Offshore Oil & Gas Production Facilities

Long International personnel have been involved in numerous claims and project consulting assignments associated with offshore oil and gas facilities including FPSOs, spars, deepwater platforms, drilling rigs, hulls, mooring systems, and subsea pipelines. Our project assignment locations have included the U.S. Gulf of Mexico, West Africa, South America, Australia, and construction facilities in Asia and the Middle East.

FPSO Facilities
Floating Offshore Natural Gas Platform
Trinidad Data analysis on a Natural Gas Floating Platform. The scope of work included analysis of Project Daily Reports, Vessel’s Master Daily Logs, Daily Work Tickets, and Contractor/Client Correspondence.
Floating Offshore Oil Production Platform
Texas Provided deposition testimony on loss of productivity, extra work, and damages claims of $6.5 million on the erection of a Floating Offshore Oil Production Platform. The case was settled in mediation prior to trial.
Floating Production, Storage and Off-loading Facilities
Angola Reviewed owner's Contracting Strategy, ITT packages, and Contract Terms and Conditions for FEED contracts, and draft procedures for management of the design and fabrication of an FPSO project.
Angola, Japan On behalf of the owner, performed an analysis of a Japanese contractor’s $35 million change order, delay, and loss of productivity claims on an LPG FPSO project that was fabricated in Japan and installed in Angola.
Brazil Assisted the owner in creating a negotiating strategy for a cost overrun claim on an FPSO located in Brazil.
Brazil Reviewed, analyzed and critiqued a contractor’s baseline schedule and schedule updates related to claims for disruption, delays, changed conditions, and increased costs totaling more than $700 million on a $2.5 billion turn-key contract.
Brazil Consultant to the contractor’s project management team administering the lump sum contract for the conversion of two tankers to FPSO. The project included two wells and 150,000 barrels of oil per day floating production systems and associated sub-sea scope. Consulting services included arbitration support and claims resolution. Contract value: US$2.5 billion.
Brazil Seconded to the contractor’s in-house claims and arbitration team regarding arbitration associated with an offshore oil & gas project. Assisted with document discovery for quantum meruit and delay and disruption claims. Analysis and production of cause and effect logs (timelines), drafted the “statement of facts” construction history, reviewed and audited arbitration case documentation, and provided general claim and arbitration best practice and procedure guidance. Assisted and interfaced with expert witness consultants and lead counsel, in contemplation of the settlement of a claim in excess of US$400 million by arbitration in New York.
Brazil Consultant to the contractor’s project management team administering the lump sum contract for the conversion of two tankers to FPSOs. Provision of full claims resolution services along with commercial and contractual support in defending claims received from four topsides subcontractors and the vessel conversion contractor. Prepared claims for extension of time, acceleration, disruption, prolongation, and other lesser issues. Various claims successfully settled in excess of US$60 million.
Brazil, United Arab Emirates On behalf of the owner, assessed contractor’s claims on behalf of the owner for change orders, delays, and acceleration regarding the design and installation of the Topsides for a deep-sea crude oil FPSO project to be installed in Brazil. Evaluated the contractor’s claims regarding loss of productivity for the refurbishment work of the FPSO vessel and for the Topsides installation in Dubai. Also supported the owner in resolving a subsea contractor’s prolongation claim.
Indonesia Project controls lead for the project team and project management office performing installation of subsea pipelines and onshore facilities. Assisted in the project FEED stage closure (change in project direction), development of FPSO implementation option studies, and development of a project execution plan and cost management plan.
Nigeria Production of a claims and dispute prevention register specifically for contract terms and conditions and for contract exhibits during pre-contract/tender package stage of an offshore gas pipeline project. Reviewed possible causes and effects, categorized risk (high or low), and recommended mitigation action. Identified possible project risk areas and proposed risk share measures to reduce cost impacts. Suggested enhancements to the contract exhibits. Evaluated project controls to avoid/mitigate claims and disputes.
Nigeria Prepared failed mooring component claims on an FPSO & Buoy project. Work included damage limitation, mitigation, cost recovery from subcontractors, and resolution of ex-gratia claim request. Claim value exceeding US$15 million. Further claim submission for loss and expense incurred as a direct result of increased security risk. Total claim value: exceeded US$5 million.
Norway, Texas Schedule Quality Assurance Review. Review and critique of Consortium Partner's detailed fabrication schedules, ascertained the schedule’s suitability to be used as a tool to analyze concurrent delays by maintaining CPM schedule logic to properly understand the Client's, and the Consortium Partner's liability for delay, disruption, and impact damages, and any relationship between proceeding activities being the responsibility other Parties. Provided guidance on “best practice” recommendations for on-site schedule control, progress reporting, schedule development, and labor productivity. Recommended suitable effective documentation and record keeping to aid in the support or defense of possible future claims and integration of schedule activities with available cost details to accurately establish the cause and effect relationship between problems, issues, events, schedule impacts, productivity losses and cost overruns and/or the need for acceleration/mitigation recovery counter measures.

Back to Top

Drilling Rigs, Production Platforms, & Undersea Pipelines
Offshore Drilling Rig
Gulf Of Mexico Claims and contract awareness services on a new semi-submersible drill platform in the Gulf of Mexico. Carried out detailed review of all contract agreements (FEED, LOA & Subcontractor). Prepared “Contract Obligations Matrix” and delivered “Contract Awareness Workshops.”
Gulf Of Mexico Managed the settlement of multi-million dollar insurance claims for an offshore drilling contractor arising from Hurricane Katrina and numerous other damage and warranty claims.
Gulf Of Mexico Commercial/contractual support in defending a claim received from a Korean contractor who was fabricating the hull and drill rig for a semi-submersible platform project at its Korean facility.
Gulf Of Mexico Insurance and warranty claim preparation and negotiation on the installation of offshore drilling rigs. Management of claim team and preparation of documentation to support insurance claims for two failed semi-submersible drill rig thrusters.
Gulf Of Mexico Prepared an insurance claim and negotiated damages to offshore drilling rigs as a result of Hurricane Katrina, including management of a team and preparation of documentation.
Gulf Of Mexico Prepared and negotiated a damage claim for a failed derrick structure resulting in extensive damage to the construction of the DD2 rig, including project delay and prolongation during the pre-commissioning phase.
Singapore, Thailand Prepared an insurance claim as a result of a failed applied paint system on a drill rig. The work was carried out partly in Singapore and later in Trinidad. Direct costs claimed including prolongation for the project management team, rig wet and dry tow, and shipyard shared costs.
Texas On behalf of the owner, performed an analysis of contractual responsibilities for cost overruns and delays on the fabrication of components of an offshore drilling rig.
United Arab Emirates Worked as part of team preparing claim(s) against contractor and subcontractors performing the design, procure and construction of new semi-submersible drilling platforms. Also, prepared extensive claim defense dossiers. The claims were mostly in connection with contractor caused delays, disruption, lack of preservation leading to damaged equipment, defective workmanship, lack off appropriate resources, rebuttal of alleged delay in key engineering deliverables, and other similar related matters. Total value of claims: exceeded US$50 million.
United Arab Emirates Worked as part of team preparing claim for increased engineering man-hours associated with the construction of two semi-submersible drill platforms. Man-hour losses resulted largely from client preferential engineering, overzealous comments, untimely responses to clarifications, excessive RFIs, multiple drawing revisions, changes to IFC drawings, and other similar related engineering and design-related matters.
Venezuela On behalf of the owner, analyzed the project schedule including engineering, procurement, fabrication, assembly, shipping, installation and commissioning activities relative to delays and disruptions to the conversion of three offshore drilling rigs into gas compression stations.
Offshore Gas Compression and Wellhead Platforms
Louisiana, Venezuela On behalf of a major U.S. oil company, performed an analysis and provided deposition testimony regarding a claim against a contractor for $29 million in improper charges on a reimbursable contract for the fabrication of one offshore gas compression platform and two wellhead platforms.
Offshore Gas Production Platform and Onshore Gas Plant
Australia On behalf of the owner, performed an analysis of an owner’s claim regarding defective designs and installations associated with an offshore gas production facility, pipeline, and onshore gas processing plant. Testified in arbitration.
Texas Reviewed typical contracts, cost and schedule control procedures used by an offshore oil & gas contractor to identify language that could be improved to reduce risks, identify ambiguities, and mitigate the potential for claims.
Offshore Oil & Gas Production Facility
Alaska On behalf of the government, evaluated the merits of a $2 billion tax petition relative to the dismantlement of oil production and related facilities on the North Slope. The evaluation included a review and critique of the overall dismantlement, removal and restoration plan, estimated quantities of work, labor and equipment costs, logistics and transportation, disposal of scrap and salvaged materials, and the dismantlement schedule.
Angola, South Africa On behalf of the owner, performed an analysis of a $45 million delay and disruption claim by a South African contractor involving the engineering, fabrication, and erection of two oil production facilities for a major U.S. oil company. Visited the facility offshore Angola during hook-up and commissioning to evaluate the contractor’s performance. Advised the client on the merits of the contractor’s claim to facilitate settlement.
Angola, South Korea Retained by a major U.S. oil company to evaluate the status, record keeping, schedules, and costs relative to the design and construction of hulls and topsides for two oil and gas processing offshore platforms being constructed in Korea for installation offshore Angola. The evaluation followed a visit to the contractor’s fabrication yard and focused on the analysis of cost overruns, schedule delays, and entitlement, and an assessment of the potential for claims from the prime contractor.
Angola, South Korea, Texas On behalf of the owner, performed an analysis of an $85 million change order and delay claim regarding an offshore Compliant Piled Tower constructed in Texas and topsides facilities fabricated in South Korea for installation offshore Angola.
California Provided Claims Prevention Training Seminar for Project Management, Contract Administration, and Legal Personnel of a major U.S. oil company.
Canada On behalf of the EPC contractor, analyzed a claim for delay during the design and construction of an offshore platform. Prepared an Expert Report in anticipation of arbitration. The case settled.
Equatorial Guinea Carried out contract and claims prevention review on ITT/bid contract and general documents (commercial risk identification and mitigation) for an offshore contractor performing transportation, installation, and commissioning associated with the construction of an oil field development project.
Finland, Gulf Of Mexico, Texas Performed an analysis in support of an owner’s claim against an international EPC contractor’s performance, delays, and $100 million cost overrun regarding a Spar production facility that was fabricated in Finland for installation in the Gulf of Mexico. Issues involve material delays, welding rework, quadrupling of labor man-hours, wet mating of hard and soft tank/truss, delay, liquidated damages, conversion of contract issues, and related damages.
Gulf Of Mexico On behalf of the owner, evaluated outstanding contractual payments, unresolved change orders, and alleged delay costs alleged by a contractor for the fabrication, transportation, and installation of Pipeline End Terminations and Jumpers for an offshore oil production facility.
Gulf Of Mexico On behalf of a major U.S. oil company, performed an analysis of the owner's damages resulting from the delayed installation of an oil production facility due to defects in the fabrication of shackles. Identified the owner’s direct costs and time-related costs from its job cost project files. Analyzed the owner's project CPM schedules to identify critical path delays associated with the work to replace the defective mooring shackles.
Gulf Of Mexico On behalf of the owner, assessed fabrication defects on two offshore oil production facilities. Developed the supporting cost documentation to establish the quantum for the owner’s claim. Prepared Expert Report for testimony in ICC arbitration in London.
Gulf Of Mexico Provision of contract administration services and mentoring in-house contract and change control team for an offshore oil & gas contractor. Drafted and issued contractual letters in connection with changes, delays, potential extension of time, etc.
Gulf Of Mexico Provided project controls coordination services during inception/feasibility/design stage of a deepwater project. Management of the owner’s contracts for the hull and moorings, risers, and installation with four contractors and various subcontractors. The focus was on the identification of “cost management” deficiencies, reporting thereupon to Project Services Director and suggesting and implementing damage limitation measures. Acted as the first line of defense against the contractors’ efforts to depart from their contract obligations.
Gulf Of Mexico, Louisiana, Texas On behalf of the paint manufacturer, prepared an Expert Report refuting the EPC contractor’s claim for delay and disruption allegedly resulting from work associated with removal of lead-containing paint from the process plant modules and platforms of an offshore oil production facility installed in the Gulf of Mexico. Case settled prior to trial. This project also involved the defense against the owner’s delay claim for recovery of lost profits due to the delay to the achievement of First Oil allegedly caused by the lead abatement program. Presented an Expert Report demonstrating that the project would have been delayed because of concurrent delay by the EPC contractor, and testified in deposition, resulting in a successful settlement of the dispute.
Gulf Of Mexico, Norway On behalf of the owner, evaluated a contractor’s $87 million delay and disruption/loss of productivity claim resulting from alleged design changes to a semi-submersible hull and mooring system project for an offshore oil & gas production facility that was fabricated in Norway for installation in the Gulf of Mexico. Evaluated contractor’s entitlement to unresolved change orders and contractor’s alleged delays associated with owner interference, late owner approvals, ABS approval delays, and out of sequence work. Prepared an expert Report and testified in arbitration
Mexico, Sweden On behalf of a Swedish subcontractor, reviewed its claim against the EPC contractor for delay and loss of productivity associated with the fabrication and assembly of living quarters for an offshore oil production facility.
New Zealand Managed the overall evaluation and integrity of tender process for EPC contracts associated with offshore pipelines and platform installation, an offshore platform, and production station. Facilitated decision-making by the Execution Managers based on appropriate information approved by the Tender Evaluation Manager.
Nigeria, Texas On behalf of the owner, performed an analysis of a mechanical contractor’s $7 million marine lien delay and disruption claim against a major oil company on an offshore oil production project. The claim involved the value of equipment, piping, and structural installations on two refurbished rigs.
Russia On behalf of the owner, evaluated its position for a claim against the EPCM contractor for mismanagement, cost overruns, and delays on the performance of a cost reimbursable contract to design and build an offshore oil & gas production facility. Performed a schedule and cost variance analysis to identify where delays and cost overrunds occurred, and the allocated causes for such overruns against the owner and the contractor.
Scotland On behalf of a major U.S. oil company, evaluated potential delay claims from the contractor associated with a DCS & Alarm Management Upgrade to an offshore platform in the North Sea.
Texas On behalf of a major oil company, reviewed its ITB package for preparation of the FEED for the design of the Topsides facilities for an offshore deep-sea oil & gas production platform. Recommended clauses to resolve potential inconsistencies, ambiguities, and conflicts. Prepared clauses for cost and schedule control procedures.
Texas Defended oil & gas producer against an $8 million claim from an EPC contractor and shipyard for additional costs alleged to have arisen as a result of significant increase in scope and project delay.  Analysis revealed that defendant had failed to properly consider nearly $8 million in paid extra work.  Claim was settled in mediation.
Texas Reviewed Engineering Work Processes used by a major engineering company and a major oil company associated with the design of offshore oil & gas production facilities. Recommended clauses to resolve potential inconsistencies, ambiguities, and conflicts. Prepared clauses for cost and schedule control procedures.
Sealift Waterflood Project
Washington Developed cost estimates for all change orders impacting the Lower-48 field budget for EPC contractor on a Sealift Waterflood Project. Provided support to the owner in determining the estimated engineering and construction costs for potential changes to the structural, mechanical and process systems designs.
Undersea Pipelines
Gulf Of Mexico Evaluated the impact of a labor strike to daily productivity and progress on a pipeline lay barge, and identified other project events that may have contributed to the negative impact on the project schedule. Also provided expert testimony (at deposition) on behalf of the labor union related to these issues.
Gulf Of Mexico Identification, management, preparation, and resolution of a 30-day extension of time claim and successful settlement of a prolongation claim for a contractor performing subsea installation of offshore pipelines.
Gulf Of Mexico Contract management and commercial support including change management services for a contractor performing subsea installation of offshore pipelines.
Gulf Of Mexico Provided contract administration, dispute resolution, claims execution and settlement for a design, procure and install contract for 160 mile oil and gas pipeline and risers to platforms. A number of change orders and claims were later the source of litigation. Gave evidence to facts, via depositions taken in preparation of a court appearance.
Gulf Of Mexico Prepared an extension of time claim for subsea pipeline fabrication and installation, fabrication and installation of subsea structures and riser installation using flexible reel pipe lay vessel. A one-month delay was caused by delayed pipe delivery.
Gulf Of Mexico A pipe insulation supplier experienced delays (not client related) which resulted in a potential two-month project delay. Through a proactive relationship with the insulation contractor’s project team, reduced delay and mitigated all impacts to the project. The net result was successful completion of the project with no claims being levied against the subcontractor.
Gulf Of Mexico Performed minor dispute resolution, claims execution, and settlement of change order requests for a pipeline installation contractor. The disputes included insurance “differences” caused by frustration/ force majeure following the terrorist attacks of September 11, 2001. Claims included additional pipeline installation and procurement, extra pipeline crossings, and other miscellaneous smaller claims for disputed extra work. Closed out change order requests, prepared fully substantiated claims and assisted in resolving major differences between the employer and the contractor.
Gulf Of Mexico, Texas On behalf of the owner, performed an analysis of a claim associated with the placement of undersea oil & gas pipelines in the Gulf of Mexico. Prepared an Expert Report regarding technical issues of entitlement for cost overrun issues and substantiation of the accounting records to support the costs associated with the claim. Testified in arbitration.
Nigeria Produced a claims and dispute prevention register specifically for contract terms and conditions and contract exhibits associated with an Offshore Gas Pipeline Project. Review of possible causes and effects, categorization of risk (high or low), and recommendation of mitigation action.
Trinidad On behalf of the owner, evaluated contractors’ claims for delays and cost overruns associated with two offshore gas pipeline projects.

Back to Top

Oil Terminal Facilities
Oil Terminal Projects
Canada On behalf of the owner, performed an analysis of causes of cost overruns incurred by the contractor on an oil terminal project in Alberta. Review and compared bid package drawings with Issued for Construction drawings, welding data, and other information to determine if the owner had a basis for disputing the contractor’s costs. Participated in mediation to resolve the dispute.
Louisiana On behalf of the insurer representing the contractor, prepared an Expert Report and provided testimony regarding the analysis of an owner’s property damage claim following a fire at an oil terminal which damaged the tank areas, including associated equipment, piping, electrical and instrumentation. Also evaluated the validity of the owner’s warranty claims that existed prior to the fire and included in the owner’s alleged damages. Prepared an Expert Report and testified in deposition, which led to a settlement of the dispute.
Russia On behalf of a major U.S. oil company, assessed a Korean contractor’s $75 million delay and acceleration claim on an oil terminal project. Assessed the contractor’s CPM schedules, change orders, increased staffing claims, and the owner’s counterclaims.

Back to Top