Insights in a Refinery Turnaround

Pit Stop for a Refinery – TheTurnaround–Challenge

03/05/2014 | Author / Editor: Dominik Stephan / Dr. Jörg Kempf

Teamwork decisive: 15 companies from all over Europe work together, with Bilfinger acting as the ManagingContractor for the project. On behalf of the plant operator Q8, the company has taken responsibility for selecting thesubcontractors, planning and coordinating all necessary work and supplying the required equipment. (Picture:Nadine Rupp/Bilfinger)If you want to see the checkered flag, you need to get your pit stop strategy right. The sameapplies to plant inspection, maintenance and revamp. With good turnaround organization andmanagement, a plant shutdown can be turned into a competitive weapon. We were in TheNetherlands to witness a refinery turnaround.

7 A.M., Rotterdam, Europoort: the first faint hint of dawn appears in the dark sky overEurope’s largest port. A strong wind drives the rain through the dim yellow haze, andreflections of the floodlights can be seen in the oily puddles. The air smells of diesel, salt andrain. At this hour of the day, there is little sign of the normal busy activity at the docks andharbour facilities. A few seagulls languidly flap their way out into the darkness. From thedirection of the Caland Canal, a tugboat can be heard sounding its horn as it tows a barge outtowards the North Sea. The only place where the work day has already started is a constructionsite which incidentally is probably the biggest in Rotterdam. Hundreds of people are alreadyhard at work at the Europoort Q8 KPE Refinery (Kuwait Petroleum Company), despite the factthat not a single drop of oil will flow there today.

Refinery Turnaround in Rotterdam Up Close - The Race is On!

Select a picture to open the gallery (16 Pictures) The refinery is "dry" (or “sweet” in the words of the operator) and has been so for nearly amonth. It is time for the turnaround, the general plant revamp which takes place at regularintervals. This does not however mean that things at the site are quieter than normal. Aproduction plant which has been shut down is not generating revenue. On the contrary, everyday without production is a day lost and easily costs the operator enormous amounts of money.Turnarounds of major industrial facilities are nothing unusual, but shutting down an entirerefinery site all at once is something that even the experts do not experience very often.

Additional InformationTurnaround in the European Capital of Oil

Gallery

Select a picture to open the gallery (20 Pictures) Until now, only half of the production assets at the Rotterdam site were overhauledsimultaneously on a rolling two-year cycle. This is the first time that the entire facility has beenshut down. So it is no wonder that hundreds of workers, arriving from all directions, convergeon the site long before 7 A.M., many of them dressed in the Bilfinger Group's blue and yellowoveralls.

Industrial Service Providers: Specialists for Tough Jobs

The Mannheim-based construction and industrial services company is a specialist in theturnaround business – The company has been a Q8 business partner since 2006. Bilfinger wasinvolved in four shutdowns at Europoort, but a mega project on this scale, where an entirerefinery is turned inside out, is something which commands the respect of even theexperienced veterans. It is hardly surprising that Rainer Gross turns his head in every directionas he walks across the site. Rainer has a background in Mechanical Engineering and is head ofthe Central European Turnaround business at Bilfinger. As Contract Manager, he hasresponsibility for ensuring good teamwork on site and is also responsible for the customerinterface. It is him that some Q8 employees come over to, to complain about several workerswho seem to be rather disinterested in what is going on around them...At a short distance from the site porta-cabins, a number of men can be seen smoking in front ofa temporary wall. With their parka collars turned up against the wind, they are just standingthere alone or in small groups with no sign of any real activity. “They are crane operators,"says Gross laconically. He knows the men and understands what kind of impression they aremaking. But appearances can be deceiving. “They already positioned and erected their cranesyesterday evening. Now they have to wait while the foremen get together with their workers todiscuss what the teams will be doing for the rest of the day."

Giving the Green Light for aSuccessful Turnaround

The last few minutes before the break ofday are enormously important: It is in thattime that the stage is set for a productivework day. Everything that needs to be doneis discussed one more time, and a LastMinute Risk Analysis (LMRA) is carriedout before the green light is given. Ifanything is forgotten now, operations willcome to a halt later on and “the foremanwill have a lot of running around to do”adds Jürgen Schuh with a smile. Schuh is incharge of Turnaround New Markets at

Bilfinger and in his role as Turnaround Manager he is responsible for smooth operation of theplant pit stops.

A Close-Up on Process Plant Turnarounds

Ready, set, go! A clever Turnaround Managementturns shutdowns into headstarts – Around 3,500worker were involved to restart a complete refineryfacility. (Picture: Nadine Rupp/Bilfinger)

Select a picture to open the gallery (14 Pictures) This is a huge project. A stock of 160,000 parts have to be available on site. 19 huge fans thesize of airplane propellers along with the associated cooler units have to be replaced. Some 80sub-projects involving hundreds of workers need to be coordinated and managed. Very little ofwhat happens during a refinery revamp is routine work. Huge columns, pipe networks andequipment are shut down, emptied, disassembled, inspected, refurbished and, if necessary,replaced. Several hundred operations and up to 100,000 procedures have to be planned,coordinated and carried out.

Additional InformationA mega-scale to-do list

48,000 man-hours by as many as 60 employees were invested in planning for the mechanicalprocess systems, pipelines and other refinery equipment. 140 employees will be spendingabout 70,000 hours to coordinate activities on site.Up to 200 metal workers will spend 55,000hours getting the columns, boilers, pipes, fittings and fixtures in shape.8,000 man hours will beneeded to produce pre-fabricated parts at the Bitterfeld site.135,000 m3 of scaffolding andassembly platforms will be erected on site.105 scaffolders will be on site at peak times.85workers will remove the insulation from pipe bridges, equipment and enclosures.Up to 80employees will be doing the final clean-up at the refinery.

A Million Dollar Project Depends on the Turnaround

While repairs, inspection and maintenance work is being performed in one part of the plant,equipment is being replaced, revamped or optimized somewhere else. The cost of a singleshutdown can easily run into the millions. The turnaround of a complex process plant is a littlebit like open-heart surgery and something, which only a handful of experts are able to do.

Plant Engineering/Turnarounds

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Bilfinger is a specialist for these really tough jobs: With a workforce of 38,000, the company'sIndustrial Services segment posted sales of around 3.6 billion Euros in 2012. That makesindustrial services by far the biggest field of business for the Bilfinger group. The focus of theinternationally oriented conglomerate is on projects in the process industry and the energy sector.

industrial plants. But a turnaround doesn’t have to be a lottery. Strategy makes a plantshutdown a safe bet ... read...

In Rotterdam, the industrial services provider is acting as Managing Contractor for the project.On behalf of the plant operator Q8, the company has taken responsibility for selecting thesubcontractors, planning and coordinating all necessary work and supplying the requiredequipment. Since more than 15 companies are involved during the revamp, this is no easy task.

Working with Specialists:Teamwork is the Key

The shrill noise of grinders can be heard in atemporary building constructed of plastic andtarpaulin. Sparks fly as welders andmechanics break down equipment and fittings.Welding torches hiss against a backdrop ofmetallic hammering. A beeping noise outsidegets louder and softer, as forklift trucks passby the thin wall. One of the workers dressed ina blue and yellow Bilfinger overall lays asidehis angle grinder. He pushes his protectivegoggles up over his forehead and runs hisfinger along the freshly cut edge on adismantled mixing tank. He then asks anotherworker who is dressed in gray moleskin

clothes to come over.

Interested in more plant engineering facts? Check out our large project database GROAB!

“He works for SGS, a company that specializes in material testing,” explains Gross. “We teardown the equipment and get the parts ready for re-installation, but the inspection is done by anindependent company.”

The specialist uses an aerosol can to apply a fine, shiny coating to the edge. The fluid containsultra-fine iron oxide particles in suspension. A U-shaped metal yoke with a strong coil wrappedaround it is used to induce a magnetic field in the part. Any cracks and discontinuities in thematerial create deviations in the magnetic field, generating local attractive forces which causemetal particles to accumulate. This procedure, that is called magnafluxing, helps to detectcomponent defects which could result in hazardous material failures during operation.

When the inspector is finished, the man nodsand places his mark on the vessel to indicatethat this part has passed inspection. For Gross,the partnership with SGS is just one exampleof the good teamwork between the variousBilfinger subsidiary companies and their

Sparks fly as employees from 6 Bilfinger companiesare hard at work. The team includes everything fromchemistry specialists to industrial mechanics. In aworkshop on the refinery site, employees work inteams to refurbish equipment before it is re-installed.(Picture: Nadine Rupp/Bilfinger)

When the inspector is finished, the man nodsand places his mark on the vessel to indicatethat this part has passed inspection. For Gross,the partnership with SGS is just one exampleof the good teamwork between the variousBilfinger subsidiary companies and theirsubcontractors.

Millimeter precision — following cleaning,maintenance and inspection, this tube bundle ispushed back into the casing, and that takes fullconcentration. (Picture: Nadine Rupp/Bilfinger)

One Turnaround–Network Serving all of Europe

Bilfinger can rely on the resources of its internal turnaround network for this project. Thenetwork pools the human resources and skills from independent operating units throughoutEurope to form teams and task-forces of specialists from different countries and companies. Thecooperation helps Bilfinger to combine regional expertise and locally proven technologysolutions with international presence and know-how. “This strategy has enabled us tosuccessfully position ourselves as an international service provider,” explained Gerald Pilotto,Executive President Bilfinger Industrial Maintenance. The project at Rotterdam is a goodexample: Despite the fact that teams from four countries, speaking three different languages, areemployed on the site, they are able to work hand-in-hand.

Six Bilfinger operating units from all across Europe haveassigned a total of 730 employees to work on site. This hasposed a considerable challenge for the planning team. Inaddition, 130 site supervisors, engineers, managers andcoordinators work from offices housed in containers. Theservices of crane operators, forklift drivers, auxiliary staff andspecialists are provided by third-parties.

Schuh estimates that roughly 3,500 people are involved in thewhole turnaround project. It is no wonder that the lunch mealsin the cafeteria are taken in shifts, as that is the only way toprovide food for hundreds of hungry mouths each day.

“Drawing on the resources ofBilfinger companies in variouscountries, our turnaround networkhas positioned us as aninternational service provider forlarge turnarounds.” GeraldPilotto, Executive PresidentBilfinger Industrial Maintenance(Picture: Bilfinger)

The Challenge: Planning for the Unpredictable

In many cases, little time can be devoted to special requests. Also the Turnaround Managersregard unpredictable circumstances as the biggest challenge. “Of course we plan every step inadvance,” says Gross. Every part and every operation has to be defined before any of the workactually gets underway. A detailed schedule makes it easier to coordinate the workers, tools andtiming. Nevertheless, there may well be a few surprises at a production plant that is nearly 30years old. Asbestos was installed as a fire prevention measure in many places around therefinery, but that fact does not appear anywhere in the documentation. Teams are now busyremoving the insulation from enclosures and pipe bridges and properly disposing of thecarcinogenic material.

Scaffolding innovation:

Bilfinger Uses First Magnetic Scaffolding Anchoring10/22/2013 - An innovation for scaffolding: Bilfinger Industrial Services enters new territorywith magnetic anchors. The engineering and industry service specialists used this newtechnology for a project in the Netherlands... read...

These delays cost time and money, but it is possible to compensate for this. Other unpleasantsurprises can be much more difficult to deal with. It can be very costly, if a part of equipment isin such bad condition that it unexpectedly needs to be replaced. Nevertheless, the cost ofreplacing the component is much less than the cost of allowing delayed completion of theturnaround to extend the shutdown period. Therefore, not only meticulous planning and accuratecosting, but also flexibility and decisive problem management are essential elements of asuccessful project profile. There is no room for indecision when millions are at stake.

Zero Tolerance for Compromisein Safety

And absolutely no exceptions are tolerated when safety is involved, and that applies to everyone.Protective clothing, gas detectors and extensive training are part of the standard procedure.Unannounced audits and inspections provide a friendly but firm reminder of the risks andhazards. A refinery is not a plant just like any other. The products and materials present on siteare flammable, caustic and harmful to human health.

The zero tolerance policy is not limited to work on theconstruction site. There is no room for error in projectmanagement either. For Bilfinger a 30 million euro contract isat stake, and for Q8 and Rotterdam the very future of a site ishanging in the balance. “Plans for future development areready and waiting. If the turnaround ends in disappointment,some investment projects will be shelved,” reported Gross.

The refinery was built in the 1980’s and there is still nohydrocracker at the site. Hydrocrackers are regarded as state-of-the-art in the petrochemical industry, and they are virtuallyindispensable for any refinery operator who expects to stay in

The zero tolerance policy is not limited to work on theconstruction site. There is no room for error in projectmanagement either. For Bilfinger a 30 million euro contract isat stake, and for Q8 and Rotterdam the very future of a site ishanging in the balance. “Plans for future development areready and waiting. If the turnaround ends in disappointment,some investment projects will be shelved,” reported Gross.

The refinery was built in the 1980’s and there is still nohydrocracker at the site. Hydrocrackers are regarded as state-of-the-art in the petrochemical industry, and they are virtuallyindispensable for any refinery operator who expects to stay inbusiness over the long term. So what about Rotterdam? “Theplans are complete and the construction site has already beenselected, but the cracker will only be built if we now producea successful outcome.” The motor speedway is not the onlyplace where success or failure is decided in the pit stall.

Additional InformationTurnaround in the European Capital of Oil

Interested in more plant engineering facts? Check out our large project database GROAB!

A Close-Up on Process Plant Turnarounds

Select a picture to open the gallery (14 Pictures)

The future is decided today: Plansfor future development are readyand waiting. If the turnaroundends in disappointment, someinvestment projects will beshelved,” reports t Rainer Gross,head of the Central EuropeanTurnaround business at Bilfinger.(Picture: Nadine Rupp/Bilfinger)

Companies

Bilfinger Integrates Subgroups – Cost Cuts in thePersonnel Area Affect 1,25009/25/2013 - From nine to one: Bilfinger plans to bundle its subgroups within Bilfinger SEby January 2014. Synergetic effects shall help to save costs of € 80 to 90 million - but also toreduce the number of employees by 1,250 worldwide... read...

* The author is a PROCESS journalist.

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135,.000m³ of plant area are covered with scaffolding (Picture: Nadine Rupp/Bilfinger)

Up to 2000 workers need 55.000 hours for rig and metal mechanics plus an additional 8,000 workhours for pre-assembled components in Bitterfeld. (Picture: Nadine Rupp/Bilfinger)

A clear vision: This dismantled heat exchanger is checked for errors and cracks – Just the same as 100,000 big andsmall components that are checked, overhauled, cleaned, repaired and – if necessary – replaced (Picture: NadineRupp/Bilfinger)

A Mega-Scale project: A stock of 160,000 parts have to be available on site (Picture: Nadine Rupp/Bilfinger)

In addition, 130 site supervisors, engineers, managers and coordinators work from offices housed in containers. Theservices of crane operators, forklift drivers, auxiliary staff and specialists are provided by third-parties (Picture:Nadine Rupp/Bilfinger)

The shrill noise of grinders can be heard in a temporary building constructed of plastic and tarpaulin. (Picture:Nadine Rupp/Bilfinger)

Precision work: After cleaning, overhgauling and checking this heat-exchanger bundle is ready for re-assembly.(Picture: Nadine Rupp/Bilfinger)

Precision work: After cleaning, overhauling and checking this heat-exchanger bundle is ready for re-assembly.(Picture: Nadine Rupp/Bilfinger)

Six Bilfinger operating units from all across Europe have assigned a total of 730 employees to work on site. Thishas posed a considerable challenge for the planning team. In addition, 130 site supervisors, engineers, managers andcoordinators work from offices housed in containers. (Picture: Nadine Rupp/Bilfinger)

Ready, set, go! A clever Turnaround Management turns shutdowns into headstarts – Around 3,500 worker wereinvolved to restart a complete refinery facility. (Picture: Nadine Rupp/Bilfinger)

The future is decided today: Plans for future development are ready and waiting. If the turnaround ends indisappointment, some investment projects will be shelved,” reports t Rainer Gross, head of the Central EuropeanTurnaround business at Bilfinger. (Picture: Nadine Rupp/Bilfinger)

Cleared for Touch-and-Go: A successful turnaround can decide the future of an industrial process plant. Importantinvestments in Rotterdam depend on the project’s outcome… (Picture: Nadine Rupp/Bilfinger)

For the first time, the whole refinery is overhauled in a single turnaround project. (Picture: Nadine Rupp/Bilfinger)

Sparks fly as employees from 6 Bilfinger companies are hard at work. The team includes everything from chemistryspecialists to industrial mechanics. In a workshop on the refinery site, employees work in teams to refurbishequipment before it is re-installed. (Picture: Nadine Rupp/Bilfinger)

Sparks fly as employees from 6 Bilfinger companies are hard at work. The team includes everything from chemistryspecialists to industrial mechanics. In a workshop on the refinery site, employees work in teams to refurbishequipment before it is re-installed. (Picture: Nadine Rupp/Bilfinger)

Cleared for Touch-and-Go: A successful turnaround can decide the future of an industrial process plant. Importantinvestments in Rotterdam depend on the project’s outcome… (Picture: Nadine Rupp/Bilfinger)

Millimeter precision — following cleaning, maintenance and inspection, this tube bundle is pushed back into thecasing, and that takes full concentration. (Picture: Nadine Rupp/Bilfinger)

Ready, set, go! A clever Turnaround Management turns shutdowns into headstarts – Around 3,500 worker wereinvolved to restart a complete refinery facility. (Picture: Nadine Rupp/Bilfinger)

“Drawing on the resources of Bilfinger companies in various countries, our turnaround network has positioned us asan international service provider for large turnarounds.” Gerald Pilotto, Executive President Bilfinger IndustrialMaintenance (Picture: Nadine Rupp/Bilfinger)

The future is decided today: Plans for future development are ready and waiting. If the turnaround ends indisappointment, some investment projects will be shelved,” reports Rainer Gross, head of the Central EuropeanTurnaround business at Bilfinger. (Picture: Nadine Rupp/Bilfinger)

Teamwork decisive: 15 companies from all over Europe work together, with Bilfinger acting as the ManagingContractor for the project. On behalf of the plant operator Q8, the company has taken responsibility for selecting thesubcontractors, planning and coordinating all necessary work and supplying the required equipment. (Picture:Nadine Rupp/Bilfinger)

Teamwork is vital when 15 companies from around Europe all have to pull in the same direction. As ManagingContractor, Bilfinger has total responsibility for all the work done, but some of the work has to be delegated to thirdparties. (Illustrations: Bilfinger; © typomaniac - Fotolia.com)

Teamwork is vital when 15 companies from around Europe all have to pull in the same direction. As ManagingContractor, Bilfinger has total responsibility for all the work done, but some of the work has to be delegated to thirdparties. (Illustrations: Bilfinger; © typomaniac - Fotolia.com)

“Drawing on the resources of Bilfinger companies in various countries, our turnaround network has positioned us asan international service provider for large turnarounds.” Gerald Pilotto, Executive President Bilfinger IndustrialMaintenance (Picture: Bilfinger)

Sparks fly as employees from 6 Bilfinger companies are hard at work. The team includes everything from chemistryspecialists to industrial mechanics. In a workshop on the refinery site, employees work in teams to refurbishequipment before it is re-installed. (Picture: Bilfinger)

Millimeter precision — following cleaning, maintenance and inspection, this tube bundle is pushed back into thecasing, and that takes full concentration. (Picture: Bilfinger)

Giving the green light for a successful turnaround — success or failure can be decided during a pit stop in the worldof industry as well. In Rotterdam, 3,500 employees were involved in a turnaround at a refinery complex. (Picture:Bilfinger)