F Information 

For

A Adam Fresly
y JS
S Kim
REV
V DATE DESCRIPTION
N DSGN CHKD
D AP
PPD
PROJJECT TITLE :

BALIK
KPAPAN
N RDMP
P RU V PACKA
AGE PR
ROJECT
T

OWN
NER :

SUB--CONTRACTO
OR :

DES
SIGNED BY DATE TITLE :

Tank Founddation (11 Unitts) –

CHECKED BY DATE ect Execution Plan
Proje

APP
PROVED BY DATE DO
OCUMENT NUMBER REV
 
0
 Std. No. PEC-EP-001
PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

PROJECT EXECUTION PLAN

1. Organization

The Sub Contractor proposes to execute the engineering, procurement and

construction of the Project by assigning a dedicated task force to the project.
The task force approach dedicates all required resources to the project,
improves communication and develops a cohesive team.

The following briefly describes the responsibilities of the key team members.

Task Force

Under the direction of Project Manager this team will be operated

comprehensively to ensure:

· Clear identification of work objectives, priorities and any other issues.

· Efficient mobilization of resources.

· Effective coordination with the Client, vendors and project personnel.

· Effective planning and control.

· Effective coordination among inter-office engineers.

· Rapid problem definition/identification and initiation of corrective actions.

Project Manager
The Project Manager has full responsibility for the execution of the
engineering, procurement and construction work.

His responsibilities include:

· Planning

· Organizing

· Technical Execution

· Monitoring, including schedule and quality control

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BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

He will direct and coordinate all phases of the work associated with the design,
procurement assistance and scheduling of the project. He will be
responsible for providing the necessary administrative and technical
leadership to bring the project to a successful conclusion.

Project Engineer

The Project Engineer will be administratively and functionally responsible to

the Project Manager. He will assist and report to the Project Manager, and
act for the Project Manager as required or when he is entrusted with any
responsibility. In this position, he will:

· Work with the Project Manager and discipline engineers to establish

basis of design and scope of work from contract documents.

· Provide review and sign-off of all drawings, specifications and

requisitions.

· Coordinate activities of the Lead Discipline Engineers.

· Work with Cost and Schedule Controllers to establish budgets and

schedules.

· Coordinate with the procurement coordination on all inquires,

evaluations and purchase orders.

· Prepare monthly forecasts and progress reports.

· Monitor changes of work scope.

Planner Engineer/Schedule Controller

The Schedule Controller has the responsibility for the development and
updating of project schedule using computer software and detailed
worksheets, while the task force has the responsibility for adherence to the
updated schedule. He will closely keep in contact with not only all discipline
lead engineers but also procurement, fabrication and construction
management to develop and monitor the project schedule.

Document Controller

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BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

The Document Controller is administratively and functionally responsible to

the Project Manager and he will:

· Develop document logs and vendor data status reports.

· Monitor all documentation required for project files to identify possible

delays in schedules.

· Expedite traffic of documents including circulation between the Client

and Members.

· Coordinate with other disciplines to assemble required data and job

progress.

· Control specification register input and issue.

· Control equipment list input and issue.

· Prepare dossiers as required.

Procurement Coordinator

The Procurement Coordinator is responsible for coordinating, monitoring and

expediting the performance of all key activities related to the procurement.
He will establish and maintain records, files and schedules of major
equipment items. He will also coordinate and expedite the technical review
of received quotations and mediate the resolution of any technical questions
or vendor exceptions.

Lead Engineer

Each lead Engineer is responsible for providing technical design review and
assistance with analysis for his respective discipline of the project. He will
review the engineering and design data for the project and will make
calculations, write specifications, prepare equipment requisitions, and check
and approve drawings.

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

2. Project Schedule

Compliance with the schedule is subject to the on time completion of all

procurement and construction activities. Failure to comply with this schedule
will impact the deliverables schedule and commercial consideration of this
project.

3. Detailed Execution Plan

3.1) Mobilization Phase

Following contract award, the Project Manager will schedule a kickoff

meeting with Client. This meeting is important in establishing the
objectives that must be met to ensure a successful implementation of
project. Kickoff meeting objectives include, but are not limited, to the
followings:

· Establish communication channels and lines of authority.

· Establish project procedure.

· Gather all available data to be used in the engineering work.

·Discuss operating philosophy and methodology with regard to

engineering, construction and start-up.

· Finalize the project schedule, if different from that proposed.

Following the kickoff meetings with the Client, the Project Manager will
hold an internal Project meeting during which he will complete the staffing
of the project team and assign tasks as required by the execution
procedures and project schedule.

3.2) Project Management Phase

Subsequent to initiate of the Project Management Phase the Sub

Contractor will adopt the Project Management and Control Systems that
have been developed and refined by Contractor and considered suitable
for this project.

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

In parallel with the preparation of the Design Brief the Project Manger and
the Project Engineer will develop a comprehensive set of Job Instructions.
These documents define the objectives of the project, the aims of each
project group, and the methods by which these objectives will be met.

A Project Procedure Manual will also be prepared applicable to the various

engineering and management groups engaged on the project. Such
procedures are based on our standard procedures tailored to suit specific
project.

The flow of documents, throughout the project team, to Client's

Representatives and Vendors will be of critical importance and the early
establishment of an effective procedure will be required.

The Document Distribution Schedule will list the drawings and documents
required for the project and their distribution. Vendor Data Control
ensures the prompt and correct distribution of vendor drawings. Other
documents are handled by the clerical section of the Project management
Team. This Document Distribution Schedule will be developed following
consultation with the Client and the objective will be to ensure that all
documents are distributed in a manner whereby all recipients take them on
or prior to need, receipt of data.

The required system for providing Management Information will be

included as part of the Project Procedure Manual. Management
Information is provided in two formats:

· Regular meetings among the Client and project management team

for the project to discuss technical and administrative matters and to
review progress.

· Monthly Project Progress Report to be issued to the Client.

3.3) Procurement Phase

a) Planning and Procedure Development

Subsequent to initiation of project execution, the Procurement

Coordinator will work with other project Sub Contractor members to
identify equipment with critical delivery schedules, establish procedures

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BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

and requirements for processing requests for quotation (RFQs) and

engineering technical review of vendor proposals.
b) Purchase Order

As soon as a decision has been reached on the successful vendor

and the bid tabulation has been approved by all parties, The Contractor
will update the inquiry specifications to purchase specifications by
incorporating any technical changes approved during the bid tabulation.
The Procurement Coordinator will prepare a request for purchase order
including the updated purchase specifications and forward the request
to the Project Manager for review. The Procurement Coordinator will
also notify the appropriate task force members of the preliminary
schedule for the drawing approval cycle so that work can be scheduled
accordingly. Upon receipt of a copy of the vendor's acknowledgement
of purchase order receipt, the Procurement Coordinator will advise the
task force of the final schedule for the drawing approval cycle and other
document information.

3.4) Approval and Certified Drawings and Data

The Procurement Coordinator will be responsible for maintaining current

status report of the receipt and return to the vendor of all approval
drawings and design documents. He will retain an unmarked copy for the
purchasing file and submit additional copies to the Project Manager for
routing to appropriate engineers for review and approval by using a
established standard check list and procedure.

3.5) Construction phase

A. Construction Policy

The successful implementation of the construction work will depend upon two

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

fundamentals:

y A comprehensive and realistic construction strategy

y Experienced site organization and the requisite labor resources, all

motivated to execute the strategy.

The Contractor's policy of construction to achieve these objectives is

summarizes as below:

y Early finish of temporary facilities

y Early IFC drawing release to support construction team

y Timely manpower mobilization

y Timely construction equipment mobilization

y Timely delivery of equipment & material to site

B. Mobilization plan

The supervisory and craft personnel will be mobilized from the following sources:

- Korea
- The Country

In order to achieve the maximum participation of Local manpower and in

conformance with the Contractor's local recruitment plan, some of the officer
and all the clerical assistance will be obtained in The Local Site. All the Local
labor will be mobilized by subcontractors.

For the purpose of efficient mobilization, the construction management team will
arrive at site prior to actual start of construction activities. Their first task will be
the layout and construction of temporary facilities.

1) Supervisory Personnel

The Contractor will mobilize key construction personnel in accordance with

the construction schedule.

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

The first stage in the supervisory staff mobilization program will be the
assignment of key personnel to engineering / procurement offices to input
construct ability into the design and for a period of familiarization with the
project prior to being assigned to the site. Concurrent with their
familiarization program, all necessary visas, inoculations, etc. required for
entry in the Country will be completed.

2) Labor

Required labor will be forecasted 30 days in advance and will be recruited

accordingly by the subcontractors. Skilled labor will be tested according to
qualification standards detailed in the quality assurance procedure.

All the labor will be provided with the following information before being
admitted to work at site.

- Description of the project

- Safety and sanitary regulations
- Quality control standards

C. Temporary Site Facilities

At the appropriate time and in cooperation with CLIENT, the Contractor will
initiate the work required to construct the temporary facilities such as site offices,
warehouse and workshops.

D. Construction Equipment

Most of the construction equipment, tools and consumable will be supplied by

subcontractors according to the construction equipment schedule which will be
set up before construction work starts and will be updated monthly by the
Contractor.

The Contractor will check and inspect the construction equipment provided by

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

subcontractors to ensure the first class condition of these construction

equipments.

The Contractor will mobilize their own construction equipment or rent from the
agent outside the Country when those heavy equipment handling construction
equipment needed are not available in the Country.

The Contractor's head quarters, overseas branch offices and the site office will
cooperate closely to achieve this goal timely and successfully.

E. Site Material Control and Management

1) General

Material management at site is under the responsibility of the material

control manager.

The material control manager monitors the status of all materials from
receiving to field erection at the site.

Any damage or shortage of materials or equipment will be checked during

receiving inspection and material control manager will report directly to the
project manager the monitoring status.

His responsibility will also include field procurement and coordination for
smooth and timely customs clearance.

2) Material Control

a) Receiving

All shipment will have been properly cleared and, if originating from
outside the Country, released by customs before any receiving action
can be taken. An initial check will then be considered before being off-
loaded.

The initial check comprises;

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BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

y Quantity check

y Damage check

Overage, any shortage or damage is noted on the transporter's shipping

papers and an "Over, Short, and Damage Report" (OS & D Report) is
written and distributed for appropriate action (Purchasing, insurance,
etc.)

After these checks have been made and any discrepancies recorded,
materials are off-loaded in a receiving section.

Incoming material which cannot be clearly identified with a purchase

order and/or item number is recorded on an "Unidentified Material
Register" until it is properly identified.

A final Check is made against the purchase order or the specification.

This visual check is made to verify that the items meet the purchase
order or specification, and discrepancies are recorded on an "OS & D"
Report.

After the material has been checked, off-loaded and rechecked, a brief
handwritten summary of all incoming shipment will be issued.

Detailed material receiving reports are issued the same day for
recording on the purchase order files, stock cards, equipment schedules
and delivery records.

The material control manager maintains a file for each shipment or

purchase order item which contains the complete history of the order.
These files contain:

y Requisitions

y Purchase orders

y Expediting and inspection reports

y Material certificates

y All correspondence relating to the order

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

y Material receiving reports

y OS & D reports

y Insurance claims

As a control system, the warehouse maintains;

y Stock Cards (for piping materials, etc.)

y Stock Lists (for safety valves, control valves, instruments, etc.)

y Material Status Report

y Schedule with information pertaining to equipment orders, such as

delivery and erection.

This schedule is maintained by the planning / scheduling manager.

b) Warehousing

The fundamental function of storage control is to supply suitable

materials at the proper time. For the effective operation of that function,
constant care will be taken to keep the original quality and quantity from
any objectionable conditions. Thus, all materials will be controlled to
be free from any loss, deterioration, robbery, mistake so as to be
resulted in the issue of suitable material.

3) Issuance of Materials

Materials shall not be issued from the warehouse or its enclosures without
a warehouse withdrawal slip.

This issue slip specifies where the material is to be used, the quantity, size
and description and will be signed by authorized personnel.

The issue slip is presented to the warehouse for withdrawal of the material,
checked by the warehouseman and initiated to record the issuance.

The issue slip is utilized for the information of respective stock record or
purchase order card.

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PROJECT EXECUTION PLAN Rev. No. 0
BALIKPAPAN RDMP RU V PACKAGE Rev. Date
POWERTECH TANK FOUNDATION Page Ⅰ

At the close of each day, the warehouseman will pass all warehouse
withdrawals slips to the chief warehouse engineer for the posting up of the
stock record or purchase order cards. When all issues have been posted
up, the withdrawal slips will be filed numerically.

Materials that are stored in the warehouse or its enclosures will be checked
periodically. The actual number and date of inventory will be entered on
the face of the stock record.

F. Equipment Preservation Plan

The plan will be followed to protect equipment against deterioration from the
time it is received at the construction site until it is placed in operation or turned
over to CLIENT. Before finalizing the equipment protection procedure for the
project it will be checked to ensure conformity with CLIENT's specific
requirements and to determine CLIENT's preference as to lubricants and
preservative compounds.

Materials and equipment will be adequately protected before shipment and

storage by the manufacturer in accordance with purchase specifications or
manufacture’s standard practices, which will be in accordance with CLIENT's
requirements.

If the vendor has furnished instructions for field check and supplementary
requirements, it will be performed and the dates of application will be recorded.

Before placing equipment in service, it will be necessary to check if the

protective coating applied should be removed before placing the equipment in
service.

RDMP RU V PACKAGE PROJECT