Project Goals, Scope and Overview for WA Oil Storage Facility Renovation

This article discusses the goals, scope and overview of the WA Oil Storage Facility Renovation project. It outlines three achievable goals for the project and how they will be measured. The scope statement details the project's objectives, deliverables, baseline milestones and technical requirements. The article also provides an overview of the project's overall process, life cycle or methodology.

Assessment 1: Project goals, scope and overview

Table of Contents
1. Develop a set of relevant and achievable goals appropriate for the project described in the
Case Study. How your goals will be measured as the project progresses.......................................3
2. Write a brief scope statement for the Case Study project............................................................4
3. Provide an overview of the Case Study project’s overall process, life cycle or methodology....7
References........................................................................................................................................9

1. Develop a set of relevant and achievable goals appropriate for the project described in
the Case Study. How your goals will be measured as the project progresses.
Being the project manager, the responsibility is to bring the Western Australian (WA) oil storage
facility up to the standard and in order to achieve this, a number of goals need to be ascertained
and mandated throughout the company. The statistics of the project and the site shows that
almost 30% of the company’s unloaded storage capacity in at the verge of getting collapsed.
Goal 1: The project engineer needs to monitor the storage tanks and implement renovation
policies immediately1
Goal 2: The Company needs to employ new policies by which environmental leakage can be
reduced to the least possible extent
Goal 3: The Company need to reconsider the loading of oil tanks by removable vehicles and
need to implement construction of underground pipelines by which the oil can be loaded on to
the tanks which will eventually eliminate the risk of any accidents2
The three distinctive goals can be measured and monitored as and when the implication of every
respective goal get sanctioned and carried forward and after the mitigation of every loophole, it
can be administered that the respective goal has been achieved. The company needs to monitor
the progress of the works being undertaken in accordance to the goals and the progress needs to
be relayed to the project management office periodically.
1 E.A. Taresh "Impact of Integration Management on Construction Project Management
Performance (Oil Refining Company).". in International Journal of Engineering & Technology,
7, 2018, 40.
2 JM .Nicholas, and H. Steyn, Project management for engineering, business and technology.
Routledge; 2017 Jan 20.

2. Write a brief scope statement for the Case Study project.
Project objective
The objective of this project is to renovate the age-old WA petroleum storage facility and reduce
the environmental deficit to the least possible extent. The Leadership in Energy and
Environmental Design (LEED) certification needs to be administered as well in West Australia3.
Since the already established petroleum tank is almost 50 years old and have been suffering a
dilapidated condition since quite some time, the project management office has sanctioned the
renovation protocols and policies since the company is shelving out almost $20,000 AUS per
month as environment fines and penalties just because of the fact that the oil spills have been
occurring for a prolonged time span. This is the reason the project manager has proposed a
renovation program alongside the construction of an underground tunnelling and pipeline system
from the non-inhabitable area from where the oil will be transferred to the main tanks4. As far as
the entire renovation and pipeline installation are concerned, the initial top-down estimate
provided for a budget not exceeding $1,000,000 AUS.
Additionally, the entire establishment of the renovation and the new construction would be done
by following the norms of the environmental ethics of the country and also by taking legal
permissions from both local and nationalised governments. A proposal would also be delivered
to the government for funding the project partially5.
3 OJ. Olaniran, Barriers to tacit knowledge sharing in geographically dispersed project teams in
oil and gas projects. Project Management Journal. 2017 Jun;48(3):41-57.
4 J. McKettaJr, Encyclopedia of Chemical Processing and Design: Volume 45-Project Progress
Management to Pumps. Routledge; 2017 Nov 22.
5 OJ. Olaniran, PE. Love, D. Edwards, OA. Olatunji, and J. Matthews. Cost overruns in
hydrocarbon megaprojects: A critical review and implications for research. Project Management
Journal. 2015 Dec;46(6):126-38.

Deliverables
 A 3,500 square foot dimensioned underground pipeline which shall start from the
neighbouring non-inhabited region in a close proximity to the main tanks which shall
connect all the three tanks in a successive manner.
 Installation of new tanks in place of the old ones with galvanized exteriors so that the
longevity and durability of the components get increased.
 The architecture of all the renovated tanks and the installed pipeline should be such
that nothing gets visible above the ground and hence, the project sanction need to be
ascertained in such a way that all the durable materials are used for the renovation and
the installation purpose6.
 Energy star or higher rated all-electric stainless steel and galvanized coating raw
materials to be used for the framing up of the tanks and the pipelines along with
shorter pipeline and vent system.
 The interior finish need to be done by using environmentally preferable materials
according to the national sustainable design council.
 Use of integrated, intelligent controlling systems for lighting, heating and ventilation
inside the passage for future servicing and easy access to the vents
 Leadership in Energy and Environmental Design certification
Baseline milestones
 Signed contract
 Architectural design initiative
 Review of the 30% design statement
 Review of the 60% design statement
 Review of the 90% design statement
 Completion of the design
6 SM. Takey, and MM. de Carvalho, Competency mapping in project management: An action
research study in an engineering company. International Journal of Project Management. 2015
May 1;33(4):784-96.

 Approval of the relevant permits and initiation of the construction works
 Completed excavation
 Completed foundation works
 Completed framing works
 Installation of the HVAC system7
 Plumbing, electrical and mechanical installations
 All the above inspections passed
 Exterior finishing
 Completion of the landscape
 Finishing of the interiors
 Final inspection by the company executives and national engineers and inspection
officers
 Acceptance by the legislative assembly
 Initiation of the storage plant
Technical requirements
The installation and the construction work need to implement at least 50% of the renewable
energy sources which would account for at least 2000 KWH per month from a Grid tile roof top
solar installation. This would be incorporated with Micro-grid AC coupling upgraded to full
energy independency such as wind generation with addition benefit to the environment8. The
accessibility of the road or the passageway should be made to all the three tanks instead of tank 3
alone and the retaining walls in case of tanks 1 and 2 should be made thicker and consistent.
7 R. Antunes, and V. Gonzalez, A production model for construction: A theoretical framework.
Buildings. 2015 Mar 3;5(1):209-28.
8 MB. Pasian, editor. Designs, methods and practices for research of project management. Gower
Publishing, Ltd.; 2015 May 28.

3. Provide an overview of the Case Study project’s overall process, life cycle or
methodology.
The life cycle integrity management and the methodologies implemented in case of oil and
natural gas asset are carried out with the sole aim of ensuring the integrity of the asset that needs
to be maintained from the very first operation till the decommissioning. The life cycle stages of
this project would comprise of the following;
 Pre-FEED
 FEED
 Design
 Construction and commissioning
 Operations management
 Decommissioning9
The pre-feed and the feed stages of the project are those stages that enable the definition of the
scope to be represented in a more refined way. This automatically ensures minimization of risk
factors associated with the project thereby reducing the project costing as well. This stage depicts
9 SH. Jo, EB. Lee, and KY. Pyo, Integrating a Procurement Management Process into Critical
Chain Project Management (CCPM): A Case-Study on Oil and Gas Projects, the Piping Process.
Sustainability (2071-1050). 2018 Jun 1;10(6).

the entire project’s objective clearance and transparency and overall feasibility of the project that
gets maintained with a cost effective solution. At this initial stage, only the general proposals
with respect to integrity control get administered. During the FEED stage, the consideration
needs to be given on to procurement of raw materials, legislation, fabrication and tax issues. This
stage also fosters a vivid entailment of the full life cost analysis. The integrity related isues that
gets governed at this stage are material sectioning, chemical treatment facilities, evaluation and
inspection.
The designing stage comprises of two consolidated steps namely design and detailed design. The
phases involved in these two stages are as follows;
 Confirming the selected raw materials by the use of design codes, standards and
processes related to construction, fabrication and assembly
 Evaluation of the proposed corrosion resistive controlling options
 The vivid engineering detailing incorporates detailed particulars and drafting processes
which delivers the finalized design specifications10
The construction and commissioning phase of the project will comprise of systems required for
the ongoing monitoring and integral sectioning of the project. The construction does not
generally occur at a single specified region and on the contrary, most of the constructions are
done in a different region individually and then assembled in the final spot. This uses 3-
dimensional map during the operational phase. An intelligent information system also gets
developed by the addition of key data to the system. The Integrity Management Systems include
several documentation phases such as integrity management policy and strategy, sand
management strategy, corrosion management manual, hydrotesting and preservation protocols,
chemical management strategies, risk-oriented inspection strategy, corrosion evolution manual
and inspection protocols.
10 Z. Rui, C. Li, F. Peng, K. Ling, G. Chen, X. Zhou, and H. Chang. Development of Industry
performance metrics for offshore oil and gas project. Journal of Natural Gas Science and
Engineering. 2017 Mar 1;39:44-53.

References
Taresh Ejel, A, & . ., "Impact of Integration Management on Construction Project Management
Performance (Oil Refining Company).". in International Journal of Engineering & Technology,
7, 2018, 40.
Nicholas JM, Steyn H. Project management for engineering, business and technology.
Routledge; 2017 Jan 20.
Olaniran OJ. Barriers to tacit knowledge sharing in geographically dispersed project teams in oil
and gas projects. Project Management Journal. 2017 Jun;48(3):41-57.
McKettaJr J. Encyclopedia of Chemical Processing and Design: Volume 45-Project Progress
Management to Pumps. Routledge; 2017 Nov 22.
Olaniran OJ, Love PE, Edwards D, Olatunji OA, Matthews J. Cost overruns in hydrocarbon
megaprojects: A critical review and implications for research. Project Management Journal. 2015
Dec;46(6):126-38.
Takey SM, de Carvalho MM. Competency mapping in project management: An action research
study in an engineering company. International Journal of Project Management. 2015 May
1;33(4):784-96.
Antunes R, Gonzalez V. A production model for construction: A theoretical framework.
Buildings. 2015 Mar 3;5(1):209-28.
Pasian MB, editor. Designs, methods and practices for research of project management. Gower
Publishing, Ltd.; 2015 May 28.
Jo SH, Lee EB, Pyo KY. Integrating a Procurement Management Process into Critical Chain
Project Management (CCPM): A Case-Study on Oil and Gas Projects, the Piping Process.
Sustainability (2071-1050). 2018 Jun 1;10(6).

Rui Z, Li C, Peng F, Ling K, Chen G, Zhou X, Chang H. Development of Industry performance
metrics for offshore oil and gas project. Journal of Natural Gas Science and Engineering. 2017
Mar 1;39:44-53.