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Valor EPC

Project Management

Musreau 3 Shallow Cut Gas Plant

Project Background:

  • Midstream-Producer agreements required additional gas processing volume justifying a second train of shallow cut refrigeration gas processing to be added to the existing Musreau 2 (M2) Gas Plant. 
  • Due to efficiencies in executing a similar plant configuration, the project budget for Musreau 3 was set at 12% less than Musreau 2.

Solution & Execution:

  • Integrated Client project team into the overall project team (Sr. PM, EITs, Project controls, Commissioning, Operations).
  • Developed Engineering Execution Plan (driven by construction sequencing) for early design and equipment order resulting in early arrival at site including first arrival of all piperack.modules.
  • Established Procurement Execution Plan to competitively bid out all aspects of the work inclusive of equipment, material and construction contracts on a lump sum basis. This included pre-fabrication of piping, structural steel and miscellaneous steel. 
  • Ensured all fabricated piping and steel arrived at site prior to mobilization of mechanical field contractor.
  • Delayed arrival of Electrical field installation contractor to allow Mechanical an approximate five week head start.

Final Results:

  • Pipe and Steel Fabrication costs were reduced by approximately 50% by having them completed by specialty fabrication contractors.
  • Mechanical field installation scope was reduced and corresponding construction cost savings of approximately 40% were achieved.
  • Electrical field installation saw cost savings of approximately 40%.
  • Field construction timelines were reduced by approximately 2 months (30%) which reduced all construction indirects accordingly (supervision, services, utilities, etc).
  • Result was a total project cost 12% less than budget (i.e. close to 25% less than M2 costs) and an in-service date 2 months in advance of that publicly advertised.


Project Highlights:

We saved our client 12% on total project cost and an in-service date 2 months ahead of schedule.

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