- Diligent cost control and careful scheduling are key strategies employed by the company’s Project Development business, which oversees nearly 40 major projects. An example is the Kerisi field development program in Indonesia, which achieved initial oil and natural gas production in December 2007.
2007 Major Accomplishments
- Completed the Kerisi project in Indonesia, which has a gross capacity of 50,000 barrels of oil per day (BOD) and 110 million cubic feet per day (MMCFD) of natural gas.
- Installed a new coker and vacuum unit at the Borger, Texas, refinery that will lower emissions, produce additional clean fuels and make the refinery more competitive.
- Achieved best-in-class safety performance by strengthening relationships with contractors, sharing best practices and technology, and promoting field participation from managers.
n 2007, the Project Development organization enhanced support of the company’s upstream and downstream businesses with the introduction of “The ConocoPhillips Way” of doing projects – an improved capital project management system designed to consistently deliver the company’s major projects safely, on time and within budget.
“To compete in the current market, we must complete projects in more challenging regions, using new technology and with strict environmental standards – all while managing the impact of rising costs and the intense competition for resources,” says Luc Messier, senior vice president of Project Development. “The ConocoPhillips Way combines the company’s best processes, skills, tools and technology into a flexible and efficient model that helps us deliver successful projects.”
ConocoPhillips’ major projects, primarily those with a capital investment greater than $75 million, present a high degree of complexity and are located worldwide. From the conceptual stage to the construction of the facilities, Project Development works in an integrated manner with the businesses and manages risks, engineering, procurement and construction.
Recognized as an industry leader in contractor safety technology, the Project Development organization achieved best-in-class safety performance in 2007 by strengthening relationships with contractors, sharing best practices and technology, and promoting field participation of project managers.
Several key upstream projects were progressed in 2007 including final installation, hook-up, commissioning and delivery of first production from the Kerisi field in Indonesia. The Kerisi facilities are designed with a gross capacity of 50,000 BOD and 110 MMCFD.
Downstream projects advanced during 2007 included the completed construction and safe startup of a new coker and vacuum unit at the Borger, Texas, refinery. The new facilities allow the refinery to lower emissions, produce additional clean fuels and become more competitive.
“We are committed to executing safe, transparent, predictable and competitive projects,” Messier says. “We are putting the people and tools in place to help the company meet these challenges and build on a strong foundation of value-generating assets.”
