June 2008

Special Report: Process/Plant Optimization

Better manage risks of gas-processing projects

All projects contain risks and opportunities; responding to these uncertainties requires a structured approach to risk management

Lamberson, G., International Construction Consulting LLC; Mokhatab, S., Consultant; Wood, D. A., David Wood & Associates

Processing plants are key components for the crude oil and natural gas supply chains; these facilities link oil and gas reserves to consumers. Processing plays the central role in achieving gas specifications for consumer requirements. More importantly, efforts to achieve greater efficiency and economies of scale in the design and execution of processing plants are crucial to supply-chain profitability. Besides technology selection, surging capital cost inflation and the scarcity of skilled human resources are important. In addition, the contracting strategies applied for engineering, procurement and construction (EPC) of oil and gas processing plants to contain project costs, optimize co

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