EPC, or Engineering, Procurement, and Construction, is a delivery model that is based entirely on a contract. It’s a necessity for some projects in oil and gas, but what does it actually mean for your organization? And does it help to have a technical writing team during the process? We cover everything you need to know about EPC project planning in this article.
What is an EPC Contract?
An EPC contract is an agreement between a contractor and business, where the contract is responsible for everything that falls under the EPC umbrella. The contract will also generally stipulate deadlines, budget, and other related factors. The work has to be completed within those guidelines, and the contract price is fixed.
What Does an EPC Contractor Do?
When working with an EPC contractor, the oil and gas business only needs to hire a single contractor to complete all engineering, procurement, and construction-related work. All specifications, design requirements, and responsibility are given to the EPC contractor.
They are therefore responsible for:
- Construction of any facilities, buildings, or grounds
- Designing
- Detail engineering
- Procurement of equipment
- Procurement of materials
- Labor
- Handover to the oil and gas company
What Are the Benefits of an EPC Contract?
There are several benefits for an oil and gas company when it comes to an EPC contract. For example, they:
- Lower risk
- Come with a fixed contract price
- Come with a fixed completion date or deadline
- Help businesses focus on their core processes
- Reduce the need for negotiation – you only need to negotiate with the single EPC contractor
- Restrict liability
- Provide a single contractor who is responsible for all work
- Provide a single point of contact
- Streamline projects
What are the Phases of an EPC Contract?
The names used for the various phases of an EPC contract can vary depending on the contractor and company in question. Also known as the execution, they all generally follow this outline after the Front End Engineering Design (FEED) phase.
Phase 1: Detailed Engineering and Design
During the detailed engineering and design phase, FEED is first verified. Then, detailed designs and 3D models are requested. Requisitioning can also take place during this phase.
Phase 2: Procurement
The EPC contractor will then procure the necessary equipment, labor, and materials to complete the construction and project according to the contract. The contractor will select their vendors, undergo negotiations, and order any necessary training for their operators or team members.
Phase 3: Construction
After the home office and support are constructed, construction on the facilities and buildings can begin. This will include material management support, field engineering, and performance of all other construction services needed to complete the project on time and within budget.
Phase 4: Pre-Commissioning
As construction begins to wind down and the finishing details are put on the project, pre-commissioning will begin. The contractor will get ready for the handover, gathering all necessary documents and operation procedures.
Phase 5: Commissioning and Start Up
When the EPC contract is completed, the contractor will handover the keys, start up documents, and all other necessary factors to the oil and gas company. They will also complete any start up services and complete performance testing.
Phase 6: Operation and Maintenance
To ensure a smooth handover, the contractor will also be on hand for operations support, test runs, and turn-around support. They’ll work to remove bottlenecks and ensure everything is working as it should.
When Should You Work with a Technical Writing Team for your EPC Project?
So when exactly should you work with a technical writing team when it comes to your EPC project? The answer is as soon as possible!
Right from the beginning, documents are needed to outline proper procedures, building specifications, site surveys, plot plans, development strategies, and more. All of this requires an experienced technical writer. From the early planning stages of the project to FEED and on to EPC, an oil and gas company’s ducks need to be in a row. This will help ensure the EPC contractor is also provided with everything they need to complete the project, reducing additional costs, delayed timelines, fines, and other snags.
And, of course, a technical writing team can help with the documentation and facility handover when the EPC project is winding down. Ongoing document management is a must to make sure the facilities and the equipment are operating as they should be.
We at Shea Writing and Training Services understand how important documentation is to your oil and gas projects and entire company. Our Project Managers can help your organization manage an EPC project from start to finish with our Documentation Management and Consulting Services. Learn more here.
