A contractor in London performing engineering for Eni’s Barents Sea Goliat FPSO development has been criticised over its project performance

Chicago Bridge and Iron in London has been criticised in a report published by Norway’s Petroleum Safety Authority which focussed on the working environment, materials handling and emergency preparedness on the Goliat FPSO.

The criticism comes after the PSA carried out an audit at CBI’s London offices in August, which looked at whether engineering was taking place in accordance with regulatory conditions, to ensure that the working environment on the FPSO, materials handling capabilities and emergency procedures were properly considered.

“Based on the fact that Goliat FPSO will be located in the Barents Sea, we placed special emphasis on how the various players take into account winterisation factors in their follow-up,” stated the PSA in its public report on the audit.

Specifically, the PSA has found fault with CBI on three items and has indicated one item for improvement.

According to the PSA, there was “..deficient management and follow-up of working environment.” The PSA identified: “Deficient experience and competence within Norwegian regulations, NORSOK standards and working environment” in the project, and “..deficient employee participation in the project.” 

Furthermore the PSA issued a notice for improvement, after it found “Confusion regarding management and follow-up.”

And the report continues: “Neither requirements relating to working environment, nor a working environment program nor plans for employee participation had been established for this project phase in spite of the fact that several working environment analyses must be carried out by 15 October 2010.”

This month the project team is due to move to Ulsan in South Korea where the Goliat FPSO is being built by Hyundai Heavy Industries.

Concern has been expressed by the PSA because it says there is little experience within HHI of Norwegian regulations and Norsok standards which will apply on the FPSO, and while some members of CBI do have experience of Norwegian regulations, the PSA is concerned about whether enough of them will transfer with the project team to Ulsan on 15 October.

“This can result in insufficient competence and continuity between project phases,” the PSA points out.

And the authority continues in its report: “There was deficient experience and knowledge as regards cold climate challenges in this project phase. Eni has previously carried out some studies relating to potential cold climate challenges. It is unclear to us whether all findings from these have been incorporated in the design and whether cold climate challenges are addressed systematically to a sufficient degree in this and future project phases.”

Chicago Bridge and Iron has been contacted for comment on the PSA report but unable to provide an immediate response to the PSA findings.