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CHAPTER 3

Basic Upstream Oil & Gas


Production Processes

Lecturer: Fazril Irfan bin Ahmad Fuad

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Outline - Chapter 3
3
Basic
Upstream Oil & Gas

Overview
of Major Production Facilities & Offshore
3.1
3.1
Production
System
3.2
Overview
of Oil & Gas Production System
3.2
3.Oil
3 & Gas Process System
3.3
3.Oil
4 & Gas Utilities System
3.4

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3.1 Overview of major production facilities & offshore pr


system

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3.1 Overview of major production facilities & offshore pr


system

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3.2 Oil & Gas Production System

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3.3 Oil & Gas Process System


1. Wellhead
The wellhead sits on top of the actual oil or gas well leading down to the
reservoir. A wellhead may also be an injection well, used to inject water or gas
back into the reservoir to maintain pressure and levels to maximize production.
Awellheadis the component at the surface of anoil or gas wellthat provides
the structural and pressure-containing interface for the drilling and production
equipment.
The primary purpose of a wellhead is to provide the suspension point and
pressure seals for thecasing stringsthat run from the bottom of the hole
sections to the surface pressure control equipment.
Whiledrilling the oil well, surface pressure control is provided by ablowout
preventer (BOP)
When the well has been drilled, it iscompletedto provide an interface with the
reservoir rock and a tubular conduit for the well fluids. The surface pressure
control is provided by aChristmas tree, which is installed on top of the
wellhead, withisolation valvesand choke equipment to control the flow of well
fluids during production.
Wellhead are used to regulate and monitor the extraction of oil/gas production
+ suspension point and pressure seal for casing strings

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3.3 Oil & Gas Process System


2. Xmas Tree
Assembly of valves, spools, and fittings used for anoil well, gas well, water
injection well, water disposal well, gas injection well, condensate well and other
types of wells. It was named for its crude resemblance to adecorated tree
The primary function of a tree is to control the flow, usuallyoilorgas, out of the
well. (A tree may also be used to control the injection of gas or water into a nonproducing well in order to enhance production rates of oil from other wells.)
When the well and facilities are ready to produce and receive oil or gas, tree
valves are opened and the formation fluids are allowed to go through a flow line.
Additional functions including chemical injection points, well intervention
means, pressure relief means, monitoring points (such as pressure,
temperature, corrosion, erosion, sand detection, flow rate, flow composition,
valve and choke position feedback), and connection points for devices such as
down hole pressure and temperature transducers (DHPT).
Functionality may be extended further by using the control system on a subsea
tree to monitor, measure, and react to sensor outputs on the tree or even down
the well bore. The control system attached to the tree controls the downhole
safety valve (SCSSV, DHSV, SSSV) while the tree acts as an attachment and
conduit means of the control system to the downhole safety valve.

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3.3 Oil & Gas Process System

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3.3 Oil & Gas Process System


3. Manifolds/ Gathering
Onshore, the individual well streams are brought into the
main production facilities over a network of gathering
pipelines and manifold systems.
The purpose of these is to allow set up of production well
sets so that for a given production level, the best
reservoir utilization, well flow composition (gas, oil, waster)
etc. can be selected from the available wells.
Offshore, the dry completion wells on the main field centre
feed directly into production manifolds, while outlying
wellhead towers and subsea installations feed via
multiphase pipelines back to the production risers.
Risers are the system that allow a pipeline to rise up to
the topside structure.
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3.3 Oil & Gas Process System

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3.3 Oil & Gas Process System

4. Separator
Some wells have pure gas production which
can be taken directly to gas treatment and/or
compression.
More often, the well gives a combination of
gas, oil and water and various contaminants
which must be separated and processed.
The production separators come in many forms
and designs, with the classical variant being
the gravity separator.

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3.3 Oil & Gas Process System

4. Separator
Principles: Gravity, Momentum and Coalescence
In gravity separation the well flow is fed into a
horizontal vessel. The retention period is typically 5
minutes, allowing the gas to bubble out, water to
settle at the bottom and oil to be taken out in the
middle.
Why in stages?
The pressure is often reduced in several stages (high
pressure separator, low pressure separator etc.) to
allow controlled separation of volatile components.
The purpose is to achieve maximum liquid recovery
and stabilized oil and gas, and separate water.
A sudden pressure reduction might allow flash
vaporization
leading
to instabilities and safety
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4. Separator

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Oil Separation
System
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Gas Separation
System
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5. Gas Compression
Why we need this facilities? After coming out from separator, gas (typically)
loss its momentum. Energy is required to maintain its momentum for flow
and also to reduce the volume.
The compression also include a large section of associated equipment such
as scrubbers (removing liquid droplets) and heat exchangers, lube oil
treatment etc.
Gas from a pure natural gas wellhead might have sufficient pressure to feed
directly into a pipeline transport system.
Gas from separators has generally lost so much pressure that it must be
recompressed to be transported. Turbine compressors gain their energy by
using up a small proportion of the natural gas that they compress.
The turbine itself serves to operate a centrifugal compressor, which
contains a type of fan that compresses and pumps the natural gas through
the pipeline.
Some compressor stations are operated by using an electric motor to turn
the same type of centrifugal compressor requires reliable source of electric.
Consists of large section of associate equipment scrubber, heat
exchanger, lube oil.

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3.3 Oil & Gas Process System

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E)

Metering, Storage & Export

Metering
Metering station allows operator to
monitor/manage the oil/gas exported from the
facilities.
This metering stations employ specialized
meters to measure the flow without impeding
the movement.
Metered volume represents a transfer of
ownership from a producer to a customer and
it therefore called Custody Transfer Metering
It forms the basis for invoicing, tax, revenue
sharing between partners.
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Storage
Storage is necessary to meet seasonal &
fluctuation in demand & emergency
Offshore platform pipelined to onshore
terminal or use old tanker.
Large quantities of oil/gas are stored in
underground caverns of salt formation or
emptied oil/gas reservoirs.

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3.3 Oil & Gas Process System

Export
Oil/Gas are typically exported via pipeline
measuring anywhere from 6 to 48
Pipelines need to be routinely inspect for
corrosion and defects using pigs
Pigging can test pipe thickness, roundness,
corrosion, leaks and many other interior
defect.
Oil/Gas pipeline are very important cross
broader trade and politically sensitive issue.

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3.3 Oil & Gas Process System

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3.4 Oil & Gas Utilities System

Utility systems are systems which does not handle the hydrocarbon
process flow, but provides some utility to the main process safety or
residents. Depending on the location of the installation, many such
functions may be available from nearby infrastructure (e.g.
electricity). But many remote installations must be fully self
sustainable and thus must generate their own power, water etc.
provides utilities or support the main process.

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1. Power Generation & Distribution
Power generation is also a consideration for
offshore platforms. Power is required for oil/gas
transportation (pump/compressor/blower), control
systems and many other equipment.
Power can be provided from mains power or from
local diesel generator sets. Large facilities have
great power demands, from 30 MW and upwards
to several hundred MW.
There is a tendency to generate electric power
centrally and use electric drives for large
equipment rather than multiple gas turbines, as
this decreases maintenance and increases uptime.
Main generator turbine, standby generator
diesel driven
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Large rotating equipment and the generators are


driven by gas turbines or large drives. Gas
turbines for oil and gas duty are generally
modified aviation turbines in the 10-25 MW range.
These require quite extensive maintenance and
have a relatively low overall efficiency (20-27%
depending on application). Also, while the turbine
is relatively small and light, it will usually require
large and heavy support equipment such as large
gears, air coolers/filters, exhaust units, sound
damping and lubrication units.

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2. Instrument Air System


A large volume of compressed air is required
for the control of pneumatic valves and
actuators, tools and purging of cabinets.
It is produced by electrically driven screw
compressors and further treated to be free
of particles, oil and water
Typical equipment Compressor motor
driven, air drier, air receiver,

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3. HVAC
The heat, ventilation and air conditioning system (HVAC) feeds
conditioned air to the equipment rooms, accommodations etc.
Cooling and heating is achieved by way of water cooled or water/steam
heated heat exchangers. Heat may also be taken off gas turbine
exhaust.
In tropic and sub-tropic areas, the cooling is achieved by compressor
refrigeration units. Also, in tropical areas gas turbine inlet air must be
cooled to achieve sufficient efficiency and performance.
The HVAC system is usually delivered as one package, and may also
include air emissions cleaning. Some HVAC subsystems include:
Cool: Cooling Medium, Refrigation System, Freezing System
Heat: Heat medium system, Hot Oil System.
One function is to provide air to equipment rooms that are safe by
positive pressure. This prevents potential influx of explosive gases in
case of a leak.
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4. Water treatment and disposal
Two Primary source: produced and surface water
Produced water: brine from oil reservoirs
Surface water: fresh (river/lake) and saline
sources
The produced water need to be removed as early
as possible when it comes to surface to avoid
corrosion and reducing the capacity of the
production facility. The water, before it can be
thrown out to sea has to meet regulatory
requirement normally between 15mg/l 50mg/l
(even lower if onshore).
PWRI (Produced Water re-Injection) needs to be
treated before injection for IOR
Same goes for seawater injection.
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4. Potable Water System


For smaller installations potable water can
be transported in by supply vessels or tank
trucks.
For larger facilities, potable water is
provided on site by
desalination of seawater though distillation
or reverse osmosis.
Onshore potable water is provided by
purification of water from above ground or
underground reservoirs.

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5. Sea Water Cooling System
Seawater is used extensively for cooling purposes.
Cooling water is provided to Air Compressor
Coolers, Gas Coolers, Main Generators and HVAC.
In addition seawater is used for production of
hypochlorite (see chemicals) and for Fire Water.
Seawater is treated with hypochlorite to prevent
microbiological growth in process equipment and
piping.
Seawater is sometimes used for reservoir water
injection. In this case a deaerator is used to
reduce oxygen in the water before injection.
Oxygen can cause microbiological growth in the
reservoir. The deaerator is designed to use strip gas
and vacuum.
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6. Chemical Injection System


A wide range of chemical additives are used
in the main process. Some of these are
marked in the process diagram.
The cost of process chemical additives is
considerable.
A typical example is antifoam where a
concentration of about 150 ppm is used.
With a production of 40.000 bpd, about
2000 litres (500 Gallons) of antifoam could
be used. At a cost of 2 /liter, 10 $/Gallon in
bulk, just the antifoam will cost some 4000
Euro / 5000 USD per day.
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3.4 Oil & Gas Utilities System

Most common chemicals:


Scale inhibitor prevent contamination
Antifoam prevent foaming cover the fluid
surface and prevent gas to escape
Methanol (MEG) prevent hydrate formation
Corrosion Inhibitor Corrosion prevention by
form a thin film on metal surface (pipeline &
storage tank)
Biocides Prevent microbiological activity in oil
production system bacteria, fungus and algae
growth
Typical equipment Injection recip pumps motor
driven, tank, tote tank, piping
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7. Flare System
The flare subsystem include Flare, atmospheric
ventilation and blow down. The purpose of the Flare and
Vent Systems is to provide safe discharge and disposal
of gases
and liquids resulting from:
Spill-off flaring from the product stabilisation system.
(Oil, Condensate etc.).
Production testing
Relief of excess pressure caused by process upset
conditions and thermal expansion.
Depressurisation either in response to an emergency
situation or as part of a normal procedure.
Planned depressurisation of subsea production
flowlines and export pipelines.
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7. Flare System
The Flare System shall be designed to collect,
contain and safe disposal of fluids released from
the platform systems during emergency blowdown
and relief.
The hydrocarbons relieved from these sources will
be connected to the HP or LP flare headers and
routed to the respective flare knock out drums for
liquid removal.
Hydrocarbon gas from HP Flare Knock Out Drum will
be routed to HP Flare Tip for combustion and
release to atmosphere. Hydrocarbon gas from LP
Flare Knock Out Drum will be routed to an LP Flare
Tip for combustion and release to atmosphere.
Main components : KO drum, flare tips
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7. Diesel System
Typical Diesel System consists of the following:
2 x 100% Diesel Filter (Inlet)
2 x 100% Diesel Storage Tank
1 x 100% West Pedestal Diesel Day Tank
2 x 100% Diesel Transfer Pumps
2 x 100% Diesel Filters (Outlet)
The following are the main users of diesel:
Gas Turbine Generators
Gas Turbine Compressors
Emergency Diesel Generator Day Tank
Firewater Pumps
Pedestal Crane Diesel Engines
LQ Crane Diesel Engines
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3.4 Oil & Gas Utilities System

8. Fuel Gas System


During normal operation, Fuel Gas System will
provide fuel gas to Gas Turbine Generator for
power generation, to Gaslift Compressors
turbine as fuel gas and seal gas, to Gas
Injection Compressor driver as fuel gas, to HP
and LP Flare Header for purging and to
Produced Water Treatment System as blanket
gas in Compact Floatation Unit.

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9. Control System
A process control system is used to monitor data and
control equipment on the plant.
The purpose of this system is to read values from a
large number of sensors, run programs to monitor the
process and control valves switches etc. to control the
process.
At the same time values, alarms, reports and other
information are presented to the operator and
command inputs accepted.
E.g. The process control system should control the
process when it is operating within normal constrains
such as level, pressure and temperature. The
Emergency Shutdown (ESD) and Process Shutdown
(PSD) systems will take action when the process goes
into a malfunction or dangerous state.
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9. Fire & Gas System


Each fire area should be designed to be self contained, in that it
should detect fire and gas by several types of sensors, and control
fire protection and fire fighting devices to contain and fight fire
within the fire area. In case of fire, the area will be partially shut off
by closing ventilation fire dampers.
A fire area protection data sheet typically shows what detection
exists for each fire area and what fire protection action should be
taken in case of an undesirable event.

A separate package related to fire and gas is the diesel or


electrically driven fire water pumps for the sprinkler and deluge ring
systems.
The type and number of the detection, protection and fighting
devices depend on the type of equipment and size of the fire area
and is different for e.g. process areas, electrical rooms and
accommodations.
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9. Fire & Gas System


Fire detection:
- Gas detection: Combustible and Toxic gas, Electro catalytic or optical (IR)
detector.
- Flame detection: Ultraviolet (UV) or Infra Red (IR) optical detectors
- Fire detection: Heat and Ionic smoke detectors
- Manual pushbuttons
Firefighting, protection:
- Gas based fire-fighting such as CO2
- Foam based fire-fighting
- Water based fire-fighting: Sprinklers, Mist (Water spray) and deluge
- Protection: Interface to emergency shutdown and HVAC fire dampers.
- Warning and escape: PA systems, beacons/lights, fire door and damper
release

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3.4 HSE Philosophy


The purpose of this philosophy is to provide appropriate guidance and
direction to ensure that a safe design of the Offshore Facilities project is
achieved, such that risks meet COMPANY guidelines, and are as low as
reasonably practicable.
The objective of this philosophy is to provide a safe working environment
for personnel by:

minimising the potential for hazardous occurrences


avoiding exposure of personnel to potential hazards
containing and minimising the effects of hazards
providing adequate escape routes away from hazards
providing a satisfactory means of egress from all work areas
providing satisfactory facilities for personnel to shelter while a
hazard event is assessed
providing satisfactory arrangements for evacuation or escape
from the installation should it prove necessary to leave the
installation
providing satisfactory arrangements for the recovery or rescue of
personnel post evacuation/escape

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3.4 HSE Philosophy


The purpose of this philosophy is to provide appropriate guidance and
direction to ensure that a safe design of the Offshore Facilities project is
achieved, such that risks meet COMPANY guidelines, and are as low as
reasonably practicable.
The objective of this philosophy is to provide a safe working environment
for personnel by:

minimising the potential for hazardous occurrences


avoiding exposure of personnel to potential hazards
containing and minimising the effects of hazards
providing adequate escape routes away from hazards
providing a satisfactory means of egress from all work areas
providing satisfactory facilities for personnel to shelter while a
hazard event is assessed
providing satisfactory arrangements for evacuation or escape
from the installation should it prove necessary to leave the
installation
providing satisfactory arrangements for the recovery or rescue of
personnel post evacuation/escape

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3.4 HSE Philosophy


PROJECT SAFETY OBJECTIVES
Within the limits of ALARP the Project Safety Objectives are:
1. To engineer a safe, reliable and operable facility at minimum cost through
simple and effective design.
2. To ensure, throughout all stages of design, that the facility meets the
latest International safety and environmental codes and standards, using
the most cost effective measures available.
3. In achieving the above design objectives, the priorities shall be:. Health and Safety of Personnel
. Conservation of the environment
. Protection of capital investment
. The approach to achieving these subjects is the implementation of the
following in order of preference:
. Inherent Safety/Prevention
. Control
. Mitigation

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3.4 HSE Philosophy


The design shall include the principles of inherent safety to prevent or
eliminate the likelihood of major initiating events, and the scale of any
subsequent consequences.
Adopting an inherently safe approach to design engineering allows for the
identification and removal of hazards at an early stage. Inherent safety is
achieved through simplicity of design, robustness, reliability, practicality
and quality of build.
The four principles of inherent safety can be summarised as follows:
Elimination
Can particular hazards or hazardous

activities be designed out?

Reduce the
likelihood
Reduce the
severity

Can the plant be designed more simply or


robustly so that it is less likely to fail or
leak?
Can the scale, intensity, duration and
potential for escalation of the residual
incidents be minimised by design?

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Control
However, should hazardous events occur they should be promptly detected
and acted upon automatically (e.g. by the Fire and Gas System and
Emergency Shutdown System) with the aim of reducing the risk to personnel
and the environment and minimising the damage to equipment, plant and
structures.
Mitigation
The consequences of an accidental hazardous event may be in the form of
thermal radiation, overpressure or release of toxic chemicals in liquid or
gaseous form. The evaluation of the required safety measures shall be
based mainly upon the extent of its consequential effects. The probability of
an accidental event occurring may be taken into account for very rare
events.

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Design Criteria
To prioritise the aim of protection of personnel the platform design shall
ensure that the following conditions are fulfilled:
1. Operation of Systems and Facilities
Where incorrect or inappropriate operation of systems or facilities on the
installation can increase the risk of accident or injury to personnel, then
suitable design measures shall be included to avoid these occurrences.
2. Explosion Prevention and Mitigation Measures
Measures shall be taken in the design and layout of the installation to ensure
the following:
Overpressures are minimised by following the guidelines in ISO 13702,
Annex B10
Provision of natural ventilation in areas where gas can accumulate
Overpressures from explosions are freely vented
Deluge (fixed water spray)actuated in congested areas when hydrocarbon
gas detected.

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3. Active Emergency Systems
Appropriate measures shall be taken to detect the presence of explosive gas,
toxic gas and fire, with provision of actions to warn personnel during manned
periods. Measures to place the installation in a stable condition (emergency
shutdown) shall also be provided. The emergency systems shall activate fire
protection systems as appropriate when fire is confirmed.
Accident Containment
4. Risks to Personnel
The consequences of an accidental hazardous event shall not cause injury to
personnel outside the immediate vicinity of the incident or expose those
personnel in non hazardous areas to risks which are likely to cause injury or
impair escape or evacuation provisions.
5. Fire Protection Measures
Measures shall be taken to minimise the total flammable inventory (gas and
liquid) on the installation at any time and to minimise the quantity of
flammable substances available to fuel a fire in each area by measures such
as sectionalisation and blow down. Measures shall also be taken to prevent
fires spreading to the escape routes, TR and evacuation facilities.
Maximum use will be made of open grated floors in process areas to prevent
the formation
of liquid
pools. MARA
The requirement to prevent liquid spills to the
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Escape, Temporary Refuge and Evacuation
6. Escape Routes
Following a hazardous event, escape routes from any area shall remain
passable for long enough to allow personnel to escape the affected area and
reach a place of safety without exposure to further risk. Allowance shall be
made for escape or rescue of injured personnel.
7. Temporary Refuge (TR)
On the Dalan complex there shall be a place of relative safety, the
Temporary Refuge (TR), located on the Living Quarters Platform, LQ3, which
shall provide protection for all personnel from the consequences of an
accidental event for an appropriate period of time (the specified endurance
period). Whilst inside the TR, personnel shall have the means of monitoring
and controlling emergency systems and communicating both internally and
with rescue services.
8. Evacuation Provisions
There shall be provision, with some redundancy, for all personnel to effect
safe evacuation from the TR at any time during the specified endurance
period
for the TR,TEKNOLOGI
using facilities
contained on or within the installation,
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3.4 HSE Philosophy


The main objective of the fire and gas detection and alarm system is to
ensure an early and reliable detection of fire and gas hazards, alert
personnel, initiate or monitor automatic fire protection system, and to
interface with control and emergency shutdown systems. The system
will provide the operator with a facility for full status information of all
active detection/protection systems upon request and shall
automatically annunciate alarm and fault conditions at the Control
Room.
The Fire and Gas Detection system shall be provided to perform, but not
be limited to, the following duties:
to monitor all designated areas for fire;
to monitor all areas where flammable or toxic gas might be present in
the course of normal operations;
to monitor air intakes of accommodation and enclosed, occupied areas
for concentration of toxic gases;
to monitor air intakes for concentration of flammable gases;
to monitor airlocks located in Zone 2 areas for toxic and flammable
gases;
to provide a facility for raising a fire or gas alarm ;
to alert personnel in the Central Control Room of any fire or gas
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Principles :
Fire detection shall be installed wherever the development of a fire
constitutes a possible threat to the installation.
The fire detection system shall be designed to:
Detect a fire as early as possible
Initiate preventive actions at an early stage in order to reduce the
consequence of the fire.
There are in principle three different types of fire detectors:
flame detectors
IR flame detectors responding to infrared characteristics shall be
installed in hydrocarbon production and processing areas on all manned
and unmanned platforms. They shall not be used in engine rooms due
to the possibility of black body radiation.
heat detectors
Heat detectors, which operate at a pre-determined fixed temperature
shall be installed in enclosed areas where local conditions are not
considered suitable for smoke detectors, eg due to high humidity or
periodic wind gusts (e.g. near doors to outside).
Heat detectors shall be used in areas within workshops, engine rooms,
turbine
enclosures
and galley
hoods and shall be connected in a single
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Principles :
3. Smoke Detector
Ionisation smoke detectors shall be provided to monitor the following
enclosed areas:
lobbies, cabins and offices;
public areas and corridors;
control rooms;
electrical switchgear and local technical rooms;
battery and telecoms rooms;
void spaces, false ceilings and false floors;
laboratories.
EMERGENCY SHUTDOWN SYSTEM
The main complex shall be provided with an Emergency Shutdown
System (ESD) to ensure the safe isolation and shutdown of
equipment under hazardous upset or fire/gas conditions.

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EMERGENCY ALARMS SYSTEM


Emergency alarm systems may be divided into two main parts: the
active system (audible and visual alarm) and the passive system
(organisation and procedures).
In addition, an audible and visual alarm shall be provided locally for
the following purposes:Carbon dioxide status lamps
Carbon dioxide pre-discharge sounder alarm

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EMERGENCY AND SAFETY SIGNS/PLANS


Safety signs shall be provided throughout the installation combining the
geometrical shape, colour and pictorial symbol to give specific
health/safety or emergency information and/or
instructions for
personnel. Text shall be in Malay and English.
Safety signs shall be in accordance with BS 5378 and BS 5499.
Emergency signs shall be provided to inform personnel of escape
routes, emergency exits, fire-fighting and rescue equipment locations.
All emergency signs shall be illuminated by one of the following means:
directly by the provision of emergency lighting;
self-powered, luminescent;
photoluminescent.

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EMERGENCY POWER SUPPLY


An emergency power supply system shall be provided for all consumers,
which are required to be operational under emergency conditions.
Essential consumers which are needed during periods where the main
power supply is not available (e.g. start-up) shall also be connected to
this supply.
NAVIGATIONAL AIDS
Navigational aids shall be provided for the installation in accordance
with the IALA recommendations for the marking of offshore structures,
O-114. In addition, aviation obstruction lights and the helideck
illumination shall be provided as noted below.

UNIVERSITY TEKNOLOGI MARA

LIFE SAVING APPLIANCES


life saving appliances, which shall be provided for rescue of personnel
fallen into the sea and for safe escape of personnel from the platforms
without external assistance in the event of a platform emergency.
All life saving appliances shall be in compliance with IMO and SOLAS
requirements and shall be type approved accordingly.
Example
1. Survival craft TEMPSC Totally Enclosed Motor Propelled Survival
Craft
2. Liferafts
3. Lifejackets
4. Lifebuoy
5. Stretchers
6. First aid equipment
7. Safety shower and eye bath
8. SCBA

UNIVERSITY TEKNOLOGI MARA

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