Gas, GTL, LNG, and NGL Plants

Long International personnel have been involved in numerous claims and project consulting assignments associated with gas, gas-to-liquids (GTL), liquified natural gas (LNG), and natural gas liquids (NGL) plants. Many of these projects have been located outside the United States.

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Gas Plants
Algeria
On behalf of a major international oil company, performed an analysis of the quantum aspects of the EPC contractor’s $130 million delay and changed conditions claim involving the relocation of a gas processing plant project site after construction had commenced because of the discovery of unfavorable soil conditions. Prepared Expert Report, Rebuttal Expert Report, and testified in ICC arbitration. The EPC contractor’s claim was denied and the owner’s LD claim was upheld.
Algeria
On behalf of the owner, performed a detailed schedule quality assurance review of the engineering, procurement, construction, commissioning and start-up activities of the central processing facility (CPF) in Algeria. The CPF consists of utilities, inlet separation, two oil trains, associated gas compressors, natural gas liquids and injection gas units. Identified logic problems and overuse of constraints, which made the indicated critical and near critical path questionable.
Australia
On behalf of the contractor, evaluated defective design and project management performance problems associated with an offshore underwater gas extraction facility and offshore pipelines, and an onshore gas processing plant. The contractor was a joint venture of the design firm and the underwater pipeline installation company. Under an LSTK Contract, the contractor was responsible for carrying out the design, engineering, procurement, construction and commissioning of the project. The owner terminated the contractor and sought recovery of damages.
California
On behalf of the EPC contractor, provided claims analysis, entitlement analysis, schedule analysis and assessment of $20 million in cost overruns on a lump sum, fast-track gas processing plant project. Issues included defective specifications, changes, and delays.
Canada
Provided claims analysis services for the insurance company regarding the reconstruction of a natural gas plant in British Columbia following an explosion. Performed a schedule analysis to determine when the reconstruction of the plant could have been completed absent the improvements to the facility made by the owner.
Canada
Retained by a major U.S. gas generation and distribution company to review existing plans and procedures for Change Order Management and Project Cost and Schedule Control, and suggest modifications/ enhancements to those plans and procedures. Provided templates for the contents of these plans and procedures. Also prepared proforma EPC Contracts for lump sum and reimbursable cost work.
Canada
Provided expert testimony in arbitration, on behalf of the designer and module fabricator, regarding owner claims of faulty workmanship, delayed project completion, and increased project costs and the designer's counterclaims of unpaid invoices and change orders related to the design and fabrication of modules and the construction of a gas processing facility. Provided deposition testimony regarding an expert witness rebuttal report.
Gulf Of Mexico
Provision of claims support and ad-hoc contract administration, including some bid document preparation for a contractor on a gas receiving station.
Kansas
Provided expert witness testimony for a royalty owner / producer dispute regarding post-production expenses associated with the Kansas-Hugoton gas field.
Nigeria
On behalf of the owner, provided schedule quality assurance services regarding a Gas Supply Expansion Project. Evaluated schedule metrics and appropriateness of the critical path of the baseline schedule.
Saudi Arabia
On behalf of the owner, performed analyses and prepared Expert Reports regarding schedule delays and increased costs associated with an EPC contractor’s $138 million claim on a gas plant expansion project. The work involved correction of the contractor’s baseline schedule and schedule updates, assessment of impacts allegedly due to change orders, welding defects, late delivery of drawings by the owner, and contractor performance problems. Prepared time impact and as-built but-for schedule analyses to address time extension entitlement, compensable delay, and loss of productivity. Developed a chronological database and assisted the law firm with witness statements and document disclosure requests. Completed a comparative assessment between the project’s radiography records for the rejected pipe joint welds, and the results that were developed from the owner’s radiography expert’s interpretation of the films. Evaluated the opposing experts’ schedule delay and damages analyses and assessment of responsibilities for project management performance problems. Performed extensive schedule quality assurance review studies of the contractor’s contemporaneous EPC project schedules to ensure that these schedules could be used for delay analysis. Identified and documented numerous problems with open-end activities, overuse of constraints, missing original scope, incorrect as-built dates, missing as-built dates, and missing logic links. The dispute was resolved prior to arbitration.
Trinidad
Evaluated the owner’s project management and cost and schedule control procedures for performing major capital projects. Prepared stage gate project development procedures, and developed cost and schedule control procedures.
Trinidad
Assisted with the development of a Project Management Controls Unit for a natural gas company. Prepared written findings and recommendations for establishing a Project Management Controls Unit and developing a Project Management Methodology using a Stage Gate Process.
United Arab Emirates
Contract and commercial support during negotiation meetings with a U.S. supplier who may have supplied defective equipment. All discussions were subject to a detailed root cause analysis and material testing.
Wyoming
On behalf of the owner, evaluated its claims against the engineering and construction contractor for defects in its installations and late completion of the work. Prepared an Expert Report, but the case settled before the arbitration hearing.

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Gas-to-Liquids (GTL) Facilities
Germany, Nigeria
On behalf of a major U.S. oil company, evaluated a civil subcontractor’s delay claim regarding foundation and civil works associated with a Gas-to-Liquids facility. Evaluated the integrity of the subcontractor’s schedules and verified the impact of changes to the subcontractor’s schedule. Participated with the EPC contractor and owner to achieve a settlement of the time extension and cost components of the subcontractor’s claim.
Nigeria
On behalf of the owner, performed an analysis of the EPC contractor’s schedules for a multi-billion Gas-to-Liquids facility. Verified the schedule work scope against contract requirements. Evaluated schedule metrics, reviewed schedule logic, assessed the reasonableness of the critical path and provided recommendations for optimizing the schedule. Also evaluated a cumulative impact claim.
Nigeria
On behalf of the owner, evaluated a piping module subcontractor’s delay claim associated with a Gas-to-Liquids facility. Evaluated the integrity of the subcontractor’s schedules and verified the impact of changes to the subcontractor’s schedule. Participated with the EPC contractor and owner to achieve a settlement of the time extension and cost components of the subcontractor’s claim.
Nigeria
On behalf of a major U.S. oil company, performed an analysis of the integrity of a Korean contractor’s EPC schedule regarding logic problems, constraints, and reasonableness of the critical path for a major petrochemical plant project.
Nigeria
On behalf of the owner, performed a comprehensive audit of issues that caused substantial delay and cost overruns on a multi-billion dollar gas-to-liquids processing plant. Issues included evaluation of the man-hour and cost estimate for the project, labor productivity, effect of design changes, assessment of the EPC contractor’s management performance, and government-caused problems. Delays and cost overruns were tied to issues to allocate responsibility of the parties.
Nigeria
Evaluated the merits of a schedule delay claim submitted by a pipe fabricator on a GTL project in Nigeria and assisted the owner in settlement negotiations.
Trinidad
Performed project management audits of a Gas-to-Liquids facility to assist with evaluating the outstanding engineering and construction scope, assess restructuring of the Project Management Team, and assist with the development of a Request for Proposal for the selection of a Project Management contractor.
Trinidad
On behalf of the Receiver in a bankruptcy proceeding, performed project management audits of a Gas-to-Liquids facility to assist with evaluating the outstanding engineering and construction scope, assess restructuring of the Project Management Team, and assist with the development of a Request for Proposal for the selection of a Project Management contractor.

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Liquified Natural Gas (LNG) Plants
Angola
On behalf of the owner, analyzed schedule delay claims by the prime contractor on an LNG facility being constructed.
Angola
On behalf of the owner, analyzed the EPC schedules for a $2.7 billion LNG facility. Verified the schedule work scope against contract requirements. Evaluated schedule metrics, reviewed schedule logic, and assessed the reasonableness of the critical path.
Australia
On behalf of the owner, evaluated contract terms and conditions and contract procedures for an EPC contract for an LNG facility. Recommended clauses to resolve potential inconsistencies, ambiguities, and conflicts. Prepared clauses for cost and schedule control procedures.
Australia
On behalf of the owner, performed an analysis of rework costs caused by defective engineering and poor project management performance by the EPCM contractor of an LNG facility. Developed a basis for estimating the rework costs, and prepared several comprehensive reports that were used by the owner to facilitate a large settlement against the contractor.
Australia
Contract awareness services on an LNG Development Project. Carried out detail review of all contract agreements (FEED, LOA & Subcontractor). Prepared “Contract Obligations Matrix” and delivered “Contract Awareness Workshops.”
Canada
On behalf of an insurance company, performed an analysis of delays to the construction of an LNG terminal in New Brunswick, including equipment to unload tanker, transfer to LNG storage tanks, vaporize the LNG, and meter the gas as it is introduced into the natural gas pipeline. The claim was filed by the owner as a result of materials being lost overboard at sea in severe weather while being shipped to the site.
Canada
On behalf of the owner, provided quality assurance reviews of the EPC contractor’s schedules for an LNG facility.
Italy, Spain
On behalf of the owner, performed an analysis of delays and project management performance deficiencies in defense of a $40 million claim of an EPC contractor for additional overhead and fee on a cost reimbursable contract for the management of the design and construction of an LNG Terminal Project that was delayed over 18 months. Analyzed deficiencies in the EPC contractor’s schedules, and performed an analysis of concurrent delays. Prepared the basis of a counterclaim by the owner against the EPC contractor.
Mexico
The project involved the EPC construction of a green field LNG terminal including major berthing facilities and on-shore storage, processing, and pumping services. Provided lead contract and claims support to the EPC contractor Joint Venture to ensure recovery of owner caused impacts throughout the construction process. This involved managing and defending a major claim from the international earthworks subcontractor through litigation proceedings in both the U.S. and Mexico. This involved detailed rebuttal of schedule, disruption, and damages analyses.
Nigeria
On behalf of the owner, developed the implementation of a contracting strategy for 10 MM TPY grass roots LNG liquefaction plant. Assignment included preparation of bid packages and bid evaluations for 8 LSTK contracts that covered every portion of the project. Facilitated senior shareholder meetings to arrive at the strategy and to approve its implementation.
Nigeria
On behalf of the owner, performed a comprehensive “cold eyes” contract risk analysis of the EPC contract documentation, including legal and non-legal exhibits and appendices, contained in the ITT and provided a written list of recommendations with supporting justification of contractual provisions in the ITT that should be amended, deleted, and/or inserted so as to properly mitigate the client’s risk against spurious and/or undue claims/change orders. Also provided written recommendations as to what impact a Project-wide incentive program would have on the contract contingency estimates.
Singapore, Spain
On behalf of the owner, performed an analysis of a $15 million cost overrun and cumulative effect claim by an electrical subcontractor on an electrical and instrumentation building to be installed offshore on an LNG facility. The subcontractor alleged increased complexity of the work, loss of productivity and delays associated with changes to its scope of work, and subsequent acceleration. The owner alleged that the changes did not cause the alleged quantum sought by the subcontractor, and that the subcontractor underbid the work and mismanaged its resources.
Tanzania
On behalf of the government, evaluated the quality of the CPM schedules prepared by several international oil companies for the development of an LNG facility in Tanzania.
Trinidad
On behalf of the owner, performed an analysis of the adequacy of a cost estimate and construction risks associated with the upgrade of an LNG facility.

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Natural Gas Liquids (NGL) Plants
Illinois
Retained by the owner of a natural gas liquids extraction and fractionation plant involved in arbitration with the electrical and instrumentation contractor. Analysis and opinions provided included contract review, determination of breach of contract, delay analysis, and calculation of cost reimbursements owed to the contractor and damages incurred by the owner.
Illinois
Analyzed damages for an owner regarding the cost reimbursable construction of a large NGL separation, processing and storage facility. Damages analysis focused on the reasonableness and causation of significant construction and startup cost overruns related to work performed by the prime contractor’s electrical subcontractor.
Venezuela
Prepared CPM fragnets depicting schedule delays and analysis of productivity losses on a natural gas liquefaction project.
Wyoming
Provided analysis regarding schedule delay and cost overrun issues on a NGL processing project involving construction of central process and satellite facilities. The analysis work was performed on behalf of the owner to identify the magnitude and compensability of potential affirmative claims against the prime contractor.

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