(04) Taufiq Saidin, Petrofac (2)

Systematic Approach to the Management of Integrity Assurance Petrofac (Malaysia PM-304) Limited

2013 Asset Integrity Management Forum Sime Darby Convention Center, Kuala Lumpur, Malaysia

Khairul Taufiq Saidin Dinna Geraldine Ramlan Zaidi Hamidon

September 17, 2013

2013 Asset Integrity Management Forum Sime Darby Convention Center, Kuala Lumpur, Malaysia September 17, 2013

Abstract

In line with Petrofac Group’s vision to become an industry leader in Asset Integrity Management, the group has developed a systematic approach to the management of Integrity Assurance to confirm that the physical asset and management systems meet Petrofac expectations. The process demonstrates management of Asset Integrity (AI) across all Petrofac-operated assets via the measurement of AI leading and lagging KPIs defined in the Asset Integrity Assurance “traffic light” Monthly Scorecard reporting tool. Corporate governance shall be achieved by measurement of assets performance against pre-defined metric designed to enable measurement of AI performance across the business. The KPIs are submitted monthly and discussed in detail at the Asset Integrity Review Board (AIRB), where focus is given on addressing Red Light KPIs. In addition, the KPIs are discussed quarterly at business unit executive management level. The KPIs enable high level reporting to senior management and assist each asset to focus on critical and high priority activities on day-to-day operational activities.


Petrofac Malaysia: A Brief Introduction

• Established in 2004 as a PSC to develop Cendor field, located in Block PM304 offshore Terengganu

• Three operating entities: • Petrofac (Malaysia-PM304) Limited – Cendor and West Desaru (PSC) • Petrofac Energy Development Sdn Bhd – Berantai (RSC) • Petrofac Engineering Services – to lead EPCIC


Asset Integrity Review Board (AIRB) KPI - Philosophy

Objective: To clearly indicate asset integrity status to Petrofac Group senior management.

Key functions: 1. Monthly KPI reporting to Petrofac Group to monitor the current safety, risk

management and integrity status of Petrofac Group assets. 2. A key means of:

• Sharing lessons, knowledge and experience with global assets, • Identifying the support needs for an asset, and • Identifying systematic issues requiring a common improvement initiative.

3. A critical method of communicating overall integrity and the key risks on all assets to the executive level.


AIRB KPI – Requirements

1. Common set of KPIs reported across all assets. 2. Alignment with Petrofac Asset Integrity Framework and core operational

systems and processes. 3. KPIs provide a clear picture of critical focus for improvement, or overall

cumulative risks for all assets.


AIRB KPI – Approach

1. Implement Safety Critical Element (SCE) barrier model approach - with KPIs linked to each barrier.

• Provides a visual picture of cumulative risk e.g. which barrier is intact, which barrier is weakened.

2. Align to SCE barrier model & segregate Plant, People and Process KPIs. • Allows team to pin-point the areas of integrity weakness and deliver specific advice and support

and share good practise.

3. Each amber or red KPI follows with ‘drill-down’ questions (5-whys?). • Drive in-depth discussion of risk and support the assets to implement best practise.


Asset Integrity KPI Using Barrier Model • Using Petrofac Barrier Model approach to indicate asset-specific risk and gives an overall

picture of cumulative risk. • KPIs linked to barriers showing:

• Physical condition of Safety Critical Elements (Hardware) • Physical condition of Wells equipment (Hardware) • Performance of the Management System (Process Safety Indicators for each Risk Control System)

• Good practise derived from UK HSE Guidance on “Developing process safety indicators” (ISBN 978 0 7176 6180 0)

Escalating Consequences Major Accident Event

Safe Operation

Process Containment

Marine Integrity

Ignition Control Detection

Systems Protection Systems Shutdown

Systems Emergency Response

Life Saving

Protection and Escalation control

Prevention

DS001 F & G Detection System DS002 Water in Condensate(Gas Dew Point) measurement.

MAH BARRIER MODEL – PETROFAC SCE GROUPINGS

Structural Integrity

MI001 Bilge , Ballast & Cargo Mgt. Systems MI002 Mooring Systems

SI001(a) Subsea Structures (Fixed) SI001(b) Subsea Structure (Floating) SI002 Topsides/Surface Structures SI003 Cranes & Mech. Handling Equip. SI004 Drilling Load-bearing Systems

PC001 Topside Pressure Systems & Tanks PC002 Rotating Equip. PC003 Pipelines and Risers System PC004 Relief System PC005 Well Containment PC006 Fired heaters PC008 Tanker Loading System PC009 Helicopter Refuel Equip. PC010 Wireline Equipment

IC001 HVAC (haz.) IC002 HVAC (Non haz.) IC003 Cert. Elect. Equip IC004 Inert Gas (Cargo) IC005 Earth Bonding IC006 Flare Purge System IC007 Inert Gas Blanket System IC008 Misc. Ign. Control IC009 Flare Tip Ign.

PS001 Deluge PS002 Fire/Explosion Protection PS003FW Pumps PS004 Firewater Main PS005 Passive F.P. PS006 Gaseous F.P. System PS007 Fine Water Mist System PS008 Sprinklers PS009 Metocean Data Gathering System PS010 Power Management PS011 Fixed Foam Systems PS012 Manual Fire-fighting Equipment PS013 Nav. aids PS014 Coll. Avoid

SD001 ESD Systems SD002 Depress. System SD003 HIPPS SD004 Well isolation SD005 Pipeline & Riser ESDV SD006 Process ESDV SD007 SSIVs SD008 Drill. well control equip.

ER001 Temp. Refuge/Muster Areas ER002 Escape/Evac. Routes ER003 Emerg/Esc. Lighting ER004 Comm’s System ER005 UPS ER006 Helicopter Facilities ER007 Emergency Power ER008 Open Haz. Drains

LS001 Personal Survival Equipment LS002 Rescue Facilities LS003 Lifeboats/ TEMPSC LS004 Tertiary Means of Escape


Barrier Model SCE & Wells (Physical Plant) Barriers

RESCUE&RECOVERY CONTROL DETECT CONTROL MITIGATE RESCUE&RECOVERY

Ignition Control

Detection Systems

Protection Systems

Emergency Response

Life Saving

PREVENT Structural Integrity

PREVENT Marine

Integrity

PREVENT Process

Containment Shutdown Systems

RELEASE

Management System (People & Process) Barriers Deferrals

Management Competency Management

HiPo Management

Regulatory Compliance

Override Management

Verification Process

Management of Change

Anomaly Management

Audit Response

Asset Integrity Matrix

Asset Status

HIGH

LOW HIGH Management System (People & Process) Barriers

SCE

& W

ells

(Ph

ysic

al P

lant

) Ba

rrie

rs Fit for Purpose

Plant helping to reduce failures

High performing, high reliability

organisation

Regular failures and Major Accident due

soon

Strong mitigation by Process & People to

avoid failures

Expected operations


AIRB KPI Dashboard • Shows a Barrier picture of asset risk and give an overall picture of cumulative risk.


New AIRB Dashboard Asset Cumulative Risk Status • Single Risk

Flag • Rolled up

from detail of KPIs

Answers: What level of risk do we face?

1 KPI Drill Down • Flags which

KPIs are failing. Answers: What do we need to fix?

3

KPI Trend • Shows

time-trend on the KPI.

Answers: Are we getting better or worse?

4

KPI Narrative • Structured narrative. • Asset provide a response to the “5Whys” associated with each amber or red KPI. • Asks ‘best practise’ questions. • Supports roll-out of best practise across all Petrofac assets globally and consistently. Answers: Is the asset in full control of recovery on this KPI?

5

Petrofac Barrier Model (Current Asset Condition) • Status of individual barrier groups (rolled-up from KPIs) Answers: Where is the risk?

2


Revised KPIs

1 No of Open change requests - "Change Management Guidelines" (BMS-AG-I-0967) 2 Anomalies Management – “Operations Divisional Anomaly Management Procedure” (BMS-AA-I-1105) 3 Actions from Asset Integrity Review – "Asset Integrity Audit Reporting and Management" (BMS-HD-I-0162) 4 Core Crew Competencies - "Competence Framework Document" (BMS-AA-I-0039) 5 High Potential Incidents - "HSSEIA Incident Reporting" (PGC-BMS-PRO-X-0908) 6 Current Regulatory Enforcement Notices 7 Plant Overrides/Inhibits - "Global Override / Inhibit Procedure" (BMS-AA-I-1051) 8 Open Verification Findings - "Management of Safety-critical Elements and Verification" (BMS-AA-X-0041) 9 SCE Maintenance Deferrals - "Divisional Deferral Management Procedure" (BMS-AA-I-1123.)

1 Well Valve and barrier failures – "Asset Integrity Guideline - Wells" (PGC-BMS-PRO-X-1037) 2 Well Annulus pressure anomalies – "Asset Integrity Guideline - Wells" (PGC-BMS-PRO-X-1037) 3 Well Overdue maintenance monitoring or testing – "Asset Integrity Guideline - Wells" (PGC-BMS-PRO-X-1037) 4 Well Dispensations – "Asset Integrity Guideline - Wells" (PGC-BMS-PRO-X-1037)

1 Number of ORA's - "ORA Management Guidelines" (BMS-AG-I-1008) 2 Impaired SCE's - "Management of Safety-critical Elements and Verification" (BMS-AA-X-0041) 3 PMA Programme Compliance – "Corporate Routine Maintenance Performance Reporting“(BMS-HD-I-0084) 4 Total SCE Maintenance Backlog – "Corporate Routine Maintenance Performance Reporting" (BMS-HD-I-0084) 5 Temporary Repairs on SCE Systems Outwith Authorised Time - "Operations Temporary Repair Procedure…” (BMS-AA-I-1000)

Wells (Physical Plant) Barriers

Management System (People & Process) Barriers

SCE (Physical Plant) Barriers CONTROL

Ignition Control

DETECT Detection Systems

CONTROL Protection Systems

RESCUE&RECOVERY

Emergency Response

RESCUE&RECOVERY

Life Saving

PREVENT Structural Integrity

PREVENT Marine

Integrity

PREVENT Process

Containment

MITIGATE Shutdown Systems

PREVENT Process

Containment

MITIGATE Shutdown Systems


AIRB KPI - Advantages

• Provide high level overview on any weaknesses in SCE barriers by making deficiencies visible.

• Provide a clear goal to meet the minimum Asset Integrity performance. • Enable monitoring of Asset Integrity performance and analyse the trend. • Identify common issues and provide focus to address these issues. • Enable knowledge sharing and lesson learnt across Petrofac assets.


AIRB KPI - Challenges

1. KPIs are not commonly interpreted and reported differently across all assets.

2. Some KPI data compilation is carried out manually. 3. Introduction of SCE barrier model is new to some old existing assets, and

it will take some time to establish SCE list in an asset.


Questions?

Documents

(04) Taufiq Saidin, Petrofac (2)