Fugitive Emission

TERMS

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Item Material Order Qty. Unit Del. Date Price per unit Net value Description

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Attention: ABDULAZIZ MOHAMMAD AL OTHMANTel.: 0555896000 Fax: 038470575

Delivery Address : Petrokemya Arabian Petrochemical Company Al-Jubail, 31961

SABIC Buyer : BARJAS AL-DOSSARYTelephone No. : +96633402429Fax Number : +96633411110Collective No. : 11198298Email Address : [email protected]

Please refer to the Standard Terms and Conditions submitted earlier

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Quotation Deadline: 07.09.2010Our Ref No. :Delivery Term : DDP PETROKEMYATerms of payment : 45 days after receipt of the invoice andmaterials

Saudi Basic Industries Corporation(SABIC)PURCHASING ORGANIZATIONP.O Box 11115 Jubail Industrial City 31961

You are invited to submit the most competitive proposal for supply of following material/services all in accordance with technicalspecification, special terms as may be stated/referred in the RFQ and subjected to SABIC General Terms and Conditions statedherein:Please furnish all information as requested and upon completion, return this RFQ to the following addressSAUDI BASIC INDUSTRIES CORPORATION, P.O.BOX 11115, MADINAT AL-JUBAIL AL-SINAIYAH , Al-Jubail, 31961.KINGDOM OF SAUDI ARABIA.

If other delivery address is specified in the "Quotation Delivery Address", then send back your RFQ's to the same address.Bidders unable to submit the proposal shall submit decline letter on or prior to bid closing date, stating reasons for the same andreturn the entire bid package.

General instructions:Kindly include following details in your quotation -* Quotation shall be valid for a minimum period of Three (3) months from the bid closing date or otherwise as requested in itemtext below* Any alternative offer(s) shall be made on separate sheet(s),clearly indicating that it is alternative.* Please specify additional change(s) if any.* Please Attach MSDS sheet(s) for hazardous and chemical products.

Request for Quotation No. 6000792507 | Date : 31.08.2010 | Page 1 of 11

Vendor Number : 505571Vendor Name : CLEAN ENVIRONMENT Vendor Address : NOVOTEL

KHOBAR ESR 31952 SA

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00010 1 Activ.unit 25.09.2010 ____________ _____________FUGITIVE EMISSION MONITORING PROGRAM

IMPORTANT NOTES TO VENDOR:- PLEAS SUBMIT YOUR PROPOSAL IN TWO SEPERATE SEALED ENVELOPES (TECHNICAL AND COMMERCIAL )- DO NOT SEND YOUR PROPOSAL THROUGH FAX, E-MAIL OR IN ONE ENVELOPES WHICH IS NOT ACCEPTED AS PER SABIC POLICY

- IN CASE IF YOU ARE NOT ABLE TO PARTICIPATE IN THIS SERVICE KINDLY SEND YOUR DECLINED LETTER WITH VALID REASON (IF THERE IS NO DECLINED LETTER FROM YOUR COMPANY, SABIC WILL NOT CONSIDER YOUR COMPANY FOR FUTURE REQUIREMENT)

- PLEASE SUBMIT YOUR PROPOSAL ON OR BEFORE BID CLOSING DATE. AFTER DEADLINE NOT ACCEPTED.---------------------------------------------------

FUGITIVE EMISSION MONITORING PROGRAM

1.0 BACKGROUND:a) Developing Fugitive Emissions Monitoring Program for VCM, PVC, PPS, Polyethylene, Olefins III, Olefins II, Olefins I,Utility, #1, 2 & 3 Butene -1 #1 & 2 Benzene and Butadiene plants.

b) Conducting re-monitoring at existing fugitive emissions monitoringc) Installation of missing tags and Identify and monitoring of difficult to monitor locations at plants.d) Upgrading FEMS software to meet site requirements.e) Integration of individual FEMS systems and databases into 01 system and linking it with PK Maintenancemanagement system.f) FEMS must comply with USEPA method 21 and PK-SHEMS 13.06


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1.1 CRITERIA

The Royal Commission regulations required each affected component of a plant to be monitored on a minimum ofsemi-annual basis and then on a re-monitoring cycle basis once annually if percentage of leaking components is lessthan 2% of total. A leak is defined as follows:

If more than 10,000 ppm for Volatile Organic Compound (VOC)OrIf more than 500 ppm for Hazardous Air Pollutants (HAP)

1.2 REPORTING REQUIREMENTS:

The regulations require reporting to be made for each plant on semi annual basis. Following two consecutive semiannual leak detection period, if number of leaking components is less than 2% of total, once a year monitoring would berequired (RCER 2.8.4). However, if the number of leaks increases again to more than 2% of total, then two-semi annualmonitoring will be restarted.

Less frequent monitoring of difficult to monitor components is permitted as determined by PETROKEMYA, subject toverification by the Royal Commission. Leaking components registering > 10,000 ppm VOC and > 500 ppm HAP shall betagged immediately and repaired within 15 days or in the scheduled shutdown of the concerned unit, if required.

Each report is to be followed PK-SHEMS 13.06 requirements include the following.

Daily calibration report Data validation and correction report Inspection, review and verification report Specific number of monitored components Number of leaking components (as per the above criteria) Number of components awaiting repair Number of components repaired and returned to service

The regulations also require that semi-annual records of fugitive emissions monitoring and maintenance activities bekept on site.


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2.0 OBJECTIVE AND SCOPE OF WORK

The objective of vendors involvement is to assist owner in meeting the requirements of the Royal Commissionregulations discussed above. Vendor shall also develop the F.E.M.S. program database for each operating departmentindividually and merge all in a single centralized database as to facilitate maintenance of leaky components in variousareas through one common work order generation linkage.

SCOPE OF WORK:The job scope areas shall include the following:

a) Development and Implementation of FEMS for PETROKEMYA facilities as stated above.

b) The above work includes installation of unique temporary maintenance tags & performing re-monitoring withinminimum possible time, after repairs.

c) Installation of tags for Difficult to Monitor (DM) locations (i.e. 25% of the tags every year) for above mentioned plants.

d) Re-monitoring for Olefins III, Olefins II, VCM Plants, assuming 01 monitoring cycle per year. Re-monitoring includeinstallation of missing tags and cleaning existing tags so that these tags can be read using a bar-code scanner. It alsoinclude updating the database in accordance with the actual field obsefvations.

e) Vendor will install temporary maintenance tags for each leaker and will generate report/work order for repair within 24Hrs. Vendor will generate reminder after one week if he is not informed of first attempt to repair. After first attempt torepair, vendor is expected to perform re-monitoring within 24 Hrs and update leaker status in FEMS database.

f) Vendor is expected to consolidate the FEMS system for the whole site such that it can be managed properly as 01consolidated system linked with PKs maintenance system.

g) Vendor is also required to upgrade PKs existing FEMS software (by essential technologies) to meet the total siterequirements with an option to upgrade to LAN based system. Cost of FEMS upgrade shall be charged directly toPETROKEMYA with no additional charges by vendor.

Detailed discussion of the scope of work is provided below:


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2.1 Initial Set-Up

Vendors experienced specialist (to be approved by owner) shall visit PETROKEMYA for about 4 to 6 weeks to study indetail the P&IDS with the help of owners representative. During this period, he will also set-up the tagging for thecomponents to be monitored.

A team of technicians shall assist him / data entry professionals in order to set-up the component inventory for eachplant.

The tags can be ordered with the required identification numbers based on the initial study.

2.2 Software Development

A purpose designed software package F.E.M.S. (by Essential Technologies USA) is already available withPETROKEMYA. However, it is licensed for limited number of components and vendor is require to estimate theadditional number of components required and upgrade FEMS system to the require capacity.

2.3 Desk Study:

Vendors scope of work would be to study the P&IDs of the designated Plants (PVC & PPS) and identify /highlight thelines containing affected components for both VOC and HAP. Definition of VOC and HAP as provided in applicable RCRegulations shall be used. Vendor shall prepare inventory list of all the affected components. Separate componentinventory for VOC and HAP will be developed and inventory list will be kept separate based on plant area designation.

The desk study of P&IDs shall be based on as-built diagrams of the selected plants as provided by Owner. Vendorssenior process engineer will review the diagrams to achieve the following:

Identify Lines with VOC (Volatile Organic Compound).

Identify Lines with HAP (Hazardous Air Pollutants).

Prepare a field-tagging program for each component.


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Prepare tags/bar codes in advance of actual tagging.

Set-up the data management program for the plant under consideration. Submit a certificate to the owner, signed by the signatory of this contract that all information submitted in desk study isaccurate to best of their abilities.

2.4 Tags:

Aluminum or Teflon Tags with bar codes (or equivalent) shall be used to identify the components. Tag shall be readableby the optical scanner even after it has been contaminated with paint or other debris. Suggested specifications for thetags are as follows:

a) Label Construction

i. Base material: 0.032 in. thick anodized aluminum, matte finish.ii. Size: 1.5 in. by 1.5 in. square with round corners, radius: 0.125 in.iii. Adhesive: noneiv. Mounting holes: 2 No. with a diameter of 0.125 inch.v. Coating: front side coated with Teflon FPX.

b) Label Graphics

i. Color: black characters on a natural background.ii. Graphics: different on each label.iii. Bar coded with Type sequence integrity: no missing labels.

The owner prior to ordering shall approve the above labels. Tags must be durable for at least 10 Years withstandingJubail weather and harsh plant atmosphere. Sufficient quantity of tags must be available with each plant to take care ofmissing/damaged tags during the re-monitoring cycles.

2.5 Field Tagging:

Existing tagging system in practice at PETROKEMYA shall be adopted. Inventory list shall be cross-referenced withthe help of individual tags. Vendor shall submit the tagging method for owners approval prior to starting the job.


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All locations in the field shall be tagged and the vendors engineer shall verify accuracy of correct tags. Owner willspot-check the tags for accuracy of tags and proper installation prior to accepting completion of tagging.

At least two, two man teams shall install tags. While one person installs the tags the second confirms the identity of thecomponent, records the tag number and general location. Tags shall be installed in such a way that these arepermanently installed and are easily readable with a bar-code reader. For this task, the plant personnel shall accompanyvendors technicians in order to facilitate and identify the tags and components. Vendor will be provided access to allcomponents to be tagged.

Field tagging will also reveal any anomalies between the actual field components and the P&IDS. These anomaliesshall be notified to the owner. Components (up to height of 6 feet from grade) that can be assessed using ladder, will be tagged and monitored.Components not assessable with ladder, will be identified as Difficult to Monitor components.

List of components that are not easily accessible in the field and require special arrangements (Scaffolding) shall beseparately prepared.

Similarly, list of components that are unsafe to approach, will be prepared separately.

Field tagging of difficult to monitor components will be done. Therefore, field tagging for difficult to monitor componentsof existing FEMS systems will have to be provided by the vendor along with updating database for the new tags.

3.0 COMPONENT INVENTORY

The tag/bar code prepared for each component shall be entered in a data management program to create thecomponent inventory required by the regulations. Each component shall have a unique identification number. Otherinformation for each component would include the following:

a) Plant name,b) Unit/area name,c) line number & Service,d) V (VOC) versus H for (HAP) etc as per the software.

Following the completion of the inventory, a report would be provided to PETROKEMYA to summarize in a tabular form


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the information for each plant, unit, and component.

4.0 INTEGRATION OF FEMS:

PETROKEMYA already have stand alone FEMS systems for its facilities. Scope of this contract include consolidating allthe available FEMS systems into one centralized PETROKEMYA FEMS system which can be managed as singlesystem. Each facility shall maintain its individual database, however all databases shall be linked in way so that theentire system can be managed as a single FEMS system. This shall include automatic generation of:a) daily monitoring routes,b) updating monitored databasec) generating maintenance work requestsd) Generating reminder for maintenance not performed,e) Updating re-monitored componentsf) Generating periodic & annual FEMS reportsg) Generation of plant-wide components type lists.h) Keeping track of Difficult to monitor components

Any other requirements as required by RC & US-EPA Federal regulations.

5.0 FIELD MEASUREMENTS

Trained technicians using specialized equipment shall perform the field measurement. Foxboro TVA1000 Vapor Analyzershall be used to perform both functions (VOC and HAP measurement). In addition, this analyzer shall be equipped witha Bar Code reader and information stored in this analyzer shall be downloaded directly to a personal computer. Initial screening shall jointly be done in presence of an Operations and maintenance team. Initial reading at any locationshowing higher than allowable reading will not be recorded and will be pointed out to the owners team. Owners team willmake an attempt at reducing the leak by tightening. Field measurement followed by the initial tightening will be recordedas the field measurement. In case numbers of reportable leaks are minimal (less than 2%), only vendor's representative will monitor the leaks andwill put a visible temporary tag (maintenance tag) on all leaks requiring repairs and will inform PK's Departmentalcoordinator. PK will get these repaired within 15 days prescribed period and vendors personnel will re-monitor as soonas possible and report the status of leaker to PETROKEMYA. Vendors personnel will issue a written reminder to PK ifleak is not attended within 10 days of initial leaker notice. All field measurement and reporting shall be done in accordance with US-EPA 40 CFR 60 Appendix A, method 21. Any


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deviation from this standard shall be approved by the owner.

Vendor shall maintain all records related to PETROKEMYA FEMS for a period of three years including, but not limitedto; - Calibrations gas certificates, - All instruments calibrations and other checks records - Daily log of activities performed, - Monitoring runs records, - Field monitoring measurements, before and after correction factor - Re-monitoring records, - Records of QA/QC check performed during the whole program. Vendor will be required to use PETROKEMYA FEMS Monitoring procedure for all field monitoring & recording; which isin accordance with US-EPA 40CFR 60; method 21 and PK SHEMS 13.06.

6.0 REPORTING

The data collected in the field shall be downloaded on a daily basis to a special data management computer program tokeep track of the readings and the components. This program shall be compatible with the FOXBORO TVA1000 VaporAnalyzer. Vendor will use special software package F.E.M.S.

Vendor shall submit one detailed report for each plant where F.E.M.S is developed and one report for submission toRoyal Commission.

A bi-weekly progress report will be required from the vendor covering all activities performed during previous two weeksalong with a report on progress against agreed schedule.

7.0 PERSONNEL

The team required to complete the above scope of work should include, as a minimum, the following professionals:6.1 An experienced chemical process engineer to study the Pits with a data entry assistant.6.2 Plant supervisor to help outline the P&ID in the field in order to assist with the identification of components to betagged and monitored.6.2 Trained technicians (At least 04) for taking the field readings and downloading the readings on a daily basis into thecomputer.


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6.3 System manager on part-time basis to help with updating the data management software.

All staff will be interviewed by the owner prior to accepting them and owner will have the right to request for replacementof any of the vendors personnel based on their competency (assessed by owner) and or behaviour at owners site.

8.0 PERIODIC MONITORING AND REPORTING

For the periodic monitoring and reporting, vendor shall have an onsite team of technician and a supervising engineer toperform the monitoring, data entry, data reduction, and reporting.

Daily and Weekly reporting on the progress of activities will be submitted to owner against the presented milestonesschedule. There will be a meeting with the Project Coordinator of owner and vendor on fortnightly basis to reviewprogress and resolve any obstacles in project progress.

Vendor is expected to reasonably comply with agreed project schedule. Any delay in the implementation of theproject due to events beyond Vendors control (e.g. Emergency shutdown of any unit) shall be informed to the owner anda revised schedule shall be mutually agreed and signed. Any delay from the signed implementation schedule, may bededucted from the Vendors payment @ SAR 10,000 per week.

9.0 SUPPORT TO BE PROVIDED BY PETROKEMYA

PETROKEMYA shall provide following services to the vendor:

a) Office space sufficient for 3 people to keep the computer, the equipment and the calibration tolls. .

b) All permits required to perform assigned work.

c) Access to difficult locations with safety equipment as per PETROKEMYAs regulations.

d) Safety orientation as per company policy.

e) Gate passes and car permit as required by the project.


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10.0 SAFETY / SECURITY CONSIDERATION:

PETROKEMYAs standard terms apply. Vendors representative shall follow all PETROKEMYA rules & regulations(including safety & security rules) as stipulated by PETROKEMYA Policies. They shall abide by the instructions given tothem by the owners representative. Vendor personnel will be responsible to ensure that all information pertaining toPETROKEMYA is handled as classified information.

11.0 CONFIDENTIALITY:

PETROKEMYAs standard terms of confidentiality apply. All documents related to PETROKEMYAs FEMS will remainPETROKEMYA property and shall not be used for any purpose without written consent of PETROKEMYA.

Contact person @ PETROKEMYAMr. Qamar SameeurrehmanEnivronmantal Engineer, ISS & E/ Safety & Environment SectionT 966 (3) 357-7638F +966 (3) 358-4656E [email protected]

The item covers the following services:10 5043092 HIRE,LBR,CONSULT:CONDUCT GAP ANALYSIS,NT 1 EA

HIRE, LABOR, CONSULTANT:NATURE OF ENGAGEMENT CONDUCT GAP ANALYSIS FOR OCCUPATIONAL HEALTH& SAFETY MANAGEMENT SYSTEM, MANPOWER RATE NORMAL TIME,##FFT: IN LINE WITH SABIC OH&S STANDARD AND OSHAS 18001 AT 12SABIC AFFILIATES (10 IN JUBAIL AND 2 IN YANBU); ON TEMPORARY BASIS


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Documents

Fugitive Emission