April 2013 | petrofac · Programme and Picture Petrofac competition. 14 22 8 28 Paperstock environmental accreditation to go here. In this issue Cover image: Blue peacock, Gulf Breeze

April 2013 | petrofac.com

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petrofac.comApril 2013

Petrofacts is designed and published by the Group’s Corporate Communications department. We would like to thank all contributors to this edition, especially:

Jane Lewis

Helen Campbell

Rupert Wright

Ayesha Daya

If you have any comments or queries on this edition or ideas for future content, please contact:

Editor/Corporate:[email protected]

ECOM:[email protected]@petrofac.com

IES:[email protected] [email protected]

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reviatio

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ECOM ECS EPC ERSC FDP FEED

Engineering, Construction, Operations & Maintenance

Engineering & Consulting Services

Engineering, Procurement, & Construction

Emergency Response Service Centre

Field development planning

Front end engineering and design

FPF HSSEIA IES IOC JV LSTK

Floating production facility

Health, safety, security, environment and integrity assurance

Integrated Energy Services

International oil company

Joint venture Lump-sum turnkey

LTI MOPU NOC OCP OEC OPITO

Lost Time Incident or Lost Time Injury

Mobile Offshore Production Unit

National oil company Offshore Capital Projects

Onshore Engineering & Construction

Offshore Petroleum Industry Training Organisation

OPO PTS UKCS

Offshore Projects & Operations

Petrofac Training Services

United Kingdom Continental Shelf

6 Story behind the results

Financial journalist, Jane Lewis crunches the numbers from Petrofac’s recent results presentation to uncover the ‘story behind the results’.

12 Contracts round-up

We highlight some of the recent awards across our Group.

22 A new tour of Duty

It’s been 15 years since Petrofac pioneered a new approach to managed services in the UKCS. We take a look at how the Duty Holder model is evolving again for the future.

24 HSSEIA update The latest news and initiatives from across the Group.

26 What is risk? Petrofac’s Group Head of Risk, Stephen Tighe gives us the lowdown; with a little help from Donald Rumsfeld!

28 Country Manager Profile

We find out how Harry Bockmeulen has been helping to spice up production in Mexico’s Tabasco state.

30 Roll of honour We showcase the winners of the 2012 EVE Awards Programme and Picture Petrofac competition.

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Paperstock environmental accreditation to go here.

In this issue

Cover image: Blue peacock, Gulf Breeze Zoo, Florida, William Bayard

William is the winner of the Group’s 2013 Picture Petrofac photography competition. See page 33 for details.

© Shell International Limited, image used under licence

10Oilennium: the perfect recall of an animated e-entrepreneurFind out more about Petrofac’s latest acquisition as we talk to Oilennium’s Managing Director, Kevin Keable.

FOUR yEARS IN IRAq

POISED FOR DEEPWATER

Setting up operations in a new country is no easy task, but when the country is still recovering from 30 years of war, neglect and isolation, the challenge just got tougher.

Petrofacts spoke to those responsible for building a US$1 billion business in Iraq in just four years.

We look at the opportunities ahead for Petrofac’s Offshore Capital Projects business.

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April 2013

Welcome to the aPril edition of Petrofacts

Since our last edition of Petrofacts in late 2012, a lot has happened. We’ve announced another set of strong financial year-end results with increased revenue of 9% and net profit up by 17% compared to 2011. Importantly, 2012 was a year of overall good operational performance and as a result our portfolio is in excellent shape and customers are pleased with our performance.

We continue to see a strong pipeline of bidding opportunities across the Group and are pleased with the other key projects we have secured in recent months, notably: two significant engineering, procurement and construction (EPC) packages for Saudi Aramco’s Jazan Refinery and Terminal project in Saudi Arabia; a three-year services contract in Algeria and a deep offshore project management contract for PEMEX in Mexico.

These contracts are fantastic examples of how we continue to be well positioned to help hydrocarbon resource holders unlock the value of their assets and work towards bringing valuable energy supplies on stream for the future. With the forecast for continued infrastructure spending expected to hit US$10 trillion* by 2035, the market opportunity for both our on and offshore services continues to be very strong.

This macro-position positively underpins the strategic direction and vision for our Group. Since launching our three strategic priorities in early 2012, we have made great progress. In the last 12 months or so our progression in countries such as Mexico, Malaysia, Saudi Arabia, and in West Africa has been evident. Moving forward we intend to grow our activities in recently-entered countries and to move into other new markets including: Indonesia, East Africa and other parts of the CIS.

In terms of delivering offshore, which is another strategic priority, a major milestone in the development of our strategy was achieved in February when we communicated our plan for a differentiated EPIC business. This will be achieved through the development of our own installation capability via a top-tier vessel that can service the deepwater and subsea, umbilicals, risers and flowlines (SURF) markets. More on this on pages 8 and 9.

Our third priority is building our Integrated Energy Services (IES) business. Since its launch IES has grown significantly, with a portfolio of projects across the globe. The increased upstream activity associated with this growth is changing the way in which we work. And, as a result, we have expanded

our capabilities in areas such as subsurface, specialist drilling and asset management, as well as developing our already strong focus on in-country training and recruitment to support the NOCs’ requirements for local workforce development.

All of these activities give us confidence for the future. We expect to deliver good growth in net profit in 2013 and remain on target to more than double our recurring 2010 Group earnings by 2015. To meet these targets, and to achieve our vision to be the world’s most admired oilfield service company, we will continue to focus on our strategy and on delivering for our customers, while looking forward to the many challenges and exciting opportunities that 2013 will undoubtedly bring.

I hope you enjoy this issue.

as i write this introduction at the beginning of april, we are celebrating the news just in that our offshore capital Projects business has secured an offshore engineering, procurement, installation and construction (ePic) project worth approximately Us$500 million for the satah al razboot development, offshore abu dhabi, by adma-oPco. see pages 12 and 13.

Ayman AsfariGroup Chief Executive

*Source: International Energy Agency

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PETROFAC:THE STORY BEHIND THE RESULTS

When Petrofac committed itself to the aggressive target for 2015, some argued it had made itself a hostage to fortune. Sure, the Company had become a byword for stellar growth since its 2005 flotation; mushrooming from a largely unknown entity to the fastest growing oil and gas service company in the UK, and riding out the global financial crisis in style. But in a sector characterised by volatility and exposure to geopolitical risk, how long could it keep up the pace? As one financial commentator observed, “even the biggest trees don’t grow to the sky.”

The 2015 target certainly set the pace for Chief Financial Officer Tim Weller, who arrived shortly after it was set in 2011. But it was important it was put in place, argues Petrofac’s Head of Investor Relations, Jonathan Low. “After a tremendous run since 2005, which saw shareholder returns hit 700-800%, we wanted to make it very clear we could sustain our growth trajectory.”

Reviewing progress

Nearly two years on from the pledge, February’s full-year results have taken on particular relevance as a kind of half-term report. So

On 27 February, Petrofac announced its 2012 full year results and its progress towards its goal of more than doubling 2010 Group earnings by 2015. Financial journalist, Jane Lewis, crunched the numbers and talked to those who spent the day explaining our full-year position.

how’s the Company doing? The headline figures certainly look strong. Petrofac exceeded its stated ambition of notching up annual net profit gains of 15% last year (profits actually rose 17% to US$632 million). And it is promising ‘good growth’ to come in 2013, from the combination of the mainstay Engineering, Construction, Operations & Maintenance division (ECOM), and the faster-growth Integrated Energy Services (IES) division. Some in the investment community have quibbled that ‘good’ profit growth isn’t the same as 15% growth achieved in recent years. But the very fact that Petrofac has maintained its long-term guidance on the 2015 target implies an average increase in earnings of more than 11% each year.

ECOM’s onshore business secured major new awards in Iraq, Kuwait and Saudi Arabia, and completed projects in Oman, Abu Dhabi and Saudi Arabia. “The trajectory for spending within the Middle East continues unabated. In terms of the size of the projects there, they will continue to be big” was a clear message from Petrofac’s Chief Executive, Ayman Asfari, at the Company’s Results presentation. The offshore side of the division delivered record activity levels, making further progress in its

aim of building on long-standing operations, maintenance and brownfield capability in the North Sea to win business elsewhere – like Iraq and the UAE. “Looking ahead, perhaps the most strategic development was the progress made in mapping out a clear plan for the differentiated offshore engineering, procurement, installation and commissioning (EPIC) business.” Petrofac plans to develop its own installation capability – a vessel that will serve the subsea, umbilicals, risers and flowlines (SURF) market.

The biggest concern hanging over the entire sector last year was delayed orders. In Petrofac’s case this was principally due to some projects, which were expected to come through from customers in 2012, being delayed. “We had slowness last year. We booked business, but we were hoping to book more,” said, Ayman, when analysing the full-year results on CNBC. “But we are seeing a big ramp-up in demand from customers so we’re a lot more optimistic about the order-booking issue.”

Given all the anxiety about the macro environment last year, it’s perhaps ironic that the biggest headwind facing Petrofac in recent months has come not from concerns about the global economy, but from the travails of

competitors. Investors were concerned that Petrofac was exposed to pressure on margins for onshore business. “To the contrary,” says Ayman, “we never compromised on booking bad business in order to just generate revenue.” Indeed, margin levels remain at sector-leading levels. “At the end of the day, we have only a limited capacity and capability and we wanted to deploy it effectively, in order to generate the highest margin possible.”

What of the future prospects?

Some have predicted ’a boom time’ for oil and gas in coming years. Certainly, the macro picture looks highly promising. “It helps to have a stable oil price environment,” says Chief Financial Officer, Tim Weller, particularly given the long-term nature of many IES projects and the lengthy time-frames of onshore customers such as national oil companies. Weighing up the long-term equation of supply and demand, the International Energy Agency (IEA) recently forecast that demand for oil will go from 85 million barrels per year, to 100 million barrels by 2035. The forecast for infrastructure investment is equally positive: it’s expected to hit US$10

trillion by 2035. “So we’re after a small slice of an enormous market.”

Bigger questions have been raised about the outlook for gas prices – particularly given the huge stone thrown into the pond by the ‘shale revolution’ in the US, which has had the effect of uncoupling natural gas prices from the oil price in the States. Thus while oil surged last year, gas prices plummeted. Given that Petrofac is now developing more gas fields than oil fields won’t that have an impact? “We have very little exposure to the US,” Ayman told CNBC. Indeed, the Group’s two central gas projects – in Algeria and Turkmenistan – are already financed and demand for both is very strong. Turkmenistan has a long-term supply agreement with China; and Algeria continues to maintain demand from southern Europe.

Overall, concludes Ayman, “We’re very optimistic about the future. Petrofac’s growth trajectory remains on course and the Group continues to see abundant opportunities across all its businesses. Our 2013 pipeline is our strongest ever, there are more opportunities than we can go for, so it’s about picking the best ones.”

Revenue

+9%US$6,324mUS$5,801m in 2011

EBITDA

+17%US$888mUS$760m in 2011

Net Profit

+17%US$632mUS$540m in 2011

Backlog by reporting segment

Head of Investor Relations, Jonathan Low

Chief Finacial Officer, Tim Weller

Group Chief Executive, Ayman Asfari

Group performance

25%

2%

30%

Onshore Engineering & Construction

Offshore Projects & Operations

Engineering & Consulting Services


43%

PETROFAC POISED TO DIVE INTO DEEPWATER

When Edwin Drake drilled what is now thought to be the first commercial oil well in 1859, he was working deep in the farm-country of Pennsylvania in the US. The engine house and derrick were built of the locally-available material: wood. Since then the story of the oil and gas industry has been the story of a steady move into ever-more challenging environments. In the 1890s, oilmen went offshore. In 2013, their successors are going into ever-deeper waters.

and where there is less supply, so it is very attractive for a newcomer,” said Yves. “Still, Petrofac is leveraging on more than 30 years’ experience and a history of EPC contracts on and offshore.”

Petrofac, the largest UK-listed service provider to the international energy industry, has operations in 29 countries from Mexico to Malaysia. Its earlier expansion into the offshore market in shallow waters has flourished into an attractive business. A thriving operations, maintenance and brownfield engineering business through Offshore Projects & Operations; and an Integrated Energy Services division, providing and operating floating production facilities, all underpin the expanding offshore capability. In 2012, the Company’s offshore business revenue was up 12% at US$1.4 billion, reflecting high activity levels on both long-term operations-support contracts and offshore capital projects. Moving into deepwater is a natural next step for the Company’s oilfield services capabilities.

“Entering the deepwater sector will open up new markets to Petrofac in the ‘Golden Triangle’: the Gulf of Mexico, West Africa and Brazil, which hold more than 70% of deepwater opportunities. Petrofac already has strong commercial networks in many regions including these, which will help facilitate its offshore expansion. The Company has already started pre-qualifying for projects and will enter the first bidding rounds next year”, Yves said.

The Company plans to hire more staff for its Offshore Capital Projects enterprise, which it expects to become a US$2 billion-a-year business by 2020, a prediction Yves says is “very prudent”. Petrofac will continue to build upon the proven leadership team that’s already in place, and is already identifying and hiring key people to operate and manage its new endeavour.

The Company has all the ingredients to make its immersion in deepwater a success, anchored on its core business as an EPC service provider. It already has a wide variety of offshore projects under its belt. They include the Berantai field development in Malaysia, a US$900 million contract to design and build subsea facilities for PETRONAS that delivered its first gas last November. In the UK, Petrofac has an engineering, construction, operations and maintenance contract for Marathon’s North Sea Brae assets. For the past ten years, providing construction and management services for Centrica’s Greater Kittiwake area in the UK North Sea has resulted in an increase in production efficiency by more than 50% since 2005. Recent awards in the offshore space have expanded the Company’s global reach, such as the Arenque production enhancement contract in Mexican waters for PEMEX.

This established track record of shallow water projects has been coupled with the experience of KW Limited, a subsea pipeline consulting and engineering services company that caters to the high-end offshore market and which was acquired by Petrofac last year. This acquisition gave Petrofac 13 years of international SURF expertise, and has paved the way for the EPC provider to confidently extend its reach to the growing deepwater

market. To facilitate delivery of this next generation of oilfield services, Petrofac plans to commission and own a state of the art offshore services vessel, which has been in the design phase since last May. It is anticipated that the order for construction will be placed by the end of the first half of this year, for delivery in 2016.

“Don’t forget, offshore is a lot onshore,” said Yves. “The main vessel is only 5% of the project cost, and the rest is EPC, from installing parts in the water, purchasing pipeline and hardware, to building subsea structures. This is the road we need to travel to get prequalified: there’s no way to access the market without the vessel, and only three players have a ship with these specifications.”

Petrofac aims to build a unique first-tier offshore business: by targeting the deepwater space from the top. It will deploy US$1 billion over the next five years primarily investing in the new high-end offshore services vessel but also in supporting equipment and assets, which will allow us to access top-tier EPC opportunities and help the company stand out from among its competitors.

“With a robust outlook for the subsea market, and relatively limited supply growth in the medium term, the door would appear to be open for new and second-tier players to expand,” HSBC said in a subsea market report published last month. “At the very least, a new top-class enabler vessel could likely find decent work in consortium with the likes of Technip, Saipem, and Subsea 7, and the environment from the shipyard side of the value chain is still relatively favourable for the buyer.”

Petrofac’s new vessel will be the top of its class. No other companies can beat its J-Lay capabilities, a method for installing subsea pipelines in deep water. Its 5,000 metric ton revolving crane will be equal to SHL’s Oleg Strashnov. Only Allseas’ Solitaire and Saipem’s Castorone, the largest pipelaying vessels in the world, have higher capabilities in S-Lay pipeline installation.

“Yes, we are deploying capital for this new initiative, but in a very differentiated way,” Yves said. “We will build from the top, instead of building a fleet from the bottom upwards. So we get access to the high-end, best return markets.”

While starting with the best is more capital-intensive, access to the deepwater and decommissioning markets will create significant shareholder value. Firstly, demand for very heavy lift vessels is already outpacing supply. Secondly, by building a high-specification vessel in the first instance, the Company will be able to access the high-end, high-margin segments cost-effectively without a large-scale fleet. And finally, the multi-segmental vessel will be able to access shallow and deepwater, de-risking the execution of projects and significantly reducing the risk of standby.

“The biggest companies have big fleets, but they have redundancy,” said Yves. “And at the high-end, they have only one vessel.”

“We expect a warm welcome from customers, who are seeing a lack of supply in this segment,” said Yves. “To address this lack of supply, they need everything that Offshore Capital Projects will be able to provide.”

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*Source: Douglas-Westwood

Work underway on the Berantai field, offshore Malaysia

Petrofacts spoke to yves Inbona, Managing Director of Offshore Capital Projects (OCP), the service line that delivers offshore engineering, procurement, installation and commissioning projects, about Petrofac’s plans.

With a track record of oilfield engineering, project-management and construction, Petrofac is enhancing its deepwater capabilities by preparing to dive into one of the fastest-growing segments of the business.

The trend towards producing oil from deep and ultradeep waters comes as technology improves steadily, energy demand increases, and easier-to-access resources run out. Deepwater resources will account for 13% of global oil production by 2020*, growing at a rate that is higher than conventional onshore, shallow offshore and extraction from bitumen and oil sands. In order to target the wealth of opportunities in this lucrative market, companies will need specialised equipment to maintain their competitive edge: Subsea Umbilicals Risers and Flowline (SURF) vessels, construction ships that have to be able to work in deepwater for prolonged periods, will need a wider variety of capabilities and corresponding flexibility.

“Deepwater and SURF are additional segments which are the fastest growing yves Inbona

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Petrofac acquired the e-learning enterprise in November 2012, in a move that now enables the Company to offer its oil and gas customers high-quality and cost-effective e-learning packages.

Following an apprenticeship in a UK shipyard, Oilennium’s founder, Kevin Keable, worked all over the world, from Stavanger to Bangkok, Singapore and Australia, moving through technical manager, sales, business development and regional management roles. Back in the UK, Kevin set up a training and development consultancy.

“An old colleague asked me to write a technical training course, which became very popular; then another and another.

“I had become very interested in learning and memory techniques as a hobby and, living in Southwold, I memorised all the beach huts’ names and numbers for charity. Using techniques which we now build into our courses, I memorised all 245 and raised several thousand pounds in the process.”

Combining those learning and memory skills with his oil industry knowledge led to the creation of a range of unique visual training courses. Kevin moved into e-learning concurrently with the global transformation in internet availability, and the courses were well received.

“Everyone uses images to remember,” he says. “And that is the key for us versus our competitors. The visual nature of our training programmes, enables people to learn information

more efficiently and retain information for much longer than using words alone.”

Kevin admits his creative mind is not matched by artistic talent, so he enlisted graphic artists early on to create exciting 3D animations for the course programmes. “This ability to animate an oil well, for example, transformed the business,” he says. “In addition we hired Instructional Designers and Subject Matter Experts (SMEs); this means that we know which way a drill bit rotates and why catalysts are used in refining. This combination of knowledge of oil and gas and superb graphics is what sets Oilennium apart.

The Company offers a ‘library’ of courses to customers and Oilennium tailors packages for them as well. It has built over 500 e-learning modules over the past few years, many directly for customers.

Kevin emphasises that Oilennium’s courses are designed to complement and not replace classroom learning. Research shows that half of everything learnt in a classroom is forgotten within five weeks, if there is no follow-up.

“Classroom learning is effective at the time, but if people don’t then use or review that knowledge, the actual course cost can more than double. E-learning in conjunction with the classroom enables refresher modules to be taken any time you like. E-learning is cost-effective and facilitates long-term retention for people who intermittently use that information

or only have time for one day in a classroom.”In Oilennium, Petrofac saw the perfect

avenue through which to enhance its own training services. And for Kevin, it was also a perfect match.

“Three years ago, my accountant asked me if there was one Company I felt we fitted with and, if so, who would it be?” he says. “I immediately answered Petrofac, because the Company offered all kinds of training delivery but not e-learning. When Petrofac called, we knew that it was absolutely the right company to be with.”

Oilennium is already linking up with Petrofac’s Skills XP business to enhance the Company’s existing online competence database system by delivering the knowledge required by individuals.

Oilennium is also set to become the first to offer e-learning without the internet through its innovative ‘ConTrainer’. This delivers learning to staff in locations that have unreliable or non-existent internet access, such as mobile drilling rigs and remote areas onshore. The technology is very clever, all designed in-house and the opportunity is “massive”, Kevin says.

Great yarmouth’s place in the UK oil services sector is long established. But what could connect oil services with the famous beach huts of nearby genteel Southwold?

The answer? Petrofac Training Services’ recent acquisition, Oilennium.

ConTrainer: a revolution in e-learning• a remote access e-learning management system• fully trackable results• no internet required • can be deployed offshore and at other

remote sites

Oilennium: the perfect recall of an animated e-entrepreneur

Kevin Keable

Beach huts, Southwold, UK

Oilennium and ConTrainer are registered trademarks

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ECOM CONTRACTS ROUND-UP

In December 2012, OEC secured a key ‘mega-project’ for its portfolio in the form of two new EPC packages, worth around US$1.4 billion for Saudi Aramco’s Jazan Refinery and Terminal project. When complete, this refinery will produce around 400,000 barrels of oil per day and have associated terminal facilities on the Red Sea near Jazan in the south west of the Kingdom of Saudi Arabia.

ONSHORE ENGINEERING & CONSTRUCTION (OEC) UPDATE:

Our Saudi Arabia office is leading the project management delivery of the work scope which covers tank farms in the north and south areas of the development. Significantly, these are some of the first major awards made by Saudi Aramco under its In-Kingdom EPC programme and both packages are scheduled to be undertaken within three years.

Speaking about the award, Marwan Chedid, Chief Executive of Petrofac’s Engineering, Construction, Operations & Maintenance (ECOM) division, said: “We are delighted to have secured these significant packages for Saudi Aramco on their Jazan Refinery and Terminal project. This will serve to reinforce the relationships and experience we have developed through our recent involvement on the Karan project as well as our ongoing Petro Rabigh projects for Saudi Aramco and Sumitomo Chemical Co Ltd. As this project progresses, we look forward to working closely with Saudi Aramco and our contractors to further deepen our engineering and project management capability in the Kingdom.”

As Petrofacts was closing for print, the OCP team celebrated contract success. It came with the award announcement of an engineering, procurement, installation and commissioning (EPIC) contract by Abu Dhabi Marine Operating Company (ADMA-OPCO) for the Satah Al Razboot (SARB) package 3 project, offshore Abu Dhabi. The competitively tendered contract, worth approximately US$500 million was awarded to Petrofac on 2 April. It will be delivered in 2016.

In line with its objective of delivering global capability, locally, ECS has secured two key new contract wins this year.

The SARB project is a high priority and new field development off the north west coast of Abu Dhabi. Drilling will be conducted from two artificial islands (SARB1 and SARB2) with the well fluid sent by subsea pipeline to a facility on Zirku Island for processing, storage and export. Under the terms of the contract, Petrofac will deliver 200km of subsea pipelines for well fluid, water injection, gas injection, flare and export, along with 3km of onshore pipeline and 55km of subsea power and communication cables. Further, the offshore scope of the contract includes the provision of two riser platforms and four flare platforms with four interconnecting bridges and one single point mooring (SPM) buoy located at the north of Zirku Island. The onshore scope of the contract includes the following: drilling utilities, foundations on SARB1 and SARB2, transport, install, hook up and assistance in the commissioning of the accommodation modules.

Yves Inbona, Managing Director of Offshore Capital Projects, commented: “We are delighted to have been chosen to deliver this important project. We see it as further confirmation of an increased demand which will see Petrofac broaden its market leading EPC capability offshore, and we look forward to co-operating with ADMA-OPCO and to meeting its fast track requirements on this significant development.”

OFFSHORE CAPITAL PROJECTS (OCP) UPDATE:

ENGINEERING & CONSULTING SERVICES (ECS) UPDATE:

First on the books was the January award of a substantial three-year services contract in Algeria, by the In Salah Gas and In Amenas joint ventures comprising Sonatrach, BP and Statoil to provide a range of multi-discipline consultancy, design and procurement services. A significant proportion of the services will be delivered from Petrofac’s local engineering centre in Algiers.

Another major strategic milestone came towards the end of the first quarter with the award of a deepwater offshore project management contract by Petróleos Mexicanos (PEMEX) where ECS is in partnership with Doris Engineering of Houston. The scope of work encompasses specialised technical assistance and supervision for the construction, installation, commissioning, testing and start-up of deepwater subsea wells and infrastructure for the Lakach project. The scope will also involve drilling activities and tie-ins to existing onshore facilities. Initially involving around 25 engineers, based in Mexico and Houston, the project is scheduled to complete towards the end of 2015.

“These awards are both strategic in terms of our ECS strategy,” said ECS Managing Director, Craig Muir. “We have a track record extending over 15 years in Algeria. Establishing and growing a local in-country engineering centre to support the work will underpin our longer term capability in-country. As for the award of the Lakach project this is quite a milestone and will support our strategy to move the business into the deepwater market through both its services and EPIC capability.”

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When Petrofac’s first employees landed at Basra Airport, Iraq was slowly recovering from more than 30 years of war, neglect and isolation. The challenges were evident – there was de-mining work that needed to be done, there was little infrastructure or bureaucracy, and moving from the previous closed regime to a free market was not particularly straightforward. These were not the only obstacles: just getting through the airport back then was difficult, as it was not equipped to handle the amount of travellers.

“There were logistical problems too, some of which have not been completely overcome today,” says Karim Osseiran, Petrofac’s General Manager for Iraq. “At the beginning it was very difficult to persuade people to mobilise; we were managing perception and the reality. It was encouraging that some of our first employees who came over were very motivated and became advocates for others to follow. We established systems to keep our people safe but at the beginning this was a logistical roller coaster. As we have moved forward it has become easier.”

Business Development Director for Iraq, Syed Zaidi, reflecting on Petrofac’s journey so far says, “We have grown our base in the Middle East over the last 20 years, executing work throughout the region. Iraq was a logical next step for us. Developing relationships and understanding the operating environment was and continues to be critical, as is the case with any country where we have a presence. Our early steps in the country saw us engaging with the National and International Oil Companies, as well as potential local partners and contractors who could support us with their capability. For anyone trying to enter the Iraq market I cannot stress enough the value of a partnership approach, creating local engagement and support.”

Petrofac’s first project started in the second half of 2010 with a Shell engineering, procurement and construction management contract for an early production facility at Majnoon, a super-giant oil field located 60km from Basra. Petrofac fabricated skid-mounted plant in Sharjah, shipping it via barges up the Shatt Al Arab, a waterway that had not been used commercially for more than 30 years. Petrofac jointly developed the innovative idea of building a jetty to unload everything, bypassing the crowded port and busy roads. Work continues on the central processing facility, which is due to be completed in the summer.

“Collaborating closely with Shell we were also keen to go the extra mile in this emerging and recovering market to ensure maximum safety awareness and compliance” commented Ammar Ishaq, Majnoon Project Director. “Such was the extent of our endeavours that at the end of 2012, our joint ‘HSSE in Construction’ team won the Shell Chief Executive Officer’s Award for ‘improving performance in global HSSE risk areas’. To have the team recognised for making a difference was like icing on the cake!”

“We have had to be creative, coming up with ideas such as building the jetty for the barges from Sharjah,” says E Sathyanarayanan, Senior Vice President Iraq Operations, Onshore Engineering & Construction. “Today we have a good feel for how to work in the country, what the bottlenecks are, and how we can improve in the future. We are learning all the time. Iraq is not for companies who have a short-term interest; it is for long-term players such as Petrofac. We are working with the communities to make sure they feel engaged and are benefitting from us being there.”

Petrofac’s second big contract in Iraq was an operations and maintenance deal in 2011 with BP on the Rumaila field in Southern Iraq and in November last year it won a further inspection, maintenance and repair contract with BP on the same field with its joint venture partner, China Petroleum Engineering & Construction Corporation. The three-year contract, which is worth more than US$160 million to Petrofac, covers the inspection, maintenance and repair of degassing stations, rotating machinery and cluster pumping stations.

“The plant itself is more than 40 years old, so you have to give credit to the Iraqis who managed to keep it running in spite of everything that has taken place over the years,” says Manivannan Rajapathy, Vice President of International Operations for Petrofac’s Offshore Projects & Operations business, “our job is to help BP keep this asset working, and to do whatever needs to be done.”

Manivannan’s team is multinational, from Britain, India, Pakistan, Romania, Sudan and from many other countries. He says that part of Petrofac’s success is the Company has more employees than contractors. “Why do people go to places such as Iraq? First, career development: it’s a challenge, but if you deliver, you grow. Money matters too. We pay commensurate with the location. But we’re a people business. We don’t force anyone to go anywhere. I’ve never felt threatened in Iraq; we have appropriate measures in place.”

continued overleaf

In 2009 Petrofac had a handful of employees in Iraq. Now there are more than 400 staff going in and out of the country on a regular basis, engaged on a range of projects worth more than US$1 billion.

How did the business grow so quickly and how were people persuaded to go and work there in the first place?

© Shell International Limited, image used under licence

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“We started off with just the golden rules of safety and the Rumaila Passport,” says Steve Prior, Operations Manager for the region, “now we’re providing a whole range of different courses such as confined space entry training from our purpose-built confined space training rig in Jordan. We’re also providing gas testing training and a host of other activities.”

Last year more than a thousand people passed through the golden rules of safety training in Iraq, a one-day course, but there are more than five thousand other personnel who Prior anticipates will access the training. Some of them have been working at the Rumaila Oil Field for more than 20 years. Taking them to Jordan for a week’s training opens their eyes to different practices and safety standards.

The training is already a US$30 million business in Iraq, but hopefully this is set to grow, particularly when the Rumaila Operating Organisation academy opens. The training is not confined solely to Iraqi nationals, but is also provided to expatriate workers.

Training is one of Petrofac’s differentiators, operated globally out of four major hubs: Aberdeen (Europe), Houston (US), the Middle East and Africa and Central Asia (Sharjah UAE), and Singapore (Asia Pacific). Some of the projects are worth millions of dollars, and involve specialised facilities such as replicating helicopter ditchings through simulators in swimming pools which are turned upside down in order to train people how to get out of them in the event of an incident. It also runs Operations and Maintenance vocational skills training facilities where students put their newly gained knowledge into practice.

“What we are doing in Iraq is for Iraqis, delivering a fit for purpose solution whilst bringing the best and replicating what we have done elsewhere,” says Peter Jackson, Director of Business Development at Petrofac Training Services. “The business could easily double in the next two years, there is lots of potential to help people keep their skills up to date.”

Training Iraqis in the oil and gas industry is not only good business, but also good practice. Employing local talent is something that Petrofac tries to do in every market, and Iraq is no exception. There are already three contracts in place: one, which focuses on HSE in-country training at the Rumaila Field Operating Organisation; a second which offers out of country training in Jordan; and a third which offers technical training in Iraq.

TRAINING IN IRAq

“Training is already a US$30 million business in Iraq, but hopefully this is set to grow, particularly when the Rumaila Operating Organisation academy opens.”

Petrofac’s successes in Rumaila and Majnoon have led to the construction of a secure and permanent location – the Rumaila Operating Base – that will offer both accommodation and office space.

“Securing a physical place for people to work has been very important,” says Karim. “It gives us a stable platform from which to deliver. We decided to invest around US$20 million in setting up a new base in north Rumaila.”

The headquarters which will have office space, training rooms and accommodation for more than 200 people, along with supporting facilities such as a clinic, canteen, gym, tennis court and prayer building, will be ready in April.

“We are in Iraq for the long-term, and not just on a project basis,” says Karim. “The permanence of our Rumaila Operating Base reinforces our commitment, but also gives our employees somewhere safe and comfortable to live.”

A further second phase is also planned to include fabrication facilities, more accommodation, and increased office and training space. This is partly to help satisfy Petrofac’s aim of training as well as hiring as many Iraqi locals as possible. There are also Iraqis who had been living elsewhere who are being persuaded to return to the country to take advantage of the new commercial opportunities.

Petrofac’s third big deal came in the shape of an EPC project with Gazprom in Badra that started at the beginning of 2012. The US$330 million lump-sum EPC project will be completed in three 18-month phases, with final completion scheduled during the second half of 2015. Petrofac is providing design, engineering, procurement, construction, pre-commissioning, commissioning and start-up work on the Badra development’s central processing facility, which comprises three crude oil processing trains. The first phase of the project is expected to come on stream in 2013.

“It is a challenging project,” says G Sathyanarayanan, Badra’s Project Director. “It is our first lump-sum contract in Iraq. To date we have worked 1.2 million man hours without incident while employing nearly a thousand local contractor staff, and are working closely with our customer to ensure we continue to deliver effectively.”

Logistics can also prove to be demanding particularly with goods entering the country. This is largely due to evolving processes and protocols. This can lead to delays in goods clearing the port and potentially creates a knock-on effect on schedule. This is something we have to be

very mindful of in our supply chain process. Even something as simple as making payments can be difficult. From what has been very much a cash-based society post conflict, Petrofac is working to convince local suppliers to accept credit terms in line with international standards.

One deal that is slightly different to the others is the US$100 million contract to provide offshore operations and maintenance services for the Iraq Crude Oil Expansion Project, awarded by Iraq’s South Oil Company. Petrofac’s Offshore Projects & Operations business provides operations and maintenance services for the new oil export facilities situated approximately 60km offshore the Al Fao Peninsula in Southern Iraq. The facilities include an offshore platform, metering station, single point moorings, subsea pipelines and tanker operations.

“We are doing well, we load approximately 20 million barrels a month,” says Manivannan.

Exporting oil is obviously key to the country if it is to grow its foreign reserves. There is a lot of ambition in Iraq to increase oil production from 3.3 million barrels per day now to more than 6 million barrels per day over the next ten years. Along with these major projects, Petrofac is already involved in a raft of smaller deals.

“There is scope to do more work in Iraq, we are very well established on the ground and we are bidding for more contracts,” says Karim. “It is very rewarding to see how the country has changed since we have been there. There is still more to be done on stability and security, there are new rules and regulations every day so we have to adapt, but if it continues well there are great opportunities, the potential in Iraq is huge. To be part of that journey is very special to me.”

As well as Iraq’s potential as a place to do business, there is also the sentimental attachment that some Petrofac staff have acquired for the country.

© Shell International Limited, image used under licenceRumaila operating base

“We started off in the army’s Contingency Operating Base four years ago with pretty basic facilities” says E Sathyanarayanan. “My wish one day is that things have moved forward sufficiently so that I can go for a walk in Basra by the river and enjoy a cup of coffee in a café alongside my fellow contractors and friends. That is what I aspire to.”

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LAGGAN TORMOREA NEW MILESTONE IN THE HISTORy OF THE SHETLAND ISLESWe set a precedent in berthing huge vessels as the PARs’ modules arrive at Sullom Voe Jetty ready for onward transportation to the Shetland gas plant.February 2013

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In order to keep the magazine fresh and relevant for our readers we’re planning to make some changes to future editions. As we develop our ideas we’d also love to hear your views and opinions about how you think the magazine could be improved. Or you simply might want to let us know about the type of features you do like and don’t want to change.

Our questionnaire is short, simple to use and your input will be invaluable. you can access it electronically via the following links:

For staff with access to PetroNet simply go to:http://petronet.petrofac.com/pages/PetrofactsSurvey.aspx

Or access the survey via the Internet at:www.petrofac.com/PetrofactsSurvey

Please do take a few moments of your time to share your views. Everyone who provides feedback and leaves their contact information will be entered into a prize draw to win an iPod nano.

For more than a decade Petrofacts has been produced on a regular basis to help keep our staff up-to-date with Company developments. From humble beginnings the magazine has grown and evolved over the years. Now we mail out thousands of copies of each edition to key stakeholders, including customers and partners, as well as producing copies for our staff worldwide.

PETROFACTS SURVEy

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In the 1990s Petrofac pioneered a new type of contractual arrangement for a managed service in the North Sea. It was called ‘Duty Holder’, and it was a game changer for the way in which oil and gas asset owners devolved responsibility for their operations and maintenance, and set a new direction in the North Sea.

*Oil & Gas UK Economic Report 2012**Oil & Gas Activity Summary 2013

As the UK independent oil company entrants of the last decade have themselves evolved and extended their operations, often across multiple assets, their own operating models have, in certain cases, changed. With some of them taking back responsibility for their assets, where does this leave Petrofac’s UKCS Duty Holder business? Petrofacts spoke to Vice President, Operations for Offshore Projects & Operations (OPO), Walter Thain, about the evolution of the Duty Holder concept:

“It’s interesting, because just last month we handed back Duty Holder responsibility for the EnQuest assets in the Northern North Sea. And yet we have more technical authorities in the Operations team than we’ve ever had since we began offering Duty Holder in the 90s.

“What we’re finding is that these contract models don’t end, but they evolve. At one time we imagined that a Duty Holder contract would be a life-of-field offering, but of course we also thought many of these fields would be life-expired long before now. So it’s really just another reminder, as if we needed one, of

how we constantly have to adapt to changing circumstances, technological advances and external factors to get the optimum return for our customers and for ourselves.

“The nature of our support is changing. There was a time and a place for a contract that took the risk of operations on behalf of the licensee. But even before that, Duty Holder was already becoming a step in the journey for some customers, rather than an end in itself.”

Petrofac currently provides Duty Holder services on a number of assets in the UK Continental Shelf (UKCS) – Kittiwake, the Irish Sea Pioneer, the onshore Bacton Gas Terminal together with its offshore Hewett complex, and the Schooner, Ketch, Horne and Wren assets in the Southern North Sea. In addition, the business is currently in the pre-operations phase for the FPF1 Duty Holder contract, which will be fully realised when the asset is deployed on the Greater Stella Area development in the North Sea.

At the end of March EnQuest assumed full responsibility for its Thistle, Heather and Northern Producer assets. But in this case, Walter points out that Petrofac is continuing

to work very closely with EnQuest: “The only operational people who have

transferred from Petrofac are the Operations Managers and the Offshore Installation Managers. That’s not to say it has been easy to make the transition – a dedicated joint project team has worked thousands of hours to ensure that every aspect has been moved over smoothly and safely – so it will be business as usual in the weeks, months and years to come.

“The real point, though, is that not only are there still Petrofac staff on those platforms, but what we’re continuing to provide through a post-transition service is much more than a standard Operations and Maintenance (O&M) contract. What we’ve developed is a next generation of Duty Holder called ‘Duty Holder Support Services’ whereby we continue to offer a package of key technical support services. These can vary from contract to contract, but in this case include integrity and maintenance, engineering, IT, emergency response, logistics, audit and metering support. These can then be gradually scaled down over time as the customer takes increasing responsibility for these services too, or left in place for the

longer-term, as the customer requires. “And sometimes the success of

this approach allows us to leverage the capabilities of the broader organisation. Bringing in offshore projects, for example, to carry out standalone engineering where it makes sense for the customer to use another arm of Petrofac, benefiting from the integrated approach and shared institutional knowledge we can offer as a Group.

“So our own understanding of Duty Holder has changed too. We no longer see it so much as a life-of-field offering but more as a stage that many independent operators and new entrants to the UKCS will pass through as they evolve and grow. It allows them to acquire UK operating equity without having any track record or an upfront investment in processes and procedures.

“The number of new entrants is on the rise again. In 2012 in the UKCS new entrants were accountable for 33% of the capital expenditure and produced 27% of the UKCS production*. In addition, 2012 saw the highest level of M&A activity in a decade in terms of both value and the number of deals**.

“And this doesn’t only apply in the UKCS

– right across the world there are examples of where we’ve supported hydrocarbon resource holders through a process of increasing maturity, enabling them to take responsibility for their own asset when the time is right for them. As a result, we have around 1,000 staff across OPO with the specialist knowledge to support Duty Holder operations from transition through to operations.

“We don’t always call it Duty Holder – in other parts of the world it tends to be called Service Operator – but the principle is very similar. Our first international Service Operator contract came with Dubai Petroleum Establishment (DPE) in the UAE. In April 2007, following a period of transition from International Oil Company Conoco, we took accountability for the facilities management and well operations on DPE’s Dubai offshore assets, covering four offshore fields and around 70 platforms. In 2011 our role evolved from that of transition manager and operator to technical service provider. Our capability in transition management had aided DPE to move from a 40-year concession agreement in partnership with an IOC through to becoming a fully-enabled National Oil Company in less than four years.

“The Duty Holder contract model can be

used as a vehicle to a longer-term relationship with a customer and presents opportunities for more integrated service provision. For example, the principles of single point responsibility for operations, maintenance and engineering support can also be deployed through other contract models, such as Integrated Service Contracts (ISCs) which differ from Duty Holder in that asset owners retain accountability for the asset while still outsourcing key aspects of operational support through a single managed service.

“In OPO we provide a range of services from standalone O&M and brownfield engineering services through to a more integrated approach to service delivery in the form of ISCs, Duty Holder and major turnkey projects. Ultimately we have the capability and the experience to help existing and new customers on their journey; whether that’s at the project start-up stage, through on-going operations or perhaps eventually even decommissioning.

“And while we are still seeing demand for this enabling capability across the life cycle, the future’s definitely still bright for Duty Holder – it might just look a little different.”

UKCS DUTy HOLDER ASSETS

+ Transferred Duty Holder toEnquest in March 2013

Northern Producer

Irish Sea Pioneer

Thistle

Heather

Hewett

Kittiwake

Schooner

Ketch

Horne

Wren

Bacton

FPF1

† In pre-comissioning phase

A new tour of Duty

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HSSEIA UPDATE

Petrofac’s Majnoon team was recently awarded the Shell Chief Executive Officer’s award for ‘improving performance in global health, safety, security and environment (HSSE) risk areas’.

The awards, which form part of an annual programme run by Shell, aim to recognise and reward the outstanding efforts of individuals and teams which have helped improve the company’s HSSE and social performance.

Our ‘HSSE in construction’ colleagues based at the Majnoon oil field in Iraq, were selected from around 200 nominees, in acknowledgment of their innovative approach to reducing risk. The team was recognised for achieving satisfactory contractor safety performance in a difficult operating environment. Key to this success was the clear communication of requirements, but also standing firm on the real minimum requirements, combined with a focus on supervision, training and continuous contractor engagement.

The Anadarko Safety and Environmental Excellence Program (SEEP) competition is a prestigious event that has been held annually since 2007. One of the key aspects of the competition is that entries are prepared and presented by personnel other than those in the HSE discipline. HSE supports the effort, such as the provision of statistics, but the subject matter for presentation resulting in improvements in operations, HSE and environmental performance originate from construction and operations personnel.

The competition presentations for 2012 were made during February 2013 in Anadarko Petroleum Corporation Headquarters in The Woodlands, Texas. All Anadarko’s operating regions were represented – in total around 44 presentations – and the El Merk Project won the Anadarko International SEEP Award.

Commenting on these achievements, Petrofac Onshore Engineering & Construction Managing Director, Subramanian Sarma, said: “My sincere congratulations go to the teams. These awards are a reflection of the great efforts made by our site-based personnel. This strengthens my belief that, no matter where we operate, with the right attitude and determination it is possible to achieve great things.”

The accolade recognises companies who are making a difference to the safety and competency of workers in the global oil and gas industry and was awarded to Petrofac for demonstrating its long-held commitment to delivering OPITO standards.

In particular, Petrofac was commended for driving elevated standards of training in the United States after setting up its first base in the Americas in 2004, when it became the first training provider in the country to offer OPITO-approved courses.

Since then it has demonstrated excellence in improving the safety of oil and gas workers through its training programmes worldwide, particularly through its recent partnership in the US with Raytheon and NASA at their facility at the Johnson Space Centre, which opened in December 2011.

In recent years PTS has introduced a variety of OPITO-accredited modules across six training facilities in the region, including fire training and the Helicopter Underwater Egress Training (HUET) and Basic Offshore Safety Induction and Emergency Training (BOSIET) modules. The improved standards have been welcomed by operators looking to increase the competency of their workforce.

Paul Groves, Managing Director, Petrofac Training Services, said: “This award is a welcome recognition of the hard work and dedication of our team and our commitment to provide the highest levels of competence across the international oil and gas sector.

“As a result of our long-standing relationship with OPITO and determination to deliver the highest level of training to delegates around the world we now operate seven OPITO accredited training centres around the globe which deliver around 200,000 training days annually.

“We remain committed to working with OPITO to ensure a consistently high quality service is delivered across all of the regions in which we operate.”

Commenting on the award, David Doig, Group Chief Executive of OPITO, said: “These awards set out to recognise and reward those companies and individuals who continue to push the boundaries and ensure the safety of the global oil and gas industry workforce.

“An impressive shortlist this year meant it was tougher than ever to identify the winners however we are delighted to be able to recognise those who have not only helped shape the industry’s past but are a vital part in driving forward its future.”

AWARDS FOR STRONG HSSE PERFORMANCEMajnoon team award for safety performance

EL MERK PROJECT RECOGNISED FOR SAFE OPERATIONSOur El Merk project in Algeria was recently recognised at an award ceremony for its safe operations and in particular amassing 25 million man-hours without a Lost Time Incident (LTI).

ELEVATING SAFETY STANDARDS THROUGH TRAININGPetrofac Training Services (PTS) has been named International Training Provider of the year at the 2012 OPITO Safety and Competency Awards in Abu Dhabi.

Following the launch of the Group’s Asset Integrity Framework in 2012, work still continues apace to ensure the integrity of the facilities we design, build and operate, but for Petrofac’s global HSSEIA and operations fraternity, 2013 has its own particular focus.

As Group Director for HSSEIA, Chris Allen confirms, “nothing is more important to Petrofac than safety”.

“We work in a technically-challenging and geographically diverse industry that requires vigilance and a proactive approach to safeguarding our people and operations.”

From left: David Doig (Group Chief Executive, OPITO), Marc Pretorius (Petrofac) and Gordon Ballard (Schlumberger, Conference Chair)

“Fundamentally we want everyone to be able to return home safely from their work. That’s why safety is our first core value. So we need to maintain the integrity of our assets and ensure that our employees have the right safety skills and personal ownership and are guided by strong safety leadership from supervisors and managers.”

Speaking ahead of the Group’s 9th annual Safety Seminar, to be held in Dubai at the end of April, Chris is reflecting on the challenges for Petrofac’s teams worldwide in maintaining strong safety performance. “We work in a technically-challenging and geographically diverse industry that requires vigilance and a proactive approach to safeguarding our people and operations.”

In 2013 the business will implement a number of key safety initiatives. Embedding an understanding of the practicalities and benefits these tools can deliver will form the cornerstone of the forthcoming seminar at which around 150 representatives from Petrofac’s HSSEIA and operations teams are expected to join with senior and functional management.

“In order to improve our performance when things go wrong, we need to fully analyse and understand what has happened and why. So this year we are working to improve the quality of our incident investigations and to be more systematic and consistent in identifying the root causes of incidents in order to propose practical and sustainable actions to prevent recurrence.

“We also need to be much better at sharing the lessons from these events for the benefit of the wider Group; raising awareness and improving operations as a result. And, when we identify emerging trends or themes, we need to be able to mobilise our leadership and use their collective experience to resolve the problem.

“With this in mind, this year’s Safety Seminar will have three key themes: the implementation of a systematic technique for root cause analysis; the launch of a new lessons learned tool available to all employees; and a close look at the number of high potential lifting incidents which have occurred in recent months, and the steps we can take to prevent them.

“All of these activities have one common goal; to improve our individual knowledge and safety leadership skills to make our operations safer for everyone.”

Chris Allen

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WHAT IS RISK?

Perhaps the most positive outcome of the financial crisis and other recent disasters has been to open our eyes to the nature of risk and its impact on companies and economies. While books such as Nassim Nicholas Taleb’s seminal, The Black Swan have stormed bestseller lists, numerous scientific studies have majored on everything from understanding the dangers of ‘group think’, to assessing how hormones affect an individual’s propensity for risk-taking. As a society, we’re more clued up about risk than ever before.

The same is true of companies. Formal risk assessment is a relatively new concept in many. Indeed, the first International Risk Management Standard – ISO 31000 – was only published three years ago in 2009. But consultants report that the issue has been catapulted up corporate agendas in companies across the board. Rather than being an isolated silo that occasionally served up ‘overly-varnished reports’, in the words of one critic, the risk function is now considered central to the DNA of many organisations. Numbers of chief risk officers have multiplied, notes Accenture, with many reporting directly to company boards. The joke doing the rounds in the UK financial sector these days is that, if you want to get ahead, join the risk department.

The energy sector has always taken a lead in risk management, not least because the stakes are so much higher. “Each sector talks about operational risks,” says Kim Detivaux of Deloitte & Touche LLP in the US. But while that might mean “the crash of an important computer system” in the financial services sector. “If you are in the energy sector, an operating risk is really one where real lives can be placed in jeopardy.”

Petrofac’s Group Head of Risk, Stephen Tighe, is clear what sparked the sea-change of the oil and gas industry’s understanding of risk: the 1988 Piper Alpha disaster, which killed 167 and remains the worst offshore oilfield disaster in terms of human life lost. “Piper Alpha led to huge pressure on oil and gas companies to improve their risk and integrity frameworks,” says Stephen.

Having joined Petrofac from the French power giant EDF, Stephen has an interesting take on the differences between the nuclear and oil

and gas sectors, both in terms of commercial and enterprise risk. He notes that while there are “a huge amount of virtual risks – unknown unknowns – in the nuclear industry” (not least when it comes to modelling costs and prices), “the risks in oil and gas are more discernible, but cover a much broader spectrum.”

As well as all the normal project management risks: uncertainty about design, procurement, commissioning and technical execution; there are environmental and legislative issues and political uncertainty and sovereign risks to weigh up. Then there are financial and payment risks, including the assessment of broader financial market conditions; as well as compliance and ethical issues, including guarding against bribery and corruption. The list stretches on...

The exponential growth of Petrofac is also a big consideration, adds Stephen. “We have been managing project risks successfully in the business for over two decades, but with our current workforce of 18,000 employees predicted to double by 2020, this speed of growth has made the enterprise risk much larger. That’s why I’m in this seat. As projects become bigger and multiply in number, they are more difficult to manage without a more formalised framework so we can look at our risk exposure across the Group.

“My role is not only to support the projects, but also to look horizontally across the organisation, aggregate the exposures, roll them up and put them to the Board and see if they exceed the Company’s comfort-zone for risk thresholds and tolerances.”

It’s as much an art as a science. “Most large FTSE 100 companies are struggling to articulate their appetite for risk – there’s no single way. At Petrofac, we look at the concentration of risks by business, territory and customer.” That sounds straightforward, but it’s a difficult trick to pull off in a dynamic industry. Nothing about the energy industry is static. Conditions are constantly changing, new contracts being signed; and the risk management process needs to accommodate that sort of change. “In six to nine months, what seemed like over-exposure could turn into under-exposure. So you need to know what’s in the pipeline – to peer round the corner.”

Stephen describes himself as an analytical person. “You need to be. Very few people want to put numbers to risk. But it is essential in a competitive environment – it gives you an appreciation of the full extent of the risk – no one likes nasty surprises. By itself, however, that isn’t enough. What we learned from the banks is that risk is also a behavioural issue. Over-exposure can be modelled, and it was modelled. But so long as asset values were increasing, no-one particularly wanted to look at it. The Head of Risk at Halifax Bank of Scotland (HBOS) blew the whistle in 2004 and he was sacked.”

Hence the importance of devising a framework that embeds risk management across all businesses within the Group. Petrofac’s Enterprise Risk Management Framework (underpinned by an IT system that we aim to deploy later this year) formalises the processes of identifying risks, assessing them, managing, monitoring and reporting them – in depth from the projects upwards. Because the system is embedded in workflows, it supports managers to carry out tasks because the approach is fully systematised. The system, which will be backed up by the appointment of ‘Risk Champions’ across Petrofac, eliminates the danger of succumbing to ‘veneer’ risk management, says Stephen. “The aim is to embed risk management within the organisation so it’s built-in to what we do, rather than just a bolt-on.”

Some companies view risk management as just an additional cost. That’s short-sighted, it is an earlier cost that avoids greater expense later. “The positive spin is that we will have a more sustainable business by improving the performance of assets by anticipating risks”, says Stephen – as well as significantly reducing the financial fall-out of something going wrong.

Risk is part and parcel of doing business, but to be forewarned is to be forearmed, says Robert Sharrock, a psychologist specialising in risk management at the consultancy YSC. “Intelligent risk-takers know when they’re taking a risk, dangerous risk-takers don’t.” In short, those companies with a strong backbone in place to anticipate and manage risk are best placed to withstand the worst “unknown unknowns” that fate can lob at them. Petrofac is well-equipped.

Whatever other historical legacy can be attributed to Donald Rumsfeld, one thing is indisputable: the former US Defence Secretary has made a vital contribution to the average layperson’s understanding of risk. Rumsfeld’s famous index of “known knowns”, “known unknowns” and “unknown unknowns” baffled some. But his coda has provided a useful broad-sweep categorisation of a notoriously nebulous concept: risk. Stephen Tighe

COUNTRy MANAGER PROFILE

Spicing up PEMEX production in Tabasco

A native Spanish tongue and extensive Latin America experience have clearly allowed Harry Bockmeulen, Petrofac Mexico’s Country Manager, to make such an impression, he has just accepted the role of British Honorary Consul of the state of Tabasco. The honour comes after just two years in the country and only one year of field operations by Petrofac on behalf of PEMEX, the National Oil Company.

A Dutch national, Harry was brought up in the UK from the age of nine, attending boarding school and then University where he achieved a BSc and PhD in Chemistry. With his father working for Shell, Harry says he “grew up in the oilfields and joining the industry felt natural” beginning his career in Venezuela with Petróleos de Venezuela. A 20-year career with BP then took him to the North Sea, the US, Algeria, back to Venezuela, and to Russia, “when it was still like the Wild West”.

A business development role with Williams took Harry to Mexico several times. When Petrofac called him in 2011 to ask if he knew anyone who could launch the Company in Mexico, he knew he was the perfect candidate. Two weeks after he joined, PEMEX formally announced its first round of mature fields’ contracts.

“I came out to Mexico to establish the office in advance of Petrofac having any work in the country,” says Harry. “We went in completely cold, but being there early gave us credibility. The PEMEX contracts immediately gave us a clear objective and a timetable of focused activity over the next few months.”

Petrofac now has four contracts with PEMEX covering four fields: Magallanes and Santuario in Tabasco State; Pánuco on the eastern coast (in conjunction with Schlumberger) and Arenque, offshore in the Gulf of Mexico. The Company has increased Santuario’s production by more than 40% since February 2012, and is working to grow Magallanes’ to the same degree by end-2013.

Recalling the early days of establishing a Mexican presence, Harry says it is “extraordinary that questions about risk and whether the Company should be working in Mexico were ever part of the conversation.

“There is a typical external view of Mexico, I think, that it is challenging to do business here and that there are all sorts of problems,” Harry acknowledges. “But I have been surprised by the strong work ethic of the Mexican business community and, certainly, the contracts we have here have been models of transparency.”

According to Harry, the aims of a Country Manager are the same whatever the location. Any differences are cultural and it is the degree of integration that dictates the quality of relationships and business success.

Harry’s desire to realise Petrofac’s ambition for a high level of local content means that 90% of the Petrofac staff are Mexican. “It has not been easy to find the combination of skills and experience we require, but with patience we have achieved it. We were delighted to be recognised by Petrofac’s employee awards programme ‘The EVE awards’. Winning the driven to deliver category in 2012 recognised the extraordinary effort of the team in delivering the first transition in such a short timeframe and was a proud moment for everyone in Mexico.”

The Company has evidently set itself up for a long-term future in Mexico.

“There has been phenomenal growth way beyond our initial expectations,” says Harry. “PEMEX wants to increase production. It has a lot of challenges upstream and downstream, and there is no question that there will be lots of opportunities in the next few years.”

And the key to success in Mexico, apart from speaking Spanish?

“My first conversation today was about our track record, the workovers we’ve been doing and what we can do to bring production up,” Harry says. “With these types of contracts, the answer is not always new technology, but identifying what needs to be done and making sure it gets done.

“It’s about doing simple things well.”

From a distance, the role of Country Manager appears fairly standard from country to country: to be Petrofac’s local face, voice, eyes and ears and to manage effectively its activities in the country of operation. But what is important is real immersion in the local culture – and that’s where the differences begin.

Name: Harry BockmeulenManager for: MexicoNationality: Dutch

Joined Petrofac: 2011

Greatest achievements: (work): Establishing Petrofac in Mexico (home): Harvesting the 2010 vintage (see below)

Outside interests: Fishing and tending my vineyard at my home in southwest France

“PEMEX wants to increase production. It has a lot of challenges upstream and downstream, and there is no question that there will be lots of opportunities in the next few years”

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Petrofac’s second annual EVE Awards ceremony was held during the Group’s 2012 Leadership Conference at the Gleneagles Resort, Scotland, in November.

The initiative invites employees from across the Group to apply, either as individuals or as part of a team, to demonstrate their achievements and commitment to living Petrofac’s values. A total of 19 individuals and teams shortlisted, within the categories of safe, ethical, innovative, responsive, quality and cost conscious and driven to deliver, attended the ceremony. Here we take a look at the winners and their achievements.

Congratulations also go to our very deserving EVE Awards finalists...

SAFE:

Kittiwake deck crewKittiwake, OPO

Technical delivery teamOperations management, OPO

ETHICAL:

Donnie MacLellanMaintenance Manager, Training Services

INNOVATIVE:

Electrical teamKauther, OEC

Hitesh RaySenior Engineer, OEC

RESPONSIVE

BP campaign maintenance teamOperations, OPO

Majnoon FCP project task force teamMajnoon, OEC

QUALITY AND COST CONSCIOUS

Rotating task force teamSouth Yoloten, OEC

Shell Iraq greenfield teamCivil and structural department, ECS

DRIVEN TO DELIVER

Paul WettonProject Engineering Manager, ECS

In Salah Gas project teamIn Salah, OEC

SEPAT project teamSEPAT, OEC

EVE Awards 2013Coming soon...Look out for more details on PetroNet,or email: [email protected]

Gordon quigleyHSSE & IA Manager, IESWhen Gordon Quigley championed the installation of microchips in all safety helmets on FPSO Berantai, he initiated a dramatically improved site monitoring process and ensured higher safety standards on board. The ‘Safe Smart’ microchip system automated the permit checking process, monitoring personnel working in confined spaces, and helped improve evacuation timings.

This is a significant step forward in personnel management and the judges commended Gordon for taking the initiative to successfully implement a safety programme with Group-wide potential.

Sajaa HSSE teamSajaa, OPO Prior to Petrofac’s involvement with the site, the Sajaa asset had been badly affected by an oil spill. Determined to put right the problems caused by the spill, which they feared could potentially contaminate a nearby residential area, the Sajaa HSSE team deployed a clean-up technique known as the Skimming Xitec System. Using the system the team has recovered over 8,000 litres of condensate.

The judges praised the team’s commitment to achieving the highest ethical standards, and to doing the right thing, in order to prevent any future impact.

Hemant GorSouth yoloten, OECTo complete the build successfully, the South Yoloten project required over 2,000 concrete foundations of varying design. In order to optimise the amount of concrete used on site, Hemant developed a new standardised process which creates innovative foundation designs that take account of local conditions and codes. His solution was so successful that it was approved by the Turkmenistan Ministry of Construction, and has since been distributed to engineering centres across Petrofac.

The judges praised this exciting new concept which is quick, repeatable and saves significant amounts of concrete without compromising build quality.

Technical database development teamMechanical department, OECThe judges believe this deceptively simple project will bring benefits to Petrofac for decades to come. This team developed a technical database comprising over ten years of technical drawings and project equipment – allowing knowledge to be shared across the Group and saving countless man-hours.

Impressed by the team’s commitment to completing an exacting and painstaking task. The judges commended them for carrying out this work of their own accord, and in addition to their day-to-day work. They noted that the system, which can be used by proposals right through to projects, would help the Group retain knowledge, improve the way we work and how we develop our personnel.

Sureshot erection teamIn Salah, OEC The sureshot erection team recognised that missing steel structures present a significant cost issue on Petrofac build projects. To prevent this issue occurring on the In Salah Gas project, the team implemented a web-based bar coding system which significantly improved their ability to track structures during fabrication, transport and erection. This system, which has subsequently been rolled out as a standard across all Petrofac projects, has significantly reduced human error and delivered major improvements in the control of structural deliveries.

The judging panel deemed the team’s efforts as game changing. They felt the system would bring about significant savings to our projects, both in terms of cost and schedule.

Lakshmi VenkateshAssistant General Manager – Mumbai, ECS Lakshmi’s commitment to promoting Petrofac as an employer of choice within the graduate community, has taken her far beyond her everyday role. Described by the judges as a “brand ambassador”, Lakshmi has written and presented papers at industry-specific conferences, lectured at universities and written articles for industry publication. The judges were impressed by Lakshmi’s drive and passion for her role – in particular her determination to contribute to her profession by encouraging young people and women to choose a career in the oil and gas industry.

Mexico transition teamIES and OPOEven by Petrofac’s exceptional standards, the transition of two integrated service contracts from Mexico’s National Oil Company PEMEX to Petrofac, delivered record results. The team completed the entire transfer – recruiting and training 140 staff, 80% of whom were hired locally. Defining the organisational structure, co-ordinating IT requirements and process procedures, and completing contractual deliverables – within a ground-breaking 60 days.

The judging panel was particularly impressed with the team’s determination to complete the project in 60 days, even though they were contractually permitted to take 90 days. They praised their commitment to “show PEMEX what Petrofac is capable of.”

2012 EVE Awards finalists

Calum Gray, UKHighland cow, Scottish Highlands

Julianto Djati Waluyo, Indonesia Horse riders at dawn, Bromo Mountain, Indonesia

Andy Morris, UAEA time to play, Nunthorpe Village, Middlesbrough, UK

Mireille Abi Khalil, UAE Coquelicot, Lebanon

Nasrum Mohamad, Malaysia Floating village, Samporna, Sabah, Malaysia

Muhamad Najib Shahid, MalaysiaAthens of the North, Edinburgh, Scotland

Lisa Chan, MalaysiaBehind the scenes, Chinese Opera, Selangor, Malaysia

Mario Zeidan, UAE Singing the blues, Cyprus

Kaveta Nagamuthu, Malaysia Sunset in the field, Broga Hill, Malaysia

Paresh Kamalakar Deshmukh, India Egrets, Maharashtra, India

Samer Maalouf, UAE Interpretation of colours, Dubai, UAE

Omran AlAhmed, UAEThe newspaper reader, Aleppo-Alsabeel park, Syria

Our internal ‘Picture Petrofac’ competition may have been in its fifth year, but still hundreds of our talented employees have submitted images representing the diverse spectrum of their collective interests.

ECOM’s Head of Communications and Marketing, Kaye Krause-Whiteing was part of the judging panel: “I’m delighted that even after five years, the interest in this competition is still high, with around 3,000 quality images received from colleagues right across the Group from Aberdeen to Kuala Lumpur. It certainly makes for a challenging audit and judging process, but it’s also hugely enjoyable.”

Congratulations go to our class of 2012 winners, whose images below are also featured in the Picture Petrofac 2013 calendars, currently gracing the desks of employees worldwide.

And the overall winner is...…William Bayard, a Programme Director from our Houston office, claims the coveted ‘overall winner’ title, and his winning image is featured on both the cover of the calendar and this edition of Petrofacts.

Commenting on his win, William said: “This is the first time I have entered the photo competition so it is very exciting to be selected as the overall winner. My photography hobby began when good quality digital cameras and lenses became available to non-professionals for a reasonable price, with methods to view and print the photographs myself. I have been taking photos

for ten years now. I upgrade my camera every few years, passing my older camera to my wife, and then passing my wife’s camera to one of our children. I think I must have over 60,000 photos now. It’s fun and gives me a good reason to take a trip to a new location.”

ALL THIS yEAR’S WINNERS RECEIVED THE LATEST APPLE IPAD AS THEIR PRIZE.

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Pictures can be powerful. They capture fleeting moments of beauty and wonder that would otherwise be lost forever. Petrofac is looking for photographs that capture these elusive moments and preserve them for posterity. Winning entries will win an iPad mini and also feature in Petrofac’s 2014 global calendar.

Thirteen prizes of iPad miniThe thirteen winners will illustrate Petrofac’s 2014 global calendar. The winning entry will also be considered for the front cover of Petrofacts.

How to enterVisit www.picturepetrofac.com for further information and to enter. Open to Petrofac employees only.

Blue peacock, Gulf Breeze Zoo, Florida, USA

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OFFICE LOCATIONS

Country officesRegistered office

Petrofac Limited, Ogier House, The Esplanade,St Helier, Jersey JE4 9WG

Petrofac Corporate Services

4th floor, 117 Jermyn StreetLondon SW1Y 6HH, United KingdomT: +44 20 7811 4900 F: +44 20 7811 4901


2nd floor, 117 Jermyn StreetLondon SW1Y 6HH, United KingdomT: +44 20 7811 4700 F: +44 20 7811 4701

Algeria Tour ABC, Pins Maritimes Mohamadia, Alger, Algeria T: +213 21 89 15 52/+213 21 89 15 55 F: +213 21 89 15 54

China A2101, Focus Centre, No. 6 Futong Avenue, Wangjing Chaoyang District, Beijing 100102, ChinaT: +86 10 8453 9288 F: +86 10 8453 9388

GermanySuite 715, Hamburg HafenCity,Am Kaiserkai 1, 20457 Hamburg, GermanyT: +49 (40) 80 80 74 614

India 12th Floor, Building 14, Tower B, DLF Cyber City Sector 24 & 25A, Gurgaon – 122 002, Haryana, IndiaT: +91 124 387 8000 F: +91 124 387 8111

Indonesia P.T. Petrofac IKPT International, JL. Prof. Dr. Soepomo S.H. No. 42, Jakarta 12870, Indonesia, PO Box 8077 JKSTB12810AT: +62 21 829 8080 F: +62 21 829 0030

Iraq Al-Jazair, Near Mnawi Basha Hotel, Basra, IraqT: +964 780 6750000

Italy Sede Secondaria Italiana, Via Mola 48 (primo piano), 20156 Milan, ItalyT: +39 02 89691638/89691689 F: +39 02 89691798

Kazakhstan Office No. 605, 6th Floor, 19th Satpayeva Street, Business Centre, Atyrau Plaza, Atyrau 060011, Republic of KazakhstanT: +7 7122 973 500 F: +7 7122 973 501

Kuwait Eastern Plaza Building (ground floor), Block 8, Plot No. 42, Ahmadi Industrial Area, PO Box 9816, Ahmadi – 61009, KuwaitT: 965 2228 1405 – 408 F: +965 2228 1409

Mexico Prol. 27 de Febrero, No. 4506, Tabasco 2000, Villahermosa, Tabasco, CP 86035, MexicoT: +52 993 310 8560/+52 993 317 7790

Netherlands Kanaalpark 145, 2321 JV Leiden, The NetherlandsT: +31 71 789 0717 F: +31 71 572 7735

Nigeria 17 Chief Yesuf Abiodun Way, Oniru, Lagos, NigeriaT: +234 1 277 0600 F: +234 1 277 0664

Oman PO Box 2012, PC 111, SEEB Sultanate of OmanT: +968 24484525 F: +968 24487942

qatar Al Emadi Financial Square, Building 2, Al Muntazah C-Ring Road, PO Box 2895 Doha, QatarT: +974 4 419 2426 F: +974 4 441 1008

Romania Litexco Stirbei Centre, 104-106 Stirbei Voda Street, Sector 1, Bucharest 010119, RomaniaT: +40 (0)372 136 500 F: +40 (0)372 136 532

Russia 5th Floor, 23 Novoslobodskaya Street, 127055 Moscow, RussiaT: +7 495 933 78 84 F: +7 495 935 78 84

Saudi Arabia NSH Tower, 5th Floor, Al-Khobar-Dammam Highway, PO Box 77378, Postal Code 31952, Al-Khobar, Kingdom of Saudi ArabiaT: +966 (03) 810 1222 F: +966 (03) 814 6917

Singapore Petrofac Floating Production, 1 International Business Park, 03-17 The Synergy, Singapore 609917T:+65 69339700 F:+65 62749176

Sudan Al Mashtal Street, House No. 120, Block 11, Al-Riad, Khartoum, SudanT: +24 9183 241795 F: +24 9183 241097

Syria Mazah Eastern Villas, Jade Sharjah, Al Farabi Street, Al Hamami Building No. 36, Damascus, SyriaT: +963 11 6127714 F: +963 11 6125106

Thailand Petrofac South East Asia Pte Ltd, 5th Floor, Q House Ploenjit Building, 598 Ploenjit Road, Lumpini, Phathumwan, Bangkok 10330, ThailandT: +662 650 991113

Tunisia Petrofac Developments Int. Ltd, Lake Forum Business Centre, Entrée B, Les Jardins du Lac, 3rd and 4th Floor, 1053 Tunis, Les Berges du Lac II, TunisiaT: +216 70 010 500 F : +216 71 267 510

Turkmenistan Petrofac International (UAE) LLC, 601 to 605, 6th Floor, Impash Business Centre, 54 Turkmenbashy Street, Ashgabat – 744013, TurkmenistanT: +993 12 455106/07/08 F: +993 12 457507

United States 1254 Enclave Parkway, Suite 625, Houston, TX 77077 – 1885, USAT: +1 832 379 0500 F: +1 832 379 0502

Training centres

Azerbaijan TTE-Petrofac Limited, CTTC (Caspian Technical Training Centre), Azeri Village, BP Sangachal Terminal, Baku, AzerbaijanT: +994 12 545 9156/7 F: +994 12 545 9160

Russia PKT Training Services Limited, Sakhalin Technical Training Centre, Mira Ave, 6G, Yuzhno-Sakhalinsk 693000, RussiaT: +742 42 505261 F: +742 42 505855

Scotland Blackness Avenue, Altens, Aberdeen, AB12 3PG, United KingdomT: +44 1224 899707 F: +44 1224 244752

North Esplanade East, Aberdeen, AB11 5QD, United KingdomT: +44 1224 899707 F: +44 1224 244752

Forties Road Industrial Estate, Montrose, DD10 9ET, United Kingdom T: +44 1674 672230 F: +44 1674 667334

Singapore Petrofac Training Pte Ltd, Chemical Process Technology Centre, 81 Jurong Island Highway, Singapore 627837T: +65 6880 2000 F: +65 6896 7151

United States 16810 Barker Springs, Suite B200, Houston, TX 77084, USAT: +1 281 558 5820 F: +1 281 558 5535

Main operational centres

Sharjah, United Arab Emirates Petrofac House, Al-Khan Road,PO Box 23467, Sharjah, United Arab Emirates T: +971 6 574 0999 F: +971 6 574 0099

Aberdeen, Scotland Bridge View, 1 North Esplanade West, Aberdeen, AB11 5QF, United Kingdom T: +44 1224 247000 F: +44 1224 247001

Woking, England Chester House, 76-86 Chertsey Road Woking, Surrey, GU21 5BJ, United Kingdom T: +44 1483 738 500 F: +44 1483 738 501

Kuala Lumpur, MalaysiaPetrofac (Malaysia – PM304) Limited, Level 21, Menara 3 PETRONAS, Persiaran KLCC, Kuala Lumpur City Centre, 50088 Kuala Lumpur, MalaysiaT: +6 03 2382 2700 F: +6 03 2300 2241

Mumbai, India Petrofac Engineering India Pvt Ltd,7th Floor, Ventura, Central Avenue, Hiranandani Business Park, Powai, Mumbai 400076, IndiaT: +91 22 3051 3100 F: +91 22 2570 4705

Chennai, IndiaDLF Infocity SEZ, 7th Floor, Block 9A, 1/124 ShivajiGardens, Nandambakkam Post, Ramapuram,Manapakkam, Chennai – 600 089, IndiaT: +91 44 3927 3000 F: +91 44 3927 3100

Abu Dhabi (Petrofac Emirates)Abu Dhabi Business Hub, ICAD-1, Block A, PO Box 9398Abu Dhabi, United Arab Emirates T: +971 2 810 4000 F: +971 2 810 4801

John Tredger Executive VP, Operations, OECJohn Tredger recently joined Onshore Engineering & Construction in Sharjah as Executive Vice President, Operations.

With more than 30 years of international experience, predominantly in the petrochemical, oil, gas and power industries, John has led many multi-million dollar EPC projects and has substantial operations management expertise. Most recently John was the Managing Director for Shaw Energy & Chemicals in the UK. Previously John spent seven years working in Abu Dhabi as Vice President and General Manager for Stone & Webster.

Michael Schulz Senior VP, Human Resources, ECOMMichael Schulz has joined Petrofac as Senior Vice President, Human Resources for the Engineering, Construction, Operations & Maintenance (ECOM) division.

Having spent 20 years working in industry in international roles, Michael brings a wealth of operational and business experience to Petrofac. In his most recent role, as Vice President Human Resources & Organisation, for Lafarge Middle East and North Africa, Michael was responsible for establishing greenfield business units and plants and integrating major brownfield business units post acquisition. Prior to joining Lafarge, Michael acted as barrister and legal counsel for a number of organisations in Germany, such as Redland.

Roberto Bertocco Executive VP, Operations OEC and Chief Executive, Petrofac EmiratesRoberto Bertocco has joined Petrofac in the dual roles of Executive Vice President, Operations, Onshore Engineering & Construction and as Chief Executive of Petrofac Emirates, our joint venture with Mubadala Petroleum headquarted in Abu Dhabi, UAE.

With more than 20 years of experience and expertise in the international EPC contracting environment, Roberto has joined us from Tecnimont, where he has worked since 1990. During this time he held a number of senior management and board level positions in Italy and abroad.

Mavriky Kalugin General Manager, Russia Mavriky joined Petrofac in February to take on the role of General Manager, Russia within the Integrated Energy Services division.

Mavriky joins Petrofac from Cairn Energy India, where he was responsible for delivering subsurface development, chemical enhanced oil recovery and reservoir management of all brownfield assets, both onshore and offshore. Mavriky has more than 15 years’ experience in the oil and gas industry, having held a number of reservoir engineering roles within Arco, ConocoPhillips, Oxy, BP and TNK-BP. Mavriky holds a degree in Chemical Engineering from the University of Idaho, USA, and is a member of the Society of Petroleum Engineers.

Karl Farrow Training Director, Petrofac Training Services, Mexico

Karl Farrow has recently joined Petrofac to take on the role of Training Director within Petrofac Training Services(PTS), (part of Integrated Energy Services). Karl will oversee all PTS activities in Mexico and will be based in the Villahermosa office.

Karl has more than 26 years’ experience in the international energy sector. He joins Petrofac from Grupo Cobra, where he was Operations Director for the Castor Gas Storage Development Project. Prior to this, Karl held director-level posts with GSP Offshore, Wood Group and PETROTEC Group. Karl holds a degree in Mechanical Engineering from London City College and speaks English and Spanish.

NEW APPOINTMENTS

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WWW.PETROFAC.COM/OPPORTUNITIES

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Documents

April 2013 | petrofac · Programme and Picture Petrofac competition. 14 22 8 28 Paperstock environmental accreditation to go here. In this issue Cover image: Blue peacock, Gulf Breeze