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THE IPLOCA NEWSLETTER 42 NUMBER Letter from the President page 4 News from Geneva page 5 Member News page 8 New Technologies page 10 CONTENTS: WITH NEWS FROM: THE INDUSTRY, MEMBERSHIP, ALLIED & SISTER ASSOCIATIONS MARCH 2010 Venice page 12 Convention update

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Page 1: IPLOCA Newsletter 42

THE IPLOCA NEWSLETTER 42

NUMBER

Letter from the President page 4

News from Geneva page 5

Member News page 8

New Technologies page 10

CONTENTS:

WITH NEWS FROM: THE INDUSTRY, MEMBERSHIP, ALLIED & SISTER ASSOCIATIONS

MARCH 2010

Venice page 12Convention update

Page 2: IPLOCA Newsletter 42

Experience the Progress.global sales organisationBreukersweg 4, NL-7471, ST, Goor, the NetherlandsTel. +31 547 260 000, Fax +31 547 261 000www.maats.com

AATS

The Group

Liebherr-Werk Telfs GmbH Hans Liebherr-Str. 35A-6410 TelfsTel.: +43 50809 6-100Fax: +43 50809 6-7772www.liebherr.com

2033-005_09 Bandru ̈cker_V2_INT-GB 3.indd 1 13.11.2009 15:28:54 Uhr

Page 3: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 3

CONTENTSLetter from the President 4

News from Geneva 5

Board Meeting Update 6

Membership Centre 6

Member News 8

Training 10

New Technologies 10

Health & Safety 11

Venice Convention Update 12

Planning Ahead 12

A Global Crisis 13

In the Headlines 14

Yearbook 14

The following is the new IPLOCA Mission for 2010 and beyond:To provide value to members through a forum for sharing ideas, engaging the industry and its stakeholders, facilitating business opportunities and promoting the highest standards in the pipeline industry.

IPLOCA Secretariat

International Pipeline & Offshore

Contractors Association

Chemin des Papillons 4

1216 Cointrin / Geneva

Switzerland

Telephone +41 22 306 02 30

Fax +41 22 306 02 39

E-mail [email protected]

Website www.iploca.com

IPLOCA Newsletter

Editor Elizabeth Spalding

Lay-out Peter Schoonenberg

Advertising [email protected]

Comments & copy [email protected]

IPLOCA © 2010

Cover photo

Courtesy of Nacap

IPLOCA Yearbook

Advertising [email protected]

Listing changes [email protected]

Page 4: IPLOCA Newsletter 42

4 THE IPLOCA NEWSLETTER

Letter from the President

With IPLOCA now settling into its new headquarters in Geneva,

and following a very successful board meeting in Vienna in

December, we are moving ahead with our 2010 objectives.

From the standpoint of New Technologies, we have established

a relationship with APIA, PRCI and EPRG and you will find some

new information regarding this cooperation posted on our

website.

We have also made our Novel Construction publication Onshore Pipelines: The Road to

Success available as an electronic document. More information is on page 10 of this

newsletter.

In Training, based on feedback received from our training questionnaire, we have

scheduled our first training seminar specifically designed for Project Managers. Training

in “Communication Skills in an Intercultural Technical Environment” will take place in early

March at Schiphol Airport, Amsterdam.

Our HSE committee continues to develop, and we welcome additional participants. Please

get in touch with me if you have an expert available in your company who can contribute

to this valuable work. Two awards will be presented this year at the upcoming Convention;

information about these awards will be communicated in future newsletters. We are

grateful to Shell which regularly sponsors the IPLOCA Enviromental Award and to Chevron

for the ongoing sponsorship of the IPLOCA Health and Safety Award.

Also, please remember to notify the appropriate people in your organization that the

deadline for the submission of Health and Safety Statistics is coming up almost as soon as

you receive this newsletter. The deadline date is 12 March 2010. The statistics submission

form is available at www.iploca.com.

Work is now underway on the 2010 Convention and we will be providing more information

as it becomes available. The location chosen for this year, as you may already know,

is Venice – logistically challenging when we consider regularly moving more than 500

people by boat to various venues in this wonderful city – but undoubtedly a convention

not to be missed.

I always welcome your questions, comments and ideas regarding IPLOCA. Please feel free

to contact me at [email protected].

Sincerely,

Adam Wynne Hughes

Page 5: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 5

NEWS FROM GENEVA IPLOCA Installed in New Offices on “Butterfly Road” (Chemin des Papillons)

Most of the moving boxes are unpacked and we are

now eagerly awaiting the opportunity to welcome our

first IPLOCA guests in our new offices. A meeting of the

HSE Committee in March will be the first official event

scheduled in the new location and in our new meeting

space.

First visitor: Preparing to celebrate IPLOCA’s new offices in

Geneva with Executive Secretary Juan Arzuaga, Board Member

Marco Jannuzzi (left) arrived with the champagne and some

excellent Swiss chocolate.

Although our move was completed in mid-January, a large

part of the building around us remains under internal

construction, being completed and customised for other

new tenants. The inconveniences of working in the middle

of a building site are far outweighed, however, by our

excellent location near the airport and the views from the

office windows – in one direction the Alps, dominated

by Mont Blanc, and in the other a birds eye view of a

spotlessly clean hangar full of equally spotless private jets.

We counted as many as 20 different aircraft of varying sizes

inside the full hangar last week. Their frequent movement

is quite amazing to watch, but no doubt the novelty will

wear off eventually!

As mentioned in the last newsletter the building is very

easily recognisable by its huge, bright yellow exterior

supports, making it easy to spot from the road. Access into

the property is another story, at least the first time around,

as one of the best routes is via a hidden driveway from a

sliproad, avoiding an awkwardly placed “No Left Turn” sign

on the main road.

If you have not yet made a note of our new address,

please do so. Phone and fax numbers remain the same as

previously:

IPLOCA’s New Address

International Pipeline & Offshore Contractors

Association (IPLOCA)

Chemin des Papillons 4

1216 Cointrin / Geneva

Switzerland

Phone: +41 22 306 02 30

Fax: +41 22 306 02 39

Page 6: IPLOCA Newsletter 42

6 THE IPLOCA NEWSLETTER

BOARD MEETING DecemberThe 2009-2010 IPLOCA Board of Directors met in early

December in Vienna. This was the first meeting for many

new members of the Board since the introductory meeting

held in San Francisco.

Key Outcomes from the Board MeetingConvention: Board members were asked to identify

speakers for the Venice Convention, such that a strong slate

could be established as early as possible and discussed at

the Oman meeting in late February.

Election Procedure: The election procedure for Directors is

to be reviewed prior to the 2010 Convention to ensure early

communication and identification of the best candidates

for nomination.

New Technologies: Additional hard copies of “Onshore

Pipelines: The Road to Success” were to be provided to the

board members for distribution for feedback within their

companies. A final version (2nd Edition) will be developed

by June 2011 and copies of the 1st Edition would be made

available online as soon as possible.

Cooperation with APIA, PRCI and EPRG: IPLOCA has

signed a Memorandum of Understanding with APIA, PRCI

and EPRG to propose and actively participate in certain

research projects that could be of interest to the industry.

This cooperation has become an active role of the Novel

Construction Initiative working groups.

Finance: President Adam Wynne Hughes asked for and

received the Board’s support to set aside a sum of money

for the protection of IPLOCA should the Association incur

Foreground: Vladilen Ermolin and Christine Trauner enjoy a chilly

walk through Vienna’s shopping area decorated in typical fashion

for Christmas.

liabilities in the future owing to convention cancellation

or other unforeseen events. The budget for 2010 was also

approved during this Board meeting.

Committee Work: Reports were received from the Training

Committee, the HSE Committee and the New Technologies

Committee. Further information on these topics appears

separately in this newsletter.

Regional Meetings: A series of regional meetings were

discussed for 2010. Meetings were proposed in France in

February 2010, the USA, South America, the East/Far East

and Europe Central.

Thanks especially to First Vice President, Karl Trauner,

of HABAU for his generosity and assistance in making

the Board members and their guests so welcome in the

beautiful city of Vienna.

MEMBERSHIP CENTRENew to IPLOCA - Members

The Investment Design &

Construction Company

NGS-TEMPOBUR, Ltd has been

operating in construction for the oil and gas industry since

January 2000. The company is one of the pioneer enterprises

that introduced the technology of borehole horizontal

directional drilling under natural and artificial barriers for

laying pipelines, cable communications, etc. in a full scale

(design, arrangements, construction) on a turn key basis.

The company has designed and constructed more than

400 crossings of different lengths and diameters, including

objects with coastal areas, valve stations, communication

lines adjacent to underwater crossings. The geography of

constructed objects covers the whole Russian Federation,

including the Far North, the Far East and southern regions.

“NGS- TEMPOBUR” has excellent technical equipment

and personnel capable of constructing crossings with HDD

technology up to 2.5 km long and up to 1420 mm in diameter.

Page 7: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 7

NGS-Tempobur Ltd.

Office 200, Bld. 5, Block 1

Yauzskaya str.

109028 Moscow

Russian Federation

Phone +7 495 775 04 84

Fax +7 495 775 04 85

Email [email protected]

Website www.tempobur.ru

Shengli Engineering & Consulting Co. Ltd.

(SLECC), founded in 1965, is a subsidiary

of SINOPEC, a leading Class-A engineering

service company in China. The company has

been ranked in the Top One Hundred Chinese Engineering/

Design Companies by the Ministry of Construction of PR

China for 11 consecutive years since 1998. SLECC provides

engineering / consulting and EPC services mainly in the

upstream oil and gas, pipeline and offshore oil and gas

industries worldwide. SLECC has completed engineering

design and EPC services at total lengths of more than

55,000 km oil and gas gathering lines, more than 10,000

km long-distance oil and gas pipelines, and 100 offshore

platforms in various sizes.

Shengli Engineering & Consulting Co. Ltd. (SLECC)

49# Jinan Rd

Dongying City

Shandong Province 257026

P.R. China

Phone +86 546 855 26 52

Fax +86 546 855 25 33

Email [email protected]

Website www.slecc.com.cn

New to IPLOCA - Associate Members

PSE Engineering GmbH,

based in Germany, is an

international plant and pipeline engineering company with

decades of experience in the oil and gas industry. Within

its five operating divisions it undertakes engineering and

projects for its national and international clients with

special attention to the high quality of deliverables and

schedule compliance. Within its technical departments,

state-of-the-art technologies are used and developed by

the discipline engineers, assisted by the latest Engineering

Software such as HYSIS, ACAD, PLANT 4D, Caesar II, etc.

Work undertaken includes pipelines and installations,

pumping stations, oil treatment plants, offshore platforms,

terminals, tank farms, underground storage facilities,

compressor stations, gas regulating and measurement

stations, gas treatment plants, automation and SCADA

systems, etc. Starting with feasibility studies (incl. CAPEX

and OPEX Analysis) across basic and detail design, PSE

also manages the construction and commissioning

phase and, in some cases for various operators, PSE also

handles the operation of the complete installation. Proven

management and scheduling tools such as Primavera and

SAP Systems are supporting PSE teams with their different

tasks to assure proper and on-time project execution.

PSE Engineering GmbH

Pfaffenstrasse 11

49610 Quakenbrück

Germany

Phone +49 54 31 14 163

Fax +49 54 31 14 191

Email [email protected]

Website www.pse-eng.de

Erciyas Celik Boru Sanayi

A.S. was established in 1990

for the production of spirally

welded (SAW) steel pipes. The company is located in Duzce

and has 110,000 sqm of open and 25,000 sqm of indoor

space equipped with the latest technology. The company

has become one of Turkey’s leading spirally welded steel

pipe producers. Its factory has an annual manufacturing

capacity of 300,000 tons, creating pipes for drinking water,

contaminated water, pilings, natural gas and petroleum

pipes sized from 323.9 mm to 3O48 mm in external

diameter and from 4 mm to 25 mm wall thickness within

ST-37- API 5L X-120 material quality intervals.

ERCIYAS also applies all kinds of internal and external

isolation in compliance with Turkish and international

standards. Additionally, Erciyas has earned certificates such

as API 5L, APIQR, APIQ1, ISO 9001:2000, ISO 14001, OHSAS

18001, CE, ISO-TS 29001.

Erciyas Celik Boru Sanayi A.S.

Degirmen Sokar, No. 18

Nida Kule Kat: 20

34742 Kozyatagi, Istanbul

Turkey

Phone +90 216 410 82 30

Fax +90 216 410 82 31

Email [email protected]

Website www.erciyas.com.tr

Page 8: IPLOCA Newsletter 42

8 THE IPLOCA NEWSLETTER

MEMBER NEWSSale of Bilfinger Berger AustraliaThe Executive Board of Bilfinger Berger AG has initiated

the selling process for its subsidiary, Bilfinger Berger

Australia, to prepare the initial public offering of the

company. The sale of Bilfinger Berger Australia is an

important milestone in the planned reduction of the

construction business, the volume of which will be reduced

in the medium term from about EUR 6 billion to a level in

the region of EUR 2 billion. Expected output volume for

Bilfinger Berger Australia in the financial year 2009 is about

EUR 2.6 billion with an EBIT margin of 3 percent.

Bilfinger Berger: Preliminary result in 2009 better than expected - EBIT and net profit exceed outlook and market expectations Bilfinger Berger’s 2009 earnings have exceeded both the

company’s own outlook and current market expectations.

According to preliminary figures, EBIT reached EUR 250

million and net profit EUR 140 million. Guidance for

2009 had previously called for EBIT between EUR 210 and

EUR 230 million and net profit between EUR 110 and

EUR 120 million.The preliminary report on the 2009

financial year will be published on February 11, 2010.

Fluor Selected by Petrobras Affiliate for U.S. Refinery StudyFluor Corporation has announced that Pasadena Refining

System, Inc. (PRSI), a subsidiary of Petroleo Brasileiro S.A.

– PETROBRAS, has selected Fluor to provide front-end

engineering study services for a prospective U.S. refinery

project. Fluor booked the undisclosed contract value in

the fourth quarter of 2009. Fluor will provide engineering,

estimating and project management services for the

conceptual engineering phase of the prospective project

that would enhance the performance of the 100,000

barrel-per-day Pasadena, Texas refinery. “This is an

important U.S. refining project for Fluor and PRSI,”

said Peter Oosterveer, President of Fluor’s Energy and

Chemicals business group. “We have been fortunate

to be involved in other recent U.S. refining projects

having similar project characteristics, and we believe our

demonstrated project experience will bring significant

value to PRSI. We will work closely with PRSI to make

this project a success.” The engineering study is currently

underway in Fluor’s Sugar Land, Texas, office and will be

completed later this year.

J. Ray McDermott - Keppel FELS Joint Venture Awarded Major Offshore ProjectJ. Ray McDermott (“J. Ray”) will undertake fabrication and

installation work for the P-61 Tension Leg Wellhead Platform

(“TLWP”) in more than 3,871 feet of water, for the Papa

Terra Joint Venture, consisting of Petrobras (operator) and

Chevron.

The overall P-61 project — comprising design, engineering,

construction, transportation, installation and a three-year

limited operations contract — was awarded to FloaTEC

Singapore Pte Ltd (FloaTEC Singapore), a joint venture

between Keppel FELS Ltd (Keppel FELS) and J. Ray.

Almost all the work will be carried out through the

combined resources of Keppel FELS, J. Ray and FloaTEC

LLC (FloaTEC), the US-based joint venture company that

will perform global engineering and basic design work.

“This project combines the proprietary technology, global

engineering excellence, project management, construction

resources and broad industry experience of three leading

offshore specialists to provide the right deepwater solution

for this challenging deepwater environment,” said Stephen

Johnson, President and CEO of J. Ray McDermott.

Pipeline Machinery (PLM CAT)PipeLine Machinery

International (PLM) President

Mel Ternan has announced that

Martin Williamson has joined

the PLM team operations in

Australia, taking on the new role

of Australasia Territory Manager.

He will focus on growing PLM’s

relationships within the pipeline industry and growing the

Caterpillar presence within that industry.

Martin joins the sales and service team already established

in the area and will be working closely with the General

Manager for Asia Pacific, Scott Jenkins, and the Sales &

Service Coordinators teams of John Masterton (based in

Australia), Jerry Scott (international) and Charles Zheng

and Richie Ma (both based in China).

Martin brings more than 21 years of Caterpillar dealership

experience in Australia in various roles from sales to parts

and service to international sales management.

Page 9: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 9

Technip awarded Augmentation Pipeline contract at the Broom field in UK North SeaTechnip has been awarded a lump sum contract, worth

approximately EUR 21 million, by Lundin Britain Limited

for an augmentation pipeline at the Broom field in the UK

North Sea. This field, which is located 320 km north east

of Aberdeen, Scotland, is tied back to the Heather Alpha

platform. The new augmentation pipeline will extend the

existing Broom subsea infrastructure.

The contract covers the design, fabrication and installation

of a pipe-in-pipe production flowline which will be trenched

and backfilled. The work also includes a subsea structure,

spoolpiece tie-ins, repositioning of a flexible riser and

rockdumping for upheaval buckling.

Technip’s operating centre in Aberdeen will execute

the contract, which is scheduled to be completed in the

third quarter of 2010. The pipelines will be welded at

Technip’s Spoolbase in Evanton, Scotland. Two vessels

from the Technip fleet will be used for the offshore

installation campaign: the Orelia diving support vessel

and the Apache II pipelay vessel, which is currently being

modernised.

Former IPLOCA Board Member elected GECF Secretary General

During December 2009,

Leonid Bokhanovskiy, IPLOCA

board member for Europe

Eastern (2007-2009) was

elected General Secretary of

the Gas Exporting Countries

Forum (GECF) at a regular

ministerial meeting.

A member of the Stroytransgaz

Management Board,

Leonid Bokhanovskiy, whose name was submitted for the

post by Russia in November, was elected unanimously in

compliance with the charter.

In his acceptance speech Mr. Bokhanovskiy thanked the

Forum participants for their trust and provided information

about his top-priority tasks in his new capacity. GECF is a

leading advisory body of gas producing and consuming

countries, as well as of major industry companies and

international organisations. The organisation focuses on

developing and promoting principles and mechanisms for

the international gas market.

Mr. Bokhanovskiy listed the following activities to promote

GECF in the international arena:

- developing the scientific and research activities of the

Forum

- promoting gas exploration, production and

transportation technologies worldwide

- monitoring and forecasting gas exploration and

production trends worldwide

- presenting and anticipating the supply-demand balance

for gas

- coordinating transportation projects: pipelines and LNG

carriers

- studying gas correlation with other energy resources

- promoting increase in natural gas utilization

Moreover, as Secretary General, he plans to establish and

promote close cooperation between GECF and various

international organisations, regional and international

energy organisations and various trade unions.

PJSC Stroytransgaz PJSC Stroytransgaz is an integrated engineering

company implementing and managing major

construction projects in the oil and gas industry and

other branches of industrial and civil engineering and

is one of the largest major engineering-construction

companies in the world. The company performs

activities in 17 countries. Stroytransgaz primary

markets are Russia, the Near East, North Africa, Europe,

Southeast Asia and Central Asia.

GECFThe Gas Exporting Countries Forum (GECF) was

established on 23 December, 2008, when the Energy

Ministers of Algeria, Bolivia, Venezuela, Egypt,

Iran, Qatar, Libya, Nigeria, the Russian Federation,

Trinidad and Tobago and Equatorial Guinea signed the

Forum Agreement and adopted the Charter. After the

documents were ratified by Russia, Trinidad and Tobago,

Libya, Qatar, and Algeria on 1 October, 2009, GECF

gained international status.

The main objective of the Forum is to support the

member countries sovereignty over natural gas

resources, as well as to promote the rational use of gas

and sustainable, efficient and environmentally friendly

development of the international gas market.

Page 10: IPLOCA Newsletter 42

10 THE IPLOCA NEWSLETTER

TRAINING Seminar: Communication Skills in an Intercultural Technical EnvironmentHow can a Project Manager help the team collaborate,

understand and respect the cultural differences of others

on the team? How can the Manager help everyone in the

team – including Clients and Subcontractors – get the job

done using everyone’s strengths?

Based on the answers received from IPLOCA’s Training

Questionnaire sent out to the membership late last year,

intercultural communication in the pipeline environment

continues to be a challenge. In response to the

demonstrated need for training of this type, IPLOCA offered

its first seminar specifically designed and customised

for Pipeline Project Managers. Limited to 18 participants,

the seminar took place at the Sheraton Hotel at Schiphol

Airport early in March.

Among the companies sending participants to the training

were Denys, HABAU, Max Streicher, Nacap, PPS Pipeline

Systems, Techint, Technip, Tekfen and Visser & Smit Hanab.

Feedback received from IPLOCA’s Training QuestionnaireA total of 31 answers to the Training Questionnaire were

received from our members. More than half of these

companies have offered external training programmes to

their personnel and more than two thirds of them offer

internal training programmes.

This shows how important training is to companies in the

pipeline business where people have to work in remote

areas for long periods of time. While pipeline owners and

operators have other opportunities to offer their personnel

training, contractors do not always have the time frame

necessary to give their most qualified managers the chance

to receive additional and important training.

Almost all respondents expressed their interest in offering

their employees one-week site visits to projects that would

be very specific from an experience point of view (i.e.

remote sites, in permafrost, in swamps, in sand, etc.)

Communication skills is one of the training topics

that has continually been highlighted as a vital tool in

management. Who among us can be absolutely sure that

s/he communicates well? How much information that

was intended to be transmitted was in fact received and

properly understood? About 90 percent of the respondents

expressed interest in these type of training programmes.

IPLOCA therefore decided to go ahead with this first

Training Committee initiative.

Three other very interesting pieces of information were

received from the respondents:

- Training programmes offered by our Associate Members

to our Members are of interest to both parties. These

programmes will soon be offered to you once we

finalise details.

- Scholarships for young professionals are being offered

by one third of the respondents. The list of companies

will be published soon.

- Other training programme topics were suggested. This

gives us a lot of material to work with in moving our

Training Committee initiative forward.

Finally, a lot of information was received about various

training organisations and programmes which we will

include in the listing at www.iploca.com.

NEW TECHNOLOGIES “The Road to Success” is Online

The first edition of IPLOCA’s “Onshore Pipelines: The

Road to Success” is now online. The 374-page document

was distributed to IPLOCA members in hard copy at the

Association’s annual convention late last year, and is now

available at www.iploca.com/roadtosuccess.

The Road to Success aims to provide all parties involved

the basic knowledge necessary to improve the execution

of a project from design to commissioning, i.e. cost and

schedule, while reducing the environmental footprint and

achieving the desired safety objectives.

Page 11: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 11

IPLOCA HEALTH & SAFETY AWARD sponsored by Chevron

Health and Safety Statistics are DueThe submission form for the 2009 Health & Safety

Statistics Return is available at www.iploca.com and

must be returned no later than 12 March 2010. Submission

Guidelines are also available to help you complete

the form.

Please Note

The submission of Health & Safety Statistics demonstrates

your commitment to your membership in the Association.

The submission of annual safety statistics to IPLOCA allows

us to present and monitor aggregate statistics for the

industry.

The statistics include four different categories:

- Onshore I: for onshore contractors with more than

1,500,000 man-hours

- Onshore II: for onshore contractors with less than

1,500,000 man-hours

- Offshore Contractors

- Field Services.

The returns should cover pipeline construction sites or

offshore operations and all infrastructure related projects.

Please note that Main Construction and EPC Contractors

and EPCM Contractors should report all incidents,

including those related to their subcontractors. In case

of integrated JVs, the Technical Leader should report the

totality of the JV incidents.

The accidents, incidents and near misses taken into

account are those that happen within the jobsite perimeter,

or when travelling from camp to jobsite or during any

other transportation. Travel accidents, incidents and near

misses from home or from any other private location to the

worksite must be included.

If your company has earned ISO, OHSAS or any other

accreditations, please advise us when you submit your

return. This information will also be taken into account

when analysing the input of the 2009 Health and Safety

Award. Your return is a confidential document used only for

the purposes outlined above and is not shown or passed to

any third party outside of IPLOCA.

Information on the upcoming award and submission

guidelines will be made available on the IPLOCA website

in March. The Award will be presented at the Venice

Convention during the Open General Meeting.

IPLOCA originally formed the Novel Construction Initiative

to examine pipeline laying efficiency and installation

standards for large diameter onshore pipelines with the

aim of improving the installation and providing the pipeline

stakeholders with cost reductions.

As the Initiative evolved it was decided to review in depth

all the phases of an onshore pipeline project, analyse the

elements that lead to successful projects and draw from the

significant project experience of the participant companies.

The main objective of this exercise was to identify the key

drivers in a pipeline project and thus:

- Improve the preparation process of pipeline projects for

mitigation of risks

- Improve the relationship between pipeline owners/

investors and construction and specialized contractors

- Improve the competitiveness of the pipeline industry

through sound engineering and construction practices

and innovative solutions.

Six new working groups were formed to achieve the new

objectives of this industry project and to prepare the main

deliverable – the recommended practices document to be

called “Onshore Pipelines – the Road to Success”.

A wide range of companies and individuals from oil and

gas investors and owners, design companies, construction

contractors, suppliers and specialized subcontractors

collaborated in a series of technical meetings and

discussions over three years to ultimately produce a

document intended for wide use in the pipeline industry.

More than 100 persons from 45 companies participated

in the preparation of the final document that was finally

released in September 2009.

It is hoped that the document will assist all stakeholders in

the development and construction of pipeline projects and

that it may also be of benefit in training, used by students

and teachers in the pipeline industry.

A second edition is anticipated for release in 2011 and the

Association welcomes comments and suggestions on the

first edition via email at [email protected] or

directly via an online feedback form at www.iploca.com/

roadtosuccess-feedback.

Page 12: IPLOCA Newsletter 42

12 THE IPLOCA NEWSLETTER

CONVENTION UPDATE Venice The excitement is already building for September’s

Convention in Venice. The hotel will be the Molino Stucky

Hilton, a beautifully renovated mill building. As is often the

case, it was quite challenging to find a hotel – especially

a hotel inside Venice – with sufficient function space and

enough rooms to enable us to house all participants in the

same hotel.

Two Conventions have already been held in Venice. The last

one took place in 1988 at the Excelsior Hotel on the Lido

because of the lack of large hotels in Venice.

Because of meeting-room size restraints at the Molino

Stucky Hilton the Open General Meetings this year will be

held outside the hotel – in the Fondazione Giorgio Cini, a

magnificent building, five minutes by boat from the hotel.

The tour programme is under development and you may

recognise some of the possible venues in the photos

below. We have already received sponsorship enquiries,

notably from a company located very close to Venice and

some other Italian companies. There is something very

special about the Convention coming to your own area

and as always we especially appreciate the support of our

“local” member companies. Much more information will

be available on our website before too long and we will

certainly keep you posted as plans are finalised.

Already in the plans are the traditional city tours (Monday

& Wednesday morning) including a trip on a gondola

complete with singing gondolieri…

PLANNING AHEAD for VeniceMonths ago, as newly elected President of IPLOCA,

Adam Wynne Hughes was already thinking ahead to the

Venice Convention and to the charity that he wanted to

support via the annual lottery. Adam’s chosen charity is

WaterAid – (www.wateraid.org/uk) – an international non-

governmental organisation whose mission is to transform

lives by improving access to safe water, hygiene and

sanitation in the world’s poorest communities.

Adam became aware of this organisation’s excellent work

about ten years ago, when he supported the personal

development of one of his young engineers. The young

man was working with a team of other young engineers

Page 13: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 13

to raise money and do voluntary work for the charity and

Adam was impressed with the work being done. “For me,

WaterAid was a perfect choice for the Venice Convention,”

Adam said, “It often uses such simple engineering

technology to support the provision of clean water, a

commodity that so many of us take for granted.”

Sanitation – or rather, the lack of it – is not always an easy

topic to discuss. Yet the organisation’s website is extremely

lively, well presented and definitely worth a visit. The

statistics regarding lack of sanitation are alarming. The

supporting articles, teaching tools and the way in which

the topic is discussed and promoted is informative and

engaging.

We look forward to offering the organisation our support

via the lottery for a car that we expect one of our members

to generously donate. Take a look at WaterAid’s Top Ten

Toilet Facts, or the article on the 100th anniversary of

the death of famous UK plumber Thomas Crapper, not

to mention the charity’s consciousness-raising attempt

to form the World’s Longest Toilet Queue – and you can’t

fail to be impressed with their innovative approach to a

challenging topic.

A GLOBAL CRISIS884 million people in the world do not have access to safe

water. This is roughly one in eight of the world’s population

(WHO/UNICEF). 2.5 billion people in the world do not have

access to adequate sanitation, this is almost two fifths of

the world’s population (WHO/UNICEF) .

1.4 million children die every year from diarrhea caused

by unclean water and poor sanitation - 4,000 child deaths

a day or one child every 20 seconds. This equates to

160 infant school classrooms lost every single day to an

entirely preventable public health crisis (WHO/WaterAid).

What has WaterAid done?Since WaterAid was established in 1981 it has reached

13.44 million people with safe water. Since 2004 it has

reached 8.16 million people with sanitation. Last year

WaterAid reached over one million people with safe water

and over two million people with sanitation. Just GBP 15

can enable one person to access safe water, improved

hygiene and sanitation (WaterAid).

SanitationDiarrhea kills more children every year than AIDS, malaria

and measles combined (WHO). Children living in households

with no toilet are twice as likely to get diarrhea as those

with a toilet (WEDC). Every year, around 60 million children

in the developing world are born into households without

access to sanitation (UN Water). One gram of human faeces

can contain 10,000,000 viruses, 1,000,000 bacteria, 1,000

parasite cysts, 100 parasite eggs (UNICEF). At any one time

half the hospital beds in developing countries are filled

with people suffering from diarrhea (UNDP).

WaterThe weight of water that women in Africa and Asia carry

on their heads is commonly 20 kg, the same as the average

UK airport luggage allowance (HDR). The average person

in the developing world uses 10 litres of water every

day for their drinking, washing and cooking (WSSCC) .The

average European uses 200 litres of water every day for

their drinking, washing and cooking. North Americans

use 400 litres (HDR). On current trends over the next 20

years humans will use 40% more water than they do now

(UNEP). Agriculture accounts for over 80% of the world’s

water consumption (UNEP). 97.5% of the earth’s water is

saltwater. If the world’s water fitted into a bucket, only one

teaspoonful would be drinkable (HDR).

Information courtesy of www.wateraid.org

Malawi: A woman and her children collect unsafe river water

(WaterAid/Jon Spaull)

Abbreviations used

DFID – UK Department for International Development

HDR - UN Human Development Report

OECD – Organisation for Economic Co-operation and Development

UNDP – United Nations Development Programme

UNEP – United National Environment Programme

UNICEF – United Nations Children’s Fund

WEDC – Water Engineering Department, University of Loughborough

WHO – World Health Organization

WSSCC – Water Supply and Sanitation Collaborative Council

Page 14: IPLOCA Newsletter 42

14 THE IPLOCA NEWSLETTER

IN THE HEADLINESPower plant explosion under investigationPossible gaps in safety protocols at the Kleen Energy power

plant, Middletown, Connecticut, USA are at the centre

of the investigation into an explosion that killed five and

injured 12. The blast occurred during the process of purging

an underground, high-pressure natural gas pipeline that

runs about 800 to 1,000 feet through the facility. Sources

familiar with the purging operation and the construction

and maintenance of the pipeline reported several concerns,

including welding operations that weren’t entirely halted

and other ignition sources that may have been present

during the purging Sunday morning. The sources added that

the area wasn’t completely cleared of workers and vehicles

during the operation and that natural gas was used to purge

the pipe, as opposed to nonflammable nitrogen.

LATimes.com, 9 February 2010

China Plans to Increase LNG Imports on Gas ShortageChina plans to increase its imports of liquefied natural gas

to ease a domestic shortage of the fuel, the official Xinhua

News Agency reported today, citing Zhang Guobao, head of

the National Energy Administration. China’s gas companies

should sign more long-term LNG contracts in order to take

advantage of a global surplus of the fuel, Zhang was quoted

as saying in the Xinhua report. Chinese oil companies

including PetroChina Co. and China Petroleum & Chemical

Corp., known as Sinopec, are increasing gas output and

imports to ease a supply shortfall caused by a cold snap

since last month. China imported about 3.5 million metric

tons of LNG last year, or about 6 percent of the nation’s total

demand, Xinhua quoted Zhang as saying.

Bloomberg News, 7 February 2010

China passes EU in trade with IranChina passed the European Union as the largest trading

partner with Iran as economic sanctions and a major gas

pipeline loom over Tehran’s global relations. Total trade

between China and Iran passed USD 36.5 billion in 2009,

compared with USD 35 billion for European states, the

Financial Times reports. Iran funnels much of its trade

through the United Arab Emirates, making concrete figures

difficult to assess, the Times adds. Significant portions of

Iranian exports to China come from the energy sector, with

China relying on Iran to meet 11 percent of its energy needs.

UPI.com, 9 February 2010

YEARBOOK Don’t forget to submit your listing changes for the Yearbook

to [email protected]. Advertising deadlines and

rates are posted at www.iploca-yearbook.com. Please find

below the correct information for:

[email protected] added to www.iploca.com: - Health and Safety Statistics Submission Form

for Calendar Year 2009

- Onshore Pipelines: The Road to Success – the

electronic version of the substantial 374 page

printed document

- Information regarding the agreement among EPRG,

APIA, PRCI and IPLOCA

- Training Seminar for Pipeline Project Managers

4-5 March at Schiphol Airport. (If you have missed

this one and are interested in the next, please email

us to indicate your interest.)

VERMEER CORPORATION

Corporate Office:Vermeer Corporation1210 Vermeer Road East Pella Iowa 50219USAT +1 641 628 3141F +1 641 621 7773E [email protected] www.vermeer.com

Dave WisniewskiSr Director, Underground SolutionsRene AlbertGlobal Trenchless Sales ManagerJon HeinenSegment Business Manager

Principal Services or Products:Vermeer Corporation manufactures a full line of horizontal directional drills and accessories, track and utilty trenchers, plows and rockwheels, mini skid steers, horizontal and tub grinders, brush chippers, stump cutters. compost turners and trommel screens. Vermeer has three global offices that are located in the Netherlands, Singapore, and Brazil as well as a manufacturing facility in China. Vermeer products are backed by a global network of independent, authorised dealers who provide sales, service and parts support at over 200 locations worldwide.

Page 15: IPLOCA Newsletter 42

NUMBER 42 MARCH 2010 15

Front row: Bruno de La Roussière (Immediate Past President); Karl Trauner (1st Vice President); Adam Wynne Hughes (President);

Osman Birgili (2nd Vice President); Juan Arzuaga (Executive Secretary); Middle row: Harald Dresp, Marco Jannuzzi, Najib Khoury,

H. Douglas Evans, Robert Deason, Sandip Sharma; Back row: Jacquelin de La Porte, Ebbo Laenge, Michael Rae, Vladilen Ermolin,

Roberto Castelli, Andy Lukas; Not in photo: Phil Bond, Nasser Issa, Zeno Soave

OfficersAdam Wynne Hughes (Land & Marine)

President

Karl Trauner (HABAU)

1st Vice President

Osman Birgili (Tekfen)

2nd Vice President

Phil Bond (Pipeline Induction Heat)

Treasurer

Bruno de La Roussière (Entrepose Contracting)

Immediate Past President

DirectorsVladilen Ermolin (PTPS JSC)

Director, Europe Eastern

Jacquelin de La Porte (Spiecapag)

Director, Europe Mediterranean

Zeno Soave (Socotherm)

Director, Europe Mediterranean

Ebbo Laenge (Conduto)

Director, The Americas

Robert Deason (J.Ray McDermott))

Director, The Americas

Nasser Issa (C.A.T. International Ltd)

Director, Middle East & Africa

Najib Khoury (CCC)

Director, Middle East & Africa

Andy Lukas (AJ Lucas)

Director, East & Far East

Sandip Sharma (Kalpataru Power Transmission Limited)

Director, East & Far East

Marco Jannuzzi (Caterpillar)

Director, Associate Members

Michael Rae (Argus Ltd)

Director, Associate Members

Directors at LargePhil Bond (Pipeline Induction Heat)

Roberto Castelli (Bonatti)

Harald Dresp (Max Streicher)

H. Douglas Evans (Gulf Interstate Engineering)

Nasser Issa (C.A.T. International Ltd)

Executive SecretaryJuan Arzuaga

IPLOCA 2009-2010 BOARD OF DIRECTORS

Page 16: IPLOCA Newsletter 42

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SC_WeAreShawCor_IPLOCA_030210.indd 3 3/2/10 4:18:06 PM