How to Achieve Excellence through Project Execution and Cost Optimization
Authors: Al-Sawi Kamel Abdelhamid , Hegazy Mahmoud Ibrahim , Abu Halawa Mohamed Abdelmonsef , Atwa Mohamed Said 
Published: March 2023

Project planning and execution are vital in the oil and gas industry due to their high impact on operational efficiency. failure in project planning or delay in its execution will significantly impact project expenditures, Asset OPEX, and generated revenues from this asset.

In line with Kuwait energy Egypt project management guidelines and company strategy to excel in project management and operational efficiency; The following variables were used to solve the problem: Standardization of Engineering and construction of oilfield surface facilities, this will allow access for modification of running facility and relocate extra equipment to accommodate production increase.Usage of current resources including recycling of surplus and condition B materials in minor projects such as ESP cables for power transmission, tubing, and rods for flowlines, fences, and camp revamping, and relocation of idle equipment to most needed places like relocation of El-Salmiya 2 tanks and one separator to Al-Jahraa facility and water flood tanks to ASH facility to avoid extra rental equipment on location. Also, the Al-Ahmadi flow line was relocated to the Al-Jahraa gas project.Improving the efficiency of oilfield facilities by optimizing parameters according to the priority of safe production, production de-bottlenecking, saving energy, and reducing consumption.Quality inspection must be practical and realistic, the quality inspection report and data issued must be true and reliable, and the relevant records, reports, and data should be accurate, complete, and timely archived.Innovation is encouraged to rely more on new energy-saving and higher efficiency technologies.Contractors' qualification, selection, and contract management to ensure the highest performance and lowest prices in the market, extensive negotiations, and tendering processes are performed before awarding.

The applied methodologies resulted in huge savings in both CAPEX & OPEX that was reflected on total asset value and production optimization to achieve company key performance indicators. These positive results can be summarized as follows: Run facilities with maximum capacity and avoid bottlenecks.Reduced hookup time allowing smooth relocation of equipment to release rental equipmentOptimized projects time and costs while optimizing operating and maintenance expenditures.The company has gained its reputation and was recognized as best-in-class operator via repeated operational excellence awards from different entities due to its unique methodology in project planning and execution "make rather than buy/rent".

the invented tools, and local resources were utilized to get the job done on time via setting challenging objectives to save +5% of the total project cost and stress on waste elimination. Thinking out of the box for readily available solutions like the gas plant brought from a sister company saved more than 30 million dollars. in conclusion, it’s vital to generalize the applied methodologies to other assets to enhance their business models.