1. 6 Oct 2016
Johan Tønsberg (Manager: Contracting, Procurement & Supply Chain)
Maersk Oil (Norway)

2. EPC contracts. Historicly, and holisticly
O&G Comp (Operatpr)
IOC/NOC
T & I
H & C
EPC
C-Studies
FEED
Ops
M & M
De-com
EPCM
Alt 1:
EPma FC
Alt 2:
Alt 3:
EPC (T) (I) (C)

3. EPC contracts.
A lesson to be learned: A classic «mistake» that the O&G Companies often make
Cost *
time
Concept
Study &
Cost Est
Investment
decision
Concept
Select
Contract Award,
EPC
Contractor delivery
(execution)
Final
delivery
Contract close-out
* Cost = Total invoiced cost under the EPC contract

4. EPC contractor «buying» the contract ...
EPC contracts.
Another lessoned learned:
EPC contractor «buying» the contract ...

5. Negotiations (post Bid)
EPC contracts.
Lesson learned no. 3:
An «incentive scheme» worth exploring and pursuing where mutually agreeable
Price *
(b)
(a)
time
ITT
Tender
(comp)
Bids
Negotiations (post Bid)
Contract Award
Contractor delivery
Contract Close-out
* Price = Total price bidded and finally agreed as part of contract (Price = all aspects of remuneration; such as rates, lump sums, bonueses, etc.)