Full colour version of the BP magazine

“From the very beginning,
geography played a big hand in
how things were going to be
done, and this added a degree of
complexity that most projects
never have to deal with.”
Bruce Luberski
Caspian report>
ACG mega-project
lacked the capacity to produce the raw
materials for ACG.
Bringing in ready-made elements and
upgrading local yards to undertake assembly
was the only option, but the project team
faced the paradox of Azerbaijan’s position –
on the shores of the world’s largest enclosed
body of water and yet landlocked.
The team used Russia’s canal system and
the Volga River, which originates northwest
of Moscow and is the only one that flows
into the Caspian. The canals allow
connection with the Black and Baltic Seas,
but are frozen for half the year and can only
accommodate relatively small vessels.
What ensued was a series of finely-balanced
waterway manoeuvres to get drilling and
accommodation modules manufactured in
Europe through the system.
From the very beginning, geography
played a big hand in how things were
going to be done, and “this added a
degree of complexity that most projects
never have to deal with,” says Bruce
Luberski, vice president for major projects
BP Azerbaijan. “There are only three ways to
come into the country; by air, which is
expensive and has weight limits; by road
truck, which is very difficult; and by boat
through the canals. In the Gulf of Mexico
and the North Sea, you pick up the
telephone, but in Azerbaijan, you had to
add on six to nine months just for logistics.
In all, 700,000 tonnes of standardised
components were procured via 3,000
orders with suppliers from all around the
globe, which were then shipped via sea,
canal, rail and road to Baku. This included
28 gas turbines, each generating 21
megawatts, as well 35,000 valves, 5,800km
(3,600 miles) of cable, 250,000 tonnes of
steel, 1,300km (807 miles) of linepipe, 350
pumps, 30,000 tonnes of piping, and 250
pressure vessels.
“It was a significant remit that needed
meticulous planning, control and the
establishment of a highly skilled and
experienced team of procurement supply
chain management [PSCM] professionals to
manage the supply chain through all three
phases,” says Lorie Riva, PSCM manager,
major projects since the start of the ACG
programme in 1997.
Marine installation was the next
challenge and required months of careful
planning. “I had just finished working on a
similar North Sea job, so it was quite a
shock seeing what we had in the Caspian,”
recalls Frank Wilson, who served as »
BP MAGAZINE Issue 1 2009 15