipment at the Supplier's laboratories shall be performed by qualified independent
international institutions approved by Employer/Consultant.
For mechanical tests and chemical analysis, test pieces shall be branded in the presence of the
Supplier and Employer/Consultant and for important forgings and castings the position of the pieces
shall be approved by Employer/Consultant.

The type and extent of non-destructive examination at relevant stages of manufacture will be
suggested by the Supplier and approved by Employer/Consultant taking into account the service for
which the component is intended.

36
All NDT, DT, painting tests, etc. shall be done by qualified independent institution approved by
Employer/Consultant. All the cost for these tests shall be in charge of the Supplier.

Items of Plant and Equipment having a definite performance specified either in the relevant standards
or specifications shall be tested for such performance in the presence of the Supplier and
Employer/Consultant. Pressure/Hydro/leakage tests shall be carried out on all related components.
Where practicable items of associated equipment which together comprise a complete assembly shall
be assembled at the manufacturer's works and tested to prove the combined performance. Test
certificates shall be supplied for all such tests.

The Supplier may propose that the results of type tests be accepted as evidence of compliance with
the specification. Any such proposal shall be subject to Employer/Consultant approval, for which the
Supplier shall submit the relevant certificates and test data.

The Supplier shall be responsible for ensuring that all tests and approvals required by statutory
authorities are duly performed by an approved insurance (or other organization) authority at the
Supplier’s expense.

15.2.5. Quality Inspection

For all equipment, an ex-works inspection shall be carried out according to an inspection schedule
worked out during basic/detail design and mentioned in Quality Control Procedure.
The inspection could include following items: Visual inspection, Dimensional inspection, Material
inspection, Non-destructive examination, Partial assembly examination, Complete assembly
examination, Insulation test, Functional test for electrical control equipment, Functional test for
individual items, etc.
Three month before the actual inspection, Supplier should provide the necessary preliminary technical
data and drawings for Employer/Consultant’s inspectors for reference, free of charge.
Two month before the actual inspection, Supplier should provide the necessary final technical data
and drawings for Employer/Consultant’s inspectors for reference, free of charge.
One month before the equipment under class A will be assembled as well as the time which class B,
will be available, the Supplier shall notify Employer/Consultant.
The Supplier should assist Employer’s/Consultant’s inspectors in understanding International
Inspection Standards mutually agreed on and in answering necessary questions concerning the
inspection.
In respect of the work which Employer’s/Consultant’s personnel are entitled to examine, inspect,
measure and/or test (class A and B), the Supplier shall give notice to the Employer/Consultant at least
two weeks before the scheduled dates for witness/action points identified in QCPs and before it is
covered up, put out of sight, or packaged for storage or transport. Employer/Consultant shall then
either carry out the examination, inspection, measurement or testing without unreasonable delay, or
promptly give notice to the Supplier that the Employer/Consultant does not require to do so. However,
it is the obligation for the Supplier to accomplish the entire inspection item strictly according to the

37
QCTM, which is confirmed by the Employer/Consultant and Supplier. All documents regarding to
quality control like Test Certificates, Internal Inspection Reports, Technical Specification, Approved
QCTM, Approved main drawings and shop drawings shall be prepared and available for review before
the Employer/Consultant inspector attend the work for inspection.
If the Supplier fails to give the notice, he shall, if and when required by the Employer/Consultant
uncover the work or disassemble it and thereafter reinstate and make good and perform the specific
test /inspection, all at the Supplier’s cost.
The Employer’s/Consultant’s personnel shall at all reasonable times:
• Have full access to all parts of the Site and to all places from which materials are being obtained,
and

• During production, manufacture and construction (at the Site and, to the extent specified in the
contract, elsewhere), be entitled to examine, inspect, measure and test the materials ,any kind of
construction ,fabrication ,procurement ,workmanship, and to check the progress of manufacture
of Plant.

The Supplier shall give the Employer’s/ Consultant’s personnel full opportunity to carry out these
activities, including providing access, facilities, permissions and safety equipment.
The Supplier and his Sub-Suppliers shall provide Employer/Consultant free of charge adequate office
space, secretarial assistance and telecommunication services during the execution of the inspection
activities. Also board and lodging, local transportation and medical insurance covering hospitalisation
and treatment of Employer inspectors are at the Supplier’s cost.
Employer will bear for its inspector the costs such as round international trip tickets, hotels, local
accommodation, salaries and personal expenses and telephone calls. It would be mentioned that the
cost such as: internal air tickets and transferring to factory and insurance and visa will be carried out
by contractor.

15.2.6. Reports

The Supplier shall provide reports of all visits made by his quality assurance personnel and any other
inspecting engineers appointed and acting on his behalf. The Supplier shall fully document all quality
assurance checks, inspections and tests carried out in his own works and those of all Sub-Suppliers.
Four copies of all such reports and certificates shall be forwarded to Employer/Consultant within one
week of testing. Any discovered damage, defects or rejections which in the Supplier's view may
prevent satisfactory completion of the Contract Works, or cause delays to program shall be advised to
Employer/Consultant by e-mail or facsimile and be confirmed by written report within one week. The
Supplier shall submit to Employer/Consultant, at intervals of not more than four weeks, a summary of
all quality control, inspection and testing activities which have taken place in the previous four weeks.

15.2.7. Final book

38
The Supplier shall compile a final data book progressively during the execution of the Contract, which
shall include but not limited to the following:
• Index

• P/O or Contract No.

• Basic engineering drawings

• As-built drawings

• Detailed catalogues

• Technical specification

• Record of identification marks

• Heat treatment charts

• Material test certificate

• Inspection and test reports

• Procedures, procedure qualifications and operator qualifications

• NDT certificates

• Master quality plans

• Rework/repair details

• Non – conformance reports

• List of recommended spare parts /consumables

• List of recommended special tools and tackles for erection and operation and maintenance
• List of lubricants and chemicals including quantity and time schedule of initial fill
• Storage manual
• Commissioning, operation and maintenance manuals

The final book shall be submitted to the Employer/Consultant at the time of equipment shipment to the
site.

15.2.8. Draft Quality Control and Quality Assurance Procedure

Within two weeks of the effectiveness of Contract the Supplier shall submit to the
Employer/Consultant for approval a draft procedure of quality assurance, quality control, inspection
and testing activities which he proposes to perform, together with a program indicating when these
activities are to be carried out. The program of inspection and testing shall be related to the
preliminary program of Plant design, manufacture, erection and Tests on Completion. Individual

39
quality assurance procedures shall be proposed for any specialized item of Plant but standardized
procedures may be proposed for common items such as castings, forging, fabrications, structural
steel, fans, pumps, pipe work, valves, tanks, drive units, ducting, compressors, couplings, bearings,
motors, conveyors, switchgear, control gear, batteries, transformers and instruments. The
Employer/Consultant shall have the right to modify or complete the draft quality control procedure
whenever the modifications are supported by the Contract Documents.

15.2.9. Detailed Quality Control and Quality Assurance Procedure

Within two months of effectiveness of Contract and following approval of the draft procedure by the
Employer/Consultant, the Supplier shall submit to the Employer/Consultant six copies of the agreed
detailed quality assurance procedure and a detailed program of the inspections and testing to be
carried out for approval. This program shall conform to general Time Schedule of the Contract.

In order to achieve a uniformity of quality assurance procedures, inspection and testing throughout all
aspects of the Contract Works from design to commissioning, the procedure shall be issued by the
Supplier to all members of his quality assurance organization, to all Sub-Suppliers and to all
supervising engineers. The document shall also be issued by the Supplier to the Employer/Consultant
carrying out inspection and surveillance.

The Supplier is responsible for submitting reviewed QCPs/QAPs from its Sub-Suppliers to
Employer/Consultant for approval.
The procedure shall not be altered without prior agreement by the Employer/Consultant but the
Supplier shall maintain a complete list of recipients of all issues of the procedure, in order to ensure
correct updating by revisions, which may be so approved.
Work identified on a QCP/QAP shall proceed only when the document has been approved by
Employer/Consultant.

15.2.10. Additional/Alternative Tests/Inspection

The Employer/Consultant may direct the Supplier to perform additional or alternative tests/inspections
for specific components. Costs of such tests/inspections shall be on the Employer account if the
product is proven acceptable. Costs of such tests/inspection shall be on the Supplier’s account if the
product is proven to be not in accordance with the Contract requirements or not suitable for intended
use.
15.2.11. Rejection

If, as a result of an examination, inspection, measurement or testing, any plant, materials, design or
workmanship is found to be defective or otherwise not in accordance with the Contract,
Employer/Consultant may reject the plant, materials, design or workmanship by given notice to the
Supplier, with reasons. The Supplier shall then promptly make good the defect and ensure that the
rejected item complies with the Contract.

40
If Employer/Consultant requires this plant, materials, design or workmanship to be tested, the tests
shall be repeated under the same terms and conditions. If the rejection and retesting cause the
Employer to incur additional costs, the Supplier shall pay these costs to Employer.

15.2.12. Remedial Work

Notwithstanding any pervious test or certification, Employer/Consultant may instruct the supplier to:

(a) Remove from the site and replace any plant or materials which is not in accordance with the
contract,
(b) Remove and re-execute any other work which is not in accordance with the contract, and
(c) Execute any work which is urgently required for the safety of the works, whether because of an
accident, unforeseeable event or otherwise.
Additional costs arising from activities associated with products proven to be defective, non–
conforming or late with respect to agreed delivery times shall be on the Supplier’s account.

15.3. Quality Management System

The supplier shall comply with all requirements of the latest revision of ISO 9001 "Quality
Management Systems" unless otherwise agreed by the Employer/Consultant Should the Supplier or
any of the proposed sub-suppliers not comply with ISO 9001 at the time of tender, a contract may be
awarded subject to a written undertaking by the Supplier to enhance his own and/or sub-supplier’s
Quality Management System to the satisfaction of the Employer prior to commencement of
manufacture in terms of the Contract.

15.4. Surveillance

Surveillance will be carried out by a Third Party Inspection (TPI) Company which has the international
authorization or Institute of Standards and Industrial Research of Iran (ISIRI) authorization and with
approval of Employer

Surveillance three months’ schedules should be sent to TPI Company. Surveillance will start after
final inspection call which must be sent to the TPI Company at least two weeks before inspection date.

In this stage the Technical Certificate (TC) or Waive Letter which is approved by Employer, could
have been received for the mentioned Equipment.

Surveyor will inspect the cargo and will issue the Inspection Report of Packing (IRP) and will transfer
to Employer to get the delivery permission and will issue the Certificate of Inspection (COI) after
loading.

41
15.5. Technical Assistance

The Supplier scope of work for Technical assistance in quality control field is as follows:

a) Technical assistance of all suppliers is in scope of Supplier.

b) Cost of technical assistance will be considered in supplying equipment.

c) Preparation of required standard and specification for designing, manufacturing and construction
is in Supplier scope of supply.

15.6. Tender Information

The Supplier is also required to supply necessary information to enable Employer/Consultant to make
assessment of quality control, inspection and testing policies of the Supplier. Also certain minimum
requirements in this respect have been laid down here.
The Supplier shall submit with his Tender Proposal:
• A description of the quality assurance procedure,
• A description of Quality control, inspection and testing procedure
The latter description shall include non-destructive testing (NDT) facilities, material testing, control of
critical welding operations, material classifications and identification and all test facilities.
The Supplier shall submit with his tender an example of a typical quality control plan currently in use
in the Supplier's manufacturing works with an organization chart showing the numbers of personnel
and qualifications which he intends to adopt for the Contract Works.

16. Specification for packing, Marking and forwarding

16.1. General

This section covers the general requirements for the packing, marking and forwarding of all
equipment and materials required for this project.

It represents the minimum requirements for packaging of material and equipment for handling, ocean
shipment, road haulage and extended storage in the Site climatic conditions. In all instances it is the
responsibility of the Supplier to ensure that the packaging is adequate for the consignment involved
during shipping and storage and able to withstand the extremely rough handling to which it will be
subjected.

16.2 PACKING

16.2.1. General

This section sets certain requirement as a minimum. Compliance with the requirements of this section
shall not be considered a limiting clause relieving Supplier of any obligations undertaken in the

42
Contract. All equipment and materials shall be carefully packed for transport and designed to protect
the contents from damage due to impact, crushing or vibration, environmental conditions, pilferage or
attack by micro-organisms, insects, rodent, etc. The type of packing shall be determined by the
contents which requires protection and can range from hermetically sealed metal containers to open
crates. Efforts shall be made to keep the overall volume and weight to a minimum. The design must
be such to be capable of withstanding a long period of shipment (possibly in excess of 8 months) and
storage for periods as long as three years in hot summer and cold winter climate with occasional
storm and extremely rough handling.

The packing can be carried out in compliance with the following typologies:

• Wooden cases or cases coated with a phenolic plywood

• Crates featuring non-continuous wooden panels
• Bundles ties with wooden or iron clamps with threaded tie rods.
• Special types of packaging that keep the goods off the floor
• Goods that have not been packed
The exterior pack shall consist of the most practical utilization of export packing materials in
combination with interior cushioning, blocking, bracing and preserving to provide a package which
either permits shocks to be absorbed and relieved, or distributes and transforms the forces in such a
manner that the container and its contents are able to withstand them without damage.

In the case of material treated with protective coatings, the protection expiration date shall be
indicated. In addition all other instructions for correct preservations of the material and/or equipment
are to be attached to the package, or clearly identified with a special code stenciled on.

Grab hooks may be permitted for cases weighing up to 1000 kg gross. Cases shall therefore be able
to support the full weight of the package when handled in this manner and grabbing points shall be
clearly marked on the case.

The weights and unit dimensions of the packages shall take into account the requirement of any
special conditions affecting shipment or transport by road and rail in Iran.

The packing procedure and shipping protection shall be subject to inspection by the
Employer/Inspector before equipment is put into a case/crate, and again before a case/crate is closed.
For exercising inspection rights, advance notice and obligations of Supplier, as related to shipping
protection and marking shall be as specified in the Contract. The Employer/Inspector will sign the
packing list as evidence of conformity, but this signing will not release Supplier from any of his
obligations under the Contract.

When necessary, equipment shall be bolted to case/crate base. Bulk items shall be banded or
otherwise unitized and fastened to the case/crate. Shock absorbing media such as felt layers shall be
placed between the equipment base and the case/crate for rotating machinery and large electrical
equipment.

43
Fragile items shall be wrapped with efficient cushioning material or floated in excelsior. When several
items are packed in the same case/crate, they shall be packed in a manner which will prevent one
damaging another. Wood spacers shall be used between parts weighing more than 20kg.

In all cases items shall be nested or packed to reduce volume as much as possible. Waste space
within a container is a source of weakness and increases shipping cost.

Hygroscopic packaging materials, if used, shall be dry and every effort shall be made to avoid trapped
water in equipment to be packed.

The packing has to be of such design that damages will occur neither on the packed goods nor on the
packing as such by tilting, displacing, swinging, vibrating, lifting, escaping, etc.

The designation and description of the package content must be in complete and exact agreement
with the packing lists. All mechanical, piping and instrument part of an equipment which should be
connected together to make a mechanical apparatus or part of production line should be contained in
one pack or several pack observing proper addressing and numbering. These observations make
ease to collect different part of equipment with low risk of missing or shortage of parts during
unpacking.

During the construction of the packages, the dimensions must remain according to rules of “Ministry
of roads and transportation of Iran” otherwise extra cost shall be charged by Supplier.

16.2.2. Temporary Protection of Surfaces

All surfaces of goods which may be corroded or attacked by fungi under the influence of moisture and
high temperatures (which reach above 50 °C) shall be treated with reliable inhibitive chemicals.
Exposed metal surfaces of equipment shall be protected from corrosion by covering with an easily
removable moisture barrier which shall last throughout the period of shipment and storage, prior to
being put into use.

The protective coating shall be applied to clean, moisture free surfaces. The choice of the protective
coating depends on the material to be protected and shall be safe to handle and easily removable by
the application of common solvents or other simple means, such as wiping or stripping. The details of
the treatment used and the method of removal of the protective coating shall be described and
included with the other information to be packed with the shipment.

Wherever possible, the protective coating shall be covered with a moisture proof barrier, such as PVC
or polythene and suitably sealed. Deck loaded items shall be painted as per specification for
protective coatings.

For material not shipped in closed cases, (i.e. vessels) all openings shall be sealed. The needed
openings shall have a screw cap.

44
Flanged openings shall have gaskets and metal plate covers bolted to flange. Non-flanged opening
may be soundly plugged or plastic wrap sealed and banded. Bagged desiccant shall be fastened
inside each sealed item.

Pipes shall be cleaned internally and their inside surfaces be protected by a corrosion inhibitor. The
pipe ends shall be plugged (if required) to prevent ingress of water and dirt during shipment and
storage.

16.2.3. Vapour Barriers and Moisture Proofing

Due to the long shipment and storage periods, any material or equipment subjected to deterioration
due to exposure to moisture shall be suitably protected.

Delicate equipment, such as switchgear, control gear, instrumentation, communications equipment

and precision mechanical equipment shall be sealed in robust, transparent polythene envelopes with
a suitable desiccant. All sealing shall be done by welding.

Openings in electric motors, generators and other electrical equipment shall be sealed with
waterproof tape or in some equally efficient manner. Protective greaseproof paper shall be inserted
between the brushes and armatures of motors and generators.

The use of PVC or polythene film of 0.25 mm minimum thickness is recommended for vapor barrier
and protective wraps. The insides of all packing cases shall be lined with an approved seaworthy
packing paper or plastic film capable of withstanding great changes of temperature. This shall be
placed between the sheathing and the frame members. Wherever possible, equipment shall be
wrapped with a rust inhibitive paper with the moisture repellent face towards the packing case and the
moisture absorbent face towards the packed items.

The lid of the packing case shall be covered with a layer of bituminous felt to prevent water seepage
into the case.

Sufficient quantity of a suitable desiccant shall be placed within the packaging to ensure that the
relative humidity of the air within the vapour barrier does not exceed approximately 35% throughout
the required period of shipping and storage. Equipment and materials which are extra sensitive to
humidity shall have additional quantities of desiccant to maintain the relative humidity at the lower
value required for the article packed.

The desiccants used for packaging should preferably be in granular or tablet form and shall remain
solid and dry to the touch and suffer little or no disintegration throughout the performance of its
function. The materials shall be such that the absorption of moisture is not accompanied by chemical
changes that will cause it to corrode or otherwise damage its container or the article packed. It shall
not produce a liquid or gas or a significant rise in temperature.

45
The desiccant, in perfect condition regarding moisture absorbing capacity, shall be placed within the
vapour barrier of the equipment packaging in a suitable container. The container shall be such that
moisture can easily reach the desiccant. Pumps, compressors, electrical cabinets and similar items
which may be sealed prior to packing shall have bagged desiccant fastened inside the enclosed
space in addition to the desiccant for the case packing.

16.2.4. Wooden Cases

Lumber shall be sound and well-seasoned of pine, poplar or fir tree, without knots or defects which
might reduce board resistance. All nails shall be either one of the following types:

• Cement coated nails

• Ringed nails
• Screw nails
For plywood cement coated staples may be used. Plywood shall be best quality 3 or 5 ply not less
than 9 mm thick.

All lumber dimensions indicated are minimum dimensions subject to standard tolerances (average of
5%).

Cases with gross weight over 12000 kg require special design of cases and skids, subject to
agreement with the Employer/Inspector.

16.2.4.1. Wooden Cases up to 300 kg Gross Weight

Case boards shall have a nominal thickness of 25 milli-meters at least, and shall be joined by guides
at least 11 milli-meters deep.

Board width shall not exceed 250 milli-meters, nor be less than 120 milli-meters. When their contents
allow it may be built without bottom beams, but with fastening crosspieces of25 milli-meters minimum
thickness on sidewalls and of 40 milli-meters minimum thickness on the bottom, applied at about
every meter of case length.

Steel strapping shall be in accordance with Para 8.2.4.3.8.

16.2.4.2. Wooden Cases More Than 300 kg Gross Weight

All cases of this group shall satisfy the following requirements:

• All cases of this group to be skidded and framed.

• Design to follow detailed instructions given under sub-clause 8.2.4.3. These
instructions are minimum requirements.
• Design of cases of excessive weight or dimensions is to be discussed with the
Employer/Engineer prior to construction.

46
 • Each bearing surface of machinery or equipment shall rest over a skid member and
bolts securing equipment to skid shall pass through a skid member. Lag screws are
not acceptable for this purpose.
• All cases exceeding appr. 1 ton gross weight shall be equipped with angle irons and
with stirrups on hoisting points.

16.2.4.3. Instructions for the Construction of Wooden Cases

16.2.4.3.1. Skids and Headers

Cases shall be fitted with skids parallel to the case longitudinal axis and adequately sized according
to the weight, load distribution and length. (Figure 1)

The skids shall preferably be placed at 800 to 1000 mm distance from each other. They shall have
bevelled ends at 45º to facilitate the insertion of lifting ropes.

Minimum cross section of skids and headers are indicated in table 1. Headers at both ends of case
shall be bolted perpendicular to skids.

Table1. Minimum Cross Section of Skids and Headers

Length of Case

2m 4m 8m

Gross Weight kg Minimum Number of Skids

2 3 4

a×h a×h a×h

1500 100×100mm 100×100mm 100×100mm

3000 100×150mm 150×150mm 150×150mm

6000 150×150mm 150×200mm 150×200mm

12000 200×200mm 200×250mm 200×250mm

16.2.4.3.2. Under beams

Beneath the skids, the under beams (45 mm thick) shall be fitted so as to frame the lifting ropes; their
position will depend on the center of gravity of the case.

47
16.2.4.3.3. Top Joists

Top joists shall be fitted at center to center distance of 800 mm. Their cross section shall be within the
limits indicated below:

Weight of Case (kg) Top Joists Section (a×h)

Up to 6000 50×100 mm

Over 6000 100×100 mm

16.2.4.3.4. Side Walls

a) Side Wall Struts

Struts are to be fitted between framing and placed beneath the top joists. Cross section of struts shall
be equal to joist cross section. (Figure 1)

b) Side Wall Framing and Diagonals

Framing shall be placed at all edges of case. Diagonals shall be fitted between framing and struts.
Minimum cross sections of framing and diagonals are 50×100 mm.

16.2.4.3.5. Bottom Construction

Width of lumber shall be 120 -250 mm. Thickness of lumber depending upon the gross weight of the
case shall be as follows:

-Up to 1500 kg Thickness = 30 mm

-Up to 3000 kg Thickness = 40 mm

-Over 3001 kg Thickness = 50 mm

Case over 3000 Kg need additional load bearing floor members where load is concentrated.

16.2.4.3.6. Sheathing (Side-Walls. Top)

Width of lumber used shall be 120 -250 mm. Thickness shall be as specified below:

-Up to 3000 kg Thickness = 20 mm

48
 -Up to 8000 kg Thickness = 25 mm

-Over 8000 kg Thickness = 30 mm

16.2.4.3.7. Plywood

Instead of sheathing, case side-wall and top may also be made of phenol bonded Douglas fir marine
plywood. Thickness shall be minimum half of sheathing thickness. All other regulations apply
unchanged.

16.2.4.3.8. Steel Strapping

Steel strapping shall be applied to all boxes/crates up to 3000 kg. Space between straps should not
be more than 1000 mm and with not less than 2 bands per box, and the end straps not more than 100
mm from end of box. Straps for case gross weight of up to 1000 kg shall be min. 20 mm wide, and for
case gross weight above 1000 kg and up to 3000 kg shall be min. 30 mm wide, applied with a
stretching tool and secured with crimped steel seals.

16.2.4.3.9. Inspection Door (Window)

All wooden cases above 4 m length or 1.5 m height shall have the inspection door. The dimension of
inspection door is as follows:

Length 350~400mm

Width/Height 250~350mm

Inspection door shall be located at the side wall or top of wooden case. The numbers of inspection
door are as follows:

Length of Case Number of Inspection Door

4m≤L<6m 1

6≤L<8m 2

49
16.2.4.3.10- Cover sheathing

For the cases, the roof sheathing may be made with:

• Boards mounted transversally to the longitudinal axis of the cases by placing a sheet
of pressed cardboard before the cover support (thickness equal to 5 mm) that
supports the part of the polythene sheet in excess of 10 cm surrounding the perimeter
(Figure 2)
• Multilayer panels, the sheet to which the bearing frames must be fixed to.
The external fibre must be oriented so as to utilize the maximum strength (external fibres
transversally to the longitudinal axis of the case).

Both boards and multilayer panels must have the edge flushed with the wall sheathing (Figure 3)

The crate roof sheathing is made of boards spaced at a distance equal to the width of a board
arranged transversally to the longitudinal axis of the crates and nailed to the bearing frame (Figure 4)

50
16.2.4.3.11- External Protections and Reinforcements

a) Rigid vertical reinforcement

Reinforcing brackets must be nailed along the vertical comers of the cases and crates, according
to figure 5.

The brackets must be placed at the longitudinal upper, lower and intermediate (if provided) joists,
unless special cases.

b) Upper border reinforcement

For containers with a gross weight equal to 2000 kg or more, the part of the edge which may be
damaged by the wire rope in the upper part of the container must be protected with steel angles
built and positioned as per figure 5 and suitable dimensioned and fastened.

51
c) Lower border reinforcement

For containers with a gross weight equal to 2000kg or more, the part of the edge at the under beams
which may be damaged by the wire rope in the upper part of the container must be protected with
reinforcing brackets made and placed as illustrated by figure 5 and suitably sized and fixed.

52
16.2.5. Steel Cases and Drums

Steel cases shall be used for the protection of materials and equipment particularly vulnerable to
damage, loss or pilferage during transport and storage.

Precautions shall be taken to cushion, block, brace and preserve the materials within the cases.
Typical items for packing in this manner would be instruments, refractory ceramics and other fragile
equipment. The steel cases and drums shall be non-returnable.

16.2.6. Case for refractories

Refractories shall be packed in totally enclosed cases designed to protect their contents. Cases of
refractories will be stacked a maximum of 5m high during storage at Site and shall therefore, be
suitable for handling by fork-lift truck or crane. The gross weight of a case shall not exceed 3000kg.

Refractory cements in small drums or bags shall also be packed in totally enclosed cases for
additional protection and convenience of handling.

16.2.7. Open Crates

Open crates shall be used for physical protection of light bulky items. These items shall be securely
fastened to a skid and completely immobilized by means of wooden chocks and steel bracing. The
item shall be restrained only by the skid and attached bracing and shall not require additional support
from protective box.

Additional slats will be provided as necessary for anchoring material, for minimizing pilferage.

53
16.2.8. Lead Lined packaging

Where radio-active equipment or isotopes are to be shipped, they shall be encased in lead lined
packaging in accordance with the Intergovernmental Marine Consultative Organization of UN (IMCO)
International Maritime Dangerous Goods Code. In addition, air freight shipments shall be in
accordance with the International Air Transport Association (lATA) restricted articles regulations.

16.2.9. Bagged Items

Materials normally packed in bags for shipment shall also be packed in cases for extra protection
during handling (see Section 8.3).

16.2.10. Pallets

Pallets, where permitted, shall have a skid base and decking of lumber with the thickness and quality
as specified for cases.

Material shipped on pallets shall be positioned with blocks nailed to the decking, and anchored with
steel bands.

The size of the pallet shall be such that the whole surface is used, but in no case overhang shall be
permitted.

Pallet should be constructed to permit stacking where possible.

16.2.11. Bundles

Packing in bundles applies only for structural steel and pipes. Bundles shall be arranged according to
the length to avoid their distortion when they are slung. Units shall be strapped at a maximum spacing
of 1200 mm and shall not exceed 5000 kg in weight.

Bundles must be marked by means of at least three indestructible metal tags and secured with wire of
minimum 3 mm diameter.

The information on the tags must include, in addition to the relevant requirements, the total number of
items contained in each bundle. Such tags are to be of minimum 300mm x 450 mm. The bundle
components must have a uniform shape and cross dimensions so as to prevent their slipping out
during transport (Figure 6)

16.2.12. Loose

Material and equipment, which cannot be packed due to their size and weight, may be shipped loose.
These cases are to be discussed and agreed with Employer/Inspector. Provisions shall be made for

54
safe lifting by ropes.

16.2.13. Material and Equipment

16.2.13.1. Columns and Cylindrical shaped equipment

They shall be packed with wooden saddles, placed in such a way as to reduce height from the ground
to a minimum, fitted with steel ties and stiffening braces.

If the equipment allows it, counter saddles shall be placed on the upper part, so as to be able to place
other loads on top. The distance between one saddle and another shall be determined in each
individual case, depending on equipment features and on road transport requirements.

16.2.13.2. Metal Structures. Structural Steel and Prefabricated Elements

Bearing resisting, non-deformable structures shall be gathered in bundles. Other metal structures,
plates and sheets if not otherwise specified, shall be suitably grouped together after bracing the
various items so as to ensure proper solidity.

Obviously such bracing operations must not reduce in any way the soundness of functionality of the
items to be forwarded.

Prefabricated structures, if their shape is such that they cannot be grouped in bundles, shall be
packed in crates. Provision shall be made to prevent individual pieces from moving in a longitudinal
direction. Proper nesting required to minimize shipping volume.

16.2.13.3. Structures Subject to Damage

Structural fabrications, except as included above with projections subject to damage or impact, or with
shaped unsuited to stacking and bulk materials shall be enclosed in skidded open crates.

55
16.2.13.4. Flanges, Fittings, Bolts and Nuts

Small parts, such as nuts, bolts, washers, small machine parts and similar items shall be corrosion
protected, put into sealed plastic bags, marked for identification and packed into a drum or box and be
included in larger container.

16.2.13.5. Pipes

Galvanized or carbon steel tarred pipes, from 60 to 200 mm diameter shall be packed into squared
bundles, easy to handle and store. For bundles refer to item 8.2.11.

Pipes of larger diameter shall be shipped individually. All pipes shall be protected at their ends.
Threaded pipes shall be protected by caps.

Stainless steel, aluminium and copper pipes shall always be packed in crates. Different sizes of pipes
shall not be nested without Employer/Inspector approval.

16.2.13.6. Machinery and Equipment (Including Valves)

They shall be packed in wooden cases. All moving parts inside these units shall be firmly secured to
the main structures.

When equipment such as control valves, control panels, etc., are subject to damage caused by high
frequency or high intensity mechanical stresses, they will be protected by packing which ensure a
sufficient springing.

16.2.13.7. Electric Cables and Ropes

Spools for cables, ropes and copper pipes, built in compliance with standing rules, shall be sound,
new, waterproofed and closed by wooden staves nailed into the flanges and held by at least two turns
of steel strap.

16.2.13.8. Control. Automation and Instruments

The main instruments, control and automation items and the switchboards that may be damaged
during transport and handling or subject to deterioration during storage must be supplied and
assembled separately, marked in order to facilitate the assembling on site, protected against shocks
and vibrations, packed in wooden cases and protected with a barrier bag.

16.2.13.9- Beams for EOT Cranes and Heavy Structural Steel Works

Prefabricated structural components featuring large dimensions and weight may be considered a
package and no type of protection is foreseen or required. (Figure 7)

Each case must be considered individually, the parts that protrude must be locally protected against
collisions. In any case, the integrity of the delicate components must be kept-in mind (Figure 7).

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16.2.13.10. Spare Parts

Spare parts always shall be packed into separate cases, and where not large enough shall be
enclosed in another case or crate.

16.3. MARKING AND TAGGING

Instruction plates and identification nameplates shall be permanently attached to each main or
auxiliary item of material and equipment in an adequate position.

These plates shall be engraved with the manufacturer's name and serial number, together with details
of the loading conditions under which the item of plant has been designed to operate.

In addition to the manufacturer's rating plate, each individual piece of equipment shall have fitted
thereon in a permanent position a nameplate bearing the functional description in English and system
reference. These plates shall have complete information and information of those shall be approved
by Employer

When equipment is disassembled for shipment, or components are fabricated without assembly, each
piece must be adequately identified for ease of assembly at site.

Match-markings identical for each side of the equipment separation shall be used. All match- marks
used shall appear on one or more drawings, which shall be enclosed with the shipment as described
herein.

Part-identification shall be paint stencilled conspicuously on large pieces of equipment. Small parts
shall have a metal tag, wired (only for parts shipped in boxes), or tack welded in place, with
identification stamped or etched.

Bundles such as pipe and steel shapes shall have markings applied on metal plates which shall be
securely fastened to the bundle by wire or steel bands. Paper or cloth tags shall not be used.

57
The Supplier has to ensure that for all material and equipment the same identification system will be
used.

16.4. Shipment

16.4.1. General

Material and equipment shall be shipped as below deck cargo. However, excessively bulky or long
items such as structural steel, crane bridges, and vessels may be shipped as deck cargo.

Normal weight limitation for shipping packaged or crated material and equipment in boxes is 20
tones.

Larger and heavier parts can be shipped but special arrangements must be made in advance with
Employer/Inspector.

16.4.2. Air Freight

Where consignments is to be shipped air freight, attention should be paid to reducing the weight of
the packaging and case. However, this reduction in weight shall in no way detract from the robustness
of the case nor its ability to withstand the rough handling it will receive.

Consignments shall comply with the regulations of the International Air Transport Association (IATA).

16.4.3. Special Lifting Devices

Spreader bars or special lifting devices shall be furnished free of charge by the Supplier for each
package which cannot be lifted solely with slings.

Where spreader bars or special lifting devices are required, each shipment of equipment shall contain
a separate box with these devices.

The box shall have its own Bill of Lading with special instructions that it be opened at the port of
disembarkation. In addition, detailed instructions shall be available on how to use the lifting devices.
Supplier will send instructions to the receiving port to request that the box be opened and the lifting
devices used in accordance with the Supplier’s instructions. Devices shall be selected based on using
only one crane for a lift.

16.5. REJECTION

Material or equipment or parts thereof damaged during shipment because of improper protection or
packing shall be subject to rejection and shall be replaced by the Supplier free of charge to Employer

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17. Instruction of Submission of Drawing and Document

The following drawings and documents concerning whole unit plant shall be submitted by the
Supplier.
All computerized files of drawings prepared in ACAD (Dwg.) shall be submitted by Supplier in CD
(with extension of “Dwg.” ) in two sets along with 6 prints of each original drawing, specification, bill
of materials etc.
Note: The employer's/consultant's approval shall not remove the supplier responsibility. In any
case, the responsibility of the whole project is under the supplier scope of work.

17.1. Basic engineering (for approval)

17.1.1. Plot plan/lay out drawings, general arrangement (GA) drawings, showing battery limits
and plans of all units and facilities including requirements of utilities and other parameters at
battery limits.
17.1.2. Process engineering assumptions/basic data design basis (Process design criteria,
Utilities specifications, Product specification and Test method, yields,...) and production plan.
17.1.3. Process flow sheets with operating conditions, flow rates, composition, temperature,
pressure…
17.1.4. Material and balance sheet.
17.1.5. Utility Data, Summary and Diagrams
Utility data, summary and diagrams including all necessary and sufficient information, data and
specification and detailed description, shall be provided individually for each and all of the
PROCESS UNITS/UNITS.

17.1.6. Process description.

17.1.7. Basic control schemes and interlocking requirements to have safe and efficient
operation.
17.1.8. Requirement of chemicals with physical and chemical properties and safety
information.
17.1.9. Specifications, properties and consumption figures of all adsorbents, solvent,
chemicals and consumables including three proposed names and addresses of the mail, and
permanent suppliers for each item.
17.1.10. Hot and cold insulation specifications.
17.1.11. P&ID diagrams with line size, material specification, insulation requirement, equipment
elevations, line slopes, requirement of vents and drains, instruments, tracing requirement,
Tower & Vertical Drum minimum elevations from ground, etc. for process and utility lines.
17.1.12. List of equipment with specification.
17.1.13. Process data sheets for all equipment.
17.1.14. Piping material specifications indicating pipe classes, pipe materials, flange ratings,
gasket types, valve types, etc. including pipe sizing calculations.

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17.1.15. Line list and valve list.
17.1.16. Heat load calculations for air conditioning, ventilation and cooling water system.
17.1.17. Design calculations for stacks.
17.1.18. Utility block diagrams.
17.1.19. GA. & shop layout including cross-sections for shop/systems/services and Equipment
layout.
17.1.20. Design criteria, GA. and layout drawings for pipe work and duct work.
17.1.21. Equipment list and motor list.
17.1.22. List of bought out items and vendor list.
17.1.23. Civil design and drawings
17.1.24. Quality assurance plan for all equipment.
17.1.25. Water balance diagram.
17.1.26. Calculations for thermal and hydraulic regimes.
17.1.27. Process design calculations for all equipment.
17.1.28. Mechanical design calculations for all equipment.
17.1.29. Brickwork expansion calculations.
17.1.30. Piping and pump sizing calculations.
17.1.31. Diameter, length/height, material specifications, shell thickness of all fabricated
equipment.
17.1.32. Norms for providing reserve/standby units.
17.1.33. Pipe sizing calculations.
17.1.34. Pressure drop calculassions.
17.1.35. Unit Wise lay-out drawings.
17.1.36. Battery limits definitions and conditions for various streams coining to and leaving of
each individual PROCESS UNIT and UNIT/PLANT.
17.1.37. Codes and Standards.
17.1.38. Flow diagrams including: Process flow diagrams, Block flow diagrams, Utility flow
diagram etc.
17.1.39. Instrumentation

The following documents shall be compiled in ESD books under the same numbers and titles:

I. Control philosophy description and drawing: explaining and showing the concept of
DCS/PLC/ESD, F & G, local panels and packages control system regarding design basis and
monitoring/control, remote/local, master/slave, dedicated/shared systems aspects, start-up
location, systems location and interconnection.

II. Advanced control manual, if any: including all necessary information and details such as control
strategies descriptions, mathematical analysis and equations with definition, range and scaling of
parameters, flowcharts, diagrams to enable the detailed engineering supplier and the DCS vendor
to develop and implement the advanced/special control in DCS.

60
III. Specification for DCS/PLC/ESD/F & G.

IV. Specification for instrumentation including fixed instruments (such as but not limited to
transmitters, cables, earthing, etc.)

V. a) Cause and effect diagrams show electrical and instrument interlocking and trip

requirement. b) Sequence and interlock (normal and safety) description as well as simplified
logic diagram/flow charts according to IEC 61131.3

VI. Preliminary alarm and trip set points.

VII. List and specification for special systems/instruments and requirements.

VIII. Concept of gas monitoring system (excluded).

IX. Electrical power and air consumption.

X. Control room general information regarding HVAC, fire-fighting systems, etc.

XI. Preliminary control room layout.

a) Preliminary console front arrangement

b) Risk analysis documents with respect to OHSAS 18001 (latest version).

XII. Basis requirements for DCS configuration: including special displays, grouping for displays,
reports, etc.

XIII. Instrument index including tag no's, service, process conditions, type, size, range,
alarm/trip set points, P & ID no., reference to other documents etc.

XIV. DCS/PLC/ESD/F & G and I/O summary

XV. Instrument data sheets providing the following information.

a) Tag number

b) Name

c) Service

d) Equipment or line number

e) P & ID number

f) All data which is necessary for sizing, selection and specifying the instrument such as:
Stream data in min., normal and max. or other specific operating conditions (to ensure
proper range ability reading and control), Vaporization across valves, sealing, purging or
flushing requirements including any special process design considerations such as pour

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 point, Consideration and recommendation regarding explosion, corrosion/erosion effect,
toxicity and suspended particles of process medium, Response time, Leakage class,
Accuracy (according to process requirements), etc.

g) Type of instrument (principle of measurement code)

h) Preliminary size and range

i) Material of construction

j) Impulse line and instrument casing heating/insulation requirement.

XVI. Relief valve, rupture disk, breather valve summary. A summary shall be provided of the
loads front each relief device for each emergency condition under which the relief valve opens,
e.g. fire, power failure (and other utility), blocked-in condition, etc. Relief and flow data
summary sheets shall be provided.

For all safety relief valves, inlet and outlet isolating valves shall be provided and shown in all
respective drawings such as P & ID's.

17.1.44. Electrical

General electrical specifications will provide sufficient information for detailed engineering and
shall include the following:

1. Specifications of normal and emergency power supply and electrical installation.

2. Single line diagram to be used as the basis for detail engineering.
3. Requirement of information for:
a) Interlocking method with instrumentation system.

b) Lighting system.

c) Electrical consumers with indication of estimated power consumption except illumination.

d) Consumers requiring emergency power supply and duration of it.

4. Energy requirement of PROCESS UNITS/UNITS in kilowatt hours per TON of

PRODUCT and the total expected power (kw) requirement with details of high/medium
voltage and low voltage loads.
5. Implications of power failure and recommended PLANT's emergency supply scheme for
all types of electrical loads which require emergency power.
6. List of drives requiring emergency power feed along with their power consumption.
7. Any specific requirement for lightning protection, where applicable.

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 8. Main specifications of critical drives/variable speed drives and their controls (to be added
in equipment data sheets).
9. On uninterrupted power supply system (UPS) required and the following details shall be
provided.
a) Total load, b) Reacted voltage and permissible variation. Duration of UPS system shall
be designed, c) Step load/permissible voltage dip., d) In-rush current in worst case, e)
Load power factor.

10. Any specific requirement of type/material of conductor to be used for grounding, (if
applicable).
11. Details of the preventive measures or means to be furnished for type of cables and their
insulation cover, (if applicable).
12. List of drive requiring acceleration features to ensure faster start-up and/or to minimize
PLANT shutdown time in case of process disturbances due to momentary voltage dip or
brief interruption (5-10 sec.) in normal power supply.
13. Submission of motor list.

17.1.45. Operating manual

The operating guide will include an outline of start-up, shut down and alternative operations. It
will also indicate emergency procedures covering utility failures and major operating upsets. In
addition, this section will describe special safety features incorporated in data of the unit will
include:

- Valve to valve operation instruction

- Start-up procedures

- Normal operation procedure

- Normal shutdown procedure

- Emergency shutdown procedure

- Drawings of all equipment such as tables, rolls etc.

- Operation and maintenance manuals including start-up and shut-down procedures

as follow:
- Instruction for periodic maintenance
- Instruction and manuals for emergency shut-down
- Instruction for operation in Energy shortage (Water, electricity and …)
- Instruction for details maintenance and replacing of equipments ( including
all special tools , details maintenance procedures, personnel and their
experiences, …)
- Instruction for periodic inspection for maintenance
- Maintenance Planning and Scheduling:

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 - Maintenance Planning and Scheduling for operations coordination and
maintenance
- For Additional Planning and Scheduling for planners and supervisors
- Shut down before Capital repairing
- Operation after Capital repairing
- Start-up procedures
- Normal operation procedure
- Normal shutdown procedure
- Emergency shutdown procedure
- Capital repairing procedure
- Routine repairing procedure
- Preventive Maintenance Essential Care and Condition Monitoring Manual
- Safety manuals.

- Description of process:

• A brief description of process flow to provide adequate background to the unit operating
personnel.

• Process specification, process flow chart, quality of feed stocks, composition of various
materials and required yields and utilities of products, intermediates and by-products.

- Process operation conditions:

• A simplified discussion of cause and effect, of operating variables with consequent

changes in yields, purities, etc.

• Details of operating procedures

a. Preliminary operations-preparation and inspection of equipment before start-up. Run in

procedure on pumps, compressors, boilers, etc.

b. Start-up procedures

c. Normal operation

d. Normal shut down procedure

e. Emergency shutdown procedure. Anticipated emergencies and recommended procedures

to result in maximum safety of personnel and equipment.

f. Detailed flow charts and process equipment

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g. Water runs procedure control system Employed with details on any special provisions and
its bearing on the operations.

- Equipment summary:
Details on equipment by categories and in accordance with the agreed coding system;

- Utility and utility summary:

It will be also specified the list, characteristics and required flow rates of utilities during pit-
commissioning and start-up

- Operating records:
The suggested format for proper maintenance and operating records, through:

a. Daily log sheet.

b. Management reports

c. Product test record for quality control at various stages in units.

- Personnel required for operations and maintenance:

Suggested organization for operations and maintenance of plant giving;

a. Supervisory staff with duties and responsibilities.

b. Operating staff with duties, responsibilities and operating positions.
- Safety of unit and regulation personnel:
Rules and regulations governing the operation area with special precautions to be followed,
first aid facilities to be provided shall be discussed. The proper use of special safety equipment
shall be described.

17.1.46. Other Required Information

a) Any other documents or data which arc reasonable necessary to perform the detailed
design procurement and construction, pre-commissioning, commissioning, start-up and
operation of the PLANT.

b) Estimated manpower requirement with number and qualification for start-up and normal
operation of the PROCESS UNITS/UNITS to be submitted.

17.1.47. Effluent Treatment

SUPPLIER shall provide basic design inputs/ outputs data and information for treatment of
PROCESS UNITS/UNITS effluents with due regard to type, quantity and composition of the
effluents and waste disposal (which is to be prepared and included in the respective
ENGINEERING DESIGN SPECIFICATION) considering specific requirements of EMPLOYER,

65
and as are necessary for design and operation of effluents and waste disposal system with
respect to latest version of ISO 14000 & OHSAS 18001 standards.

17.2. Detailed engineering

17.2.1. General

SUPPLIER shall prepare/provide all such drawings and documentation which shall be
necessary for performing the procurement of EQUIPMENT and materials, construction, pre-
commissioning, commissioning and operation of the PLANT according to chapter 3 (scope of
supply).

The above drawings and documentation shall include, but not limited to the following:

a. Plot plan

1. OVERALL PLOT PLAN of the PLANT

SUPPLIER shall prepare detail layouts and plot plans for PROCESS UNITS/UNITS included in
the PLANT.

Overall plot plan of the PLANT shall be prepared by SUPPLIER and shall show location of all
buildings, battery limits of PROCESS UNITS/UNITS routing of roads and configuration of pipe
racks.

The plot plant shall be prepared with due consideration to the PROCESS UNITS/UNITS plot
plan proposed by SUPPLIER.

2. PROCESS UNITS/UNITS Detailed Plot Plan

Based on overall plot plan of the PLANT, SUPPLIER shall prepare/provide detailed plot plan
for PROCESS UNITS/UNITS included in the PLANT. Detailed plot plan shall be on scale and
shall show exact location of each equipment with their tag number, interconnections between
the equipment, configuration of pipe racks, access ways sewerage and trenches inside the
PROCESS UNITS/UNITS, package unit detailed layout (through VENDOR), BATTER LIMIT
connections all of the process and utility lines incoming and outgoing and etc. The detailed
PROCESS UNITS/UNITS plot plan shall be prepared taking into account easy operation and
maintenance of each individual equipment and accessories and parts included in the
PROCESS UNITS/UNITS.

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b. Unit Limit Drawings

SUPPLIER shall prepare the PROCESS UNITS/UNITS limits drawings showing details of all
above and underground interconnections at BATTERY LIMIT (process and utility incoming and
outgoing lines) for the PROCESSUNITS/UNITS

c. P & I Diagrams

These drawings shall show all process equipment and piping, instruments and control systems,
for all anticipated operating conditions (start-up, normal operation, shutdown and emergency
conditions and etc). Sizes shall be indicated for valves, check valves and number and size for
safety valves. The extent of steam and/or electrical tracing and the extent and type of
insulation shall be shown. Such details as steam out and purge connections, process
equipment vents and lines for alternative operations and start-up / shutdown shall be shown
(important elevations for process equipment and lines shall be given). Utilities shall be shown
entering and leaving the PROCESS UNITS/UNITS including distribution of each utility to all
utility users and/or producers together with utility control systems specific to that user and/or
producer. Definitions of piping and instrumentation symbols used shall be provided on a cover
sheet for PROCESS UNITS/UNITS P & I Diagrams.

Piping and instrumentation diagram shall include:

1. All process equipment including installed stand-by equipment. (when warehouse

standby is available, a note shall be laid down for that specific equipment).
2. Line size and line identification for all lines.
3. Insulation requirements of lines (heat conservation, personnel protection, process
stabilization).
4. Tower and vertical drum tangent line elevations.
5. Horizontal drum minimum elevations and slope.
6. Relative elevations of all equipment and piping where gravity or 2-phase flow is taking
place e.g. re-boilers, condensers, seal pots.
7. Equipment characteristic parameters or dimensions plus design temperature and
pressure and material of construction.
8. Equipment title and number.
9. All nozzles on columns, vessels, heat exchangers and tanks and all trays in columns
and all internals in vessels shall be shown.
10. Required line slope, relative location of equipment or special conditions such as
required vertical 1oop dimensions, gravity lines with or without pockets, etc.
11. Vents and drains required for process or operating reasons (not hydraulic testing).
12. Steam, hot water or solvent tracing of lines and instruments.
13. Gas or liquid purging or flushing of control valves, instruments or relief valves.
14. All start-up, by-pass, shutdown and emergency lines.
15. All instruments required for proper operation of PROCESS UNIT/UNIT.

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 16. Instrumentation control loops including interlocks, sequence and emergency shutdown.
17. Control valves response on air failure.
18. Instrument tag numbers.
19. All details shall be consistent with lie appropriate process flow diagram and other
process documents.
20. Process specific installation position of piping components.
21. Kind and item number of special components.
22. Battery Limits and limits of PROCESS UNITS/UNITS.
23. Measuring and control signals transmission.
24. Flow direction of signals when combining several measuring and control circuits.
25. Electrical consumers other than motors, such as heating systems.
26. Kind of signal for specific representation of signalling lines, such as pneumatic electric,
hydraulic, function line, capillary tubing.
27. Principal separable connections.
28. Start-up, normal and emergency shutdown, catalyst regeneration,
catalyst/chemical/resin loading, unloading and emergency provisions which shall be
necessary for safe operation of the PLANT.
29. Alternative operations (all expected modes of operations) which shall be necessary for
continuous operation of a PROCESS UNITS/UNITS/PLANT, when other PROCESS
UNITS are having shutdown.
30. Sample points and details of sampling.
31. Details of pumps flushing, cooling water, drains, vents, etc.

17.2.2. Equipment

a. Engineering drawings and/or specifications and/or data sheets for each individual
equipment, materials, etc.
b. Equipment drawings and/or specifications and/or data sheets for towers, reactors,
drums, heat exchangers (all types), heaters, tanks and non-code vessels and
machinery such as compressors, pumps, turbines and etc, containing sufficient
information to enable equipment manufacturers to prepare detailed drawings for
manufacturing of equipment.
c. Equipment arrangement drawings.
d. Detailed drawings and documents of equipment required for proper erection, pre-
commissioning, commissioning, operation and maintenance.
e. Materials requisitions containing all required process and engineering information and
data and all necessary standard drawings and specifications to permit the purchase of
equipment. Material requisitions shall be up to date with all relevant and required
information and data to enable any qualified vendor to prepare and submit a proper
quotation before final issuance for inviting bids.

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 f. Stress analysis due to piping on equipment considering temperature, pressure and all
other expected loads.
g. Calculation sheets of vessel design (through manufacturer) and calculation of thermal
stress of piping, structural design and so on.
h. Equipment "Sketches and data sheet" for towers, reactors, drums, heat exchangers (all
type), tanks and non-coded vessels and machinery such as compressors, pumps,
turbines and etc. Such drawings shall contain sufficient information and data to enable
equipment manufacturers to prepare shop fabrication drawings.
i. Detail procedure for preservation of equipment during short time and long-time of non-
operation.
j. Equipment List, containing at least the following information:
1. Item number (tag number)
2. Item descriptions including duty, design and normal conditions
3. Overall dimensions of equipment
4. Erection weight of equipment
5. Type of equipment (e.g. centrifugal or reciprocating pump; Tubular or Air Fin
Exchanger etc.) and material of construction.
6. Tangent to tangent length (for Vessels)
7. Absorption and rate of power consumption (steam or electric)
8. Type(s) of Driver(s)
k. Performance curves for pumps and compressors.
l. Project engineering specifications for each individual equipment and/or components
including but not limited to piping material and drawings, electrical, instrumentation,
insulation and painting specifications incorporating of all requirements of EMPLOYER’s
and SUPPLIER’S standard drawings and specifications.

17.2.3. Civil work, Structural work and Buildings work

a. SITE preparation activities

1. Preparation of general SITE grading drawing shall be done by EMPLOYER. Any

engineering required to remove the existing facilities from the SITE as necessary to build
the PLANT are included in EMPLOYER Scope. EMPLOYER will specify the interfacing
and tie in as required.
2. SUPPLIER shall Design and prepare construction drawings, specifications including
procedures for foundations of storage tanks.
3. SUPPLIER shall Design and prepare construction drawings, specifications including
procedures for field welding of structures, construction of pipe racks, culverts, retaining
walls and dykes (around the storage tanks).
4. SUPPLIER shall Design and prepare road layouts and all other necessary drawings,
specifications including procedure to build all roads within the PLANT.

69
b. Sewers, Drains and Underground lines and piping.

1. Preparation of schematic sewer layouts.

2. Preparation of sewer flow rate
3. Preparation of Diagram of detailed underground layout drawings, specifications including
procedures required for construction. It shall show all sewers, manholes, catch basins,
cable trenches, electric cable road crossings and underground normal and pressure
piping etc. within the PLANT.

c. Foundations, Concrete Structures and Paving

1. Supplier shall perform site investigation and soil test report according to approved extent
of site investigation.
2. SUPPLIER shall were Soil Improvement Schemes and drawings.
3. SUPPLIER shall establish loading data for foundation and equipment supporting
structure.
4. Piling specification design, drawings and construction procedures wherever required
within the PLANT shall be performed by SUPPLIER.
5. All required Drawings for foundations of all equipment and machinery, structures, pipe
racks, buildings compressor shelters and etc, and all foundation drawings specifications
and procedures required for proper and efficient construction shall be prepared by
SUPPLIER.
6. Loading data and calculation of foundation designs to be specified and submitted to
EMPLOYER.
7. SUPPLIER shall prepare Construction drawings specifications and procedures to build
all reinforced concrete structures. Where supply of equipment requires the provision of
items of civil engineering nature e.g. concrete sumps, SUPPLIER, shall undertake the
design in accordance with vendor requirements.
8. Preparation of anchor bolt detail schedules, and specification.
9. Construction drawings, specifications and procedures for all other civil works e.g. paving,
graveling roads, culverts and trenches.
10. Bills of quantities and specifications of materials for civil works (e.g. reinforcing bars,
cements, anchor bolts etc.)
11. Bar bending schedules.
12. All detailed drawings, specifications and procedures required to perform all civil works of
the PLANT.

d. Industrial Buildings

SUPPLIER shall prepare and submit at least the following documents/drawings for construction
of all the industrial buildings.

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 1. Building sketches, layouts and design drawings, specifications and procedures for
construction of buildings.
2. Project engineering Specifications for construction of buildings.
3. Detailed architectural, mechanical and electrical drawings, required for construction of
the buildings.
4. Plan drawings for buildings, indicating skeleton with major dimensions.
5. Design structural, mechanical and electrical calculations for all buildings.
6. Bills of quantities and specifications for all required materials for construction of buildings.
7. Requirements of the buildings for air conditioning.
8. Requirements of the buildings for fire-fighting and fire protection.
9. Requirements of the buildings for fire alarm system.

e. Structures

SUPPLIER shall prepare and submit at least following documents/drawings on structures work.

1. Complete arrangement drawings for steel structures with main member sizes, plan and
framing elevation typical sections, and details for preparation of shop detailed drawings
and fabrication work.
2. Loading diagrams and calculation results for all structures.
3. Steel structure drawings for equipment supports, racks, platforms, ladders and stairways,
etc with sufficient details required for preparation of shop detailed drawings and
fabrication Work.
4. Steel structure project engineering specifications and standard details for hand rails,
equipment supports, racks, stairs, ladders, platforms, fire proofing, etc.
5. Material requisition for steel structures.
6. Developing and designing special members of structural steel which may become
necessary for handling or supporting of special equipment and items during
manufacturing, transportation and construction of the PLANT.
7. Preparation of all required specification including procedures standard and specification
for manufacturing and construction of structures.
8. Preparation of shop fabrication drawings.
9. Preparation of welding procedures, welding qualifications and inspection certificates for
main members of steel structures.

f. Fire Proofing

SUPPLIER shall prepare and submit at least following documents/drawings on fire proofing:

• Fire proofing requirements for steel structures, vessels, columns, reactors and etc. skirts,
supports, etc. and same shall be shown on appropriate drawings.

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 • Fire proofing project engineering specifications and standard drawings.

• Fire proofing material specifications and bills of quantities.

17.2.4. Design calculation for major equipment, duct work.

17.2.5. Piping

SUPPLIER shall prepare at least the following documents/drawings for piping:

1. Piping design, flexibility, fabrication, erection, testing, flushing and other required
specification.
2. Piping materials classification and specifications for PROCESS and various services in
the PLANT as per technical specifications, (codes & standards) and (design criteria) of
T.S. of this CONTRASCT here to and SUPPLIER's requirements. Considering corrosion,
erosion, high temperature and high pressure, all expected special conditions and etc.
3. Piping arrangement for all pipes on the pipe racks included in the PLANT.
4. Cross-sectional drawings of all piping entering and leaving PROCESS UNITS/UNITS
BATTERY LIMIT.
5. Layout drawings and Sections.
6. Isometric drawings, (except for long runs shown on plan drawings) of all piping systems,
(*)
indicating all fittings and materials and referring to sand blasting, prefabrication ,
fabrication, erection, surface preparation, painting and insulation in accordance with the
specifications and procedures. Test pressure and its media shall also be specified.
7. Piping arrangement drawings for all underground piping included in the PLANT.
8. Detail drawings and specifications for underground piping and its protection device.
9. Detail piping arrangement drawings and / or isometrics for process, utility, instrument air
and all other various services and steam/electric tracing in the PLANT. These shall cover
requirements for prefabrication (*), fabrication, erection, pre-commissioning, commissioning,
operation and maintenance in accordance with the Approved for Construction P & ID’s.
10. Detail drawings or catalogue drawings and specifications of valves fittings, traps, safety
valves, control valves and all other piping components included in the PLANT.
11. Piping drawings for match lines (interconnections) at BATTERY LIMIT.
12. Detail piping drawings, including piping standard drawings including details required, for
vent and drains required for process and operating reasons in the PLANT including
hydraulic testing and instrument installation drawing.
13. Piping standard drawing indicating the typical detail of required support, anchors and
guides, for all piping thin the PLANT.

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 14. Piping Drawings indicating Location of required supports, anchors and guides, for all
piping within the PLANT.
15. Steam tracing detail drawings and specifications. Such drawings shall contain all
(*)
information , data and procedures required for construction/erection, operation and
maintenance.
16. Flexibility specification and calculations and stress analysis results for all piping
systems as set out under Project Specifications including piping supports, especially for
those systems subject to high temperature/pressure and other loadings.
(*)
Excluding spool drawings required for field fabrication.

17. Vessel trims and special support design.

18. Colour coding of painting for piping suitable from safety and operation point of view.
19. Initial, intermediate and final material take-off for all piping materials, components and
items included in the PLANT. These take-offs shall cover all required piping materials,
components and items of the PLANT, otherwise supplementary take-offs shall he
performed up to complete fulfilment of the requirements.
20. Line lists showing complete line identification (line size, service, Unit No, P& ID No,
pipe class, operating and design temperatures and pressures, type of insulation and
etc.), line extremities, maximum pressure, maximum temperature, material flowing and
it’s condition (vapour, liquid, mixture), quantity, velocity, pressure drop per unit length
density and etc.
21. Pressure test diagrams and hydrostatic test P & ID shall be issued by SUPPLIER.
22. All design calculations result, information and data in respect of preliminary hydraulic
design of the piping system and final or adjusted hydraulic design calculations, data,
information and configurations of the PLANT.

17.2.6. GA drawings for piping and duct work including support drawings.

17.2.7. Hydraulic system calculations, GA/layout drawings, specifications of equipment,

pipes, valves and fittings, hydraulic fluids, etc. Insulation,
drawings/specifications in category wise.

17.2.8. Insulation

SUPPLIER shall prepare the following detailed documents as minimum requirements on

insulations.

Insulation specification and schedule for each vessel, tower, drum, heat exchanger, pipelines
and so on indicating operating and design temperatures, type of insulation, service, thickness
of insulation and insulation specifications including type and number of tracers all required

73
 drawings and procedures for construction/erection of insulation and all other related material
to be provided.

Wrapping requirements and specifications shall be provided in detail.

Initial and final material take-off and requisitions, for pipe lines and equipment insulation
material including wrapping and all other required material for insulation.

Design calculations result in respect of insulation of piping and equipment.

17.2.9. GA drawings for underground and over ground services and utilities (including water
system).

Vendor drawings for bought out items:

I.2.10.) VENDOR drawings and documents

SUPPLIER shall provide at least the following VENDOR documents:

1. Certified VENDOR drawings for all equipment to be approved by SUPPLIER and

certified by VENDOR. VENDOR drawings shall include foundation loading plans,
general arrangement and detail drawings.
2. Construction Installation and operation instructions to be issued at least eight
weeks prior to shipping of respective items, equipment, etc.
3. Equipment dossier for rotary, fixed and package equipment, including design
calculations, welding procedures, welding qualifications, material test certificates,
inspection certificates, etc.
4. Recommended spare parts list for pre-commissioning, commissioning and 2 years
operation.
5. Performance test certificates for all rotating equipment (as per Annex inspection
procedure) for tests carried out at the manufacturer's shop. All inspection reports
with necessary and sufficient information for all of the Equipment, Machinery and
Materials to be submitted to EMPLOYER on due time to be reviewed and
commented or APPROVED (wherever applicable) by EMPLOYER. The mentioned
documents shall be categorized as Equipment Quality Control and Testing Manual
(EQCTM) and should be approved by the EMPLOYER to release the inspection
certificate (IC) according to the stipulations of item 20.1.5.K of Appendix 20.
6. Special measures to protect the bearings, shafts, gears and other parts of rotating
machines during transportation, storage at SITE and against emergency (partial or
total) shutdowns of the PLANT, or as a result of a cut-off of steam or electric
power, due to lack of oil or cooling water
7. Electrical and instrument diagrams, wherever applicable.

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17.2.11. Drawings and data of utilities, fire fighting, lighting, earthing, air conditioning
and ventilation, drainage, etc.

17.2.12. Engineering specification for fabrication, inspection and installation of

equipment.

17.2.13. Refractory lining work drawings and refractory course drawings.

17.2.14. List of bought out items with specifications.

17.2.15. Instruction manuals for Erection Heating-up/commissioning.

17.2.16. Consolidated list of foundation bolts.

17.2.17. Painting

SUPPLIER shall prepare the following documents as minimum requirements on painting:

1. Painting schedule with references to the applicable painting specifications and

codes.
2. Initial material take-offs.
3. Methods and procedures of surface preparation in detail.
4. Methods and procedures of painting of EQUIPMENT and Material in the
manufacturer workshop and at SITE in detail.

17.2.18. GA drawings for structural work along with design calculations.

17.2.19. Safety manuals.

17.2.20. Quality assurance plan for all equipment.

17.2.21. Predicted performance curve of pump sets and actual performance curves.

17.2.22. Detailed specifications of pumps with material of construction and motor lists.

17.2.23. Detailed specifications of cooling towers, fan and motor details and final heat
load calculations.

17.2.24. Layout of water treatment plant including pump houses, cooling towers, make
up water treatment plant, scale pits, filtration area, clarifiers, thickener, etc. and piping
incorporating final equipment & piping sizes, as well as other auxiliary units and
facilities.

17.2.25. Instrumentation

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SUPPLIER shall prepare, but not limited to, the following drawings and documents:

1. Instrument index containing tag no’s, service, process conditions, type, size,
range, alarm / trip set points, manufacturer, model no, P & ID no, reference to
other documents etc.
2. Systems architecture (hardware configurations) drawings.
3. General specifications for instruments, control system and accessories in respect
of engineering, procurement, manufacturing, inspection construction and
operation (One document for instrumentation overall practice and individual
documents for further attachment to material requisitions), plus specification for
package instruments, instrument cables, instrument air calculation, F&G
specification and instruments installation.
4. Sizing calculations.
5. Instrument data sheets (for further attachment to material requisitions).
6. Cause and effect diagrams.
7. Interlock and sequence (ESD and non ESD) description and logic
diagram/flowcharts according to IEC-61131.3.
7.1. Risk Analysis Documents for ESD.

8. Alarm/trip set points.

9. Loop sketches.
10. Instrument Loop diagrams (ILD) and Instrument Segment Diagram.
11. Instrument hook-up drawings with material requirements.
12. Instrument mounting drawings with material requirements.
13. Instrument heat tracing drawings with material requirements.
14. Instrument Cable tray/Ladder/Trench layout.
15. Instrument location drawings (layouts) showing positions of instruments, junction
boxes, local panels, cable routing, instrument air header take off valves and
cables on trays/ladders and/or in trenches.
16. Control / auxiliary / analyzers room layout, showing all necessary details
including locations, cable entry and route, tray / trench details etc.
17. Front view drawings of control panels / consoles with dimensions.
18. Instrument Earthing Details.
19. Data required for instruments / systems configuration such as I/O summary, Host
connection, diagrams, flow charts, mathematics, graphics, layouts, grouping lists,
ranges, scales, parameters, set points, colour codes etc.
20. Instrument cable lists and schedules.
21. Material take off (MTO) lists.
22. Material requisitions, bid evaluations and purchase orders for instruments /
systems and bulk materials.
23. Instrument JB diagram/connection.

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 24. Vendor's technical drawings, catalogues and documents including installation,
operation, calibration, configuration, programming and maintenance manuals for
instruments/systems with illustrated parts lists.
25. Instruments / systems configuration documents including device description /
capability files, software details, source and application programs etc.
26. Panels/consoles / cabinets internal layout.
27. Panels / consoles / cabinets interconnection block diagram with cable nos.
28. Power supply distribution drawings.
29. Interposing diagrams / philosophy between control systems and MCC.
30. Termination and wiring diagrams as well as hardware configuration for
construction and troubleshooting purposes.
31. Spare parts lists.
32. Tests, inspections and QC certificates and reports.
33. Power consumption for instrument UPS. Connection between Aux. And HMI
interface

17.2.26. Electrical

SUPPLIER shall prepare/provide, but not limited to the following documents for electrical
works:

1. Area classification drawings

2. Schematic one-Line diagrams of power wiring and instrument power supply.
3. Load summary and analysis.
4. System design including voltage profile, reacceleration.
5. Relay setting schedule.
6. Grounding system layout.
7. Emergency supply including uninterrupted power supply system design and
specifications.
8. Battery charger specifications and storage battery capacity requirements.
9. Schematic wiring diagrams for all circuit breakers and electrical items having
internal wiring or relays.
10. Cable schedules and routing showing the service, type, size, length and number
of cores.
11. Complete list of starters with sufficient capacity and specifications for each.
12. Complete list of switchgear with sufficient capacity and specifications for each
and all categories.
13. Layout of switchgear rooms.
14. All lighting, earthing, control station and other miscellaneous equipment fixing
and mounting details including specifications.

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15. Initial and final material take-offs for all electrical equipment, accessories and
materials.
16. Material requisitions for all electrical accessories, equipment and materials
including heat tracing material, if any.
17. Design, drawings and specifications for materials required for electric heat tracing
(if any).
18. Detail drawings and documents of transformers required for erection, operation
and maintenance.
19. Complete one line diagram covering all circuits from incoming lines to major
equipment indicating metering, relaying and main interlocking systems.
20. Specifications of all electrical equipment and all electrical component and
accessories showing connection diagram, external view with physical dimensions,
specifications of apparatuses and accessories and instruction manual in sufficient
detail.
21. Motor schedule showing:
Service, number (normal operation and stand by) number of poles, output capacity,
type, classification and remarks indicating any special requirement.

22. Impedance map and calculations results of fault current on every feeder bus bar.
23. Calculation analysis and results sheets and start-up detail (taking into account
power consumption and requirements for start-up of motors) for large capacity
motors, line failure, instant load transferring in case of important line failure and
so on.
24. Protection co-ordination curves in the whole electrical system, including
protection in main substation.
25. Block diagrams, connection diagrams, design philosophy and instruction manuals
for interlocking systems, alarm system and other complicated power and control
systems.
26. Plot plan showing the location of major equipment, battery charger room and
classification of hazardous locations.
27. Physical location of lighting fixtures, receptacles and wiring as well as their
installation details, as per area classification.
28. Physical location of electrical equipment and wiring installed and installation
details.
29. Physical location of grounding electrodes, equipment to be grounded and wiring
layouts as well as their installation details.
30. Engineering, manufacturing, inspection requirements, construction / erection, pre-
commissioning and commissioning specification and procedures for all electrical
Components, equipment, accessories and materials.
31. Symbols
32. Cable cutting schedule

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 33. Cable orientation on trays and/or trenches.
34. Cable room tray orientation
35. PDCS system installation.
36. PDCS I/O list (include serial links)
37. Logic sequence diagram for PDCS system
38. PDCS software details.
39. Operation and maintenance manual for PDCS, complete with illustrated Spares
list.
40. Material take off (MTO) lists.
41. Cable lists and schedules.

17.2.27. Miscellaneous Equipment and Materials

1. Specifications for design and fabrication, for other EQUIPMENT and Materials,
electric motors, valves and all package units. These shall also include catalyst,
adsorbent, resin, chemicals and solid handling, loading and unloading equipment
and accessories, chemical feed system fillers and etc.
2. Specifications and procedures for construction/erection, pre-commissioning,
commissioning and operation (all expected modes) for all of the EQUIPMENT.
Machinery and Materials named and specified in item 1 above in detail.
3. Data sheets including all required information and data for all the EQUIPMENT.
Machinery and Materials named and specified in item 1 above in detail.
4. Standard drawings for all of the EQUIPMENT, Machinery and Materials named
and specified in item 1 above in detail (if applicable).
5. Any other drawings which are necessary to prepare shop fabrication by
manufacturer and assembly drawings for all of the EQUIPMENT Machinery and
Materials named and specified in item 1 above in detail.

17.3. For Information/comments/review

1. Performance data, characteristic curves including duty points.

2. Drawings for approval of statutory authorities.
3. Instructions for storage and re-conservation including those for electrical,
instrumentation and communication items.
4. Operation, safety and maintenance manuals.
5. Manufacturing drawings for spares (including those for proprietary items) and
ordering specifications for spares including spare lists.
6. Drawings for various sizes & shapes of refractory bricks.
7. Copies of referred standards/codes.
8. Laboratory manuals.

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 9. Piping isometric drawings.
10. List of spares and consumables.
11. Fabrication drawings for structural steel work.

17.4. Final documents to be submitted

1. As-built drawings
2. Test/inspection certificates for all equipment in bound volume.
3. Report on heating-up, commissioning and performance guarantee (PG) tests
with all recorded figures.
4. Compiled report on PAC & FAC.
5. Operation, maintenance and safety manuals.
6. List of spares including ordering specifications, manufacturing drawings including
shop drawings, bill of material for all spares.
7. Ordering specifications for operating consumables & supplies.
8. Consolidated list of all drawings and documents for the project.
9. Integrated bill of material data bank for whole steel plant complex, auxiliary
plants, units and facilities.

17.5. Electrics, automation and instrumentation

Refer to related chapter for details of drawings and documents to be submitted for electrics,
automation, instrumentation and, communication systems.

17.6. Technical documentation delivered by Supplier to Employer

17.6.1. General Description

Overall Responsibility of the Supplier:

The Supplier shall undertake the overall responsibility for the contract plant within the battery
limits in terms of the technical reliability and completeness, according to the technical
responsibility as stipulated in the technical Appendixes and ensure the contract plant will achieve
the technical performance and guarantee figures as specified in the Appendixes.

The Supplier shall be responsible for the overall design of the plant as well as the
completeness and the correctness of their design. The scope of design to be done by Supplier
and Employer is detailed in the technical Appendixes.

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 The Supplier shall be obligated to supply the Employer with all technical documentation
including drawings for design, assembling, erection, commissioning, normal operation and
maintenance of the plant as far as it belongs to Suppliers scope of supply.

The scope of the technical documentation and their delivery schedule is detailed in this
Appendix.

Documents formulary and numbers of copies to be submitted:

Drawings are to be carried out based on AutoCAD 2005 software. The drawings and
documents will be transmitted by e-mail or courier service.

Number of copies to be submitted is 6 copies and 2 set of CD.

17.6.2. Scope for the documentation Basic Information supplied by Supplier during kick-
off meeting:

The kick-off meeting will be held two weeks after Contract effectiveness.

17.6.3. Scope of basic engineering services

The basic engineering will be related to the project and process and be of sufficient technical
explanation to enable the Employer to generate the required detail engineering.

The following engineering documentation will be delivered according to the scope division list.

Submitting Date

(after Effectiveness date of

contract):

- Basic flow diagram 6 weeks

- Process function description

- Process layout 6 weeks

- Mechanical equipment 6 weeks

- P&I diagram 6 weeks

- Single line diagram 6 weeks

- Motor and component list 6 weeks

- Automation Hardware configuration

- Installation requirements for electric equipment 6 weeks

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- Requirements for control room layout arrangement 6 weeks

Requirements for electrical room layout

- 6 weeks
arrangement

17.6.4. Scope of detail engineering services

The detail engineering will be carried out according to the scope of supplies.

Submitting Date

(after kick-off meeting):

- Overall layout 14 weeks

- Mechanical equipment and field electrical device 14 weeks

Piping list
16 weeks
-

Isometric drawing for piping

Automation and Instrumentation Layout

PLC or DCS I/O list

- Instrument list 16 weeks

- Instrument Hook up diagram

- Specification for process control system 16 weeks

- Operation manual (preliminary) 24 weeks

Supplier detail design drawings for equipment,

- 16 weeks
manufactured by Employer as per this section.

- Equipment load of Supplier supply 10 weeks

- Assembly details of Supplier supply 24 weeks

PLC logic (software and document)

HMI and network (software and document)

- Function description (logical diagram) for programming 20 Weeks

(unloading system, silo and dispenser, value control

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 procedure and logic interlock)

Principal arrangement of cabinets incl. circuit diagram,

- 18 weeks
terminal diagram, and cable list

- Diagram of power supply and distribution 18 weeks

All catalogues of electrical and mechanical equipment as

- 36 weeks
far as supplier is concerned and as far as available

The basic engineering will be approved jointly during the

-
basic technical meeting.

- Erection manual 36 weeks

Operation manual and maintenance manual will be

- submitted in 2 copies, each in English language and will
be submitted in two stages:

Preliminary operation manual will be submitted four

weeks before plant commissioning.

Final operation manual will be submitted about one

month after commissioning.

Bill of Material for mechanical , electrical and

automation and communication and other parts

18. PERFORMANCE GUARANTEES AND TEST POCEDURES

18.1 Description

The Supplier should provide equipment with the up-to-date technology, reliable and of best
quality incorporating/Integration with existing CCM equipment and mill plant.
There would be 3 stages for the test: Cold Commissioning, Hot Commissioning and
Acceptance Test.
- Cold Commissioning means individual and area cold test;
- Hot Commissioning means load test with hot material;
- Acceptance Test means performance test.

During the period of Commissioning and Performance Test, the Supplier should give
instructions and supervision, general plan and commissioning schedule. The Supplier will
also take the responsibility on technical analysis of some problems occurred. The Employer
will be responsible for organization and application of the whole work under the instructions
and supervisions of the Supplier.

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 Any and all supplies and works relating to the Project to be executed by the Employer, such
as civil, building, erection and commissioning works, shall be properly provided or performed
by the Employer in accordance with the requirements of the Contract and/or the approved
manuals, drawings and other relevant technical documents as far as furnished by the
Supplier under the Contract, and/or the approved instructions and supervision given by the
Supplier’s Personnel.
The Employer shall, during the tests (including any repeated run thereof), provide, at own
expense, skilled and well-trained labours and operators, raw materials and utilities in
sufficient quantity with required quality, needed for proper execution of the tests, in
accordance with the requirements, the manuals, drawings and other relevant technical
documents furnished by the Supplier, the instructions and supervision given by the
Supplier’s Personnel, and shall give the Supplier’s Personnel opportunities to check them in
advance or at all times during the tests.
The Tests will be performed by Employer’s personnel under the supervision of Supplier’s
supervisory personnel. Employer’s personnel shall follow the instructions of Supplier’s
personnel.

18.2 Cold Commissioning

After the completion of assembly and erection of the equipment, the Employer shall carry
out the individual and area no-load tests under the instructions and supervision given by the
Supplier’s Personnel. The equipment supplied by Employer will be tested in the same
manner as the equipment supplied by Supplier, however, is under the responsibility of the
Employer as long as Supplier’s Basic Design is correct.
The respective No-Load Test consisting of sequenced series of individual equipment tests
will be carried out to verify the:
• Completeness
• Proper assembly
• Compliance with the Contract Specification
• Function under no-load conditions
• Readiness for the equipment for the hot commissioning phase.

During the period of No-Load Test, both the Supplier and the Employer shall take the
records for individual equipment performances, defaults and repair states, as well as
general valuation on the rolling mill and signed by both parties.

Individual No-Load Test

Upon completion of erection and installation of each unit of the equipment supplied by
Supplier, including connection thereof to all necessary electric power supply and utilities,
each unit is subject to individual No-Load Tests to be carried out without production load or
charge. The Supplier shall check and inspect the readiness for such individual No-Load
Tests. Immediately after the Supplier has confirmed and been satisfied with the readiness
for such individual No-Load Tests through the aforesaid check and inspection, the Supplier
shall notify the Employer to that effect.
Upon receipt of the aforesaid Supplier’s notice, the Employer shall carry out the individual
No-Load Tests in accordance with the provisions of the Contract and under the instructions
and supervision given by the Supplier’s Personnel, in order to confirm that the unit of the
equipment concerned meets the mechanical functional requirements specified in the
Technical Specification.
The detailed procedures, programs, methods and conditions of the individual No-Load Test
shall be defined by the Supplier and the Employer through mutual consultation in due

84
 course before the individual No-Load Tests. However the procedures, programs, methods
and conditions of the individual No-Load Test must confirm by Employer.
During the period of the Individual No-Load Test the Employer as well as the Supplier shall
be responsible for the recording and checking of all relevant operating data, test parameters
as well as all tests results.

Area Cold Test

Upon successful completion of all the individual No-Load Tests for all of the area equipment,
the Employer shall carry out the Area Cold Test under the instruction and supervision of
Supplier’s personnel.

18.3 Hot commissioning with Load Tests

After successful completion of No-Load Tests, the Employer shall carry out the hot
commissioning under the instructions and supervision given by the Supplier’s Personnel.
The hot commissioning including load tests shall be carried out by the Employer in
accordance with the technical documents supplied by the Supplier and the instructions and
supervision given by the Supplier’s Personnel.
During the period of hot commissioning including load tests, the Supplier and Employer shall
jointly take records of detailed performance, defaults, corrections and matching condition of
individual equipment. Both the Supplier and Employer shall agree about the general
valuation on readiness for the performance tests.
The detailed procedures, programs, methods and conditions of the hot commissioning
including load tests shall be defined by the Supplier and the Employer through mutual
consultation in due course of hot commissioning. However the procedures, programs,
methods and conditions of the hot commissioning including load Test must confirm by
Employer

Test Items for the Hot Commissioning

During the hot commissioning including load test it shall be verified, that:
• Each equipment works smoothly during hot commissioning.
• Equipment conforms to the functions specified in the technical specifications
• The equipment is ready for Performance Test.

18.4 General Terms for Performance Tests

Final Acceptance Certificate (FAC)

As soon as reasonably possible after commencement of hot commissioning the
performance test of each unit supplied by Supplier shall be carried out in order to confirm
the performance guarantee values.
The date(s) and program(s) for the performance test shall be mutually agreed between
Employer’s and Supplier’s authorized representatives.
Prior to commencement of the performance test, the Supplier will submit to Employer a
“Notice of readiness for performance test”.

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The Performance Test will be carried out to prove that:
• The equipment accuracy is in accordance with the guarantee values.
• The changing times between hot and cold charging are in accordance with the
guarantee values.

Time Schedule of Performance Test

The performance test shall be performed within the time as specified in the project time
schedule.

Performance Test Procedure

The Supplier will prepare a detailed performance test procedure. The performance test will
be performed by Employer’s personnel in close co-operation with the supervisory personnel
of the Supplier.
Employer’s personnel shall follow the instructions of Supplier’s personnel.
The test results shall be recorded by the Employer and the Supplier. The performance
testreport of each single test shall be prepared by the Supplier.
For each performance test the test time will be five (5) net hours continuously.
Delays not attributable to Supplier as well as the times of interruptions due to lack of
performance of Employer´s personnel and obligations will not be considered as downtime.
The Employer shall fulfill all its preconditions for performing the tests.
Upon successful completion of each performance test a protocol will be signed by both
parties within three (3) days and after completion of all performance tests the Employer shall
issue the Final Acceptance Certificate within three (3) days.
The issuing of the individual test protocols and/or the FAC shall not be withheld by the
Employer for minor faults or deviations. Such faults and/or deviations, if any, for which the
Supplier is responsible but, which do not impair the performance of the related equipment
shall be stated in a protocol with exact dates for their rectification by the Supplier.
If the performance test is not completed successfully for reasons attributable to the Supplier,
the deficiency will be corrected by the Supplier and the test will be repeated in respect to the
performance guarantee value not being achieved. If either of the performance guarantee
values have not been achieved for reasons attributable to the Supplier even after repetitions,
the provisions of the commercial Contract shall apply.
Supplier has the right to execute the performance tests with its own operating and
maintenance personnel with the assistance of Employer's personnel if required by the
Supplier.
In case the performance tests have to be repeated for reasons not attributable to the
Supplier, the Employer will bear all costs for such retesting including the costs for Supplier's
supervision personnel.
If the performance test cannot be completed successfully for reasons not attributable to the
Supplier, the final acceptance shall be deemed occurred at the expiration of 3 months
calculated from the initially scheduled date of final acceptance and the final acceptance
certificate shall be issued.
With the final acceptance certificate the equipment is considered as accepted by the
Employer, and the Supplier shall be released from his contractual obligations in respect of
the performance guarantees.

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 19. Technical Appendices

Appendix A – Company Information

Company Name Esfahan Steel Company (ESCo)
Address Zobahan Highway, Esfahan, Iran
Web: http://www.esfahansteel.com

Contact 1: Mr Khazaei, (Energy Management Department)

Tel: +98 315 257 5126
Fax: +98 315 257 5130
Email: hkhazaei@esfahansteel.com

Contact 2: Mr Nourmohammadi, (Plan & Development Department)

Tel: +98 315 257 4511
Fax: +98 315 257 5038
Email: hrn@esfahansteel.com

Contact 3: Mr kheirati, (Contract Department)

Tel: +98 315 257 2228
Fax: +98 315 257 3717
Email: Kheirati-mo@esfahansteel.com

A.1 Summary of Esfahan Steel Company

ESCo is the largest manufacturer of constructional steel products in Iran with a production capacity of
2.5 million tonnes steel per year. Production started in 1971 at its fully integrated steelworks located
outside Esfahan. Demand for steel in Iran is increasing and ESCo plans to increase production to 5
million tonnes by 2015.

ESCo is a significant consumer of energy and natural resources. In 2011, ESCo consumed around 36
million gigajoules (GJ) of natural gas and over 600,000 tonnes of coking coal. In terms of efficiency,
ESCo consumed 2.1 GJ of fuel (including 1.7 GJ of imported natural gas) for each tonne of steel
rolled at Rolling Mill 500 in 2012. Comparing the efficiency of ESCo to examples of international best
practice, which range from 0.87 to 1.35 GJ/t with hot charging, indicates that significant improvements
and energy savings are possible.

A.2 Overview of production

ESCo is a fully integrated steel works with a production capacity of 2.5 million tonnes steel per year.
ESCo produced 2,374,627 tonnes of crude steel and 2,822,821tonnes of finished steel in 2011. ESCo
plans to increase production capacity to 3.6 million tonnes in 2014 and 5 million tonnes in 2015.
Operation is continuous with three working shifts. The overall process is shown in Figure 4 and
described below.

• Metallurgical coke is produced on site from imported coking coal in one of three coke ovens.
Part of the coke oven gas is recovered and utilised in the power plant and elsewhere onsite.
• Sinter is also produced onsite.
• Three blast furnaces produce pig iron. Hot metal is transported using torpedo ladles by rail.

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 • One vertical shaft furnace (based on the MIDREX design) produces direct reduced iron (DRI)
which is cold charged to the blast furnaces. Vertical shaft gas is recovered and is utilised on
site including the firing of the rolling mill heating furnaces.
• 3 basic oxygen furnaces (BOFs or converters) provided by Nippon produce liquid steel.
• Liquid steel is cast into billets using four curve-type continuous casting machines (CCM). A
new continuous caster (CCM No.5) is under construction (supplied by DANIELI).
• Four rolling mills (Rolling Mills 300, 350, 500 and 650) produce various types of constructional
steel products. Wire rods are also manufactured onsite.
• Onsite power plants generate the electricity required by the iron and steel making processes.

Figure 4 Diagram of the iron and steel making process at ESCo.

The production process is controlled manually using traditional management and communication
techniques between departments. Production output is scheduled and coordinated between
production departments on a daily, weekly and monthly basis. Production quality control reports are
also prepared daily, weekly and monthly.

A.3 Products
ESCo produces various standardised constructional steel products including I-beam (parallel flanged
with heights of between 120 and 180mm), equal angles (with widths of between 80 and 120 mm) ,
channels (C-shape cross section with widths of between 80 and 120 mm) and round bar (plain and
deformed rounds bars) as shown in Table 2. Products are manufactured against IPE, DIN and EN
standards. The standards and product specifications are detail in Appendix B.

Table 2 Constructional steel products produced by ESCo.

Product Image Drawing

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I-beam (parallel flanged with
heights of between 120 and
180mm)

Equal angles (with widths of

between 80 and 120 mm)

Round bar (plain and deformed

rounds bars)

Channels (C-shape cross

section with widths of between
80 and 120 mm)

A.4 Energy consumption

ESCo is a significant consumer of energy and natural resources and emitter of subsequent
greenhouse gases (GHG) and air pollutants. In 2011, ESCo consumed around 36 million GJ of
natural gas and over 600,000 tonnes of coking coal. The total net energy consumed per tonne of
product for ESCo, or specific energy consumption (SEC), is shown in Table. SEC indicates the overall
energy efficiency of production. SEC of pig iron, crude steel and rolled steel (2009, 2010 and 2011)
has been provided by IFCO. (1) The SEC of Rolling Mill 500 is based on data provided directly by
ESCo. This shows that overall energy consumption in 2009 was more efficient than compared to 2011.
However, the efficiency of Rolling Mill 500 in 2012 has improved by almost 25% compared to 2011.
ESCo consumed 2.1 GJ/t of fuel (including 1.7 GJ/t of imported natural gas) for each tonne of steel
rolled at Rolling Mill 500 in 2012. Comparing the efficiency of ESCo to examples of international best
practice (which range from 0.87 to 1.35 GJ/t with hot charging) indicates that significant improvements
and energy savings are possible.

89
Table3. Specific Energy Consumption (SEC) for pig iron, crude steel and rolled steel in 2009,
2010 and 2011.

Parameter Unit 2009 2010 2011 2012

Pig Iron:

Specific Fuel Consumption GJ/tonne 14.2 15.51 14.76

Specific Electricity Consumption GJ/tonne 0.36 0.43 0.49

Specific Energy Consumption GJ/tonne 14.55 15.9 15.26

Crude Steel SEC:

Specific Fuel Consumption GJ/tonne 0.11 0.1 -0.14

Specific Electricity Consumption GJ/tonne 0.57 0.57 0.54

Specific Energy Consumption GJ/tonne 0.68 0.57 0.39

Rolled Steel SEC:

Specific Fuel Consumption GJ/tonne 2.88 3.13 3.11

Specific Electricity Consumption GJ/tonne 0.38 0.39 0.37

Specific Energy Consumption GJ/tonne 3.26 3.53 3.48

Rolling Mill 500 SEC:

Specific Fuel Consumption GJ/tonne 2.86 2.14

Specific Electricity Consumption GJ/tonne

Specific Energy Consumption GJ/tonne 2.86 2.14

Specific Gas Consumption GJ/tonne 2.28 1.69

A.5 Organisation structure and key departments

The relevant departments involved in this project are identified in Figure 5. Detailed discussions were
held with the managers from each department to gather important information related to the hot
charging project, including functional requirements of the hot charging system and potential technical
barriers, and to establish what assistance and training would be needed.

ESCo’s engineering department provided important data following the site visit. The Procurement
department will be an important point of liaison for UNIDO when procuring the hot charging plant.

90
Figure 5: Organisation structure showing selected departments involved in this project.

Senior
Management

Expansion and
Opertation Procurument
Project
Department Department
Pepartment

Contract Equipment Engineering

Steelmaking Rolling
Manager Procurement Department

Energy
Quality Control Automation
Procurement

Energy
Management

A.6 Quality control

Product quality is controlled using a combination of sampling and chemical analysis of pig iron and
liquid steel and visual inspection of billets.

A.6.1 Sampling
Samples of liquid steel are taken at number stages in the process.

1. Converter
2. Ladle Furnace
3. Tundish:
• Sample A –at the beginning of each 125 tonne ladle of hot metal poured into the Tundish.
• Sample M –after 50% of the melt has been poured.
• Sample B –at the end of each melt.

The samples are sent to the laboratory where the chemical composition is analysed to ensure the
correct quality and identify any abnormalities. The time taken to complete sampling and chemical
analysis at the Tundish is important as this affects the charging of the rolling mill. Billets cannot be
charged to the reheat furnace unless positive results from testing on sample M are obtained. This
timing is outlined below.

• Total time for whole melt to be discharged into Tundish –35 minutes.
• Time to take sample M from start of pour– 17.5minutes.
• Time taken to transfer sample to lab – 5 minutes.
• Lab testing – 10 minutes.

Following completion of the CCM No. 5, ESCo plans to mobilise a mobile, online sampling unit to test
the chemical composition of liquid steel in real time. Therefore, sampling is not considered to be a
limiting factor on hot charging.

A.6.2 Visual inspection

After one batch of hot metal is casted, the billets are cut, stamped and transferred from the bearing
grid by electromagnetic crane and stacked in the billet stock yard where they are allowed to cool to
ambient temperature over a period of about six hours. The visual inspection is conducted by the

91
Quality Control (QC) team on at least six billets from each batch. The billets are examined to identify a
range of potential defects as described in Table 3. If a billet fails visual inspection, then billets are
reconditioned, using manual techniques such as surface rectification, scarfing or grinding. If the defect
is serious and cannot be rectified, then the billet is rejected as scrap. If several serious defects are
identified on each billet inspected, then the whole batch may have to be transferred for reconditioning
or rejected.

Table 3 Visual inspection aims to detect surface, dimension and volume defects.

No. Defect Acceptance level/ Modification Remarks

tolerances

1 Pinholes and blowholes No pinholes and Scarfing

(caused by gas bubbles) blowholes

2 Cracks in length ≤10% of billet’s width go Scarfing

to be fixed

3 Cracks in width None _

4 Slag _ Scarfing

5 Belt None _

6 Bending ≤ 70 (mm) _

7 Rhombus Diagonal difference: Edging off

• ≤ 9mm for 150 x 150

• ≤ 15mm for 200 x
200
8 Dimension ≤ ±4%

9 Rough ends < 12 (mm) Re-cutting

(not cut smooth)

10 Concave or convex ≤ ±4% Scarfing

volume

A.7 Continuous Casting Machine No.5

ESCo is constructing a new continuous casting line (CCM No.5). The equipment has been supplied
by DANIELI and is due to be commissioned at expected in the first half of 2015. The foundations were
being laid at the time of the site visit. The new CCM No.5 will produce 1 million tonnes per year of low,
medium and high carbon steels and high strength low alloy steels (about 90% low and medium
carbon steels in total). The plant includes continuous caster, , billet cooling, conditioning, storage and
dispatch section along with all associated services, utilities and systems.

A.8 Rolling Mill 500

Rolling Mill 500 (RM500) is a medium section hot rolling mill capable of producing 1 million tonnes of
steel per annum (965,685 tonnes were rolled in 2012). The mill produces I-beam, equal angles and
channel products and currently operates are 140 tonne per hour. The maximum possible throughput

92
is 200 t/h (although this would require modification). Stoppage time for product change is around 4
hours. The rolling mill receives billets of sizes of 150 x 150mm and 200 x 200mm typically of lengths
of between 10 and 12m. Billet weight ranges from 1.85 to 5.68 tonnes (depending on dimension).

The primary and secondary roller drives system consists of 14 electric motor driven rollers. The
primary and secondary drives and control system was recently replaced with ANSALDO SISTEMI
INDUSTRIALI drives and Siemens controls.

A.8.1 Billet Reheat furnace

RM500 uses a walking hearth reheat furnace to reheat billets from ambient temperature up to 1250°C
before rolling. The original technical description is included in Table 6 in

93
Appendix E. The original side-view technical drawing is shown in Appendix F. The furnace consists of
six firing zones with 128 burners in total positioned in the ceiling and walls. Current operating capacity
is 140 t/h (with maximum capacity is 200 tonnes per hour). The furnace is the main consumer of
energy at the RM500 fuelled with a mixture of natural gas and vertical shaft gas. In 2012, the furnace
burnt around 2.14 GJ/t of fuel (and 1.7 GJ/t of natural gas). The furnace is charged via a feeding grid
and roller table at a rate of 1 billet every 50 seconds. Temperature is controlled manually by
regulating the supply of fuel gas and combustion air (at a ratio of between 6 and 8:10 gas to air).The
flue gas is measured at a single point at the main exhaust and analysed to control oxygen and CO
levels. Combustion air is preheated by the exchanger up to 400°C. Pressure is controlled by adjusting
gates on the side walls. Resident time is controlled by the walking hearths (five fixed beams and four
moving beams). The thermal efficiency was calculated at 39% based upon 2012 operational data.

94
Appendix B – ESCO construction steel product brochures for beam, equal angles and
channels
(see overleaf)

95
Appendix C – CCM No.5 technical and product specification
ESCo is constructing a new continuous casting line (CCM No.5). The equipment has been supplied
by DANIELI. CCM No.5 is currently under construction and commissioning expected in the first half of
2015. The CCM No.5 equipments have already been manufactured and now are under installation in
site.

The new CCM No.5 will produce 1 million tonnes per year of low, medium and high carbon steels and
high strength low alloy steels (about 90% low and medium carbon steels in total). The plant includes
continuous caster, segment and mould repair shop, Tundish repair shop, billet cooling, conditioning,
storage and dispatch section along with all associated services, utilities and systems.

The technical specification of CCM No.5 is summarised in Table4. CCM No.5 has electromagnetic
stirrer (EMS) devices built around the moulds. EMS significantly improves billet surface and volume
quality and could reduce the need for certain quality control and visual inspection checks. Billets will
be produced with cross sections of 150 x 150mm and 200 x 200 mm at lengths of between 6 to 12m.
The product specifications are shown in Table5 including billet dimensions, casting speed and
throughput. Casting speed ranges from 1.5 to 3.5 metres per minute and overall throughput from 164
to 215 tonnes per hour. Planned net operation time is 7200 hours per year. Side view and top view
drawings are displayed in the Appendix D – CCM No.5 Product quality guarantees

(see overleaf)

96
97
Appendix D.

Table4: Summary technical specification of CCM No.5. (2)

No Item Value

1 Manufacturer DANIELI

2 Model number 3BLC906 (Machine Type)

3 Continuous caster type Curved

4 Radius 9 metres

5 No. of strands 6 strands

6 Billet cross section Square

7 Mould type 1000 mm curved copper tube

8 Mould oscillator type Hydraulic retractable

9 Electromagnetic stirrer (EMS) type M-EMS (Mould)

10 Primary cooling device Water cooled copper mould

11 Secondary cooling device Water spray & air cooling

12 Billet cutting device Automatic oxy fuel cutting machine

13 Casting type Open stream and submerged casting

14 Ladle capacity 125 tonnes

Table5: CCM No.5 product specifications describing the billet dimensions, casting speed and
throughput

Group Cross Length (m) Casting Strand CCM productivity

(No) Section speed productivity (tonne/h)
(m/min) (tonne/h)
(mm x mm)

1 OC 150 x 150 6 to 12 3.5 35.9 215.5

2 OC 150 x 150 6 to 12 3 30.8 184.7

2 SC 150 x 150 6 to 12 2.8 28.7 172.2

3 SC 150 x 150 6 to 12 2.6 26.7 160.0

1 OC 200 x 200 6 to 12 2.1 38.3 229.8

2 OC 200 x 200 6 to 12 1.9 34.7 207.9

98
 2 SC 200 x 200 6 to 12 1.7 31.0 186.0

3 SC 200 x 200 6 to 12 1.5 27.3 164.0

OC = Open stream casting

SC = submerged entry nozzle casting

99
Appendix D – CCM No.5 Product quality guarantees
(see overleaf)

100
Appendix D – CCM No.5 technical drawings
(see overleaf) Figure 6 : CCM No.5 technical drawing – top down view including temperatures and
thermal loadings.

101
Figure 7: CCM No.5 technical drawing – side-on view.

102
Figure 8: CCM No.5 technical drawing – Lateral comb transfer

103
104
Appendix E – Technical description of RM500 billet heating furnace

The RM500 reheat furnace is a walking hearth type furnace with six firing zones, each fired with
burners. The walking hearth can operate at two speeds where billet resident time is either 80 or 120
minutes. The existing process charges cold billets to the furnace and about 25°C and discharges at
about 1250°C after a resident time of 120 minutes.

F.1 Control and temperature regulation

The temperature of the furnace is controlled manually by regulating supply of fuel and combustion air
to each of the six zones and capable to be control automatically via the existing SIPART DR24 loop
controllers. Temperature is measured using online thermal couplings installed in each heating zone.
The air-fuel to air ratio is controlled based upon continuous measurement and analysis of the flue gas
(particularly oxygen and CO composition). Currently only one flue gas analyser is installed at the main
exhaust. The current level of automation is Level 1 (“Automation Level” based on the Siemens
automation level definitions) and the software monitoring is CITECT SCADA/HMI ver. 6.01 rel.
Combustion air is preheated to around 400°C.

This current level of control may be is not favourable for hot charging. This introduces a difference in
charging temperature of over 600°C and will require a more advanced control system to regulate
temperature inside the furnace more accurately, including:

• Raised level of furnace automation to Level 1.5 (Advanced monitoring) include the written
logics for prediction of required gas volume and air to gas ratio accordance to the inlet bloom
temperature and CCM5 and rolling mill 500 stoppages – this will enable the temperature to be
controlled automatically.
• Installation of new radiation thermometer before charging the blooms to furnace.

The amount of shifts between hot and cold charging should be minimised to reduce fluctuations in
temperature inside the furnace and the need for large adjustments in the supply of fuel and
combustion air.

F.2 Resident time and temperature normalisation

Billets are currently resident in the RM500 walking hearth furnace for 120 minutes. This allows
sufficient time for temperature to normalise throughout the entire billet volume. Billets are spaced
closely together.

The RM500 furnace can operate at either 80 or 120 minutes. However, according to ESCo, it is not
possible to operate at 80 minutes resident time as this is not sufficient time for billet temperature to
normalise. Further, according to ESCo, it is not possible to reduce resident time due to
throughput/capacity restrictions of the rolling line and finishing process which would require significant
modification.

Normally, hot charging reduces resident times due to the reduced heating requirement of the billets.
This achieves higher productively and substantial specific fuel saving. To overcome the normalisation
issue when introducing hot charging, edge heaters are installed in the furnace to achieve
normalisation and higher furnace throughput.

105
F.3 Throughput
Furnace throughput and rolling capacity is around the 140 tonnes/hour. The maximum capacity of the
200 tonnes/hour is achievable by increasing walking speed and reducing resident time to 80 minutes.
However, this would require additional modifications to the rolling mill to handle billets at this speed.

Table 6- Technical description of RM500 billet heating furnace.

No Item Description

1 Furnace function heating of billets before rolling

2 Furnace type heating furnace with walking hearth

3 Operating conditions Continuous

4 Dimensions and mass of Cross-section (mm) 150 x 150 200 x 200

billets
Length (m) 10.7 to 12 10 to 12

Mass (tonnes) 1.85 to 2.07 3.07 to 5.68

5 Layout of billets on hearth as per width (pcs) One

6 Quality of heated metal Carbon steel, carbon structural steel, low-

alloy steel, alloy steel with ultimate
resistance in cold condition up to 100
kg/mm2

7 Temperature of metal heating (°C) 1150 - 1250

8 Temperature of metal charge Cold

9 Furnace capacity (t/hr) up to 200

10 Furnace Hearth Area Area (m2) 13.1 x 33.37 = 437

Effective (m2) 197

11 Effective hearth tension (kg/m2.hr) 100

12 Maximum frequency of billets discharged (pcs/hr) 120

13 Minimum cycle of billets discharged (sec) 25 28

14 Horizontal stroke of walking hearth (mm) 300 400

15 Number of billets in furnace (pcs) 82 109

16 Number of billets in furnace (tonnes) Up to 225 Up to 300

17 Fuel Mixed natural gas - blast furnace and coke

oven gas
3
18 Heat calorific value (kcal/Nm ) 3300

19 Furnace heat capacity Million kcal/hr 100

106
No Item Description

Nm3/hr 31000

20 Fuel specific consumption (kcal/kg) 500

3
21 Air consumption for furnace firing (Nm /hr) 110000

22 System of usage of outgoing combustion products Air heating in exchanger

23 Air heating temperature (°C) 400

24 Temperature of At delivery from 1000

combustion products furnace (°C)

Behind exchanger (°C) 650

25 Pressure under roof in final heating zone (MMWC) 1.5

26 System of cooling furnace elements water

27 Water consumption for cooling at 12°C (m3/hr) Up to 360

28 Water consumption of scale of hydraulic removal 100

3
(m /hr)

29 Water pressure (at gauge pressure) 2.5

30 Furnace Burners(Radiation type) 88 # large size(300 m3/h)

150 # small size(150 m3/h)

107
Appendix F – RM500 furnace original side drawing

108
Appendix G – RM500 furnace control and automation and system

109
Appendix H – Possible hot charging layout and modified CCM No.5

110
Appendix I – What is hot charging?
Hot charging normally involves charging temperatures of between 300 to 800°C directly from the
continuous casting machine to the reheat furnace. Hot charging is normal practice in the steel industry
and has several benefits including significant energy cost savings when compared to cold charging.
The best available billet transfer technique is direct rolling of billets of around 900 to 1000°C directly to
the rolling mill. This state-of-the-art technique removes the need for an expensive reheat furnace
entirely being replaced by a smaller induction furnace (if necessary). Direct charging can be
expensive to retrofit and is normally limited to new plants.

Figure 8 presents a possible material flow in a plant allowing both cold charging and hot charging. An
optimised production planning and control system to synchronise the production schedules of a
steelworks and a rolling mill can achieve a hot charging share of over 60% at about 800°C.

Figure 8: Example plant layout of a cold and hot billet handling system.

111
Appendix J – Preliminary list of equipment, supplies and services
No. Description of work Quantity Comments

1 Engineering and design services including basic and advanced

engineering, and documentation and
manuals

2 Procurement

2.1 Equipment Assumes use of CCM No.5 control

room, process electrical system,
process safety/environmental systems,
work shop and utility systems (Fire-
fighting, water ,Instrumentation
AIR ,LV Power etc) and also the
furnace room and post no.1 and PCY-1
Electrical room of rolling mill 500.

2.1.1 Mechanical and Hydraulic

equipment

2.1.1.1 Billet cross transport table 1 set

2.1.1.2 Lifting gear (hydraulic) 2 sets

2.1.1.3 Rollers 24 sets

2.1.1.4 Billet cross transport table 1 set

2.1.1.5 Modifications to CCM No. 5 cross

transfer system

2.1.1.6 Quality inspection billet handling Includes rejection and additional cross
system transport tables

2.1.2 Process electrical systems

Electric motors & drives 24 gear

motor sets

2.1.3 Automation and control

2.1.3.1 Process control automation 1 set

system

2.1.3.2 Quality inspection automation and 1 set

control equipment

2.1.4 Other (e.g. Billet insulation)

2.2 Bulk materials Excluded

2.3 Supply of first fills includes one year of operating

consumables

2.4 Supply of spare parts includes commissioning, fast wearing

and operational spares for mechanical,
electrical, instrumental, automation &
control equipment, communication

112
No. Description of work Quantity Comments

systems spares etc.

3 Transportation & related costs DAP INCOTERMS TERM

4 Construction

4.1 Site establishment

4.2 Pilling, Foundation, Civil works Excluded

Execution

4.3 Plant erection (Building steel

structure etc)

4.4 Equipment installation (plant and

utility equipment)

4.5 Commissioning & startup

4.6 Performance test

5 Management & Supervision E.g. project management, site

services management, technical assistance &
engineering, construction engineering,
Commissioning & performance test
supervision

6 Training Services (onsite training)

7 Production assistance

113
Appendix K – Site Photographs
(see overleaf)

114
 Appendix M – Definition of the scope of supply

The detailed scope of work between Employer & Supplier is mentioned in the

Following table split of work:

BD: Basic Design

- Means the figures and design basis necessary for development of basic engineering,
including main specification, main description and general data.

BE: Basic Engineering

- Means the design basis for the development of detailed engineering, including
arrangement drawings, schematic diagrams, specific data, basic functional descriptions,
basic media and power requirements, basic specifications for procurement.

DD: Detail Design

- Means the design activities providing all the necessary information for the equipment and
material procurement and manufacturing.

SUP: Supply and Manufacturing

- Means the supply of equipment and materials

ER: Erection,

- Means the erection work for the actual assembly and erection on-site of equipment and
materials.

CO: Commissioning

- Means the personnel handling the commissioning of the equipment and materials.

SV: Supervision

- Means the specialized Supervisory services to be rendered for erection and commission
of the equipment and materials.

LEGEND

S: Contractor

E: ESCo

L: Local Contractor (Will be selected by ESCo in future)

115
ITEM QTY. BD BE DD SUPPLY ER CO SV
EQUIPMENTDENOMINATION

1 Mechanical and hydraulic equipment

1.1 Modifications of CCM No. 5 cross transfer system S S S L L E/S S

and comb transfer system

1.2 S S S L L E/S S
Steel structure of Collecting and Billet cross
transport table

1.3 Steel structure of Pulling mechanisms S S S L L E/S S

1.4 Steel structure of Lifting/rotating equipment S S S L L E/S S

1.5 Steel structure of Pushing machine S S S L L E/S S

1.6 Steel structure of Intermediate storage table 1 S S S L L E/S S

1.7 S S S L L E/S S
Steel structure of Billet cross transport equipment 1

1.8 Steel structure of Roller Tables S S S L L E/S S

1.9 Quality control system S S S S L E/S S

1.10 Steel structure of Billet cross transport equipment 2 S S S L L E/S S

1.11 Steel structure of Intermediate storage equipment S S S L L E/S S

2

1.12 Steel structure of Reject table S S S L L E/S S

1.13 Steel structure of Billet cross transport equipment 3 S S S L L E/S S

1.14 Hydraulic unit and equipments( all hyd, cylinder S S S S L E/S S

and accessories included )

1.15 Hydraulic components and accessories on board S S S S L E/S S

1.16 Oil and grease lubrication system and accessories S S S S L E/S S

included

1.17 Compress air system and accessories included( in S S S S L E/S S

battery limits)

1.18 All gear boxes , gear motors , bearings ,seals, S S S S L E/S S

ropes, chains, wheels , … and all other catalogue
items of all mechanical equipment base on
Appendix N – Definition of Contractor Vendor list

116
ITEM QTY. BD BE DD SUPPLY ER CO SV
EQUIPMENTDENOMINATION

for all items of Scope of supply

2 Process electrical system

2.1 All Electric motors & drives and components S S S S L E/S S

2.2 Electrical panels and desk S S S S L E/S S

2.3 Earthing system S S S L L E/S S

2.4 Interconnecting cabling (cable list , terminal list,…) S S S L L E/S S

2.5 Steel cabins for switchboards and pulpits S S S L L E/S S

3 Process automation and control systems

3.1 Process control automation and components S S S S L E/S S

Quality inspection automation and control S S S S L E/S S

3.2
equipment

Field instruments devices and accessories S S S S L E/S S

3.3
and components

3.4 Interconnecting cabling (cable list , terminal list,…) S S S L L E/S S

3.5 Material Tracking S S S S L E/S S

4 Other

4.1 Transportation and delivering of equipment (DAP S S S S L E/S S

term)

4.2 Steel Structure S S S L L E/S S

4.3 Civil Work S S S L L E/S S

4.4 Billet insulation S S S L L E/S S

4.5 Any modification on RM500 Reheating furnace or S S S S L E/S S

add new equipment (Mechanicals, Electricals,

117
ITEM QTY. BD BE DD SUPPLY ER CO SV
EQUIPMENTDENOMINATION

Automations and...)

4.6 Commissioning spare parts S S S S

includes commissioning, fast wearing and

operational spares for mechanical, electrical,
instrumental, automation & control equipment,
communication systems spares etc.

4.7 Spare parts for 1 year normal operation S S S S

4.8 first fills S S S S

4.9 Fill up for 1 year normal operation S S S S

4.10 Supervision on Commissioning & starting up S

4.11 Performance test S

4.12 Management & Supervision services S

4.13 Training S

5 Documentation

5.1 General Layout S S

5.2 Calculation Report of billet temperature from CCM S S

to RHF

5.3 Calculation report for improve quality of production S S

and energy saving

5.4 Electrical and Automation engineering S S S S

5.5 mechanical engineering S S S S

5.6 Manuals(Operation, interference, Specials, S S

Erection)

5.7 civil work (Foundation and steel structure) S S S S

mechanical equipment

5.8 Hot and Cold charge procedure for Exist Reheating S S S S

118
ITEM QTY. BD BE DD SUPPLY ER CO SV
EQUIPMENTDENOMINATION

Furnace mill 500

119
Appendix N – Definition of Contractor Vendor list

Description Brand Country

Electric gear motors BAUER (Germany)

FLENDER (Germany)

ROSSI (Italy)

FIMET (Italy)

Gear Boxes FLENDER (Germany)

TYSSEN (Germany)

ROSSI (Italy)

FIMET (Italy)

Bearings FAG (Germany)

SKF (Sweden)

RKB (SWISS)

NSK (Japan)

Rolls SANDVIK (Sweden)

Seal ring ( v & u Ring ) ECONOMOS (Austria)

Trelleborg (Germany)

Couplings MAINA (Italy)

FLENDER (Germany)

Swivel joints DEUBLIN (Germany)

Hydraulic cylinders PARKER (USA)

REXROTH (Germany)

Hydraulic components (pumps, valves,

valve blocks) REXROTH (Germany)

Allweiler (Germany)

Wickers (Germany)

ATOS (Europe)

120
 PARKER (USA)

Hydraulic Filters & Accessories HYDAC (Europe)

Accumulator HYDAC (Europe)

Separator & Heat exchanger Alfa laval (Italy)

Greasing components DROPSA (Italy)

Lincoln (Europe)

Pneumatic cylinders PARKER (None Chinese)

Festo (None Chinese)

(Famous-None
Others Chinese)

Electro-valves ROSS (USA)

PARKER (USA)

Expansion joints ALFLEX (Italy)

IWKA (Germany)

Pressure & Diff. Pressure Transmitter SIEMENS (Germany)

Endress & Hauser (Germany)

Emerson (U.K./FR)

ABB (Sweden)

INOFLEX (Italy)

Temperature & Diff. Temperature

Transmitter SIEMENS (Germany)

Endress & Hauser (Germany)

Emerson (U.K./FR)

ABB (Sweden)

INOFLEX (Italy)

Flow Transmitter SIEMENS (Germany)

Endress & Hauser (Germany)

Krohne (Germany)

121
 Foxboro (Germany)

Press. & Temp.(Plus Electro Contact)

Gauge Bourdon (Germany)

Ruger (U.K./FR)

Ashcroft (Germany)

WIKA (Germany)

CROSBY (U.K.)

Orifice Plates & Flanges SIEMENS (Germany)

Emerson (U.K./FR)

Endress & Hauser (Germany)

Yokogawa (Japan)

I/P Converters SIEMENS (Germany)

Pneumatic actuators STI (Italy)

Fisher (USA)

Electric servomotors R.A. SYSTEM (Italy)

SIEMENS (Germany)

Limit switches BALLUF (Germany)

Honey Well (USA)

SIEMENS (Germany)

TeleMechanique (Germany)

Level switches Magnetrol (Italy)

Vega (Germany)

Endress & Hauser (Germany)

Foxboro (Germany)

Jucker (U.K.)

Mercoid (U.K.)

Mobrey (U.K.)

Level Transmitter Vega (Germany)

122
 Endress & Hauser (Germany)

Gauge glass Phoenix (Germany)

Bonetti (Italy)

TC KLINGER (Europe)

Flow switches IFM (Germany)

Kobold (Germany)

Emerson (U.K./FR)

Endress & Hauser (Germany)

Krohne (Germany)

DANFOSS (Germany)

Pressure switches Tele Mechanique (Germany)

WIKA (Germany)

DANFOSS (Germany)

Temperature switches DANFOSS (Germany)

SIEMENS (Germany)

Proximity switches IFM (Germany)

Kobold (Germany)

Tabriz Pajoh (Iran)

Photocells SICK (Germany)

DELTA (France)

Electric motors ABB (Sweden)

SIEMENS (Germany)

FLENDER (Germany)

Electrical ON/OFF Valve AUMA (Germany)

Electrical Control Valve AUMA (Germany)

Frequency Converters SIEMENS (Germany)

ABB (Sweden)

123
Electric breakers ABB/SACE (Italy)

SIEMENS (Germany)

Contactors SIEMENS (Germany)

Tele Mechanique (Germany)

ABB (Sweden)

Circuit Breaker(MCB, MCCB, ACB) SIEMENS (Germany)

Tele Mechanique (Germany)

ABB (Sweden)

Relays SIEMENS (Germany)

SCHRACK (Germany)

Finder (Europe)

Thermal Relay SIEMENS (Germany)

Speed Monitor SIEMENS (Germany)

Borna (Iran)

Over Load Monitor Borna (Iran)

Signal lamps SIEMENS (Germany)

Tele Mechanique (Germany)

Famous Producers (Iran)

Push buttons SIEMENS (Germany)

Tele Mechanique (Germany)

Selector Switch SIEMENS (Germany)

Tele Mechanique (Germany)

Metering System Daniel (U.K.)

Satam (France)

Isoil (Italy)

Petrol (Italy)

Endress & Hauser (Germany)

124
Panel Heating & Cooling Devices RITTAL (Germany)

PLC/RP/PDP/CP/R.I.O./MCC/UPS/IPC
PANEL RITTAL (Germany)

SIVACON (Germany)

TV camera SIEMENS (Germany)

SAMSUNG (Korea)

P.L.C.s SIEMENS S7 (Germany)

PID Controller Yokogawa (Japan)

Foxboro (Germany)

Eurotherm (U.K.)

SIEMENS (Germany)

ABB (Germany)

H&B (Germany)

Indicator Yokogawa (Japan)

Foxboro (Germany)

Eurotherm (U.K.)

Isolating/Barrier & Amplifier PEPPERL+FUCHS (Germany)

PHOENIX CONTACT (Germany)

Endress & Hauser (Germany)

WAGO (USA)

SENEKA (Italy)

DRIVE SIEMENS (Germany)

ABB (Sweden)

Schneider (Europe)

Emotron (Europe)

UPS Rittal (Germany)

Chloride (Europe)

Schneider (Europe)

125
 Saft Nife (Europe)

Merlin Gerin (France)

Legrand (Europe)

Battery EAM (Italy)

Saft Nife (Europe)

VISION (China qualified)

Battery Charger YUASA (Japan)

Merlin Gerin (France)

GUTOR (France)

SIEMENS GROUP (Europe)

SICE (Italy)

SOCOMEC (France)

Chloride (Europe)

Schneider (Europe)

Steel Valve PARKER (Germany)

VEE-LOCK (Korea)

Supervision P.C. IBM

DELL

HEWLETT-PACKARD

P.C. monitor IBM

DELL

HEWLETT-PACKARD

SONY (Japan)

SAMSUNG (Korea)

LG (Korea)

Supervision programme Win CC

126