The Chuandongbei Gas Project

Transcription

1 The Chuandongbei Gas Project Dr. Min Chen Vice President Chevron China Energy Company September 2016

2 Project Overview 30-year Production Sharing Contract (PSC) signed between Unocal East China Sea, Ltd. ( Chevron ) and CNPC in Co-developed by Chevron (Operator) and China National Petroleum Corporation (CNPC). 49% participating interest by Chevron, and 51% by CNPC. Over 800 square kilometers in Sichuan Province and Chongqing Municipality in southwest China. 2 well pads, 30-km pipeline network, 3-train sour gas processing plant and sulfur plant. Well Pad A Start-up: December 30, 2015 Train 1 1 st gas: January 25, 2016 Train 2 1 st gas: April 7, 2016 Train 3 1 st gas: May 27, 2016

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4 Unique Challenges Sour Gas Rugged Terrain Large Operating Area High Population Stage 1 Gas Gathering Station B

5 Unique Challenges To address these challenges, Chevron has applied its extensive sour processing experience to help mitigate these issues Use of cutting edge technology, advanced process control systems, multiple leak detection/prevention systems, and extensive procurement/material standards Detailed technical and operational readiness reviews using top caliber subject matter experts Strong organizational capability and training standards Close cooperation with CNPC and local governments/communities

6 Strong Partnership One of the largest onshore gas projects developed in cooperation between an IOC and a NOC in China. Chevron s expertise in developing and deploying new sour gas technologies. CNPC s local knowledge, network and expertise of natural gas exploration and production. Strong cooperation between the partners and all levels of the Chinese government.

7 Strong Partnership Project Governance designed to build alignment between Chevron, CNPC and local governments Strong relationships established from working level all the way to CEO and Central Government levels GM Chevron; Joint Management Committee (JMC) Chair CNPC CNPC Deputy Managers: key to resolving community and regulatory issues Expert Panels: Chevron, CNPC and other SME s assembled to resolve complex issues Extensive use of CNPC affiliates for engineering, construction, materials management and land acquisition Joint cultural training sessions to help understand and leverage strengths of cultural differences Regular engagements with local governments - Municipal, County and Village

8 Safety and Technology Leadership Chevron safety and technology leadership position in sour operations, with focus on: Personal safety Leak prevention Leak detection Emergency response

9 Safety and Technology Leadership Personal Safety Over 23 million man-hours since last DAFWC through comprehensive personal safety measures Competency Training: personal and process safety Advanced sour gas processing technology and control systems Technical organization capability development Managing safe work and Operational Excellence Instructions SME safety consultants during high risk evolutions Safeguard stewardship leadership engagements Contractor HES management Management of change Nanba Security Control Center (NSCC) cameras Muster points, evacuation routes and drills

10 Safety and Technology Leadership Leak Prevention Comprehensive measures in place from initial design to operating and maintenance protocols to prevent H2S release. Design Materials Construction QA/QC Intelligent pigging Asset integrity & corrosion prevention program Cathodic protection Pressure protection systems Safety isolation/shutdown systems

11 Safety and Technology Leadership Leak Detection Multiple technologies deployed to detect leaks quickly, enabling timely emergency response. ATMOS pressure sensing Low pressure safety system Distributed temperature sensing (DTS) Distributed acoustic sensing (DAS) Rebellion GCI cameras Foot patrols Intrusion detection Mass balance

12 Safety and Technology Leadership Emergency Response Robust plans are in place to ensure prompt and effective workforce and community response. State of the art command center Exclusion zones around facilities Community emergency response in partnership with local government and community leaders Community alarm systems within facilities and along the pipeline Muster points at locations away from pipeline and facilities Regular safety trainings and drills to local communities

13 Contribution to Local Development Providing business opportunities for local vendors. Generating jobs for local people. Paying over $220 million in taxes to local governments ( ). Benefitting more than 120,000 people by various community projects, such as Walk Wise, Immunization and University Partnership Programs. Contributing to infrastructure and economic development in southwest China; supporting Belt & Road initiative.

14 Key Experience Safety Partnership Communication Teamwork Win-win

15 The Chuandongbei Gas Project