J a p a n C o o p e ra t i o n C e n t e r, P e t r o l e u m

NEWS
No.

118

Connected by technology, person-to-person

Topics■ The 32nd JCCP International Symposium■ Signing of MOU with Tasweeq■ Executive Meetings in Qatar and Indonesia■ Participation in the Exhibition at World Future Energy Summit 2014
■ Corporate Cooperation to Oil-producing Countries

2014 June

JCCP NEWS No. 118 June 2014

Table of Contents
TopicsThe 32nd JCCP International Symposium: “Innovation Challenges of Oil Industry for the Future Generations” ............. 3
Keynote Speech — Prof. Paul Stevens, Dinstiguished Fellow,
Royal Institute of International Affairs (Chatham House)....................................................... 9
Signing of MOU with Tasweeq ......................................................................................................................................... 14
Executive Meetings in Qatar and Indonesia..................................................................................................................... 15
JCCP Participation in the Exhibition at World Future Energy Summit 2014 in Abu Dhabi .............................................. 17

Personnel Exchange Programs
Total Number of Training Participants Surpasses 22,000 ................................................................................................ 19
For Improved Training Practicality (Part 3) ...................................................................................................................... 20[New Course] Regular Course on Energy Management — Advanced Technologies and Strategies ............................... 22[New Course] Regular Course on TPM Activities for Reﬁnery Maintenance Management ............................................. 26
CPJ Women’s Course on CSR of Japan’s Oil Companies for Qatar and UAE .................................................................... 29
CPJ on the Latest Power Turbine and Boiler Technologies for Vietnam .......................................................................... 32
CPJ on Environmental Management and Advanced Technologies for KPC ..................................................................... 35
CPJ on Petroleum Marketing and Physical Distribution for Vietnam............................................................................... 38
Report on the Training Cooperation Program: Saudi Arabia ........................................................................................... 41
Report on the Training Cooperation Program: Vietnam .................................................................................................. 43
JCCP Regular Courses Completed .................................................................................................................................... 45

Technical Cooperation
Survey on Cooperation Research about Catalyst and Process Examination for Effective Hydrotreatment of
Kuwait Crude Fractions............................................................................................................................................... 49
MOA/MOU Signing Ceremony with KACST (Saudi Arabia) ............................................................................................... 51
Signing of Agreement for the Joint Project on Technology Cooperation for Lubricating Oil Production with the
Ministry of Oil-Iraq ..................................................................................................................................................... 53
The 23rd Saudi Arabia-Japan Joint Symposium ............................................................................................................... 55

Corporate Cooperation
Our Technical Cooperation in Oil-Producing Countries and Expectations of JCCP .......................................................... 58

Announcements
Please Help Us Update Our Roster ................................................................................................................................... 62
Please Send Us a Message as Alumni............................................................................................................................... 62
Personnel Changes ........................................................................................................................................................... 63
Editorial Postscript ........................................................................................................................................................... 63

Cover photo
Taken by: Minoru Horike
Location: Shinjuku Gyoen National
GardenDate:
May 2010

Topics

The 32nd JCCP International Symposium“Innovation Challenges of Oil Industry
for the Future Generations”

The guest of honor, chairmen and panelists of the symposium

The 32nd JCCP International Symposium was held overtwo days, from January 29 to 30, 2014, under the auspicesof the Ministry of Economy, Trade and Industry (METI).
More than 400 people from the ministry, oil-producing
countries, foreign embassies in Japan, governmental
agencies, and domestic companies and organizations
attended the event held at Hotel Okura Tokyo.

its efforts for innovative technical development andmanagement improvement.
Based on this understanding, the symposium washeld with the objective of exchanging information andviews with leading authorities from oil-producing andoil-consuming countries who consistently address thechallenge of innovation in their respective capacities.

1. Theme

2. Overview

The theme of this year’s symposium was “Innovation
Challenges of Oil Industry for the Future Generations.” It
was discussed in detail in two sessions held on the secondday, from the perspectives of “Management Strategy and
Human Resource Development for Changing Times” and“Technical Possibilities and Environmental Approaches
for the Future.”
The global oil situation is undergoing dramaticchanges brought about by the shale oil and gas revolution,
the construction of large-scale, export-oriented refineries
in emerging nations, and the increasing need to addressenvironmental issues. The oil industry as a whole must
therefore gain an accurate awareness of such movementsof the times from a long-term standpoint and continue(1) First Day (January 29): Opening Ceremony
The symposium opened at 2:00 p.m. on January
29 with a welcome address by Mr. Keizo Morikawa,
President of JCCP, followed by a greeting from the guestof honor, Mr. Takayuki Sumita, Director-General of the
National Resources and Fuel Department at METI.
In his speech, Mr. Morikawa explained the objectivesof the 32nd JCCP International Symposium as follows:“The world energy situation is undergoing remarkablestructural changes. There has been a change in the
demand-supply structure in emerging countries in
the Middle East and Asia due to their economic
growth, shale oil and shale gas development brought
about by technological innovation, deeper oil well

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3

impacts. A detailed summary of the speech is provided
on pages 9 to 13 in this issue of JCCP NEWS.

Mr. Takayuki Sumita, Director-General, National Resources
and Fuel Department, METI, giving a speechas the guest of honor

exploration, responses to global environmental issues
and reassessment of nuclear power generation. These
are the challenges and changes we face today as bothproducers and consumers of oil. To fulfill our mission ofachieving sustainable and stable supply of oil, we mustassess these changes, formulate a management strategy
for the future, improve the technologies required for
implementation of the strategy, and nurture the next
generation of leaders. In order to fulfill this common
mission, greater importance than ever before will beplaced on dialogue and information-sharing between
oil-producing and consuming countries.”
Next, Mr. Sumita spoke as follows: “Especially in theJapanese oil industry, it is important to have a global viewand to promote the healthy development of the oil industry
from a broad perspective. One of the tools for securing
a stable oil supply is cooperation with oil-producing
countries. More concretely, Japanese cooperation inhuman resource development and technology transfer
has particularly important significance. JCCP activities
and the JCCP international symposium have played
important roles in such cooperation, and the symposium,in particular, is expected to initiate a new era ofinnovation in the oil industry.”(2) Keynote Speech
Following the opening speeches, a keynote speech
was given by Prof. Paul Stevens, a Distinguished Fellow
at the Energy, Environment and Resources Department
at the Royal Institute of International Affairs (Chatham
House), based in London. Titled “Global Implicationsof the Technological Revolution in the Production of
Gas and Oil,” Prof. Stevens’ speech focused on thetechnological revolution that is taking place in the oil
industry today, and discussed its immediate impact on
the oil and gas markets and its future, long-term global

4s 4OPICS s(3) Special Lectures
Prof. Stevens’ keynote speech was followed by four
special lectures.
The first lecture was by Dr. Mohammed AlMadi, OPEC Governor, Ministry of Petroleum andMineral Resources, Saudi Arabia. In his lecture titled“Transformative Technologies: Lessons Learned from
Successes in the Energy Industry,” Dr. Al-Madi explained
how technological innovations and technical investment
are transforming the oil industry, and introduced the King
Abdulla Petroleum Studies and Research Center and theopen network innovation model as examples of actual
initiatives being implemented in Saudi Arabia.
Next, Mr. Abdulla Haji A. M. Al Abdulmalek,
Executive Director–Administration Directorate, Qatar
International Petroleum Marketing Co., Ltd. (Tasweeq),
gave a lecture on “Sustainable HR Strategy at Tasweeq.”
In addition to general HR strategies, Mr. Abdulmalek
discussed HR strategies under the Tasweeq Mission
to “nurture Qatari workers (Qatarization) and present
Qatar as a leader in business ethics” and the Graduate
Development Program as concrete examples of HR
development programs at Tasweeq.
Following Mr. Abdulmalek, Mr. Win Maw, Deputy
Director General, Energy Planning Department,
Ministry of Energy / Myanmar, gave a lecture on “The
Current Status and Future Vision of Oil and Gas Sector
in Myanmar.” He first explained the structure of theenergy sector in Myanmar by providing an overview
of energy-related ministries and government agencies,
organizations such as the National Energy Management
Committee, and national companies, then discussed thepresent state of oil and gas production in the country,
the conditions of mining sites, the privatization ofrefineries, and joint venture schemes. Mr. Maw closed
his lecture by expressing his wish that “the participantsof the symposium will return with best insights about
these potential opportunities of technical and fiscal
management in Myanmar oil and gas sectors.”
Following Mr. Maw, Dr. Fereidun Fesharaki,
Chairman, FACTS Global Energy (FGE), gave a lectureon short-term oil and gas markets. Under the title of“Dynamic Challenges and Opportunities in the Global
Oil and Gas Industries,” he shared his views on the five
demand centers in the world (China, Middle East, Latin
America, India and Africa), the three supply centers

JCCP NEWS No. 118 June 2014

Dr. Mohammed Al-Madi, OPEC Governor,
Ministry of Petroleum and Mineral Resources, Saudi Arabia,
giving a speech at the reception

Special lecture: Mr. Abdulla Haji A. M. Al Abdulmalek,
Executive Director–Administration Directorate, Tasweeq

in the world (United States, Iraq and Canada), issues
in demand facing the industrialized nations, issues in
the oil refining business, and the characteristics of thenatural gas market.
Unfortunately, Mr. Zach Henry, Director of Energy
Dialogue, International Energy Forum (IEF), who
was scheduled to give a lecture, could not make an
appearance due to an unexpected, urgent matter.

Development (HRD) and Management Strategy to
Meet the Increasing Demand and Challenges of Human
Resources for the Refining and Petrochemical Industry
in Vietnam”; Mr. Nofal Said Khamis Al Saidi, General
Manager, HRS, Oman Oil Refineries and Petroleum
Industries Company (Orpic), gave a presentation titled“Human Capital Management Draft Framework”; Mr.
Abdulla Ibrahim Al Marzooqi, Manager, Strategic
Studies’ Business Development Department, Corporate
Support Division, Abu Dhabi Oil Refining Company(TAKREER), gave a presentation titled “Nationalization:
The Challenges and Solutions to Contemporary Human
Resourcing”; Mr. Sami Hussain Malallah, Training& Career Development Manager, Training & Career
Development Department, Kuwait National Petroleum
Company (KNPC), gave a presentation titled “Employee
Development Strategy”; and Mr. Nobutaka Nohara,
Executive Officer, General Manager, Corporate
Administrative & Financial Affairs Division, JGC
Corporation, gave a presentation titled “Developmentof Globally Competitive Human Resources.”
As chairman of the session, Mr. Yamazaki summarized
the presentations as follows: All of the panelists in thissession today are from the management of a national
company or oil and gas company, and have emphasized
their awareness of the need for human resource
development and their management responsibilities toserve their country. Based on this awareness, they are
putting together a management strategy and a strategy
for human resource development in response to changing
needs against the social environment and industrial history
in their country. I would like to see a further deepeningof understanding about the management and humanresource development strategies in different countries,
and hope Japanese companies will extend their help inthe development of human resources in various countries(4) Reception
A reception was held after the keynote speech andspecial lectures, and Mr. Atsushi Taketani, Director,
Petroleum Refining and Reserve Division, National
Resources and Fuel Department, METI, gave a welcome
speech, followed by Dr. Mohammed Al-Madi, OPEC
Governor, Ministry of Petroleum and Mineral Resources,
Saudi Arabia, who gave a speech on behalf of the oilproducing countries, and Mr. Jun Arai, COO, Showa
Shell Sekiyu K.K., who led a toast after giving a brief
greeting on behalf of the Japanese side.
(5) Second Day (January 30): Discussion Sessions
Two discussion sessions were held on the second day.
Discussion Session 1 was held in the morning, chairedby Mr. Yutaka Yamazaki, Executive Vice President, JGC
Corporation, and Discussion Session 2 in the afternoon,
chaired by Mr. Takashi Matsushita, Director, Managing
Executive Officer & General Manager, Manufacturing& Technology Department, Idemitsu Kosan Co., Ltd.
In Session 1, themed “Management Strategy and
Human Resource Development for Changing Times,”
five panelists gave presentations on their company’s
management strategies and human resource development
initiatives and visions. Dr. Dinh Van Ngoc, President &CEO, Binh Son Refining and Petrochemical Co., Ltd.,gave a presentation titled “PVN’s Human Resource

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5

Special lecture: Mr. Win Maw, Deputy Director General,
Energy Planning Department, Ministry of Energy / Myanmar

Special lecture: Dr. Fereidun Fesharaki, Chairman, FGE

with the cooperation of the Japanese government.
In Session 2, themed “Technical Possibilities andEnvironmental Approaches for the Future,” five panelists
gave presentations on the technical and environmental
vision and initiatives of their company. Mr. Dhani
Prasetyawan, Vice President, Refining Technology, PT
Pertamina (Persero), gave a presentation titled “Energy
Management System”; Mr. Abdulqader Alkamali,
Chairman of ADNOC Group Environmental Committee
and Vice President HSE, Abu Dhabi Gas Industries
Ltd. (GASCO), gave a presentation titled “Pollution
Prevention through Resource Conservation”; Mr.
Saad Noori Mohammed Al-Darraji, Director General,
Midland Refineries Company, Ministry of Oil-Iraq,
gave a presentation titled “Technical Possibilities
and Environmental Approaches for the Future”; Prof.
Gautam Kalghatgi, Principal Professional, Research &Development Center, Saudi Aramco, gave a presentation
titled “Engine Development Trends and the Implications
for Transport Fuels”; and Mr. Itaru Matsuhiro, Executive
Officer & General Manager, Technology & Engineering
Center, Idemitsu Kosan Co., Ltd., gave a presentation
titled “Philosophy and Strategy of Idemitsu for the Futureof Petroleum Refining Industry – In Pursuit of Harmony
between Value of Hydrocarbons and Conservation ofEnvironment.”
As chairman of the session, Mr. Matsushita summarized
the presentations as follows: All of the presentations inthis session today spoke about environmental protection
as a priority issue in all aspects of refinery management,
including the designing of refinery facilities andinitiatives for quality enhancement and operational
improvement, and emphasized the need to make active
efforts to introduce and develop new technologies. For
environmental protection, the oil industry in oil-producing
countries and Japan have accumulated experience andtechnologies through refinery operations, and possess
invaluable knowledge that cannot be purchased fromlicensors but can only be acquired through the actual
management of a refinery. In order for the oil industry
to maintain good relations with local communities as agood corporate citizen, oil-producing countries and Japan
must mutually share their technologies and know-how as
future energy suppliers and create a win-win relationshipbetween oil producers and consumers.

3. Closing Statement
After the discussion sessions, Mr. Masataka Sase,
CEO & Executive Director of JCCP, delivered a closing
statement as follows: Today, we are seeing a great dealof changes in the energy sector. In the Middle East andAsian countries and other emerging countries, demandfor energy is increasing due to their economic advances,and we are also seeing innovation and technology
in shale oil and shale gas development, deep sea oilfield development, and construction of new refineries.
Energy demand balance is changing due to all thesefactors. In this symposium, the speakers have taken up
related matters and gave presentations that shared ideas
about the direction of responses for future generations,and initiatives for human resource development andtechnological innovation. I think we had a highly fruitful
two days.
This was the 32nd time that JCCP organized theinternational symposium since its founding in 1981.
Held annually, it aims to provide a venue for exchanges
between oil-producing countries and Japan, and tocontribute to the stable supply and demand of energy
by promoting mutual understanding. I would like toonce again thank everyone for their participation andcontributions in making this symposium meaningful.
<by Akio Yamanaka, Councilor, Administration Dept.>6s 4OPICS s

JCCP NEWS No. 118 June 2014

The 32nd JCCP International Symposium Program“Innovation Challenges of Oil Industry for the Future Generations”
Date

Time

Jan. 29 (Wed)14:00 – 17:45

Proceedings
Opening ceremony
Opening address
Mr. Keizo Morikawa, President of JCCP
Guest-of-honor speech
Mr. Takayuki Sumita, Director-General, Natural Resources andFuel Department, Agency for Natural Resources and Energy, METI
Keynote speechProf. Paul Stevens, Distinguished Fellow, Energy, Environment andResources Department, Royal Institute of International Affairs (Chatham
House)
Special lectures
Dr. Mohammed Al-Madi, OPEC Governor, Ministry of Petroleum andMineral Resources
Mr. Abdulla Haji A. M. Al Abdulmalek, Executive Director – Administration
Directorate, Qatar International Petroleum Marketing Company Ltd.
(Tasweeq)
Mr. Win Maw, Deputy Director General, Energy Plannng Department,
Ministry of Energy / Myanmar
Dr. Fereidun Fesharaki, Chairman, FACTS Global Energy (FGE)

Jan. 30 (Thu)

18:00 – 20:00

Reception

9:30 – 12:00

Session 1 “Management Strategy and Human Resource Development for Changing
Times”

13:30 – 16:00

Session 2 “Technical Possibilities and Environmental Approaches for the Future”

16:00 – 16:05

Closing address: Mr. Masataka Sase, CEO & Executive Director of JCCP

Keynote Speech
Country
U.K.

Speaker

Speech Title

Prof. Paul Stevens
Distinguished Fellow,
Energy, Environment and Resources Department,
Royal Institute of International Affairs (Chatham
House)

Global Implications of the Technological
Revolution in the Production of Gas and Oil

Special Lectures
Country
Saudi Arabia

Qatar

MyanmarUSA

Speaker

Speech Title

Dr. Mohammed Al-Madi
OPEC Governor, Ministry of Petroleum andMineral Resources
Mr. Abdulla Haji A. M. Al Abdulmalek
Executive Director – Administration Directorate,
Qatar International Petroleum Marketing
Company Ltd. (Tasweeq)
Mr. Win Maw
Deputy Director General, Energy Planning
Department, Ministry of Energy
Dr. Fereidun Fesharaki
Chairman, FACTS Global Energy (FGE)

Transformative Technologies: Lessons Learned
from Successes in the Energy Industry
A Sustainable HR Strategy at Tasweeq

The Current Status and Future Vision of Oil and
Gas Sector in Myanmar
Dynamic Challenges and Opportunities in the
Global Oil and Gas Industries

JCCP NEWS No. 118 June 2014

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7

Session 1: Management Strategy and Human Resource Development for Changing Times
Chairman: Mr. Yutaka Yamazaki, Executive Vice President, JGC Corporation
Country

Speaker

VietnamMr. Dinh Van Ngoc
President & CEO, Binh Son Reﬁning andPetrochemical Co., Ltd.

Oman

Mr. Nofal Said Khamis Al Saidi
General Manager, HRS, Oman Oil Reﬁneries andPetroleum Industries Company (Orpic)
Mr. Abdulla Ibrahim Al Marzooqi
Manager, Strategic Studies & Business
Development Department, Corporate Support
Division, Abu Dhabi Oil Reﬁning Company(TAKREER)
Mr. Sami Hussain Malallah
Training & Career Development Manager,
Training & Career Development Department,
Kuwait National Petroleum Company (KNPC)
Mr. Nobutaka Nohara
Executive Ofﬁcer, General Manager,
Corporate Administrative & Financial Affairs
Division, JGC Corporation

UAE

KuwaitJapan

Speech Title
PVN’s Human Resource Development (HRD) andManagement Strategy to Meet the Increasing
Demand and Challenges of Human Resources for
the Reﬁning and Petrochemical Industry in Vietnam
Human Capital Management Draft Framework

Nationalization: The Challenges and Solutions toContemporary Human Resourcing

Employee Development Strategy

Development of Globally Competitive Human
Resources

Session 1 panelists

Session 2 panelists

Session 2: Technical Possibilities and Environmental Approaches for the Future
Chairman: Mr. Takashi Matsushita, Director, Managing Executive Ofﬁcer & General Manager,
Manufacturing & Technology Department, Idemitsu Kosan Co., Ltd.
Country
Indonesia

UAE

Iraq

Saudi Arabia

Japan

SpeakerMr. Dhani Prasetyawan
Vice President, Reﬁning Technology,
PT Pertamina (Persero)
Mr. Abdulqader Alkamali
Chairman of ADNOC Group Environmental
Committee and Vice President HSE,
Abu Dhabi Gas Industries Ltd. (GASCO)
Mr. Saad Noori Mohammed Al-Darraji
Director General, Midland Reﬁneries Company,
Ministry of Oil
Prof. Gautam Kalghatgi
Principal Professional, Research & Development
Center, Saudi Aramco
Mr. Itaru Matsuhiro
Executive Ofﬁcer & General Manager, Technology& Engineering Center, Idemitsu Kosan Co., Ltd.

Speech Title
Energy Management System

Pollution Prevention through Resource
Conservation

Technical Possibilities and Environmental
Approaches for the Future
Engine Development Trends and the Implications
for Transport Fuels
Philosophy and Strategy of Idemitsu for the
Future of Petroleum Reﬁning Industry —In Pursuit of Harmony between Value of
Hydrocarbons and Conservation of Environment*

Presentation materials from the symposium are available on JCCP’s website (http://www.jccp.or.jp) for your reference.

8s 4OPICS s

JCCP NEWS No. 118 June 2014

Keynote Speech

Global Implications of theTechnological Revolution in
the Production of Gas and Oil
Prof. Paul Stevens, Distinguished Fellow,
Energy, Environment and Resources Department,
Chatham House

A technological revolution is taking place in theoil upstream sector. Today, I wish to look at the global
implications of this. I shall start by describing what thistechnological revolution is that I am going to be talking
about. Then, I will look at what the immediate impact
has been on the oil and gas markets, and will look to the
future and ask the question, “What are the future global
impacts likely to be as we move forward?”
In order to do so, I firstly need to answer a key
question. That is, “To what extent can the shalegas revolution, which is being experienced in the
United States, be replicated elsewhere, what are theopportunities, what are the problems, and what are thebarriers?”

in 1947. A second point is that these technologies weredeveloped largely by private companies, but on the backof a large amount of public R&D funding in the UnitedStates. This is an extremely important part of the story,
because this was funding for fundamental researchin basic science. The third characteristic is that thetechnologies have been improving constantly, at a rapid
rate. This is in part owing to a learning-by-doing process
as operators get together and exchange information.

Immediate Global Impacts on Gas

Technological Revolution
Let me start by talking a bit about what I mean by
the technological revolution. I would suggest that a main
component of the revolution has been extended-reachhorizontal drilling. I believe the record for the lateral bit
at the moment is 12.5 kilometers, but I read that figure
about three months ago, and I suspect, given the rate oftechnological change, that it is probably now longer. The
second main component is hydraulic fracturing, whereby
water, sand and chemicals, at very high pressure, areinjected into the formation to break up the shale andrelease the gas or oil.
I have also added two other elements to thetechnological revolution. The first is 3D seismic and thesecond is coiled tube drilling. I think these are going toplay an increasing role in the way in which the revolution
develops.
Now, a few characteristics about these technologies:
The first is that they are not new technologies. They havebeen around for quite a long time. Horizontal drilling wasdeveloped in the 1930s, and the first well was fracced

What has the immediate impact been on gas? Of
course, the main impact has been via LNG. The period
from 2009 to 2010 saw a falling demand in the UnitedStates and a global recession, and the result was a surplus
in LNG with a downward pressure on LNG prices.
Another impact has been an aggravation of regional
price differentials. Slide 1 shows the price of gas startingin 1984, and from the period of around 2002 to 2008,
there was a degree of convergence of gas prices among
different regions. However, that has been destroyed asa result of the shale gas revolution, and a huge pricedifferential emerged, in part driven by the shale gas

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9revolution but also by higher oil prices, because gas
prices are contractually linked to the oil price.
All of this has created significant uncertainty for
new projects, and there is a great deal of concern, forexample in Australia, as to how much U.S. LNG is going
to come into the market, and what sort of competitive
results will come from that. Another impact is that thefall in domestic gas price in the United States has createda revival of the U.S. petrochemical industry.

Immediate Global Impacts on Oil (1)What about the impact on oil? A good consequenceis that the “peak oil” argument is now dead and buried.
Slide 2 shows the forward curve from NYMEX. It
is interesting to note that four to seven years out andbetween 1988 and 2002, the backend was stubbornly
between $18 to $20 a barrel. That was viewed as thelong-term price of oil. From 2004 to 2006 to 2008,
however, the curve at the backend has risen. In otherwords, price expectations changed.
An interesting question, to which there is yet nosensible answer, is “Why did price expectations change?
What was going on?” When buyers were asked why they
are willing to pay so much more in the future for oil,they said they heard of “peak oil,” and it sounded like areasonable argument to push out the future price. Today,
we are seeing an attitude that moves from this idea ofscarcity to one of abundance. It is too early to say what
effect these expectations may have on the industry, butthey will have some sort of effect.

seaborne crude imports in the United States fell by 2.2
million barrels a day. As the country began moving
slowly toward the magic goal of energy independence,it also effectively began moving toward a reduction in
oil imports. Before all this, roughly half of the U.S. trade
deficit was energy, but the United States’ move toward
energy independence could bring significant impacts on
the balance of trade, and therefore have implications forthe value of the dollar.
It has also given rise to speculation about the impact
on U.S. policy. We are hearing people say that the UnitedStates will no longer have interest in what is happening
in the Middle East, and it will lose all interest in policing
the sea lanes because it no longer imports oil. Botharguments are nonsense. Superpowers police sea lanes,
whether or not they import oil, and U.S. foreign policyin the Middle East has a lot to do with other things
besides oil.
It has also had an impact on crude price differentials.
As a result of new technologies, there is a surplus oflight sweet crude, and a large portion of West African
crude, which used to go to the United States, is now
going to Asia.
Interestingly, between 2012 and 2020, there isestimated to be 8 million barrels a day of new refinery
capacity in Asia, but on close examination, that new
capacity is wrongly configured. It is geared for a worldin which there will be a shortage of light sweet and asurplus of heavy sour, whereas in fact the world we aremoving into is exactly the opposite. It will be interesting
to see how this plays out.

Before Consideration of Future Impacts (1)Immediate Global Impacts on Oil (2)The second immediate impact on oil relates to thesituation in the United States. Between 2007 and 2012,10 s 4OPICS s

Before we can consider the impact on the gas and oil
markets, we need to answer my initial question, “How

JCCP NEWS No. 118 June 2014

far can the shale gas revolution, which occurred in the
United States, be replicated elsewhere?” To answer this,
we must ask, “Why did the United States have a shalegas revolution?” The list for examining this question islong, and each item is answered with a yes. Here are acouple of examples. With regard to property rights of alandowner, in the United States, subsoil hydrocarbons
are the property of the landowner. If I am a landownerin the United States and you come to me and ask if you
can dig up my backyard and look for shale gas, I will
say with great pleasure you can dig up my backyard andhere are my bank account details, because if you findany shale gas it’s mine, and I get the benefit. As someone
said, the development of shale gas is like having thecircus coming to town.
Another example is the U.S. gas market. The U.S.
gas market has an extensive pipeline network. It is acommodity supply market, and it is easy to sell gas in
the United States. The list goes on and on.
At the same time, however, there is no question that
there are significant shale gas resources in other partsof the world as well.

Before Consideration of Future Impacts (2)Before Consideration of Future Impacts (3)Earlier, I mentioned some characteristics of theUnited States. If you look at other parts of the world andapply those characteristics, instead of getting a long listof yes’s, you will have a long list of no’s. This is true
for the U.K., as well as for Australia. This means there
are many barriers to the development of shale gas. Thus,
even if there are hopes for a shale gas revolution in suchcountries, don’t hold your breath. Shale gas revolution
will occur eventually, but not so quickly.

Future Global Impacts for Gas (1)This next slide is the sort of slide that would
receive an “F” if a student gave it to me. The green bar
represents proven gas reserves, and the red bar represents
technically recoverable resources. The rule of thumbin the United States says that if you have a figure fortechnically recoverable resources, about 10% of thatmight be regarded as recoverable reserves. The point of
the slide, however, is to illustrate that there are resources
elsewhere, and particularly in China and Latin America.
So, the question is, “Can these potential resources be
converted into gas molecules in a gas pipeline?”So, what about the future global impacts for gas? Gas
is a strange creature. It is strange, because energy people
get very excited when they talk about gas. They say gas
is a wonderful fuel, it has high conversion efficiency, it isclean, it is easy to use, and so on and so forth. Yet, within
the history of gas consumption in the primary energy
mix, the share of gas hardly changed up to about 1990.
After 1990, it began to increase slightly but not much.
Why is this? The answer is because there are awhole series of constraints upon the burning of gas. For
example, the premium fuel argument that was used in
the European Union and the United States said that gas
is such a wonderful fuel that it should not be burned,
but should be saved for premium usage. Thus, in 1975
the European Union and the United States both passed
legislation that prevented the building of new gas-fired
power stations. These constraints are beginning to comeoff, and when they do come off, the results are expected
to be spectacular.
The best example is the U.K. The graph shows that by1990 about 20% of primary energy came from gas. Ten
years later it was 40%. This is because the constraints

JCCP NEWS No. 118 June 2014

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came off. I suspect that in a lot of countries where theconstraints come off, gas demand will increase. This will
be aggravated or encouraged in a world where there are
expectations that the shale gas revolution will occur andthere will be lots of cheap gas.

Future Global Impacts for Gas (2)There will certainly be an increase in LNG trade. Thisslide shows an estimate from Jim Jensen as to what LNG
capacity might look like. However, there are fears ofcompetition, investment uncertainties, and lots of otherlittle bits and pieces.
One caught my attention the other day. Only about
less than 10% of the world’s LNG tanker fleet can go
through the Panama Canal because of size constraints.
The Panama Canal is in the process of being expanded,
and when it is finished, about 90% of the LNG fleet will
be able to go through the canal. The problem is that the
expansion has run into serious financial problems, so that
it will not be completed on time and could be delayed.
There are also pricing issues, and there is growing
concern in many gas markets about the contractual link
between gas prices and oil prices. This is most obvious
in Europe. European gas consumers are asking why they
are paying so much for gas when considering what ishappening to U.S. gas prices. The answer, of course, isbecause the oil price has gone up, but then they ask what
oil price has got to do with gas price, and are demandinga change in these contracts. In fact, Gazprom is underhuge pressure from European gas consumers to moveaway from those sorts of contracts.
Another interesting issue is whether the Asian gas
premium will continue, and again, this is all going to be
dependent upon what happens in terms of the replicationof the shale gas revolution.

12 s 4OPICS s

Future Global Impacts for Oil
Tight oil will increase and continue to increase in the
United States. Last year, U.S. oil production increased
15% in a single year, marking the largest percentage
increase of any oil producer in the history of theindustry. The IEA came out with a statement early lastyear that said by 2014 the United States will overtake
Saudi Arabia. My response to that is, “So what?” In thiscontext, size does not matter. Saudi Arabia’s importancein the world oil market stems from the fact that it iswilling and able to carry significant amounts of sparecapacity and use that spare capacity in a responsible
manner to keep the oil market balanced. The UnitedStates, with its thousands of producers, could never even
begin to approach that sort of role.
Another issue is the application of various technologies
in a different way, and particularly to fallow oil fields.
Since only about 35% of oil in place is recovered, thisleaves a lot of oil to be recovered. If technologies suchas horizontal drilling and fraccing are applied to fallow
oil fields, oil might begin to flow again.
Another important impact for oil relates to changing
trade patterns. Essentially what is happening is that oil,which traditionally flowed from the Middle East to theWest, is now flowing more and more from the Middle
East to the East. This has all sorts of implications for oilmarkets and geopolitics.
Lastly, there is the problem of what I have come tocall “OPEC’s dilemma.” OPEC’s dilemma is a simple
idea. Ever since the Arab uprisings kicked off at the
beginning of 2011, Arab producer governments sought
to increase oil prices. They wanted and needed more
revenue to counterbalance the needs of the young,disaffected population.
Recent statistics in Saudi Arabia between 2010 and2013 show that government current account spending
increased 40%. The government thus wants to increaseprices, but doing so would lead to demand destruction.
According to the IEA’s new policy scenario up to 2035,
68% of the increase in oil demand will come from
the Middle East, India and China. The significanceof this is that all three regions have a long history ofhighly subsidized oil prices to their consumers. This ischanging, however. It started to change in India in 2002,
and in China in 2009. It is also being talked about in the
Middle East, but now is not a particularly good time to
be increasing energy prices. The implication is that if
the price stays high, it will increasingly be passed on to

JCCP NEWS No. 118 June 2014

the final consumers of oil products.
At the same time, higher prices will increase supply.
This is in large part due to the technological revolutionthat I have been describing. In 2011 there was a jokeamongst oil analysts regarding who will be the next
member of OPEC, and the answer was North Dakota,
simply because of the increase in oil production that wascoming from there.
Now, the problem is that this sort of increase in oil

production calls for higher prices. Thus, a situation iscreated where the price needs to be high, but that highprice will lead to demand destruction and increase supply.
This is rather reminiscent of the period from 1980
to 1986 immediately after the first two oil shocks of the
1970s, which ended in the price collapse of 1986. There
are differences between then and now, but the situation
nonetheless suggests that higher prices are unsustainable.
Thank you very much indeed for your attention.

JCCP NEWS No. 118 June 2014

s 4OPICS s 13

Topics

Signing of MOU with Tasweeq
JCCP and Qatar International Marketing Co., Ltd.
(Tasweeq) agreed to strengthen their cooperative
relationship, and exchanged a Memorandum ofUnderstanding (MOU) on November 19, 2013.

1. BackgroundTasweeq was founded in 2007 as a state-run marketingcompany in Qatar. It exports and sells LPG, oil products
and condensate produced in Qatar, as well as undertakes
the export and sale of crude oil and GTL under contract
with Qatar Petroleum (QP). As it is the primary interface
for sales in Qatar, Japan’s oil industry is well aware of thesignificance of establishing a good relationship with thecompany. JCCP, for its part, has developed a certain bondof cooperation with Tasweeq to date through training
programs implemented directly by JCCP as well as those
implemented by member companies.
In May 2013, JCCP invited Mr. Abdulla Haji A. M.
Al Abdulmalek, Executive Director – Administration
Directorate, to Japan under the VIP Invitation Program,to deepen mutual understanding with relevant parties
in the energy sector in Japan by visiting the Agency for
Natural Resources and Energy under the Ministry of
Economy, Trade and Industry, in addition to domestic
companies related to oil businesses.

2. Signing Ceremony

Mr. Saad Al-Kuwari, CEO (center), and
Mr. Abdulla Haji A. M. Al Abdulmalek, Executive Director –Administration Directorate (left)from Tasweeq into its training programs, and articulated
his hopes that the signing of the MOU would provide
new momentum for strengthening ties between Tasweeq
and JCCP. Then, Mr. Masataka Sase, CEO & Executive
Director of JCCP, expressed JCCP’s expectations of further
strengthening its relationship with Tasweeq, and the two
leaders signed and exchanged the MOU.
After the ceremony, the JCCP members held afriendly exchange of views with Mr. Al-Kuwari andexecutive officers of Tasweeq, and confirmed theirmutual hopes to further strengthen ties between the twoorganizations in the future.
News of the signing ceremony appeared in several
local newspapers the following day.
<by Koichi Io, Operations Dept.>

The signing of the MOU took place on the morning ofNovember 19 in a conference room in Tasweeq’s Head
Office located in Doha.
First, Mr. Saad Abdulla Al-Kuwari, CEO, thanked JCCP
on behalf of the company for accepting many participants

Article on the signing ceremony in a local newspaper(Al-Arab); Dec. 5, 201314 s 4OPICS s

Article on the signing ceremony in a local newspaper(Al-Watan); Dec. 5, 2013

JCCP NEWS No. 118 June 2014

Topics

Executive Meetingsin Qatar and Indonesia
Mr. Masataka Sase, CEO & Executive Director of
JCCP, visited Qatar and Indonesia from November
17 to 22, 2013 to hold policy dialogues with the top
management of state-run oil companies in the twocountries with the aim of deepening exchanges andstrengthening mutual understanding and cooperation
with oil-producing countries.

1. Qatar(1) Participation in LPG Trade Summit
On November 18, the JCCP delegation attended the
LPG Trade Summit, held at a hotel in Doha under thesponsorship of Qatar International Marketing Co., Ltd.
(Tasweeq).
This was the first time for JCCP members to attend
the international conference on LPG, which garnered
the widespread interest of people engaging in LPG
businesses in Qatar and around the world. It featured
an opening speech by Dr. Mohammed Al-Sada,
Minister of Energy & Industry, and keynote speech
and presentations, which provided a wealth of useful
information to the JCCP delegation.

(2) MOU Signing Ceremony with Tasweeq
On the morning of November 19, Tasweeq and
JCCP signed the MOU at Tasweeq’s Head Office inDoha. For details, please see the article on “Signing of
MOU with Tasweeq” provided separately in this issueof JCCP NEWS.
(3) Visit to the Japanese Embassy in Qatar
In the afternoon of November 19, the JCCP delegation
paid a call on the Japanese Embassy in Qatar and met
with H.E. Ambassador Shingo Tsuda.
Mr. Sase first explained that his recent visit to
Qatar was realized by invitation from Tasweeq prior
to its participation in the upcoming JCCP International
Symposium, and reported on his participation in the LPG
Trade Summit and the MOU signing ceremony that washeld in the presence of Mr. Saad Abdulla Al-Kuwari, CEO,and other top officers of Tasweeq. Ambassador Tsuda thensaid he hopes JCCP will continue its activities in Qatar
and work to deepen the friendly relationship between thetwo countries, as Qatar is poised to become increasingly
important to Japan hereafter in terms of energy security.

At the Embassy of Japan in Qatar:
H.E. Ambassador Shingo Tsuda (second from left)

2. Indonesia

Dr. Mohammed Al-Sada, Qatari Minister of Energy & Industry,
delivering an opening speech at the LPG Trade Summit(1) MIGAS
On the morning of November 21, the JCCP delegation
visited the Indonesian Directorate General of Oil andGas (MIGAS) and met with Mr. A. Edy Hermantoro,
Director General.

JCCP NEWS No. 118 June 2014

s 4OPICS s 15

Mr. Sase first thanked MIGAS for its support of JCCP
activities, and explained the purpose of his visit, which is
to deepen ties with the Directorate and obtain its candid
views and requests. Mr. Hermantoro introduced himself
as having acceded the post of Director General held byhis predecessor Ms. Evita Legowo in December 2012,and said that he had heard much about JCCP from her.
He also thanked Mr. Sase for accepting many training
participants from MIGAS, and noted that employees
who have participated in JCCP training programs haveformed a network among themselves through which they
organize various alumni activities.
Mr. Sase then explained that JCCP offers customized
courses in response to specific needs in each country ororganization, and asked MIGAS members to contact
JCCP’s counterpart office if there are any requests forsuch courses. In response, Mr. Hermantoro thanked
Mr. Sase for the proposal, and said he would consider
the offer within the company, as similar proposals had
also been received from a JCCP delegation that visited
MIGAS the previous week.

At MIGAS:
Mr. A. Edy Hermantoro, Director General (second from right)(2) PERTAMINAIn the afternoon of November 21, the JCCP delegation
visited PERTAMINA and met with Ms. Evita M. Tagor,
Human Resources Director.
Mr. Sase first thanked PERTAMINA for its supportof JCCP activities, and explained that the purpose of his
visit was to hear about specific needs and requests at
PERTAMINA, and to further deepen JCCP’s relationshipwith the company. Ms. Tagor, on behalf of Ms. Karen
Agustiawan, President Director, who could not make an

At PERTAMINA:
Ms. Evita M. Tagor, Human Resources Director (left)

appearance due to other urgent business, conveyed Ms.
Agustiawan’s best regards to Mr. Sase, then expressed her
deep appreciation to JCCP for accepting large numbersof participants from PERTAMINA to its training courses
every year. She said that JCCP training is incorporated
as part of the company’s in-house training program, as
it provides a wealth of highly beneficial information,
and asked for JCCP’s continued cooperation in training
PERTAMINA employees.
As at MIGAS, Mr. Sase also proposed theimplementation of customized courses, and Ms. Tagor
indicated she would consider the offer within thecompany.
(3) Japanese Embassy in Indonesia
Late in the afternoon of November 21, the JCCP
delegation visited the Japanese Embassy in Indonesia,
and received valuable local information from Mr.
Shigeru Ushio, Minister of Economic Affairs.

3. Summary
During the recent visits to Qatar and Indonesia,
the JCCP delegation’s participation in the LPG Trade
Summit yielded a host of valuable information fromexperts in the field, and policy dialogues with key figures
in JCCP counterpart organizations highlighted theirstrong expectations of JCCP. The delegation renewed
their awareness of the importance of implementing
regular follow-up meetings, and set their minds to
exploring how best to utilize the valuable information
they obtained to enhance future JCCP activities.
<by Koichi Io, Operations Dept.>

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JCCP NEWS No. 118 June 2014

Topics

JCCP Participation in the Exhibitionat World Future Energy Summit 2014
in Abu Dhabi
The Fourth World Future Energy Summit 2014
(WFES) was held over three days from January 20 to
22, 2014 at Abu Dhabi National Exhibition Centre, and
JCCP participated in the exhibition part of the event.
WFES is an international event dedicated to thecreation of a sustainable society through the utilizationof renewable energies. It has been held since 2011,
hosted by Masdar, a renewable energy and sustainability
technology company in Abu Dhabi.
As the world’s largest trade fair for renewable energies
and environmental technologies, WFES is comprised ofpanel discussions and seminars by world leaders andenergy-sector stakeholders from Abu Dhabi and aroundthe world, in addition to an international exhibition. The
exhibition this year featured 650 exhibitors and attracted
some 30,000 visitors.
Many Japanese organizations and companies
participated in the exhibition as part of the Japan
Pavilion organized by the Ministry of Economy, Tradeand Industry (METI). JCCP also set up a booth for the
first time at WFES, as an effective means for widely
increasing recognition of JCCP activities in Middle
East countries.

1. About WFES
An opening ceremony was held on January 20, gracedby the presence of His Highness Sheikh Mohammed
Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and
Deputy Supreme Commander of UAE Armed Forces.
Following an opening speech by the CEO of Masdar, apanel discussion was held by top-level energy experts
from neighboring countries.
The exhibition, as a whole, featured a large variety ofdisplays by various countries of photovoltaic generation,wind power generation, energy conservation, fuel cellvehicles and solar panel vehicles, with the largest
portion of the exhibition floor occupied by Masdar, thesponsor company, the ADNOC Group, the local staterun oil company based in Abu Dhabi, and other major
oil companies.

2. Visitors to the JCCP BoothOn the first day, the Japan Pavilion received visitors
mainly from energy-related companies and otherenergy-sector stakeholders, as well as a visit by H.E.
Mr. Toshimitsu Motegi, Japanese Minister of Economy,
Trade and Industry. The JCCP booth welcomed many
JCCP alumni and people involved in JCCP technicalcooperation projects in UAE and other neighboring
countries.
Other visitors included people from the environment
and IT sectors and the media, who inquired mostly about
JCCP activities related to the environment. A numberof people inquired about the catchphrase “Connectedby Technology, Person-to-Person” printed on JCCP’sbanner, creating an ideal opportunity for JCCP members
to explain the organization’s operations.
The second and third days of the exhibition saw many
students from primary schools, junior high schools,
technical colleges and universities in UAE, who visitedthe exhibition as part of their extracurricular activities.
The hands-on science experiments provided in theseminar section of the Japan Pavilion seemed to catchtheir interest, as they also frequently do in Japan.
The JCCP booth also welcomed many visitors andprovided detailed information on JCCP activities in aneasy-to-understand manner. The estimated 250 visitors

With Mr. Abdul Qader Al Kamali, GASCO (left)

JCCP NEWS No. 118 June 2014

s 4OPICS s 17

to the JCCP booth were from UAE and other Middle
East countries such as Saudi Arabia, Bahrain, Qatar
and Oman, and from Germany, China, Canada, Turkey
and Malaysia.

3. Observations
JCCP participated in WFES for the first time andgained an ideal opportunity to widely promote anawareness of JCCP activities not only to people in theoil sector, but also those in other sectors and students aswell, and judging by the number of visitors, the amountof materials distributed, and visitors’ reactions to JCCP’s
explanations, a sufficient level of results was achieved.

Explaining JCCP activities to female students visiting theexhibition<by Jun Nishimura, General Manager,
JCCP Middle East Ofﬁce>

18 s 4OPICS s

JCCP NEWS No. 118 June 2014

Personnel
Exchange

Total Number of Training Participants
Surpasses 22,000
JCCP has proudly reached another milestone byreceiving the 22,000th participant to a training programin its 32nd year of establishment. The commemorative
22,000th participant was Ms. Hoang Le Hang, a
Deputy Director of the Marketing & Foreign Relations
Department at Vietnam National Petroleum Group(Petrolimex). She participated in a course on Petroleum
Marketing & Physical Distribution (CPJ-44) thatcommenced on December 9, 2013.
Since its establishment in November 1981, JCCP has
continued to organize an average of 25 JCCP-initiatedcourses every year, in addition to offering courses
through the cooperation of its member companies,
receiving participants from oil-producing countries tocustomized courses in Japan, and promoting technicaltransfers in the oil downstream sectors. Many of the
22,000 participants who have taken part in a JCCP
training program in the past now play active roles inimportant posts in government institutions and state-run
oil companies in their respective countries, and support
Japan’s cooperative activities in oil-producing countries
based on their knowledge and understanding of Japan.
As Ms. Hang is among members who will lead the futureof Petrolimex, JCCP hopes she will apply what she haslearned at JCCP to Vietnam and become a supporter ofJapan herself.
JCCP has been able to consistently receive
participants from oil-producing countries throughout
its 32-year history owing to their kind understanding
and expectations of JCCP, as well as the cooperation of
JCCP member companies and cooperating companies inJapan. By implementing programs that respond to needsin oil-producing countries, JCCP will devote even greater
efforts to promote personnel and technical exchanges
with oil-producing countries in the future.
<by Koichi Io, Operations Dept.>

Ms. Hoang Le Hang, Deputy Director, Marketing & Foreign Relations Department, Petrolimex
I am proud and honored to be the commemorative 22,000th participant of such an esteemedorganization as JCCP. By attending the training course on “Petroleum Marketing & PhysicalDistribution,” my fellow classmates and I have gained deeper appreciation of our professional ﬁeld,
as well as better knowledge about the Japanese oil industry and about advanced technologies andinfrastructure, not to mention a greater understanding of Japanese culture, people and history.
I would like to express my sincere thanks to Mr. Masataka Sase, CEO & Executive Director of
JCCP, and course coordinators Mr. Eiji Tsukamoto and Mr. Masayuki Jimbo. I also wish to extend mythanks to all the organizers, lecturers and supporters of the program. They worked professionallyand effectively to provide a successful training course as a testament to the renowned reputationof Japan Cooperation Center, Petroleum. We were thoroughly impressed with the thoughtful
and caring arrangements made throughout the course. Our accommodations were comfortable, transportation was convenient,and the guidance and instructions we received were extremely helpful.
I wish to also thank all my classmates, who shared in the JCCP experience and helped create unforgettable memories of ourstay in the hospitable and beautiful country of Japan.
I will apply the knowledge I acquired to my current work and contribute even more to the development of the Petrolimex group.
At the same time, I will contribute to sustainable growth in my country, and to enhancing and promoting the warm relationshipbetween Japan and Vietnam.

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 19

Personnel
Exchange

For Improved Training Practicality (Part 3)—Training using a New Simulator—
1. Introduction
A distributed control system (DCS) is a basic plant
operation tool. Based on this understanding, JCCP
installed a DCS-based training simulator immediately
after its establishment and commenced training using
an actual machine. Today, JCCP has two DCS models,
on which participants can engage in training on process
operational control and DCS engineering. They aresystematically upgraded on a regular basis to reflect
technological advancements and allow training on
the latest facilities. JCCP previously had two DCS
systems—Yamatake Honeywell’s Advanced-PS andYokogawa Electric Corporation’s CENTUM CS-3000—
and three independent miniature plants connected to each
DCS, to provide training simulators (No. 6 Simulator
and No. 5 Simulator) that closely matched actual onsite
facilities. Two years ago, the Advanced-PS was replaced
by Azbil Corporation’s Harmonas-DEO, and recently,

the CENTUM CS-3000 was upgraded to a Centum-VP.
Below is an overview of the new system and the training
program that has been renewed based on the new system.

2. Conﬁguration of the Simulators(1) Miniature plants
Connecting a training DCS system to a plant allows
training under conditions that closely match real
operating conditions. JCCP thus introduced miniatureplants at an early stage, and recently upgraded theirinstrumentation from a conventional type to one that isbased on the world’s most widely used HART Protocol.
Considerations were also made to provide training on
leading-edge instrumentation equipment by adopting afieldbus in some of the instruments.
 6\VWHPFRQÀJXUDWLRQ
Fig. 1 shows the configuration of the DCS system at

Fig. 1 System conﬁguration

20 s 0ERSONNEL %XCHANGE 0ROGRAMS s

JCCP NEWS No. 118 June 2014

JCCP. Operations are performed via three sets of HMIs
(human machine interfaces), with each set comprisedof an operating terminal and engineering terminal.
This setup allows simultaneous training by six to nine
participants.
Additionally, changes were made to the layout of
the miniature plants and DCS to improve the operating
environment, which had become slightly confined interms of space, and measures were taken to create anenvironment that closely matched an actual control
room, such as by installing a large screen in front of the
HMIs, setting up remote cameras, and projecting images
from the camera onto a large screen.

3. Training Content
The simulators are connected to JCCP’s existing andexternal facilities (PCs, etc.) to provide the following
training.
(1) Process control practice using a miniature plant
Hands-on training in basic process control (PID
control) is provided through actual operation of aminiature plant. This practice allows participants tolearn about tuning methods for good controllability andmethods for controlling disturbances, and is incorporated
in all instrumentation courses, as it covers many aspects
that are common to instrumentation-related engineering.
(2) DCS engineering practice
The main functions of DCS include process control
and monitoring. In this practice, participants learn
how process control and monitoring functions are
implemented using DCS. In order to operate a plantusing DCS, it is necessary to load data from various

instruments to the DCS, so participants first learn
about methods for defining necessary data. Then, they
practice control functions through a series of actions,from building control logic and downloading it to the
DCS to confirming the control action, and also practicemonitoring functions by creating a process-monitoring
screen and actually monitoring processes on the screen
they created.
(3) Practice using MPC (model predictive control)
Here, participants aim to solve an interference
problem in the water level of two water tanks of aminiature plant using MPC, and learn about important
procedures for building MPC, such as conducting a step
test and identifying a model under conditions that closely
resemble an actual system. The practice is performed byconnecting to a PC in which MPC functions are installed.
(4) Practice using OSS (operational support
system)Participants practice building automated operating
and guidance systems using OSS, which is frequently
used today in Japanese refineries.

4. Future Issues
Fieldbus, safety instrumentation and wireless systems
are some of the keywords in today’s instrumentation
field. They are not utilized on a full scale yet in Japan,
but through the utilization of facilities available at JCCP
Headquarters and the cooperation of member companies,
JCCP strives to satisfy participants’ expectations bycreating an environment that is consistently conducive
to learning about the world’s leading-edge technologies.
<by Kazuhiro Suzuki, Training Dept.>

Training using the old No. 5 Simulator

Training using the new No. 5 Simulator

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 21

Personnel
Exchange[New Course]
Regular Course on Energy Management—
Advanced Technologies and Strategies
A new regular course on “Energy Management” wasorganized this fiscal year in response to recent changes
in needs in oil-producing countries, and was held from
October 8 to 23, 2013.

energies, and on building the necessary capacities
to formulate new energy efficiency projects in oilproducing countries.

2. Basic Design of the New Course
1. BackgroundIn many oil-producing countries today, domestic
oil consumption is increasing rapidly accompanying
economic growth and population growth, and is
prompting their oil ministries and state-run oil companies
to explore measures to control oil consumption andincrease energy efficiency as priority issues, and to
consider introducing renewable energies in a positive
light.
However, there is little economic incentive topromote energy efficiency in oil-producing countries,
because a subsidy system is in place that keeps theprices of oil products relatively low, and the economic
environment is hardly conducive to the formulationof energy efficiency projects. Furthermore, since theresidential, transportation and business sectors accountfor an especially large percentage of the domestic oil
consumption in oil-producing countries, there is a
growing need to address energy consumption efficiency
on a sector basis.
Amid this situation, JCCP has annually received
an increasing number of requests from oil-producing
countries for training programs on energy efficiency
and renewable energies, with particularly strong
expectations for Japan’s advanced environmental andenergy technologies and for the formulation of specificprojects. As a prime example of this trend, a customized
program on energy efficiency was organized and held
jointly with the ADNOC Environment Subcommittee
last fiscal year.
In addition, a new regular course on energy
management was established based on a course onenergy conservation that has been offered up to now
and placing the focus on introducing energy efficiency
technologies and case examples, including renewable

22 s 0ERSONNEL %XCHANGE 0ROGRAMS s

The course that was previously offered on energy
conservation aimed to develop skills for the evaluation of
new technologies, as well as those for analyzing energy
efficiency and new project formulation, through lectures
and a workshop. Ultimately, a workshop on developing
new energy efficiency projects was implemented, andthe course was essentially designed so that participants
could take the initiative in developing new projects intheir respective countries after completion of the course.
Gauging from the status of previous participants
to the course on energy conservation, providing
understanding of the following items is consideredparticularly important from the perspective of building
capacities for project formulation among participantsfrom oil-producing countries:(1) Changes in the energy market structure brought
about by the development of renewable energy
sources and other advanced technologies;(2) Environmental policies in the energy market andthe impacts of environment-conscious actions;(3) Development of technologies to increase energy
utilization efficiency in the residential, industrial
and business sectors; and(4) Project formulation through cooperation among
all stakeholders, including the government,
private companies and local communities.
The new course was therefore designed with theaim of enhancing conceptual, imaginative, and project
development capacity related to energy efficiency among
participants from oil-producing countries.
More specifically, the course program consisted of ageneral overview of energy, environment and economics,
energy and environmental policies, and strategies ofoil companies, followed by an examination of new

JCCP NEWS No. 118 June 2014

technologies (process technologies and energy-saving
and environmental devices), policy studies of advanced
technologies, and pilot projects based on public-private
cooperation. A workshop was then held to provide
practical training in the formulation of individual
projects and energy and environment scenarios, sothat participants could utilize the knowledge they had
acquired to develop capacities for taking initiative after
returning to their respective countries.

3. Participants
From more than 40 applicants from around the world,
17 were ultimately selected following strict screening.
They represented various departments, including oil
downstream policy departments in oil ministries,
planning departments in state-run oil companies, andenvironment and energy efficiency departments inrefineries.

4. Course Content(1) Lectures at JCCP
Mr. Yoshikazu Kobayashi from the Institute ofEnergy Economics, Japan gave a comprehensive lectureon the structure of Japan’s oil market while sorting out
the main focuses of the energy demand-supply situationin Japan after the accident at Fukushima Nuclear Power
Station following the Great East Japan Earthquake andthe state of long-term policy examinations.
Tetsuo Arii, JCCP lecturer, introduced a theoreticalframework for analysis of environmental measuresapplied to crude oil production, energy efficiency,climate change and other such issues, and held aninteractive class discussion to examine practical policies
from the standpoint of state-run oil companies. He
also introduced strategic initiatives of oil companies inClass discussion on scenario planning

Japan’s energy market, and discussed possibilities for
future business expansion by state-run oil companies
in oil-producing countries.
Mr. Masakazu Sasaki from Toyo Engineering
Corporation lectured on the basics of pinch technology as
an important technology for analyzing potential energy
conservation and promoting project development, andits application to energy cooperation among a multiple
number of plants.
Mr. Motonaga Kume from JGC Corporation gave
a lecture that emphasized how the introduction of
gasification would enable a broad range of strategic
initiatives. For example, in addition to heavy oil
treatment in refineries, it would allow flexible responses
to changes in the demand structure owing to thedevelopment of power generation businesses and thepetrochemical industry, as well as promote increased
production of crude oil and establishment of measuresagainst climate change through the effective utilizationof CO2.
The lectures provided a general, theoreticalperspective on trends in energy and the environment,
and introduced case examples in which new technologyoriented projects have allowed diverse and flexible
expansion of businesses. Inspired by these lectures,
many participants commented that they had gained ideas
for formulating new projects in their countries.
(2) Site VisitsAt JX Nippon Oil and Energy Corporation, alecture was given on the company’s initiatives forenergy efficiency in the residential and industrial
sectors, with a focus on the fuel cell business andthe achievement of energy efficiency in the “SOENE(energy-creating) House.” The initiatives particularly
garnered the participants’ strong interest as the oilcompany’s approach to the final consumption sectors,
and as its efforts toward increasing energy efficiency
and introducing renewable energies in the residential
sector. In fact, some of the participants expressed theirwish to promote the initiatives as a pilot project in theircountries.
At Kashima Oil Co., Ltd., specific case studies wereintroduced, such as of the cooperative relationshipbetween the company’s refinery complex andneighboring companies, and of the company’s initiatives
for promoting energy conservation. Particularly inregard to the framework of cooperation for improved
efficiency, which goes beyond the conventional bounds

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s 0ERSONNEL %XCHANGE 0ROGRAMS s 23

of the company to include neighboring companies, many
participants said they wish to consider adopting theframework in their countries.
Solar Frontier K.K. gave an overall introduction to
the CIS thin-film solar cell technology and photovoltaic
power generation businesses in Japan and abroad.
The company’s operations also strongly interested theparticipants, as many state-run oil companies in oilproducing countries are planning to introduce renewableenergies.
At Nissan Motor Co., Ltd., a presentation was givenof the company’s initiatives related to electric vehicles,
fuel cell vehicles and technical development, and its
environmental measures as an automobile manufacturer.
Following the presentation, the participants had the rareopportunity to experience a test ride on a test course.
At Kitakyushu Smart Community, an overview wasgiven of the project that is being implemented in thecommunity to promote the introduction of renewableenergies and increased energy efficiency in cooperation
among Kitakyushu City, private companies and local
residents. Also in Kitakyushu, the participants visited
the Next Generation Energy Park, where they received
an introduction to an energy project that aims to promote
the introduction of renewable energies and the innovative
utilization of waste.
At Mitsubishi Heavy Industries’ Nagasaki Shipyard,
the focus of training was placed on energy-saving
boiler and turbine technologies and wind-power
generating technologies, and on the potentials of project
development based on the introduction of the latest highperformance technologies. The participants also learned
about quality management and production processes in
the manufacture of large-sized equipment.

At the Kitakyushu Citizens’ Solar Power Station

At the National Institute of Advanced Industrial
Science and Technology (AIST), a lecture was given
on examples of leading-edge technical developmentin the environment and energy-saving fields in theinstitute, including the Fukushima Renewable Energy
Project, methane hydrate initiatives, heavy oil reforming
technologies, and other examples of research that will
have an impact on future energy markets.

At Mitsubishi Heavy Industries, Ltd.

At Nissan Motor Co., Ltd.

24 s 0ERSONNEL %XCHANGE 0ROGRAMS s

JCCP NEWS No. 118 June 2014

(3) Workshops
In order for the participants to utilize the knowledge
on advanced technology projects they gain from thelectures and site visits in the course and apply it to theirduties in their countries, they need to acquire experiencein thinking and acting on their own initiative. Thus, thefollowing capacity-building workshops were organizedas part of the course.
(1) Development of environment and energy projects(lecturer: Mr. Tetsuo Arii, JCCP)(2) Planning environment and energy scenarios(lecturer: Mr. Masahiro Kakuwa, Showa Shell
Sekiyu K.K.)
The project development workshop preparedparticipants to initiate specific projects in their own
countries, by providing an exercise in linking new energy
efficiency technologies and advanced case examples
to project formulation. Particular emphasis was placedon realizing such projects by identifying obstacles andissues and discussing them among the entire class.
The participants created project proposals that
respond to needs in each oil-producing country, including
needs for cogeneration, regional energy cooperation,
solar power, wind power and biofuels.
As a culmination of the training the participantsreceived in Japan, the workshop on scenario planningprovided an opportunity to personally reflect back on
the technical knowledge and case examples they had
acquired, and to define and deepen their awareness of
issues with the aim of applying that knowledge within
the economic environment in their respective countries.
In effect, it motivated the participants to put the fruitsof their training in Japan to full use in their countries.

5. Summary
As part of the renewal of training programs, JCCP
has placed high priority on developing participants’

At the National Institute of Advanced Industrial Science andTechnology (AIST)

capacities to proactively formulate new projects in theircountries. Not only are the participants expected to makefull use of what they learned in Japan after their returnto their countries, but they are also expected to use thatknowledge to build human networks and develop new
businesses between participants from around the world
and Japanese companies.
The development of new technologies is advancing
particularly in the environment and energy sectors, andthe situation in Japan is also changing from year to year.
Thus, the training for new projects in this course also
aimed to develop a broad perspective, creativity andimagination through an examination of the status oftechnical development and advanced projects. It also
placed emphasis on helping participants build theirown framework for gaining a broad understanding of
the changes in the energy market and the direction oftechnical developments related to the environment.
The program schedule consisted of visits to
Kitakyushu and Nagasaki within a short period oftime, but the participants indicated they had spent afulfilling time in Japan. JCCP hopes the project plan
they created in the workshop will come to realizationin their countries in the future.

JCCP NEWS No. 118 June 2014

<by Tetsuo Arii, Training Dept.>s 0ERSONNEL %XCHANGE 0ROGRAMS s 25

Personnel
Exchange[New Course]
Regular Course on TPM Activities for
Refinery Maintenance Management
1. Background and Objective
A marked generational change is taking place inoil-producing countries today, and is bringing to thesurface issues in the operation of refineries and methodsof handing on technologies to the next generation. Amid
this situation, there is rising interest in TPM (Total
Productive Maintenance/Management) activities, whichwere originally developed in Japan to modify employee
consciousness. Since fiscal 2008, therefore, JCCP has
been implementing customized TPM seminars in Saudi
Arabia and Iran on a continuous basis, and organized aprogram in Japan last fiscal year for members from the
Ministry of Oil-Iraq. Since then, to more closely respondto requests from oil-producing countries, a new regularcourse on TPM was included in the lineup of regularcourses in fiscal 2013.
The course focused on addressing the issueof technological continuity that is of concern inoil-producing countries, and aimed to strengthen
maintenance management technologies with a focus on
onsite preventive maintenance, reliability and facility
improvement by providing training in maintenanceactivities through autonomous maintenance and smallgroup activities in Japanese refineries. It was held overan 11-day period from January 14 to 24, 2014, with theobjective of raising the awareness of refinery engineers
who are responsible for operations and maintenance inthe same manner as refinery equipment.
The participants were 18 engineers engaged inmaintenance management at 15 organizations in 13
countries in the Middle East, Africa, West Asia, Asia andSouth America, and ranged in age from their 20s to 50s.

2. Program Overview
The course program was designed to provide ageneral understanding of TPM activities, shed lighton the reality of TPM activities at oil companies that
implement them, and provide training in the latest
maintenance technologies at an engineering company,

26 s 0ERSONNEL %XCHANGE 0ROGRAMS smaintenance company and equipment manufacturer. A
problem-solving workshop was included in the program
to summarize the main points of the course.
(1) General understanding and practice of TPM
1) Lecture on the introduction to TPM
Refinery safety management and maintenancemanagement based on TPM activities
2) Hokkaido Joint Oil Stockpiling Co., Ltd., Hokkaido
OfficeTank overhaul inspection, TPM activities
3) Idemitsu Kosan Co., Ltd., Chiba Refinery
Case examples of TPM activities and Kaizen
activities for refinery management(2) Latest inspection technologies
1) JGC Corporation, Yokohama Head Office
Latest inspection technologies and risk management
2) Sankyu Inc., Maintenance Center
The role of contractors and implementation
framework and technology
3) Japan Steel Works, Ltd., Muroran Refinery
Manufacture of pressure vessels and the latest
technologies(3) Problem-solving workshop
1) Case studies and group discussion“Workplace issues and solutions and action plans”
2) Presentation of the results of group discussions byeach group

3. Results and Evaluation(1) General understanding and practice of TPM
The lecture on the introduction to TPM defined
TPM and explained its eight supporting elements inspecific terms. Furthermore, to deepen understandingof the background to development of TPM, it aimed toprovide a re-awareness of the importance of maintenanceby introducing a serious accident that had occurred in
the past at an oil complex in Japan. Emphasis was also

JCCP NEWS No. 118 June 2014

understand fashion. It is hoped that they will apply such
TPM activities to their own workplaces after returning
to their countries.

Lecture on the introduction to TPM

placed on the importance of managers in enhancing
management and motivation in the workplace.
In the offsite training at Idemitsu Kosan, a generalexplanation was given of the objectives, history andeffect of TPM activities implemented by the company,
followed by a discussion of the process of initial cleanup
and visualization in relation to autonomous maintenanceactivities, with a focus on achieving maintenance reform.
A case example was also introduced of an activity to
reduce malfunctions by changing the mechanical seal ofrotary equipment, as a means for verifying the specificresults and effect of such specialized maintenance.
The Hokkaido Office of Hokkaido Joint Oil
Stockpiling Co., Ltd. has actively implemented TPM
activities since its founding, and boasts a large numberof awards. An actual walk-through of the office allowed
the participants to observe the 5Ss applied to cabinets
and desks in the office and to the field, where tools
and service parts are sorted and organized in easy-to-(2) Latest maintenance technologies
At JGC Corporation’s Yokohama Head Office, acase example of a serious accident that had occurredat BP was introduced to explain the importance of
OSHA and PSM in preventing such accidents, as wellas the importance of risk management. The utilizationof RBI to prevent risks was also introduced as a caseexample and explained in Q&A format. Additionally, an
introduction of some of the latest technologies, including
the Inspection Data Management System developed
independently by JGC Corporation, its efforts to extend
equipment life, and the thermal spraying technology thatis expected to be utilized for equipment repair, and active
questions and answers helped to deepen participants’
understanding of maintenance.
At Sankyu Inc.’s Maintenance Center, a detailed
presentation was given of the engineer development
program that the company implements as a maintenancespecialist to provide training individually geared touniversity graduates, vocational school graduates,
and industrial high school graduates. The company’s
framework for training overseas maintenance managers
was also introduced through a case example of themaintenance of rotary equipment, and gave a clear
picture of the company’s efforts to also develop local
overseas employees. In the field, the participants gained
first-hand knowledge of model facilities and material
evaluation facilities used for training, as well as heavymachinery used in actual maintenance tasks, and thelatest maintenance technologies.

Veriﬁcation of the 5Ss in the ofﬁce and plant

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 27

At the Japan Steel Works, Ltd., Muroran Plant

Problem-solving workshop

At the Japan Steel Works’ Muroran Plant, an
overview was given of the latest technologies developed
independently by the company, including technologies
for the manufacture of heavy oil hydrocracking units forthe world’s heavy oils and the latest pressure vessels usedin nuclear power stations. Following the presentation,a tour was given of their manufacturing processes.
In addition, the participants viewed a swordsmith
performing the ancient Japanese sword-forging process,and gained exposure to Japan’s advanced technology andtechnique. As a whole, the program at Muroran Plant
provided a renewed awareness of the importance ofmaterial technologies and the understanding that process
technologies are born from the thorough enforcement of
the 5Ss in the actual workplace.

identified, and after reaching a common awareness of thedesired state of affairs in regard to the problems that wereselected, they analyzed why they are a problem, and what
their causes may be. They then created an action plan forsolving those problems, and gave a presentation on thelast day of the course. In the general review of the course,
the participants mentioned the workshop as having been
particularly meaningful, raising expectations of theirperformance after returning to their countries.

(3) Problem-solving workshop
A group discussion on “Workplace problems andcountermeasures and action plans” was held as a formof practical training. Each participant presented aproblem they had experienced and how they responded
to it as a case study, and the other participants provided
their input in a group discussion after gaining a sharedunderstanding of the problems. More specifically,
problems that were common to the entire group were

4. Observations
Even prior to the course, the 18 participants had
expressed their wish to incorporate TPM activities insome form at their workplace, while some participantsalso said they have already introduced TPM to theirworkplace. In any case, in the general review of thecourse, they more firmly reiterated their initial wish to
make full use of TPM activities, and are expected to takeaction upon returning to their countries. Judging by theparticipants’ evaluation, the course achieved its original
goal, but further improvements will be made to make up
for any shortfalls and continue implementing the course
next fiscal year and onward.
<by Fumihiro Tone, Training Dept.>

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JCCP NEWS No. 118 June 2014

Personnel
Exchange

CPJ Women’s Course on CSR ofJapan’s Oil Companies for Qatar and UAE
1. Background and Overview
JCCP once again received a request from Qatar and
UAE to implement a customized course for women,
following last year’s implementation of such a womenonly course. The request was for a group composed of
two women from Qatar and eight from UAE, representing
a wide range of ages and occupations from general affairs
to engineering. In consideration of the diversity of thegroup, JCCP organized a course on corporate social
responsibility (CSR) that pertains to both administrative
and technical personnel. To provide a frame of reference
for the fulfillment of CSR in the participants’ companies,
the course was designed with a focus on presenting caseexamples of CSR initiatives in Japan’s oil industry, anda comparison of the respective characteristics of CSR
initiatives in three major oil companies in Japan. Visitswere also made to an engineering company, automobile
manufacturer and an analytical instrument manufacturer,
to examine their environmental management practices,which form the core of corporate social responsibility,
and their relationship with local communities.
The course was implemented over a period of 12days, from October 21 to November 1, 2013.

2. Course Program(1) Overview of Japan’s Oil Industry and CSR
Initiatives
In addition to presenting an overview of the oil
situation in Japan, including the status of oil imports,changes in product demand, and the reality of oilcompanies, this lecture provided an understanding of thegoal of corporate social responsibility, the theme of thecourse, through an examination of how oil companies inJapan fulfill their role in making ongoing contributions
to society. Special focus was placed on changes that haveoccurred in the oil situation after the Great East Japan
Earthquake and the initiatives taken by companies in
the oil industry to survive the tumultuous aftermath ofthe disaster.

(2) Global Energy Situation(Lecturer: Mr. Mitsuyuki Maeda, Energy & Innovation
Research Institute)
This lecture was designed to allow participants togather and analyze wide-ranging information on the
global energy situation, which oil companies require
to promote CSR, and to acquire general knowledge
and information on the energy industry from a global
perspective. First, the status of petroleum was clarified
by examining various energy circumstances in relation topetroleum, and a comparison was presented of the future
outlook of petroleum and other energies. The situationin Fukushima was also discussed in detail, in responseto the participants’ requests.
(3) JX Nippon Oil and Energy Corporation (JX),+HDG2IÀFH ´62(1(+RXVHµAs a representative oil company in Japan, JX
introduced its CSR activities with a focus on social
contribution activities. In the exchange event with thefemale staff at the JX Head Office, the participants
divided into four groups and spent a fruitful timeexchanging views with their Japanese counterparts about
the similarities and differences in women’s work in Japanand their countries. Additionally, at “SOENE (energy
creating) House,” a model house that incorporates
proposals for new living environments using new energy
technologies developed by JX, a training program wasorganized and implemented from the female perspective.
It provided effective training, which captured theparticipants’ avid attention and inspired many questions.
 &RVPR5HVHDUFK,QVWLWXWH+HDG2IÀFH
Cosmo Research Institute first gave a presentation
on Cosmo Oil’s CSR activities and sustainablecorporate activities, then discussed various initiatives
and volunteer activities that the company implementswith particular emphasis on maintaining close ties withsociety. The participants then divided into two groups
and engaged in a workshop to extract topics that are key
to corporate activities related to the three keywords of
economy, environment and society, and gauged theirlevel of understanding of CSR.

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 29

Workshop at Cosmo Research Institute

Presentation of CSR activities by Toyota Motor Corporation

 7R\RWD0RWRU&RUSRUDWLRQ+HDG2IÀFHDQG
Motomachi Plant
First, the participants toured the Motomachi Plant,
the main factory of the company, and observed first-handthe various Kaizen activities being implemented in theassembly process. They were especially impressed withthe explanation of the features of the Jidoka principle,
Kanban system, Andon system and other such tools
developed and implemented by Toyota. The CSR
Department Corporate Planning Division also provided
detailed information on Toyota’s CSR activities andelicited strong interest and many questions from theparticipants about important CSR issues. For example,
they asked how Toyota disseminates and shares policies
and strategies with its business partners, and what typesof criteria are used to evaluate Toyota’s CSR. The factthat all questions were answered in precise detail was a
testament to Toyota’s status as a world-leading company.

 6KLPDG]X&RUSRUDWLRQ+HDG2IÀFHDQG6DQMR
Plant
Shimadzu Corporation specializes in the manufactureof measuring instruments that provide an effective meansfor environmental measurements.
Following an overview of the company, a presentation
was given on its CSR activities, with particular focus
on environmental management topics, including thedetails of monitoring and treatment of wastewater that isdischarged from the plant. The participants then toured
the site, which is governed by voluntary standards that are
10 times more stringent than the water quality standardsof Kyoto City, as well as inspected the manufactureof testing equipment and observed a demonstration of
the equipment using various testing devices. They also
showed strong interest in how Japanese companies
maintain corporate security, upon learning that theassembly of special analytical instruments in the plantis exclusively performed by a specific team of three
employees, and asked about the measures taken by thecompany to prevent them from being recruited away byother companies.

(6) JX Nippon Oil and Energy Corporation,
0DULIX5HÀQHU\A video presentation provided an overview of therefinery, followed by a tour of the refinery’s compact
group of devices. In the integrated instrument control
room, the participants experienced an actual general
meeting and safety confirmation practice, and expressedsurprise at the refinery’s high share of needle cokes,
which are its particular specialty. Furthermore, theylearned about the refinery’s preventive maintenance for
air and water management through an explanation of its
environmental initiatives, and gained an understanding ofsafety management systems (SMS) and risk management
in a lecture that featured actual examples of management
practices implemented by Marifu Refinery presented inan easy-to-understand manner.

30 s 0ERSONNEL %XCHANGE 0ROGRAMS s

JCCP NEWS No. 118 June 2014

At Shimadzu Corporation -*&&RUSRUDWLRQ<RNRKDPD+HDG2IÀFH
A presentation of JGC Corporation’s businessvision as an engineering company was followed byan overview of its CSR activities, with an emphasison activities that are implemented in cooperation withthe local community as part of the company’s local
contribution efforts. For example, detailed descriptions
were given of its activities in support of handicappedpeople, which are implemented jointly with an NPO,and its activities for environment protection, which are
implemented with Earthwatch Japan, an NPO sponsoredby JGC. As part of the presentation, a female employee
related her experience in participating in an activity
organized by Earthwatch Japan, and held a lively andinteractive Q&A with the participants. With regard to
JGC’s environmental countermeasures, an overview
was given of its initiatives for CO2 capture and storage
and renewable energies.
 ,GHPLWVX.RVDQ&R/WG&KLED5HÀQHU\DQG
Plant
Following an introduction to the company and its
Chiba Refinery, a brief overview was given of the
training program that the Technical Training Center
offers to refinery operators from Qatar and Oman, andinformation was provided about the organization of theoperating departments and their energy-saving activities
through a tour of the refinery. During the tour, an
explanation was given of an employee skills acquisition
chart in response to a question on how the skills of
employees and staff are evaluated. With regard to CSR
activities, the company’s stance that “the very activities
that the company has pursued since its founding topromote human respect and environmental harmony by
its refineries and plants form the core of CSR activities”
prompted many questions that indicated the participants’strong interest in CSR.

3. Observations
In the visits to various offsite facilities, there
were many questions from the participants about

At JGC Corporation

the employment and development of multinational
employees, as a reflection of the issues and realitiesof the employment and human resource development
situation in the participants’ countries. Consideration willthus be given to including this issue as a possible newtheme for improving future training programs.
As requested by Qatar and UAE, the course wasthemed on corporate social responsibility, as it waslast year. The group of participants came from a broad
range of fields, including members from the personnel
management, regional cooperation, administration,
procurement and finance departments, as well as
project managers, strategic planning managers and CSR
managers, but they all seemed to equally appreciate thecourse content. Thus, JCCP gained a boost in continuing
to offer the CSR course to various countries hereafter asa women-only course.
The participants’ evaluation of the course indicatedthat the course objectives had been sufficiently achieved,
and included comments that expressed their strong desire
to use the experience of this course to enhance CSR
activities in their companies and countries. Based on theachievements of the course, which has been implemented
twice so far, participants requested an “Advanced CSR
course” specifically for female employees in chargeof CSR, including last year’s participants, so they canfurther their knowledge and ensure an even higher levelof CSR activities.
<by Fumihiro Tone, Training Dept.>

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 31

Personnel
Exchange

CPJ on the Latest Power Turbine andBoiler Technologies for Vietnam
1. Background
The recent customized program in Vietnam came tobe implemented against a background of circumstancesin which the efficiency improvement and increase inpower supply capacity of Petrovietnam’s power plants
have become issues of particularly high priority among
the company’s various operations, as also mentioned in
the previous issue of JCCP NEWS (No. 117, January2014).
Based on this understanding, JCCP planned andorganized a two-part program, with the first partcomprised of a Customized Program-Overseas (CPO)in Ho Chi Minh City held by a Japanese expert, and thesecond part comprised of a Customized Program-Japan(CPJ) held with the cooperation of representative plants
and businesses in relevant technical fields in Japan. The
program was implemented as scheduled, according toplan.

2. Overview
The second part of the program was designed as
an 11-day seminar, and was held from October 1 to11, 2013. The offices and plants of leading Japanesecompanies in their respective technical fields cooperated
in providing offsite training, and included Shin Nippon
Machinery Co., Ltd. (Kure City), Woods Corporation
Headquarters and Plant (Kobe City), Osaka Gas Co.,
Ltd. Senboku Power Station, Torishima Pump Mfg. Co.,
Ltd. Head Office and Plant (Osaka Pref.) and Mitsubishi
Heavy Industries, Ltd. Kanazawa Plant (Yokohama
City), all of which are located in a large-scale industrial
park representative of Japan or in neighboring districts.
As stated earlier, the main theme of the course
focused on increasing efficiency and preventing loss inPetrovietnam’s power plants, facilities and equipment,
and on enhancing plant reliability. As the theme pertained
closely to actual operations, the group of participants (15members) was selected mainly from among facility andmachine engineers in virtually all offices and refineries
affiliated with Petrovietnam, and included 10 engineersfrom Petrovietnam’s power plant department.

32 s 0ERSONNEL %XCHANGE 0ROGRAMS s

Opening ceremony (group photo)(1) Governor functions and reliability
improvement technology:RRGV&RUSRUDWLRQ+HDG2IÀFHDQG3ODQW
Woods Corporation is an exclusive technical service
provider of Woodward Governor, a company that boasts
a worldwide business base. A content-rich lecture wasprovided that reflected the fact that governors are an
important control mechanism (and speed-regulating
function that can be regarded as the brain) for power
turbines. In response to the participants’ many questions,precise knowledge and explanations were provided bya specialist in the field.
Using a governor to regulate the speed of power
tools is an indispensable technology to rotary machineengineers. By receiving a lecture on operating theories

JCCP NEWS No. 118 June 2014

Training at Woods Corporation

followed by practical training that included actual
disassembly and assembly operations, the participants
were able to acquire hands-on knowledge of the control
mechanisms of various governors.
(2) Rotary equipment inspection and diagnosis
technologies
6KLQ1LSSRQ0DFKLQHU\&R/WG
Among the company’s wide lineup of production
machines, steam turbines are one of its primary products,
and are exported to the Dung Quat Refinery in Vietnam
and to countries around the world. The participants werethus fascinated to be able to observe up close the steadyproduction process of actual machines using advanced
technologies, as they traveled through the vast site of
the plant located along the coast of the Seto Inland Sea.
Furthermore, as power machines that are familiar to theparticipants were among the machines that were brought
to the plant for repair, the participants asked a host ofquestions and boosted the interactive mood of the program.
The lecture was based on extensive examples of thecompany’s products and machines. They included many
examples of facilities that boast an extensive delivery
record to Vietnam and other oil-producing countries in
Asia that are recently experiencing remarkable growthin their market economy, and captured the enthusiastic
attention of the participants. A lecture was also given on
various repair technologies from an officer in charge oftechnical services, with reference to a number of specificexamples.
(3) Power plant pump reliability improvement
technology
7RULVKLPD3XPS0IJ&R/WG+HDG2IÀFHDQG
3ODQW
At Torishima Pump Mfg., a representative facility andequipment manufacturer that manufactures and supplies
power plant pumps to overseas customers, a specialist
in a relevant field gave a presentation on the reliability
improvement of high-performance pumps, which is oneof the most versatile fields for mechanical engineers,
based on the company’s wealth of experience.
Information about pumps was provided in an easyto-understand manner based on familiar topics, suchas the fact that electricity to drive pumps accounts
for approximately 15% of Japan’s total electricity
consumption (1,150TWh), and therefore that total
electricity consumption by pumps equals four to fivetimes the amount of electricity produced by Fukushima

At Torishima Pump Mfg. Co., Ltd.

Daiichi Nuclear Power Station. In relation to thisinformation, case examples of the implementation ofenergy-saving technologies through high-efficiency
power plant pumps attracted particularly strong attentionof all the practical training themes selected appropriatelyfrom among the large variety of elemental technologies.
As is well known, an especially conspicuous trendthat has been observed in Vietnam in recent years isthe construction of new power plants in response toa rapid increase in electricity consumption. Thus, aparticularly heated Q&A took place in regard to practicaltechnologies that would allow newly constructed plants
to deliver even greater power generating efficiency thanconventional plants.
 3UDFWLFDOWHFKQRORJLHVIRUQDWXUDOJDVÀUHGpower plants
2VDND*DV&R/WG6HQERNX3RZHU3ODQWThis was the first time Senboku Power Plant
was visited by a group of training participants fromPetrovietnam. Boasting the latest combined cycle systemamong all other natural gas-fired power plants in Japan,
it delivers a power generation efficiency (57%) that is
on par with Petrovietnam’s newest power plant. The
participants asked many questions about the similarities
and differences with the power plants where they work
(Ca Mau, Nhon Trach), and expressed particularly
focused interest in comparing cooling water systems. In
Osaka Gas’s power plant, cooling water is circulated byoperating two cooling towers, whereas at the Nhon Trach
power plant, water is drawn from an abundant river andused in a once-through cooling system.
(5) Latest combined-cycle generation technologies
0LWVXELVKL+HDY\,QGXVWULHV/WG
Mitsubishi Heavy Industries gave a lecture on its

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 33

abundant experience and accumulation of technologies
as a representative manufacturer and worldwide supplierof steam turbines and steam generating boilers, theprincipal engines of power plants. Manifesting thecompany’s abundant experience, the lecture provided asummary of a broad range of topics, including inspection
technologies in general and repair examples related tovarious facilities and equipment that make up highperformance boilers and steam supply systems, which
support the foundation of high-performance power
generation systems.
In a tour of a production plant, where the processing
and assembly of various facilities and devices of steam
generating boilers for steam turbines were in progress, theparticipants asked many questions about the production
methods and status of inspection at the finishing stage ofsuch facilities, which also play important roles in power
plants where they work.
Additionally, an introduction was given of thecompany’s initiatives for strengthening its overseas
technical service framework in an effort to enhancefacility and equipment reliability, which is key tothe maintenance and management of facilities andequipment for overseas customers. Such concrete
explanations that directly pertain to actual operations
were especially appreciated by the participants.

3. Summary
The course was implemented during a period of good
weather. Even for the Vietnamese participants who are

At Mitsubishi Heavy Industries, Ltd.

not used to the cold, the weather was comfortable enoughfor them to maintain their health, and the entire course
program was completed as scheduled.
In consideration of the fact that the course schedulecoincided with the period when the largest number of
JCCP regular courses are simultaneously implemented
during the year, steps were taken to avoid any conflicts
in the reservation of lecture rooms. As a result, no
unexpected occurrences arose from the congested
schedule, and the course was fortunately completed
without incident.
Having completed the course successfully, JCCP
has renewed its commitment to continue planning andimplementing timely customized courses to accurately
respond to needs in oil-producing countries and further
develop its personnel exchange program.
<by Shintaro Miyawaki, Training Dept.>

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JCCP NEWS No. 118 June 2014

Personnel
Exchange

CPJ on Environmental Management
and Advanced Technologies for KPC
A Customized Program-Japan (CPJ) on Environmental
Management and Advanced Technologies was held from
November 25 to December 6, 2013 as the first suchcustomized program related to the environment forparticipants from the Kuwait Petroleum Corporation(KPC) Group.

1. Background
KPC is actively exploring environmental
countermeasures in the oil industry as a priority issue
in Kuwait’s core industry, and is showing increasing
interest in case examples of environmental technologies
and advanced projects. Its areas of particular concern
include responses to such issues as the effective
utilization of precious water resources, waste treatment
measures, and climate change countermeasures. The
company is also showing strong interest in energy
efficiency improvement and the introduction ofrenewable energies, particularly given the rapid increaseof domestic oil consumption that not only Kuwait butother oil-producing countries are experiencing today.
Under this situation, JCCP is working to deepen its
cooperative relationship with KPC through training
programs on environmental topics, and has held acarbon management seminar and exchange eventson energy conservation, CO2 countermeasures, andcarbon financing in 2012. In fiscal 2012, a large-scale
seminar on water resources and waste management was
successfully completed in Kuwait with the attendanceof the top management of KPC and JCCP as well as theJapanese Ambassador to Kuwait.
To further strengthen this friendly relationship,
members from the KPC Group engaging in environmental
matters began to proactively participate in JCCP
training programs in Japan since fiscal 2013. As partof this initiative, a CPJ came to be held for a group ofenvironmental managers from companies of the KPCGroup.

2. Course Concept
To prepare Kuwait’s oil industry to solve environmental

issues in its country, the course was designed to provide
understanding of Japan’s leading-edge technologies andadvanced environmental initiatives that are taken incooperation among the government, private companies
and local residents, with a focus on allowing the fruitsof training in Japan to be utilized to solve environmental
issues in Kuwait’s oil industry in the future. The course
program placed particular emphasis on responding
to high-need issues, including those related to theeffective utilization of water resources and waste, andthe introduction of renewable energies. Furthermore,
the lectures were specifically catered to the group ofparticipants composed of manager-level employees inenvironmental departments of KPC Group companies
by placing emphasis on developing conceptual abilities
and inventiveness and providing a general understandingof a wide range of fields. As the understanding andcooperation of a large number of stakeholders, including
the international community, government organizations
and local residents, is indispensable to environmental
countermeasures in the oil industry, the framework fordefining and resolving various issue needs to be flexible.
Thus, in addition to providing an understanding of thelatest technologies, the course focused on examining
the diversity and flexibility of frameworks for resolving
environmental issues through advanced case examples,and included the following core items.
(1) Advanced environmental case examples (publicprivate cooperation projects, in particular)(2) Advanced environmental management in the oil
industry(3) Development and commercialization of advanced
environmental technologies and process
technologies by private companies(4) Workshop on new project development

3. Content(1) Lectures at JCCP
Mr. Masaki Iijima from Mitsubishi Heavy Industries,
Ltd. gave a lecture introducing the latest renewableenergy technologies, the separation and undergroundstorage of CO2, and technologies for the effective

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Training in environmental management at Shirashima Oil
Storage Company, Ltd.

At Kitakyushu Smart Community

industrial utilization of CO2 and commercial caseexamples thereof. It deepened the participants’
understanding that the oil industry has strong potential
to contribute to the international community through its
wide-ranging approaches to climate change.
Mr. Toshihiro Wakabayashi from Toyo Engineering
Corporation lectured on the latest energy-saving
distillation system. The participants learned that the oil
industry is consistently pursuing technical developments
in basic distillation technologies, and that there is still alarge potential for achieving energy conservation.
Mr. Hiroaki Numata and Mr. Hirobumi Wada fromJGC Corporation gave a lecture on technologies forthe effective utilization of associated water and lowtemperature heat sources in an easy-to-understandmanner with reference to specific project examples.
JCCP lecturer Arii gave a lecture on the importanceof exhibiting flexible views beyond conventional
corporate bounds when establishing environmental
countermeasures in the oil industry, and in relation
to the above lecturers, engaged the participants in aclass discussion to extract new ideas for promising
new environmental projects in Kuwait. Through thediscussion, the participants shared the awareness that
Kuwait has strong potential to implement environmental
and energy projects beyond the conventional frameworkof corporate cooperation.

pollution countermeasures, followed by an introductionof the Smart Community Project, which aims topromote the introduction of renewable energies andenergy efficiency through cooperation between privatecompanies and local residents. A lecture was also givenon the dynamic pricing system for efficient utilizationof renewable energies, and motivated the participants
to implement a similar project in Kuwait in the future.
Also in Kitakyushu, the participants visited Next
Generation Energy Park, where wind and solar power
generation and an innovative waste energy project are
being implemented, and Water Plaza Kitakyushu, where
they learned about the system for efficient utilization oftreated wastewater and desalinated seawater as water
resources and about technical developments and thedemonstration related to the latest membrane bio reactor.
Learning about such advanced initiatives in Kitakyushu
implemented by public-private partnership broadened theparticipants’ perspective in pursuing new possibilities.
The Tokyo Metropolitan Bureau of Environment
provided a lecture on the history, present state and futureplans for waste countermeasures in Tokyo, with particularweight on the treatment of general and industrial waste
and policies for promoting their effective utilization.
It essentially provided a general understanding of how
Tokyo’s environmental policies have evolved while
overcoming various issues encountered in different
periods in time. Thereafter, a tour was given of theinnovative Tokyo Super Eco Town project.
At Japan Environmental Safety Corporation(JESCO), the participants learned about the latest PCB
treatment technologies.
At Bioenergy K.K., the participants listened to a lecture
on a project for recovery of energy from food waste, andseemed impressed with how the company created and has
successfully launched a profitable new business model bylinking waste treatment and energy sales.
At the Kobe Office of Kawasaki Heavy Industries,(2) Site Visits
At Shirashima Oil Storage Company, Ltd., theparticipants learned about the environmental safetymeasures of an oil storage terminal. They seemed
particularly impressed with the company’s management
practices that give full consideration to the environmentand safety, such as its emergency disaster countermeasuresand double oil-retaining walls.
At Kitakyushu Smart Community, an overview wasgiven of Kitakyushu City’s history of environmental
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JCCP NEWS No. 118 June 2014

treatment technologies and associated water treatment
technologies, which showed that effective utilization ofwater resources could be achieved by utilizing chemicals
to treat associated water and wastewater.

4. Summary

Training in environmental policies at Tokyo Metropolitan
Government

Ltd., a lecture was given on the possibilities ofstrengthening the performance of such rotary equipmentin the oil industry as steam turbines, gas turbinesand gas engines by state-of-the-art technologies, andof increasing their energy efficiency by applying
the latest technologies. The lecture also covered theabsorption cooling technology and the possibilities ofusing it to save energy. Meanwhile, in the production
plant, the participants had the opportunity to observe
the manufacture of large machines, and seemed duly
impressed by the sight.
Toray Industries’ Shiga Plant introduced examplesof the company’s businesses that contribute to global
environmental protection in various sectors by utilizing
its core advanced technologies. It also explained and gave
examples of the cutting-edge film-separation technology
used in the system for effective utilization of water
resources, and captured the participants’ interest withthe possible application of the separation technology
to desert greening. Thereafter, the participants toured
the research center, where cutting-edge technicaldevelopment is undertaken, and learned about thecompany’s wide-ranging research activities.
At the Development Center of Kurita Water Industries
Ltd., a lecture was given on the latest wastewater

Training in the environment and energy conservation at
Kawasaki Heavy Industries, Ltd.

The busy schedule of the course took the participantsfrom Tokyo to Kyushu, Kobe and Shiga over ashort period of 12 days, but the participants seemed
to appreciate being exposed to Japan’s advanced
technologies and cases related to the effective utilizationof water resources and waste treatment.
Since the program was intended for environmental
managers from the KPC Group, the course duration
was shortened to 12 days to facilitate their participation,
but nevertheless provided a fulfilling program with thecooperation of administrative institutions and privatecompanies in a wide range of sectors. It was designed
to provide knowledge from four different perspectives:
environmental policies and administration, environmental
management businesses, development companies thatprovide environmental technologies, and residents.
Through these perspectives, the participants learned
that the cooperation of various stakeholders is involvedin the development of state-of-the-art technologies andimplementation of advanced projects in Japan.
Such comprehensive perspectives and flexible
thinking will likely be qualities that the top managementof oil industries in oil-producing countries will be
expected to possess in the future. Furthermore, Japan’s
advanced initiatives in the environment sector could also
contribute to addressing human resource development
needs in oil-producing countries, and are expected toplay an important role in deepening Japan’s cooperative
relationship with Kuwait hereafter.
<by Tetsuo Arii, Training Dept.>

Training in environmental technologies at Toray Industries

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Personnel
Exchange

CPJ on Petroleum Marketing andPhysical Distribution for Vietnam
1. Background
In Vietnam, where construction of the country’s
second refinery is underway, domestic demand is
expected to increase hereafter, and accompanying thisincrease, human resource development is expected
to become an issue of urgent concern. Personnel
augmentation and human resource development are also
among important issues in the oil distribution sector. In
fact, the petroleum marketing company of Petrolimex
is placing primary importance on strengthening its
marketing framework in response to growing demandin the country and to developing human resourcesin oil distribution companies. Under this situation,a Customized Program-Japan (CPJ) on petroleum
marketing and physical distribution was implemented inJapan as requested by Vietnam, following on from theinitial program implemented in fiscal 2012.

2. Overview
The course was held over a period of 12 days, from
December 9 to 20, 2013. It was roughly a week shorter
than an average regular course, but nevertheless provided
a fulfilling program that included three days of lecturesat JCCP ((1) Japan’s oil industry, (2) oil markets in Asia,etc.) and six days of offsite training ((1) JX Nippon
Oil and Energy Staging Terminal Corporation, Kiire

Terminal; (2) JX Nippon Oil and Energy Corporation,
Fukuoka Oil Terminal; (3) Fujitani Oil Inc., Head Officeand service station; (4) Idemitsu Kosan Co., Ltd., Aichi
Refinery; (5) Tatsuno Corporation, Yokohama Plant andnearby service station; (6) Cosmo Oil Co., Ltd., Head
Office).
A group of 14 participants (including one woman)attended the course, composed mostly of executive
officers and department managers in charge ofmarketing, as it was in last year’s program. The averageage of the group was 48.

3. Content
The lecture on “Japan’s Oil Industry” provided acomprehensive view of the oil industry in Japan, andcovered such topics as Japan’s energy situation andparticularly the energy supply-demand situation after
the Great East Japan Earthquake; the effectiveness ofoil in times of emergency; the necessity and status ofstockpiling oil to maintain stable supply; changes in
the oil industry accompanying deregulation; excessivecompetition in the marketing sector and the vulnerabilityof the oil industry; and the realities of oil quality andoil taxes.
The lecture on “Oil Markets in Asia” outlined thelatest situation in the oil market in Asia, where economic
growth particularly in China and India is causing a rapid

At JX Nippon Oil and Energy Staging Terminal Corporation,
Kiire Terminal

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At JX Nippon Oil & Energy Corporation,
Fukuoka Oil Terminal

increase in demand for oil. Explanations were also givenof crude oil prices, demand-supply trends, the status of
the Asian oil market in relation to North America andEurope, and the future direction of energy strategies in
Asia based on an analysis of factors influencing crude
oil prices.
The first site visit was made to JX Nippon Oil andEnergy Staging Terminal Corporation’s Kiire Terminal,
where the participants learned about the roles, functions,operations and management, and environmental safety
management at the terminal. The terminal’s recordof zero accidents and thorough environmental safetymeasures made a particularly strong impression on theparticipants, who also expressed amazement at observing
from a boat the actual size of a VLCC and domestictransfer tanker docked at the crude oil pier.
At JX Nippon Oil & Energy Corporation’s Fukuoka
Oil Terminal, the participants received an overview ofthe oil terminal and its receiving, storage and delivery
system for oil products. They then inspected the delivery
system and tanker loading area, and observed withspecial interest the differences between gas purging
facilities in Japan and Vietnam, asking many questionsin that regard. As a large domestic vessel coincidentallyentered the port and began discharging operations at thepier while the participants were touring the terminal,
they were able to observe the docking of the ship andthe process from its mooring to the connection of aloading arm.
At Fujitani Oil Inc., a JX-related oil marketingcompany in Hiroshima, the company manager personallygave an explanation about service station operations,the retail market and marketing industry in Japan, andcaptured the participants’ avid attention with his lectureand detailed tour of his company’s service station. In
fact, the participants had so many questions about theservice station facilities, in particular, that he had barely
enough time to answer them all.
Idemitsu Kosan’s Aichi Refinery provided training
on refinery functions, from the importing of crude oil tothe production, storage and delivery of oil products, anda tour of the facilities. As Vietnam’s second refinery iscurrently under construction, the participants observed
the functions of the Aichi Refinery with detailed interest,
and asked many questions.
Tatsuno Corporation’s Yokohama Plant provided
training plus an overview on the structure and production
process of various service station weighing machines
and POS system instruments as a leading manufacturer
in its field. As the participants were a group of managerlevel employees, they had many detailed questions about
investment matters that pertain directly to their duties.
They also seemed to enjoy a sense of familiarity offeredby the explanation of weighing machines in the plantthat displayed labels written in Vietnamese and weredestined for Vietnam.
At Cosmo Oil Co., Ltd.’s Head Office, the participantslearned about oil companies in Japan, with particularfocus on the physical distribution of oil products and thesafety management of their transportation, and listenedwith great interest about the company’s initiatives forlaunching new environment-related projects that involve
wind power and solar power generation.

4. Summary
The group of participants was composed of top-level
officers from Petrolimex’s marketing organizations
throughout Vietnam, but as the course’s content
pertained directly to their operations in their respective
organization, they seemed to fully appreciate theopportunities to observe a massive VLCC up close andto tour a large-scale refinery, oil terminal, state-of-the-At Idemitsu Kosan Co., Ltd., Aichi Reﬁnery

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art service station and a production site of weighing
machines that are being considered for introduction toVietnam, and presumably returned to their country with
an impression of having attended a highly beneficial
course.
The tight schedule had the participants travelingfrom Tokyo to Kagoshima, Fukuoka, Hiroshima,
Nagoya, Yokohama, and back to Tokyo practicallyon a daily basis, but they kept to the schedule andfacilitated the smooth and efficient implementation of
the course. JCCP assumes this was in large part owing toPetrolimex’s thorough preparation and follow-up system,
which included the implementation of pre-training
preparation and education in Vietnam and the selectionof a participant who can translate in both English andVietnam to accompany the group. JCCP thus thanks
Petrolimex for its active input and support.
On the JCCP side, efforts to allow the participants toactually “see and feel” their experience by placing moreemphasis on offsite training than classroom lecturesprobably coincided with their needs and led to their highevaluation of the course.
JCCP hopes that this course has ultimately deepened
knowledge of Japan’s oil industry and of Japan ingeneral among the manager-level participants from oil
marketing organizations in Vietnam, and contributed tostrengthening ties between Vietnam and Japan.
<by Eiji Tsukamoto, Training Dept.>

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Personnel
Exchange

Report on the Training Cooperation Program—Saudi Arabia—
JCCP Lecturer Fumihiro Tone visited Saudi Arabia
from November 15 to 23, 2013, under the objectives of
the JCCP Training Cooperation Program of strengthening
ties with major oil-producing countries and providing
cooperation in human resource development. Morespecifically, he visited key persons in various relevant
departments in Saudi Aramco, the principal oil company
in Saudi Arabia, and its subsidiaries, to explain andexchange views regarding JCCP regular courses tobe offered in fiscal 2014, hear opinions about JCCP’s
assistance within Saudi Aramco’s education program,and explain some of the details being planned as part ofthe preliminary preparation for the JCCP alumni meetingscheduled to be held in fiscal 2014 in Saudi Arabia.

1. Ras Tanura Reﬁnery
Following last year’s approach, a meeting was heldwith Mr. Yahya Q. Daghriri, Supervisor, Planning and
Performances Unit (participated in a regular courseon human resource management in FY2009), on thepossible implementation of a practical customized
program. In response to a request from the Ras Tanura
Refinery for the implementation of a practical seminar
similar to one that was held last year at the Yanbu
Refinery, Tone gave details of the program and discussed
how to proceed with the plan.
In the meeting with Mr. Daghriri, it was revealed that
Refining & NGL Fractionations is currently reviewing
its employee training framework. Up to now, refinery
managers were responsible for employee education,

Mr. Abdullah O. Al-Baiz, General Manager,
Ras Tanura Reﬁnery (left)

so JCCP needed to contact and make arrangements
directly with each refinery and NGL fractionation plant
regarding training programs. However, Refining & NGL
Fractionations is considering establishing a controllinggroup in the Headquarters (located in Ras Tanura), forcentral control of human resource education and training.
In the meeting with the refinery’s management team,Tone had the opportunity to meet with Mr. Abdullah O.
Al-Baiz, General Manager, for the first time after Mr.
Al-Baiz’s appointment this past October. As Mr. AlBaiz was not yet familiar with JCCP, Tone provided an
overview and introduced the regular course schedule for
FY2014. Also addressing Mr. Uthman A. Al-Ghamdi,
Operations Manager, who was present at the meeting,Tone introduced JCCP customized programs, whichhave been implemented for Saudi Aramco continuously
since fiscal 2008, and in particular, presented details ofpractical onsite training (with reference to JCCP NEWS).

2. Riyadh Reﬁnery

Mr. Yahya Q. Daghriri, Supervisor, Planning and Performances
Unit, Ras Tanura Reﬁnery (left)

A meeting was arranged with Mr. Abdul Rahman
Al Subaie, Manager, and other management officers
at the Riyadh Refinery. Tone explained the FY2014
JCCP regular course schedule, and spotlighted the new
regular course on “Strategic Management.” As Mr. Al
Subaie expressed a strong request for the same type ofcustomized program on onsite visualization activities

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Mr. Abdul Rahman Al Subaie, Manager, Riyadh Reﬁnery(center)Mr. Ali Abdulrahman Al-Hazmi, President, SASREF(second from right)that was held at the Yanbu Refinery, steps toward
implementation of the program were discussed in general,with a promise to work out the details concerning dates
and specific content in subsequent meetings. The refineryside hopes to utilize its regular overhaul period to provide
its employees with practical guidance.

manager of human resources, and gave an overview of
JCCP and the regular course schedule for fiscal 2014. Mr.
Al-Hazmi had participated in a JCCP regular course in the
1980s, and spoke about his wonderful experience in Japanto his colleagues. He said that punctuality in the daily
lives of the Japanese people had left a strong impression
on him as a salient characteristic of Japan, and that it issomething he wishes his employees to experience. The
senior vice president of human resources indicated astrong interest in Kaizen activities among other Japanesestyle management practices, and expressed his wish tosend SASREF participants to a regular course on Total
Productive Management (TPM).

3. Professional Engineering Development
Division (PEDD)At PEDD, the organization responsible for developing
and implementing in-house training programs for
professional engineers in all sectors at Saudi Aramco, ameeting was held with Mr. Rasid K. Rahman, Supervisor
Inspection Curriculum Development Group, following
last year’s meeting, to discuss details of the Customized
Program-Overseas (CPO) on “Inspection, Corrosion/
Degradation and Static Equipment Maintenance in
Refinery” scheduled to be implemented from February
9 to 14, 2014, and to confirm the agreement that will
be exchanged upon receiving a formal request from
PEDD. Furthermore, as there was a request for the
implementation of a lecture that specifically focuseson corrosion prevention sometime during the fourth
quarter of next year or the first quarter of the following
year, details were agreed to be discussed at the time of
the above CPO.

4. Saudi Aramco Shell Reﬁnery (SASREF)
At SASREF, a meeting was held with Mr. Ali
Abdulrahman Al-Hazmi, President. As SASREF has
never participated in a JCCP training program to date, Tone
was introduced to the senior vice president and general

5. Summary
Through the previous and recent visits, the original
objectives of introducing the FY2014 regular course
schedule to Saudi Aramco’s refineries and head officeand of exchanging views regarding customized programsfor Saudi Aramco have been achieved. Furthermore, therecent visit allowed JCCP to include SASREF amongits relationships with Saudi Aramco’s joint-venturecompanies, which include Petro Rabigh. With respect
to customized programs for Saudi Aramco, formal
requests for training in practical onsite visualization
activities, which was previously implemented at the
Yanbu Refinery, have been received from the Jeddah,
Riyadh and Ras Tanura Refineries and Petro Rabigh.
At the same time, various situations that have cometo light during the recent visit have made JCCP strongly
aware of the need to keep track of organizational changes
and personnel transfers at Saudi Aramco and to continue
to engage in detailed talks to maintain mutual ties.
<by Fumihiro Tone, Training Dept.>

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Personnel
Exchange

Report on the Training Cooperation Program—Vietnam—
1. Background
JCCP has formulated and implemented a number ofCustomized Programs-Overseas (CPO) and Customized
Programs-Japan (CPJ) for Petrovietnam to date in
response to the company’s diversifying needs. To
review the results of such customized programs
implemented during fiscal 2013, as well as to discusspossible new training themes with relevant departments
in Petrovietnam and hold detailed meetings with each
operating section for finalization of implementationplans while exchanging views on future program content,
JCCP program managers (Shintaro Miyawaki and
Kazuhiro Suzuki) visited Petrovietnam’s Head Office
and relevant offices from January 6 to 10, 2014, under
the JCCP Training Cooperation Program.

2. Content
 3HWURYLHWQDP+HDG2IÀFH
At Petrovietnam’s HRD & Training Division andPower Division, the JCCP members held an exchangeof views with Mr. Thinh Tuan Anh, Deputy General
Manager, and Dr. Nguyen Tien Vinh, General Manager,
respectively, to conduct a review of customized
programs in general.
CPJ seminars for Petrovietnam have conventionallybeen implemented with the attendance of 15 participants(including the leader), and both managers agreed
that the same number of participants would also be

At the Petrovietnam Head Ofﬁce

appropriate for future programs. Additionally, withrespect to program content, they requested the continued
implementation of seminars on mechanical systems andinstrumentation and control systems.
The JCCP members explained that budget constraints
could restrict the number of CPO and CPJ seminars
that JCCP could implement in one year, and in suchcases, special considerations might become necessary
to stay within budget by merging two seminars into
one, for example. The Petrovietnam side expressed
its understanding of the need to make budgetaryadjustments, and requested JCCP to promptly inform thecounterpart Head Office department and other relevant
departments of any changes in plan or schedule that
occur after making such adjustments. Additionally, the
JCCP members received approval from the Petrovietnam
members to schedule CPO and CPJ seminars inconsideration of their optimal timing in relation toregular courses that are implemented during the firstand second halves of the year.
As a wish from the Head Office Power Division,
the Petrovietnam side shared its view that perhaps
Hanoi should be the venue of the next CPO seminar,as the state-of-the-art power generation facility that iscurrently under construction is located closer to Hanoi
than to Ho Chi Minh City. Also in relation to this issue,
the JCCP side received a request to send a seminar
lecturer (expert) to the construction site and convene acase study workshop over a period of about two days in
the latter half of the CPO seminar to help resolve onsite
issues. With respect to the CPO on instrumentation andcontrol, there was a request to also include refineries
among possible venues for its future implementation.
(2) Other relevant departments at Petrovietnam
Following the visit to the head office, the JCCP
members visited other departments to exchange views
and discuss details regarding customized programs.
The hearings held at the departments that werevisited (Ho Chi Minh Plant Engineering Division, Ca
Mau Power Plant Division, Ca Mau Chemical Fertilizer
Division, Vung Ang Power Plant Division) yielded
a number of detailed requests regarding customized

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At the Ca Mau Power Plant Division

programs, such as for the inclusion of a theme related
to the high-efficiency thermal power plant that
Petrovietnam will be building in the future, a seminar on
ultra-super-critical turbine and boiler technologies thatare showing particularly remarkable progress in recent
years, and a lecture on water treatment technologies as
an essential theme related to boiler technologies.
In response to these requests, the JCCP members
said those that could be accommodated in the next
customized seminar will be examined and scheduled into
the seminar in line with Petrovietnam’s wishes, and will
be finalized upon discussion with JCCP’s counterpart
department at Petrovietnam.

At the Ca Mau Chemical Fertilizer Division

3. Summary
On their recent visit, the JCCP members witnessed
the initiatives of Petrovietnam’s various departments
to promote steady economic growth in line with the
Doi Moi Policy, and were most impressed by theirsteady approach to diversified needs and technologicaladvancements, and by the smooth progress in theconstruction of a high-efficiency power plant basedon the company’s new action plan. Moreover, owing
to the efficient arrangement by Petrovietnam’s head
office counterpart department, the members were able
to visit Petrovietnam’s various departments that are
scattered throughout the vertically long country withina short period of time, assess new needs for customized
training in various fields, and successfully accomplish
their objectives as scheduled.
Continued efforts will be made to implement
customized programs that respond to needs that arebrought to the surface through hearings regarding newthemes with relevant business sectors of Petrovietnam,with hopes that such seminars would contribute tofurther developing the cooperative relationship between
Petrovietnam and JCCP.

At the Vung Ang Power Plant Division

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<by Shintaro Miyawaki, Training Dept.>

JCCP Regular Courses Completed
TR-15-13
Content:

Energy Management for Petroleum Industry
October 8 – October 23, 2013

Lecturer: Tetsuo Arii

With the objective of developing capability of strategic
project development, the course program is designed tostart with energy and environment economics & policy andproceed to basic technologies and advanced technologies
followed by site visits to various advanced projects,
manufacturing plant and national research institute. At theend, participants will take part in workshops to prepare foran actual project in their home countries.

 COUNTRIES   PARTICIPANTS
Energy and Environment Economics and Pinch Technology;
Advanced Process and Equipment; Fuel Cell and Solar Energy; Electric Vehicles; Smart
Community and Latest Power Generation (Gas Turbine, Steam Turbine, Wind, Solar);Workshops for Project Development and Scenario Planning
Site visits:

Kashima Oil Co., Ltd. (Kashima Refinery); JX Nippon Oil & Energy Corporation (Head Office);
JX Smart House; Solar Frontier K.K.; Nissan Motor Co., Ltd. (Oppama Plant);
Kitakyushu City (Smart Community and Next Generation Energy Park);
Mitsubishi Heavy Industries, Ltd. (Nagasaki Shipyard & Machinery Works);
The National Institute of Advanced Industrial Science and Technology (AIST)Countries:

Bahrain, Indonesia, Iraq, Kuwait, Myanmar, Nigeria, Peru, Saudi Arabia, Sudan, Thailand, UAE,
Uzbekistan, Vietnam

TR-16-13
Content:

Advanced Field Device and Control
October 8 – October 25, 2013
Latest Control System and Wireless Instrument; Outline ofLevel Gauges and Practice; Review of Process Control Theory
Using Dynamic Simulator; Review of Process Control Theory
Using Wet Simulator; Outline of Emergency Shutdown
System; Control Valve Engineering; Vibration Measurements
and Diagnosis; Reﬁnery Information and Control System;
Instrument Maintenance; Outline of Flow Meters andPractice; Latest System; Outline of Transmitter & Control
Valve and Practice; Latest Instrument Engineering

Lecturer: Shigeru Matsui COUNTRIES   PARTICIPANTS

Site visits:

Yokogawa Electric Corporation (Mitaka Headquarters);
Endress+Hauser Yamanashi Co., Ltd. (Yamanashi Factory); Shinkawa Sensor Technology, Inc.
(Hiroshima Factory); Idemitsu Kosan Co., Ltd. (Chiba Refinery);
OVAL Corporation (Yokohama Operation Center); Azbil Corporation (Shonan Factory)

Countries:

Iraq, Kazakhstan, Malaysia, Myanmar, Nigeria, Qatar, Saudi Arabia, Sudan, Thailand,
Uzbekistan, Vietnam, Yemen

TR-17-13

Gas Processing for LNG
October 29 – November 15, 2013

Content:

Global LNG Market; LNG Steel Pipe Technology; Development
and Production of LNG; Outline of LNG Plant; Developmentof Natural Gas as a New Energy Source; LNG Vaporizer andCompressor Technology; Gas Turbine Technology;
LNG Storage Tank Technology; LNG Ship Technology

Site visits:

Osaka Gas Co., Ltd. (Himeji LNG Terminal); Kobe Steel, Ltd.
(Takasago Works); Mitsubishi Heavy Industries, Ltd. (Takasago
Machinery Works); IHI Corporation (Yokohama Factory);
Mitsui Engineering & Shipbuilding Co., Ltd. (Chiba Works)

Countries:

Lecturer: Takaaki Yuasa

 COUNTRIES   PARTICIPANTS

Bahrain, Indonesia, Kazakhstan, Kuwait, Nigeria, Qatar, Saudi Arabia, Thailand, Uzbekistan,
Vietnam

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TR-18-13

Material Problems and Their Countermeasures
October 29 – November 15, 2013

Lecturer: Masami Funayama

Content:

Petroleum Industry in Japan; Material andInspection of Static Equipment; MaintenanceManagement in Japanese Refinery; Materialof Pressure Vessels; Estimation of Remaining
Life of Static Equipment; Overview of Materials
Problem, Exercise of Failure Analysis; Maintenance
Activity in Japanese Refinery (TPM); Trouble
Experiences and Countermeasures; Fundamentals
of Welding, Metallurgy of Welding; The
Latest Welding Technologies, Typical Problems
and Countermeasures of High Tensile Steels;
Maintenance and Repair Technologies of Refining
Equipment; Tank Corrosion and Countermeasures; COUNTRIES   PARTICIPANTS
Corrosion & Deterioration Problems of Materials
in Refinery; Typical Mechanical Damages in Refining Industry; The Latest Welding Technology

Site visits:

The Japan Steel Works, Ltd. (Muroran Plant); Idemitsu Kosan Co., Ltd. (Chiba Refinery);
Taseto Co., Ltd. (Fujisawa Office); IHI Corporation (Production Engineering Center);
Shinko Plantech Co., Ltd. (Head Office); Chiyoda Corporation (Head Office)Countries:

Ecuador, Iraq, Kuwait, Libya, Myanmar, Nigeria, Pakistan, Sudan, Thailand, Uzbekistan,
Vietnam, Yemen

TR-19-13

Human Resource Development
November 19 – December 6, 2013

Lecturer: Taro Shoji

Content:

Petroleum Industry in Japan; Japanese-style Human
Resource Management & Development;
HRM/HRD of Oil Company; HRD & TPM at Refinery;
Small Group Activity at Refinery; HRM/Training
Program of Engineering Company; Training Needs
Investigation & Training Program Designing;
Rational Thought and Team Consensus Building

Site visits:

Idemitsu Kosan Co., Ltd. (Tokuyama Refinery);
JX Nippon Oil & Energy Corporation (Mizushima COUNTRIES   PARTICIPANTS
Refinery); JGC Corporation (Yokohama
Headquarters); Meisei University; JX Nippon Oil & Energy Corporation (Headquarters)

Countries:

Indonesia, Iraq, Kazakhstan, Libya, Malaysia, Myanmar, Nigeria, Oman, Saudi Arabia, Sudan,
Thailand, Uzbekistan, Vietnam, Yemen

TR-20-13

Information and Control Systems Utilized in Refineries
November 19 – December 6, 2013

Content:

Petroleum Industry in Japan; Outline of Distributed
Control System (DCS); Trend of Information andControl Systems; Controller Tuning Method;
Hands-on Training of Process Control;
Alarm Analysis; Operation Support System;
Modernization of Instrumentation; Safety
Instrumented System; Fieldbus; Wireless System

Site visits:

Yokogawa Electric Corporation (Mitaka
Headquarters); Azbil Corporation (Shonan Factory);
JX Nippon Oil & Energy Corporation (Marifu
Refinery); Emerson Japan, Ltd. (Chiba Solution
Center)Countries:

Lecturer: Kazuhiro Suzuki COUNTRIES   PARTICIPANTS

India, Indonesia, Iraq, Kazakhstan, Libya, Myanmar, Nigeria, Pakistan, Saudi Arabia,
Uzbekistan, Vietnam

46 s 0ERSONNEL %XCHANGE 0ROGRAMS s

JCCP NEWS No. 118 June 2014

TR-21-13
Content:

Inspection and Reliability Evaluation
January 14 – January 31, 2014
Petroleum Industry in Japan; Plant Life Cycle
Engineering; Maintenance Management inJapanese Refinery; Maintenance Managementof Static Equipment; Trouble Experiences andCountermeasures; Material Characteristics ofPressure Vessels and Quality Control; Material
Characteristics of Pipes & Tubes and Quality Control;
Advanced Non-destructive Inspection Technologies;
Inspection Training; Reliability Activities in the
Refinery; Trouble Experiences and Countermeasures;
Maintenance and Repair Technologies of Refining
Equipment; Water Management and Corrosion
and Fouling Control for Petroleum Refining
Plants; Safety and Reliability of Aged Plants; Group Discussion

Lecturer: Masami Funayama

 COUNTRIES   PARTICIPANTS

Site visits:

Taiyo Oil Co., Ltd. (Shikoku Operations); Kobe Steel, Ltd. (Takasago Works); Nippon Steel &Sumitomo Metal Corporation (Steel Tube Works); Non-destructive Inspection Co., Ltd. (Head
Office); Showa Yokkaichi Sekiyu Co., Ltd. (Yokkaichi Refinery); Shinko Plantech Co., Ltd. (Head
Office)Countries:

Indonesia, Iraq, Kuwait, Mexico, Myanmar, Nigeria, Qatar, Saudi Arabia, Sudan, Thailand,
Vietnam

TR-22-13

Quality Management of Refinery Products
February 4 – February 21, 2014

Content:

Quality Management; Quality Control in Japan;
QC in the Refinery; Environmental Strategy ofJapanese Oil Companies; ISO-9000; Renewable
Energy in Japan; Product Planning by LP Model

Site visits:

Idemitsu Kosan Co., Ltd. (Aichi Refinery);
Shimadzu Corporation (Head Office and Sanjo
Plant); DKK TOA Corporation (Tokyo Engineering
Center); Yokogawa Electric Corporation (Mitaka
Headquarters; JX Nippon Oil & Energy Corporation(Negishi Refinery); Tanaka Scientific Limited

Countries:

Indonesia, Iraq, Kuwait, Libya, Myanmar, Qatar,
Sudan, Thailand, Uzbekistan, VietnamTR-23-13
Content:

Site visits:

Countries:

Advanced Process Control on DCS
February 4 – February 21, 2014

Lecturer: Minoru Horike COUNTRIES   PARTICIPANTS

Lecturer: Teruhiko Sasaki

Basic Process Control Theories with Practice Using
Computer Simulator and Miniature Plant with
Applied to DCS; Practice of Advanced Process
Control Theories and Operation Support System
Using DCS; Practice of Safety Instrument System;
Latest DCS Related Technologies and APC System;
Optimization Control Using Advanced Control
System Software; Application of Advanced Process
Control in Japanese Refineries

 COUNTRIES   PARTICIPANTS
Yokogawa Electric Corporation (Mitaka
Headquarters); JX Nippon Oil & Energy Corporation (Marifu Refinery);
Seibu Oil Co., Ltd. (Yamaguchi Refinery)Indonesia, Iraq, Kazakhstan, Libya, Myanmar, Nigeria, Pakistan, Qatar, Sudan, Thailand,
Uzbekistan, Vietnam, Yemen

JCCP NEWS No. 118 June 2014

s 0ERSONNEL %XCHANGE 0ROGRAMS s 47

IT-1-13

Turnaround and Inspection
November 25 – December 6, 2013
Lecturer: Hiromitsu Saito
Content:

Outline of Petroleum Industry in Japan; Maintenance
Activities in Japanese Refineries; Corrosion and Materials
for Refining Processes; Inspection Technologies &Its Demonstration; Manufacture and MaintenanceTechnologies of Screw, Centrifugal, Reciprocating
Compressors; Maintenance and Repair Technologies for
Refining Equipment; Risk & Reliability Management and COUNTRIES   PARTICIPANTS
Turnaround Maintenance; Inspection Management System;
Maintenance Planning & Scheduling in the Refinery; Plant
Maintenance & Technologies as Contractor and Human Resource Development of Contractor

Site visits:

Non-destructive Inspection Co., Ltd. (Headquarters); Kobe Steel, Ltd. (Takasago Works);
Shinko Plantech Co., Ltd. (Headquarters); JGC Corporation (Yokohama Headquarters);
Idemitsu Kosan Co., Ltd. (Chiba Refinery); Sankyu Inc. (Maintenance Center)

Countries:

Colombia, Ecuador, Iraq, Myanmar, Nigeria, Pakistan, Thailand, Vietnam, Yemen

IT-2-13

Finance & Accounting Management
January 20 – January 29, 2014
Lecturer: Masayuki Jimbo
Content:

Petroleum Industry in Japan; Crude Oil Terminal; Refinery
Shipping System of Petroleum Products; Distribution ofPetroleum Products; Refinery Site Observation; Workshop for
Business Skill Development: Corporate Negotiation; Financial
Accounting, Procurement, Risk Management for Marketing
and Trading; Oil Derivatives; Decision Making Process of
Crude Oil Buyers

 COUNTRIES   PARTICIPANTS

Site visits:

JX Nippon Oil & Energy Corporation (Mizushima Refinery); JX Nippon Oil & Energy Staging
Terminal Corporation (Kiire Terminal)

Countries:

Cambodia, Ecuador, Indonesia, Iraq, Kazakhstan, Nigeria, Qatar, Thailand, UAE, Vietnam, Yemen

IT-3-13

TPM Activities for Refinery Maintenance Management
January 14 – January 24, 2014
Lecturer: Fumihiro Tone
Content:

The course objectives are the following: To improve themindset of mechanical/process engineers who are in chargeof operations in the maintenance or technical section, andthe performance of refinery equipment. The first main
subject is maintenance management & safety management
by TPM in Japanese companies. The second objective isto understand Kaizen & TPM activities through actual
examples of Kaizen by TPM in Japan.

 COUNTRIES   PARTICIPANTSIn this course, participants will learn: Summary of TPM Activities; Maintenance Managementin Japanese Refineries; Maintenance & Safety Management by TPM Activities in Japanese
Refineries; Practical Exercise and Group Discussion Regarding Problems in Your Section and
Their Countermeasures
Site visits:

Sankyu Inc. (Maintenance Center) — Plant Maintenance and Technologies as a Maintenance
Company; The Japan Steel Works, Ltd. (Muroran Plant) — Recent Technologies for High
Pressure Vessel Manufacturing; Hokkaido Joint Oil Stockpiling Terminal (Hokkaido Office)— Tank Inspection Planning and Execution & TPM Activities; Idemitsu Kosan Co., Ltd. (Chiba
Refinery) — TPM Activities in the Refinery & Kaizen Example; JGC Corporation (Yokohama
World Operation Center) — Advanced System for Maintenance & HSE Risk Evaluation

Countries:

Ecuador, Indonesia, Kazakhstan, Kuwait, Libya, Myanmar, Nigeria, Pakistan, Saudi Arabia,
Sudan, Thailand, Uzbekistan, Vietnam

48 s 0ERSONNEL %XCHANGE 0ROGRAMS s

JCCP NEWS No. 118 June 2014

TechnicalCooperation

Survey on Cooperation Research
about Catalyst and Process Examination
for Effective Hydrotreatment of
Kuwait Crude Fractions
This study was implemented as a JCCP TechnicalCooperation Project funded by the subsidy of the
Ministry of Economy, Trade and Industry (METI) for
projects in oil-producing countries, with the participationof JGC Catalysts and Chemicals Ltd. and Kyushu
University.

applicability of Japan’s latest catalysts and processes
to the hydrotreatment of light gas oil (LGO) andatmospheric residue (AR) of new Kuwait heavy crudeoil, and to give concrete shape to a new joint project thatis planned to be launched in fiscal 2014 in cooperation
with KISR and KNPC.

1. Background

2. Progress of the Project

From fiscal 2010 to 2012, JCCP and Kuwait Institutefor Scientific Research (KISR) implemented a joint
project to establish a method for the analysis of themolecular species of crude oil and its products, andsuccessfully applied desulfurized catalysts produced inJapan to the hydrotreatment of crude oil fractions. Owing
to this project, JCCP has won stronger confidence from
KISR, and was able to build a foundation for futurebusiness opportunities between oil industry businesses
and universities in Japan and research institutes in Kuwait.
Another significant achievement has been JCCP’sestablishment of a relationship of trust with Kuwait
National Petroleum Company (KNPC) through meetings
that have been held more than a dozen times between
JCCP, KISR and KNPC.
Based on the results of the joint project that had beenachieved by fiscal 2012, the study aims to examine theMeetings with KISR and KNPC have been held twice
so far in Kuwait.
The first meeting was held last June to gather
information about the present state and operational
issues related to the hydrotreatment unit at KNPC, andto exchange views with KISR and KNPC about thepossibility of engaging in joint research from fiscal
2014. The information obtained from the two-day
meeting and the results of the joint research up to the last
fiscal year were thereafter examined by JGC Catalysts
and Chemicals Ltd. and Kyushu University, with theconclusion that emphasis should perhaps be placed on
assessing the present status of issues related to the lifespan of catalysts for the hydrodesulfurization of LGO
and AR produced from heavy Kuwait crude oil, and on
examining solutions to those issues.
This conclusion was outlined in detail, and procedures

Meeting with KISR and KNPC

Hydrotreatment pilot plantat JGC Catalysts and Chemicals Ltd.

JCCP NEWS No. 118 June 2014s 4ECHNICAL #OOPERATION s 49

for the assessment of present situations and problem
solving were explained to KISR and KNPC in thesecond meeting held last November. At the beginningof the meeting, Dr. Meena Marafi, Executive Director of
KISR’s Process Research Center, thanked JCCP, sayingthat “the joint projects that have so far been implemented
with JCCP have played extremely important roles in
Kuwait, and have greatly contributed to strengthening
ties between Kuwait and Japan,” and thereby making
it clear that the new project also occupies an important
position in Kuwait.
Following Dr. Marafi’s greeting, Mr. Isao Mochida,
Professor at Kyushu University, explained the present stateof issues concerning the life-span of hydrodesulfurization
catalysts for LGO and AR produced from heavy Kuwait
crude oil, and explained solutions to those issues. Also
taking into consideration KISR’s proposals, Prof.
Mochida specifically noted that performing activity
evaluations by a pilot plant that utilizes blended oil as
feed oil and detailed structural analysis of raw oil andproduced oil using the latest analysis instruments would
be highly effective for understanding the behavior ofasphaltene and resin contained in feed oil. He also
explained that the introduction of GC/GCTOF/TOF(two-dimensional gas chromatography with time-offlight mass spectrometer) to the analysis of LGO and AR
could deepen molecular analysis, and thereby provide
information that could lead to operational improvement
and longer lifetime of the desulfurization unit at KNPC.
As there was general consent from the Kuwaiti side
regarding the Japanese side’s explanation of issues

Sample catalysts fabricated by
JGC Catalysts and Chemicals Ltd.

and solutions based on an assessment of the present
status, the two sides agreed to continue cooperating in
implementing the project.

3. Future Plan
Based on the results of the research cooperation
study, a new joint project is scheduled to begin in fiscal
2014, with a project agreement thereafter slated to beexchanged with KISR. As expressed by Dr. Marafi, it
is hoped that by achieving its desired objectives, theproject would contribute to strengthening ties between
Kuwait and Japan.
<by Tsuyoshi Ota, Technical Cooperation Dept.>

50 s 4ECHNICAL #OOPERATION s

JCCP NEWS No. 118 June 2014

TechnicalCooperation

MOA/MOU Signing Ceremony with KACST(Saudi Arabia)
On November 27, 2013, King Abdulaziz City for
Science and Technology (KACST) and JCCP took partin a signing ceremony held at KACST in Saudi Arabia.
Concluded were a Memorandum of Agreement (MOA)
on the “Joint Project on CCS Monitoring Technology
for the Underground Storage of CO2 Produced in Oil
Refineries (Saudi Arabia)” and a Memorandum ofUnderstanding (MOU) for hosting an international
workshop related to that technology. The memoranda
were signed by H.H. Dr. Turki bin Saud bin Mohammed
Al-Saud, Vice President of KACST, and Mr. Morihiro
Yoshida, Managing Director of JCCP, and witnessedby Mr. Ryoji Kubota, Director–Executive Officerof Kawasaki Geological Engineering Co., Ltd., thecompany participating in the project from Japan.
The project takes its roots in the Study on the
Application of Ground Deformation Monitoring
Technologies that has been implemented jointly by
KACST and JCCP since fiscal 2008 employing the
ACROSS technology (Accurately Controlled andRoutinely Operated Signal System). The ACROSS
technology was originally developed in Japan to monitor
and predict seismic motion, and is a novel technology

Exchanging the signed MOA

that allows continuous monitoring and measurementof underground conditions by generating and emitting
accurately controlled and routinely operated signals
underground and measuring seismic waves at surface
level. The KACST-JCCP Joint Study on CCS Monitoring
Technology aims to apply this technology to monitoring
the behavior of CO2 that has been captured and injected
into the ground. In addition to CCS, the technology isalso expected to be applicable to assessing the behaviorof oil, gas and water in the reservoirs.

Schematic diagram of the ACROSS technology and CCS monitoring(provided by Dr. Kasahara, Technical Advisor, Kawasaki GeologicalEngineering Co., Ltd.)JCCP NEWS No. 118 June 2014s 4ECHNICAL #OOPERATION s 51

While the Saudi Arabian national oil company
Saudi Aramco is also engaging in the developmentof CCS technology, the KACST-JCCP study aims toapply Japan’s ACROSS technology in Saudi Arabia
and ultimately transfer the technology to relevant
institutions in Saudi Arabia once it has been developed
for monitoring CO2 injected into the limestone strata,
which is the most typical strata in Saudi Arabia.
During the ceremony, H.H. Dr. Turki first gave acongratulatory speech, expressing his appreciation of
the project and expectations of promising achievements.
He then articulated his strong interest in the workshop
scheduled to be held in Jeddah, and expressed his
passionate hopes for the project.
Mr. Yoshida thanked all parties concerned for theircooperation toward launching the project and wished its
smooth implementation. He explained that the primary
goal of the technology is to enable monitoring of thegeological disposal of CO2 produced in refineries,
but also noted that the technology has a wide-ranging
application potential, as represented by its capacity
to be applied to EOR technologies, which could leadto increased oil and gas production in oil-producing
countries.

After the speeches, Mr. Kubota from Kawasaki
Geological Engineering introduced his company and its
role in the project, and the two leaders then signed the
MOA and exchanged commemorative gifts. Dr. Junzo
Kasahara, Technical Advisor from Kawasaki GeologicalEngineering, gave a presentation on the project, and the
ceremony came to a close amid a friendly atmosphere.
In relation to this project, the KACST-JCCP 1st Joint
International Workshop for the Earth’s Surface andSubsurface 4D Monitoring was held in January 2012
at KACST in Riyadh with the participation of a large
number of academics and researchers. While it was thefirst attempt of its kind, it was extremely well-received
by many interested parties inside and outside the country.
Seizing this occasion of the new phase of the joint
project on monitoring technology, KACST and JCCP
exchanged an MOU for implementation of the second
international workshop, in an answer to requests fromthose concerned. With the newly-joined King Abdullah
University of Science and Technology (KAUST) as cosponsor, the workshop was agreed to be held in March2014 in KAUST’s hometown of Jeddah, as the “2ndInternational KACST-KAUST-JCCP Workshop on
Surface and Subsurface 4D Monitoring.”<by Sadao Wada, Technical Cooperation Dept.>

Presentation by Dr. Junzo Kasahara, Technical Advisor,
Kawasaki Geological Engineering Co., Ltd.

52 s 4ECHNICAL #OOPERATION s

Scene of the signing ceremony at KACSTJCCP NEWS No. 118 June 2014

TechnicalCooperation

Signing of Agreement for
the Joint Project on Technology
Cooperation for Lubricating Oil Production
with the Ministry of Oil-Iraq(From the left) Dr. Kareem A. Alwan, Manager, Petroleum
R&D Center, Ministry of Oil-Iraq, and Mr. Morihiro Yoshida,
Managing Director of JCCPOn October 9, 2013, JCCP and the Ministry of OilIraq held an agreement signing ceremony for the “Joint
Project on Technology Cooperation for Lubricating

Oil Production” in Istanbul, Turkey, with Dr. Kareem
A. Alwan, Manager of Petroleum R&D Center, andMr. Morihiro Yoshida, Managing Director of JCCP,
representing the two sides of the project. The ceremony
was also attended by Mr. Hajime Okazaki, Presidentof JX Nippon Research Institute Ltd., a company
participating in the project on the Japanese side, andother stakeholders on both the Iraqi and Japanese sides.
Lubricating oil that is currently produced in Iraq is
low in quality, and has a poor production yield. Thus,
with the aims of examining improvement measuresfor each production unit, enhancing the quality of
lubricating oil in the Dawra Refinery in Iraq, andincreasing production and productivity, the project will
be implemented over a period of two years, from April
1, 2013 to March 31, 2015.
The project is the third “Special Cooperation Programfor Iraq” to be implemented with funding by a subsidyof the Ministry of Economy, Trade and Industry (METI)

Members of the signing ceremony:
Dr. Alwan and Mr. Yoshida (front row, center)
Mr. Hajime Okazaki, President of JX Nippon Research Institute Ltd. (front row, second from left)
Mr. Mohammed Jasim Abbas, Ministry of Oil-Iraq (project leader on the Iraqi side) (front row, second from right)

JCCP NEWS No. 118 June 2014s 4ECHNICAL #OOPERATION s 53

for projects in oil-producing countries. The previous
two projects, on “Technical Support of Introduction of
Produced Water Treatment for SOC” and “Developmentof Asphalt Industry and Finding New Applications,”
were launched in 2011 and have been highly evaluatedand appreciated by the Iraqi side. It is hoped that the third
project will also be implemented successfully with thecooperation and efforts of all parties concerned.

Background and Content
Based on information and requests from the Ministryof Oil-Iraq and Iraqi trainees who have participated in a
JCCP training course(s) in Japan in the past, the quality
and productivity of lubricating oil in Iraq was surveyed
in fiscal 2012 as a research cooperation project. Basedon the results of that survey, this joint project wasformulated and launched in fiscal 2013 with the aim ofenhancing the quality of lubricating oil and increasing
production and productivity.
As a form of technical cooperation, the project will
analyze the actual operating data of the No. 3 lubricating
oil unit at the Dawra Refinery, and examine measures for
improvement of units that produce base oil and adjust

its properties, as they relate directly to the quality of
lubricating oil. More specifically, steps will be taken to
analyze the operating data of the vacuum distillation unit,hydrorefining unit and solvent-related units, analyze
the quality of lubricating oil that is produced, propose
operational improvement measures based on knowledge
and experience, and verify the results.
For example, as the result of the analysis of
lubricating oil indicated poor separation of base oil inthe vacuum distillation column, a proposal was maderegarding the repair and maintenance of parts inside thecolumn as a countermeasure. A proposal was also madeto increase the temperature in the reactor column of thehydrorefining unit.
In addition, the project aims to contribute toenhancing knowledge of lubricating oil production
on the Iraqi side by also providing tips and advice on
operational and quality management of lubricating oil.
Ultimately, JCCP hopes the project will also
contribute to strengthening the friendly relationshipbetween Iraq and Japan by providing proposals andcooperation based on Japan’s knowledge and experience
in retrofitting units to the No. 3 lubricating oil unit at
the Dawra Refinery.
<by Hironao Naganuma, Technical Cooperation Dept.>

54 s 4ECHNICAL #OOPERATION s

JCCP NEWS No. 118 June 2014

TechnicalCooperation

The 23rd Saudi Arabia-Japan
Joint Symposium
On December 2 and 3, 2013, JCCP and King Fahd
University of Petroleum and Minerals (KFUPM)
sponsored the 23rd Saudi Arabia-Japan Joint Symposiumon oil refining and petrochemical catalyst technologies
with the participation of the Japan Petroleum Institute(JPI). The symposium has been held annually at KFUPM
since 1992.
On December 1, the day prior to the symposium,
Mr. Morihiro Yoshida, Managing Director of JCCP, andmembers from JPI paid a call on H.E. Dr. Khaled S. AlSultan, Rector of KFUPM, to explain the significanceof the following day’s symposium. The Rector andVice Rector noted that the Saudi Arabia-Japan Joint
Symposium is a unique undertaking among the various
activities implemented by KFUPM, and articulated their
expectations that its 23-year history would see further
development in the future.
On December 2, the symposium opened with a speech
by Dr. Al-Sultan, who stated that KFUPM intends tofocus its efforts on business areas in the future, andmeet particular needs for human resources to supply
manpower for Saudi Aramco’s three new refineries andpetrochemical complex currently slated for construction.
He closed his speech by expressing his best wishes
for the occasion of the 60th anniversary of diplomatic
relations between Saudi Arabia and Japan to further
strengthen the relationship between the two countries.
Following Dr. Al-Sultan, Mr. Yoshida first
congratulated KFUPM on the 50th anniversary of its
founding and the achievements it has made through those

years. He then referred to the symposium’s contribution
to the advancement of studies in the oil refining sector,
and articulated JCCP’s continuing commitment tocontributing to technical exchanges between Saudi
Arabia and Japan.
Dr. Atsushi Satsuma, head of the JPI delegation (andprofessor at Nagoya University), mentioned how Prime
Minister Shinzo Abe’s recent Middle East tour has placed
greater emphasis on promoting academic and personnel
exchanges with the Middle East countries, and expressed
his wish to see further development of the Saudi ArabiaJapan Joint Symposium as a pioneering manifestationof that policy.
Following the opening ceremony, the two-day
symposium featured 18 presentations in six sessions on
topics such as gasoline reforming, desulfurization/FCC,

Courtesy call on H.E. Dr. Khaled S. Al-Sultan,
Rector of KFUPM

Mr. Morihiro Yoshida, Managing Director of JCCP,
shaking hands with H.E. Dr. Khaled S. Al-Sultan

Dr. Atsushi Satsuma, head of the JPI delegation,
giving a speech

JCCP NEWS No. 118 June 2014s 4ECHNICAL #OOPERATION s 55

olefin catalysts, dehydrogenation/recycling, alkylation/
characterization, and mechanisms/polymerization.
Of the presentations, nine were on the latest R&D
achievements by Japanese researchers.
The presentations covered themes related to the latest
oil refining and petrochemical production technologies
and trends related to catalysts. The Japanese side gavenine presentations, including one by Mr. Shigeyuki
Nagano, Manager of the Catalysts Research Center
at JGC Catalysts and Chemicals Ltd. (the company
is engaged in a joint project with KFUPM under the
JCCP technical cooperation scheme), and another by
Dr. Sachio Asaoka, lecturer at Kogakuin University
who previously provided research assistance at KFUPM
under the JCCP Long-term Researcher Dispatch
Program, in addition to those by members of the JPI
delegation. On the Saudi Arabian side, KFUPM gave
three presentations, and Saudi Aramco, KACST and
KAUST gave one presentation each. There were also
three presentations by foreign researchers, namely Dr.
Arthur Garforth from the University of Manchester inEngland, Dr. Luis Oro from University of Zaragoza in
6SDLQDQG'U-ÿHMNDIURPWKH,QVWLWXWHRI3K\VLFDO
Chemistry in the Czech Republic.
The presentations by KFUPM included one by Dr.
Oki Muraza, who engaged in research at Hokkaido
University in FY2012, and a report by Dr. Muhammad
Atiqullah, who studied at Japan Advanced Institute of

Article of the symposium that appeared in Al-Yaum on Dec. 3

Science and Technology in FY2013, both under the JCCP
Researcher Invitation Program.
Articles on the symposium appeared in three local
Arabic newspapers (Al Yaum, Al Madina and Okaz), withthe one in Al Yaum taking up an entire page, accompanied
by a number of photos. Additionally, an article thatfeatured a summary of the first day’s speeches by theguests of honor also appeared in the English-language
Saudi Gazette.
The presentations and discussions fostered a keenawareness that the symposium provided an ideal
opportunity for exchanging and providing useful
information to both Saudi Arabian and Japanese
researchers, and that it plays a significant role instrengthening technical cooperation between the twocountries.

Dr. B. Rabindran Jermy from KFUPM giving a presentation<by Sadao Wada, Technical Cooperation Dept.>

56 s 4ECHNICAL #OOPERATION s

JCCP NEWS No. 118 June 2014

■ Session Themes<Day One><Day Two>

Session 1: Gasoline Upgrade

Session 4: Dehydrogenation/Recycling(1)

Dr. Yuji Saka, Cosmo Oil Co., Japan
Techniques for octane number enhancement in
FCC gasoline and catalytic activity improvement

(9)

(2)

Dr. Sachio Asaoka, JCCP/KFUPM
Nanoporous hybrid catalysts: Pd/nanosized Al2O3/
H-Beta zeolite for isomerization of naphtha(10) Dr. B. Rabindran Jermy, KFUPM/CRP
Tuning dehydrogenation activity by Bi addition overNi/a-alumina catalyst for butadiene production
from n-butane

Session 2: Desulfurization/FCC(3)

Dr. Atsushi Satsuma, Nagoya University, Japan
Catalysis of metal nano-cluster on NOx reduction,
green chemical reaction, and biomass conversion(11) Dr. Arthur Garforth, University of Manchester, UK
Enhanced Feedstock Recycling — NovaCrackTM

Dr. Yoshiyuki Nagayasu, JX Nippon Oil & Energy
Corporation, Japan
Development of the simulator to predict the life ofdesulfurization agents in fuel cells(4)

Dr. Syed A. Ali, KFUPM/CRP
Development of deep hydrodesulfurization
catalysts with improved performance(5)

Mr. Shigeyuki Nagano, JGC Catalysts andChemicals Ltd., JapanThe recent catalyst technology for oil reﬁning
process

Session 3: Catalytic Oleﬁns(6)

Dr. Teruoki Tago, Hokkaido University, Japan
Synthesis of nano-crystalline zeolite crystals andtheir catalytic activity(7)

Dr. Oki Muraza, KFUPM/Chemical Engineering
Catalytic cracking of n-hexane over modiﬁed
H-ZSM-22 zeolites(8)

Dr. Atsushi Muramatsu, Tohoku University, Japan
Regeneration and promotion of catalytic activity ofzeolites for DME conversion to oleﬁn

Session 5: Alkylation/Characterization(12) Dr. Jiri
J. Heyrovsky Institute Physical
Chemistry, Czech Republic
Controlling of textural properties of zeolites forcatalytic purposes(13) Mr. Mohammed Al-Amer, Saudi Aramco
Development of a novel trans-alkylation catalyst toenhance xylene production(14) Dr. Nobuaki Kambe, Osaka University, Japan
Transition metal catalyzed C-C bond formation on
sp3-carbons(15) Dr. Joji Sonoda, BEL Japan Inc., JapanThe development of fully-automatic IRMS-TPD
analyzer
Session 6: Mechanism/Polymerization(16) Dr. Luis Oro, Zaragoza University, Spain
Iridium homogeneous catalysts following outersphere mechanisms(17) Dr. Emmanuel Callens, KAUSTNovel supported tantalum species in ethylene
oligomerization and polymerization(18) Dr. Muhammad Atiqullah, KFUPM/CRP
Development of industrial polyethylene catalysts:
aspects beyond synthesis, characterization, andevaluation

JCCP NEWS No. 118 June 2014s 4ECHNICAL #OOPERATION s 57

Corporate
Cooperation

Our Technical Cooperationin Oil-Producing Countries andExpectations of JCCP
“Our Technical Cooperation in Oil-Producing Countries and Expectations of JCCP” is a new section that makes
its debut in this issue of JCCP NEWS. In appreciation of the fact that JCCP activities are made possible by thecooperation of numerous member companies, this series will feature contributory articles by such companies on
the background, aims and achievements of their participation in technical cooperation in oil-producing countries,
future issues and visions, and their expectations and requests of JCCP.
JCCP NEWS has thus far introduced views about JCCP through the eyes of participants in the “Graduates’
Voices” and “Special Message” sections, but the new section will introduce JCCP from various other perspectives.
By introducing how external companies view JCCP, we hope to promote deeper understanding of JCCP activities.

■ First Contributory Article: Idemitsu Kosan Co., Ltd.
Mr. H. Yoshi Tanda
Senior Technical Advisor
Technology & Engineering Section, Manufacturing and Technology Department
Idemitsu Kosan Co., Ltd.

1. History of the Company
Idemitsu’s history began in 1911 with the founding of
Idemitsu Shokai in Moji, Kitakyushu. The company isthus celebrating its 103rd year of operations this year. As
the name “Idemitsu Shokai” literally indicates (“shokai”
means “trading company”), it specialized in the oil sales
business through its early years and in the oil refining andsales business after construction of Tokuyama Refinery
in 1957, and has continued to engage in the oil businessthroughout its long history.
From its founding to this day, Idemitsu has consistently
addressed the challenge of oil procurement as its
principle mission. During its years as an oil distributor,
its major management target had been to receive oil
products from major oil companies in Japan, and today,
as a company engaging in oil refining and sales, it isto provide a steady supply of oil from oil-producing
countries.
In 1951, Idemitsu commissioned a ship named
Nisshomaru (18,774 tons), and used it to initially importgasoline from the United States, and from 1953, to importoil from Iran. As an independent oil company required
58 s #ORPORATE #OOPERATION s

to search for oil suppliers on its own, Nisshomaru wasan indispensable means for expanding its search forsuppliers throughout the world.

The Nisshomaru on its return to Japan from Iran in May 1953
(Idemitsu Oil Digest No. 17; July 1, 1953)

JCCP NEWS No. 118 June 2014

In May 1953, Idemitsu succeeded in importing oilfrom Iran. This success brought stability to Idemitsu’s
oil procurement operation, and eventually led to theconstruction of Tokuyama Refinery.
Following Iran, Idemitsu also succeeded in importing
crude oil from the Soviet Union in 1960 and Daqing
crude oil from China in 1973, and leveraged its strengths
as an independent oil company to take active initiative incultivating new oil suppliers. Although the process cost
the company a large sacrifice, it also provided an impetus
for the company to grow. Following the constructionof Tokuyama Refinery, it constructed Chiba Refinery
in 1963, Hyogo Refinery in 1970, Hokkaido Refinery
in 1973, and Aichi Refinery in 1975. By adding four
new refineries to its organization in 12 years, Idemitsu
established a steady framework as an oil refining andsales company.

2. History of Technical Cooperation
Accompanying Idemitsu’s accumulation oftechnological capabilities through the commencementof operations at its five refineries, it began to receive an
increasing number of requests for technical cooperationfrom oil-producing countries. The company’s technicalcooperation initiatives thus commenced in response tosuch requests.
Technical cooperation with China began with theimport of crude oil from Daqing, and has continued tothis day, albeit through various twists and turns.
Technical cooperation with Middle East oil-producing
countries began with Idemitsu’s participation in SHARQ
in 1979. SHARQ is a joint venture project undertaken
by SABIC (Saudi Basic Industries Corporation) in Saudi
Arabia and a Japanese consortium known as SPDC Ltd.,to establish Eastern Petrochemical Company (SHARQ)
and construct polyethylene and ethylene glycol
production plants in Al-Jubail Industrial City in Saudi
Arabia. Idemitsu became one of the 54 shareholders
comprising the consortium, along with Mitsubishi
Corporation and (then) Mitsubishi Petrochemical Co.,
Ltd. as the main players.
One of the reasons why Idemitsu decided toparticipate in SHARQ was because SHARQ was tobe allotted incentive crude oil from Saudi Arabia,
and participation in SHARQ would thus provide an
opportunity to open a new channel for access to Saudi
Arabian crude oil.
The Japanese consortium’s participation in SHARQ

Participants from SHARQ (at Tokuyama Reﬁnery)also invited requests from the Saudi Arabian side forcooperation in the technical training of Saudi Arabian
operators. Idemitsu, in step with the other shareholders,
responded to these requests by providing training
using the facilities at its Tokuyama Refinery and plant.
Idemitsu’s employees not only organized training
programs, but also planned weekend outings, sports
exchanges with refinery staff and other such events sothat the participants could enjoy their long stay in Japan,
as well as took care in creating a comfortable living
environment in consideration of Muslim participants.
This scheme continued for two years, from 1983
to 1984, attended by a total of 30 participants fromSHARQ.
When I visited SHARQ in 2004, Mr. Mohammad
M. Al-Jabri, then-President, relayed a message ofappreciation, saying that Japanese companies have not
only provided their cooperation by taking a stake inthe project, but have also made a “tangible” (visible)
contribution by training operators. The term “tangible”
has remained impressed in my mind ever since.
In 1984, Idemitsu was commissioned by JCCP
to refurbish the distillate hydrodesulfurization unit
at Tokuyama Refinery into a training plant, andprovide training in operational technologies. To that
end, instructors of the training plant created English
textbooks, and programs were designed that broadly
covered all operational functions of a refinery plant,
from ordinary operations to start-up/shut-down,
troubleshooting and emergency response operations.
These training programs and textbooks and hospitality
knowhow were also put to great use when Idemitsu
participated in a project on providing support for start-up
operations at the Kertih Refinery in response to a requestfrom PETRONAS in Malaysia. Idemitsu provided

JCCP NEWS No. 118 June 2014

s #ORPORATE #OOPERATION s 59

operational training to engineers and operators fromPETRONAS at its training plant at Tokuyama Refinery,and sent engineers to Malaysia to provide onsite guidancein operational technologies. Thereafter, the operational
technology support for PETRONAS developed into a
program for support of start-up operations at the Melaka
Refinery, and was continued for 14 years until it cameto a close in 2002.
In the 1990s, Idemitsu’s training program for
operational technologies was included among thecomponents of JCCP technical cooperation to refineriesin Abu Dhabi, Oman, Qatar and other such Middle East
oil-producing countries, as well as to Petrovietnam,
and played a role in promoting Idemitsu’s overseas
expansion. (Note: These programs were implemented
as JCCP member company-initiated courses.)Presently, Idemitsu is helping develop the Nghi
Son Refinery and Petrochemical Complex in Vietnam
in cooperation with Petrovietnam, Kuwait Petroleum
International and Mitsui Chemicals, Inc. It is said that
Petrovietnam selected Idemitsu to be a partner due tothe strong recommendations of people who know of
Idemitsu’s technical training to Petrovietnam over many
years.

3. Signiﬁcance of Technical Cooperation
Idemitsu’s technical cooperation came into being as
an activity for stable oil procurement. We employeesof Idemitsu are constantly told how important it is toestablish good relationships with oil-producing countries
by management officers who experienced the hardships
of procuring oil after the Nisshomaru incident, andare always asked whether the company’s technicalcooperation has continued seamlessly to this day.
Today, oil trade is governed by international rules,
and there may not seem to be any room for feelingsof good intent in the form of technical cooperation.
However, we have also learned that while oil has become
a commodity, it will always continue to be a strategiccommodity and cannot be traded continuously over along period of time without a relationship of trust.

4. Characteristics of Idemitsu’s TechnicalCooperation
A salient feature of Idemitsu’s technical cooperationis perhaps that it has placed efforts on producing
results in terms of “people.” That is, among the various
ways that technical cooperation can be achieved,
such as by producing results in the form of “things”
or “technology,” we believe that producing results in“people” conforms to Idemitsu’s management principleof respecting human dignity. As time passes, things break
and technology becomes obsolete, but memories remain
etched in people’s minds over their entire lifetime. Thus,
we are convinced that engaging in work that remains
in people’s memory is a foremost important element oftechnical cooperation.
When reading JCCP NEWS or participating in a JCCP
international symposium, I frequently meet people whohave participated in training programs implemented
by Idemitsu in the 1980s and 1990s, and who now
act as management officers in oil companies based in
oil-producing countries. I feel that having these people
fondly recall their memories of Idemitsu is, above
all, the greatest achievement of Idemitsu’s technicalcooperation.

5. Expectations of JCCP

Operational technology training that is still offered today at
the Tokuyama Reﬁnery Training Plant

60 s #ORPORATE #OOPERATION s

Idemitsu has engaged in technical cooperation fromthe standpoint of a private company. However, as there
is a limit to what a private company can do, JCCP’sestablishment in 1981 under the auspices of the (then)Ministry of International Trade and Industry and therecognition of technical cooperation to oil-producing
countries as an important national policy provided strong
support for continued technical cooperation activities byprivate companies.
By participating in JCCP activities, Idemitsu wasable to organize training programs on operational
technologies, and through these programs, many people

JCCP NEWS No. 118 June 2014

from oil-producing countries visited Idemitsu’s refineries
and furthered their knowledge of our company. Membersof Idemitsu’s refineries also gained opportunities tovisit oil-producing countries and see for themselves
the changes taking place in oil-producing countries
accompanying significant changes in the oil businessenvironment. Such visits were especially important interms of the fact that they provided important hints forthe structural reform of Idemitsu’s refineries.
JCCP has more than 30 years of experience inproviding technical cooperation to oil-producing
countries, and has received more than 22,000 participantsfrom major oil-producing countries in the world to its
training programs. Many of these people, whom I often
meet in business scenarios, reminisce about memoriesof their exposure not only to Japanese technologies,
but also to Japanese society and culture that support
high productivity in Japan. I believe their confidence
in Japan stems from such feelings. Thus, it can besaid with certainty that JCCP activities have createdthe foundation for private companies to operate in oilproducing countries.
Creating a network of personal connections requiresa large amount of time, but in terms of both time andspace, JCCP possesses the power to maintain continuous
exchanges with oil-producing countries from a far larger
perspective than private companies. Therefore, we would
encourage JCCP to stand firmly in its operations andfurther expand its record of cooperation to oil-producing
countries for years to come in support of the activities
of private companies.

6. Summary
Technical cooperation takes a long time for its

Participants of the “Essential Petroleum Reﬁning Course for
Process Engineers” implemented in 1985 at the Tokuyama
Reﬁnery Training Plant
The third member from the left in the front row is
Mr. Andrew Laah Yakubu, Group Managing Director,
Nigerian National Petroleum Corporation (NNPC)(See also JCCP NEWS No. 116 page 3 fora Special Message from Mr. Yakubu)

results to appear. It is extremely difficult to define therelationship between its input and output, but this does
not mean that results do not need to be envisioned.
Efforts must be made to create an image of the resultsthat are expected from technical cooperation, and how
they might lead to securing a stable oil supply. In thisrespect, it can be said that technical cooperation requires
greater strategic thinking than does daily work. The oil
business environment will continue to undergo largechanges in the future, but we will make constant efforts
to always consider what type of technical cooperationis needed amid such changes.
On behalf of Idemitsu, I wish to take the occasion ofthis article to thank JCCP for supporting such long-term
initiatives of private companies over a period of morethan 30 years.

JCCP NEWS No. 118 June 2014

s #ORPORATE #OOPERATION s 61

Announcement

Please Help Us Update Our Roster
Thank you for reading JCCP NEWS as always.
JCCP has reached a significant milestone in its history and celebrated 30 years of operations in 2011.
In commemorating this achievement, we extended our deepest appreciation to you all for your support andcooperation in our activities.
All of you who have participated in a JCCP training program in the past (graduates) are a precious asset to
JCCP. We therefore wish to take this occasion to confirm your current addresses and update our roster of former
participants so that we may reconnect and maintain contact with you into the future.
Our current roster mostly shows information that you provided at the time you participated in a JCCP training
program, and could be outdated by now. If there have been any changes in your affiliation (position), email address,
or any other contact information, we ask that you provide the latest information on the attached form and return theform to JCCP’s Planning & Public Relations Group. Those of you who return the form to us are entitled to receive
the latest issues of JCCP NEWS and announcements and invitations to exhibitions and reunions.
Also, if you know of anyone who is a former participant but is not receiving copies of JCCP NEWS, or anyone
who wishes to update his/her contact information, we would appreciate it if you would forward this message andthe attached form to that person.

Announcement

Please Send Us a Message as Alumni
Future issues of JCCP NEWS will feature a new section for messages from alumni. Please send us the latest
news about what you are up to or photos that you wish to share with others. The Planning & Public Relations
Group looks forward to hearing from you.

Thank you for your cooperation.

62 s !NNOUNCEMENTS s

JCCP NEWS No. 118 June 2014

Personnel Changes
Outgoing Personnel
Operations
Dept.

Takashi HORI

Outgoing Personnel
Training Dept.

Tetsuji KUBOTA

Shigeru MATSUI

Editorial Postscript
Beginning with this issue, a new section entitled “Our TechnicalCooperation in Oil-Producing Countries and Expectations of JCCP” hasbeen added to JCCP NEWS. JCCP activities are made possible through thecooperation of numerous member companies, with support from the Ministryof Economy, Trade and Industry. By taking the occasion of this newsletter tointroduce JCCP’s relationship with these companies and their expectations
and requests of JCCP, we hope to offer a look at aspects of JCCP that are notreadily revealed by internally written reports. We plan to continue the section
as a series in subsequent issues of JCCP NEWS with the understanding andStaff of the Planning and Public
Relations Group, Administration Dept.:
cooperation of member companies.
(from left) Kitahara, Yamanaka, Iwase
As of December 2013, the total number of participants in JCCP regularcourses has surpassed 22,000, with some 850 to 900 participants per year
having received training in Japan in recent years. While this figure certainly represents a remarkable achievement,
JCCP places even greater importance on building ties with each and every participant and creating an ever-larger
network of personal connections. We send out copies of JCCP NEWS to all JCCP alumni with the same thoughtin mind, always hoping that it will prove to be an effective means of bringing people together.
Masumi Kitahara
Planning and Public Relations Group
Administration Dept.

JCCP NEWS No. 118 June 2014

s !NNOUNCEMENTS s 63

Japan Cooperation Center, Petroleum (JCCP)
Headquarters
Sunshine 60 Building 58F, 3-1-1 Higashi-Ikebukuro, Toshima-ku, Tokyo 170-6058, Japan
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JCCP NEWS No. 118 June 2014