Showing posts with label StroyGazMontazh News. Show all posts
Showing posts with label StroyGazMontazh News. Show all posts

Tuesday, 4 November 2014

Chusovoy-Berezniki-Solikamsk gas pipeline testing has started

«STROYGAZMONTAZH» has started a pneumatic testing of the Chusovoy-Berezniki-Solikamsk gas pipeline lateral (1st string) under construction, on the "km 131 – km 160" portion.
The reconstruction of the Chusovoy-Berezniki-Solikamsk gas pipeline lateral of the L. Tura-Chusovoy-Perm trunk gas pipeline (1st and 2nd startup complex) is performed for the needs of LLC «Gazprom Tsentrremont» by such contractors as LLC «SGM» and «SU No.2» (OJSC).
Installation and construction works are scheduled to be completed at the end of 2014. First startup complex covers 180-km gas pipeline construction, as well underwater crossings construction over the Vilva, Usva, Kosva and Yayva rivers.
 

LLC «STROYGAZMONTAZH» took part in the 4th St. Petersburg International Gas Forum

LLC «STROYGAZMONTAZH» became a participant of the 4th St. Petersburg International Gas Forum — the largest event in the gas industry which gathered 1,500 delegates from 25 countries.
The Forum is held in St. Petersburg at International Convention and Exhibition Centre (EXPOFORUM). It is dedicated to the topical issues on global gas market, innovative technologies in the oil and gas sector, as well as the development of the internal and external markets. The representatives of Russian and foreign companies, including the global industry leaders such as Gazprom, Shell, Statoil, China Gas Association, arrived to take part in the Forum.
There were the 3rd International Congress of Oil and Gas Industry Professionals and a number of thematic exhibitions within the framework of the Forum. JSC «Volgogradneftemash», which is one of enterprises of SGM Group of Companies, participated in one of thematic exhibitions.

Volgogradneftemash and Gazprom Neft reached a new level of cooperation

In September, JSC «Volgogradneftemash», which is a part of SGM Group of Companies, and JSC "Gazprom Neft" signed an agreement on the strategic partnership for a 5-year period.
The agreement covers a broad range of areas of cooperation, such as equipment supply, comprehensive and integrated projects implementation, research and development works to name but a few.
Signing of the agreement certifies about the high level of credence that was given by one of the major subsidiary companies of OAO Gazprom, namely JSC "Gazprom Neft" to JSC «Volgogradneftemash» as a reliable manufacturer of the state-of-the-art and high-tech equipment that is utilized on the oil production and processing facilities.

AA-level Сreditworthiness rating of LLC «STROYGAZMONTAZH» was confirmed according to the National Scale

National Rating Agency confirmed AA-level сreditworthiness rating of LLC «STROYGAZMONTAZH» according to the national scale.
The level of the Company’s сreditworthiness rating is supported by the leading positions of the Group in its market segment, high financial indicators and operational results as well as positive assessment of business prospects. Under moderately high profitability and a low debt load the Company has stable and sufficient liquidity, impressive order portfolio in different types of construction in the oil and gas industry. The Agency also remarks the positive trends in the Group activity regarding to the business diversification and optimization of the ownership structure, which shows even greater transparency of the Company’s business.
High concentration of order portfolio to serve OAO Gazprom usually influences the rating assessment while there are political risks that are peculiar to the state-controlled gas monopolist. Moreover, according to the results of 2013 the Agency noted the negative dynamics of some financial indicators while they maintain high level.
LLC «STROYGAZMONTAZH», which was founded in November of 2007, is a managing company of SGM Group of Companies. The core business of the Group is the management and implementation of projects in the construction of trunk pipelines, development of gas fields, gas and oil processing industries, gas supply system development of constituent entities of the Russian Federation as well as overhaul and diagnostic inspection of the gas pipelines.
Nowadays the Group participates in the construction of large-scale projects such as South European Gas Pipeline (Pisarevka – Anapa and Pochinki – Anapa), Bovanenkovo – Ukhta Trunk Gas Pipeline, 2nd String, Urengoy – Pur – Pe, Urengoy – Surgut Condensate Pipelines and lateral gas pipelines from Eastern Siberia-Pacific Ocean (ESPO) pipeline on Komsomolskiy Refinery. Works on reconstruction of Chusovoy – Bereznyaki – Solikamsk and Okhansk – Kirov Gas Pipeline Laterals are performed.
In 2012-2013 SGM Group of Companies laid over 1 500 km trunk gas pipelines and over 3 000 km gas network in more than 20 constituent entities of the country within the framework of the Program of Regions Gasification of the Russian Federation as well as 19 onshore facilities are put into operation. SGM Group of Companies took part in particularly all major trunk gas pipelines and onshore facilities of the oil and gas infrastructure on the territory of the Russian Federation. SGM’s key customers are Gazprom’s Group of Companies. However, recently there has been diversification of order portfolio due to the participation of OJSC Rosneft in the projects.
The Company’s activity involves in the implementation of large-scale projects (over 1 year project period) that is why financial indicators can vary from time to time depending on construction terms and the stage of facility completion.
In 2012, thanks to the completion of 7 several major projects such as Sakhalin – Khabarovsk – Vladivostok Trunk Gas Pipeline, Ukhta – Torzhok Gas Pipeline System (1st stage of construction) and Bovanenkovo – Ukhta (1st string) Trunk Gas Pipelines and others, the Company managed to achieve very high financial indicators in accordance with IFRS. In 2013, three projects of linear construction were completed. These facilities form from 45% to 65% of the Company’s revenue. At the present day near 6 projects are under the implementation (including those started in 2013) that will enable to increase the volume of revenue in relation to the figures of 2013. Other areas of activity don’t have any positive or negative dynamics. Such areas of business as overhaul and other construction and installation works, onshore construction and gasification provide sustainable revenue. Taking into account entering the construction market of oil transportation facilities and field development facilities the Company plans to get additional revenue in these construction areas.
According to the Company’s IFRS data as of December 31, 2013, the Company asserts accounts for 138.7 billion rubles, the equity decreased up to 27.7 billion rubles (fell by 30% in relation to 2012 due to the dividends payment). In 2013 the overall revenue totaled over 188.1 billion rubles, in 2012 it amounted to about 283.3 billion rubles. The net profit for the year accounted for 12.8 billion rubles, in 2012 it totaled 34.1 billion rubles. The Group’s total debt declined and equaled 16.6 billion rubles (fell by 32% in relation to 2012), the net profit contracted by 77%  in relation to 2012 and amounted to 4.59 billion rubles. The debt load is estimated as a modest one. Net profit divided by  EBITDA doesn’t exceed a ratio of 1. The only credit bank of the Company is OAO Gazprombank.
National Rating Agency (NRA) operates since 2002 and is one of leading independent rating agencies of Russia. Over 350 legal entities are the NRA clients by assigned contact ratings. More than 1.000 companies and banks participate in other information project of NRA.
NRA certified by the Ministry of Finance of the Russian Federation. NRA ratings are recognized by the Central Bank of the Russian Federation, Moscow Exchange, The Ministry of Economic Development and Trade, the State Corporation Bank for Development and Foreign Economic Affairs (Vnesheconombank), State Corporation "Russian Corporation of Nanotechnologies" (ROSNANO), the Agency for Housing Mortgage Lending (AHML), the Russian National Association of Securities Market Participants (NAUFOR), the National Fund Association (NFA), the National Securities Market Association (NSMA), the National League of Management Companies (NLMC), the Association of Russian Banks  (АRB).
Since 2011 NRA is a member of the European Association of the Credit Rating Agencies (ЕАСRA). Since 2011 NRA complies with the code of professional ethics of the Russian Rating Agencies, approved by Council of the Self-Regulated Organization of the National Fund Association.

LLC «STROYGAZMONTAZH» invites to participate in All-Russian Сontest "Best in Profession"

JSC «Krasnodargazstroy», which is a part of SGM Group of Companies, and the Charitable Foundation named after Andrey Andreev started accepting applications to participate in the Second All-Russian Contest of Young Constructors in the Oil and Gas Industry (up to the age of 35), namely "Best in Profession". The contest will be traditionally held in Krasnodar since 15 until 18 of May 2015
The contest will be held under the auspices of SGM Group of Companies, NP «SO AGOC» and the Academy of Technological Sciences. Panel of experts will choose laureates in the following nominations:
- the Best Linear Engineering and Technical Worker,
- the Best Engineer of the Production and Technical Department,
- the Best Specialist of the Laboratory of Non-Destructive Testing,
- the Best Specialist of the Welding Production,
- the Best Quality Engineer,
- the Best Engineering and Technical Worker of the Industrial Construction in the Oil and Gas Industry.
Laureates of the contest will be awarded with diplomas, memorial gifts, and the winners will receive prize money from the Charitable Foundation named after Andrey Andreev. A gala concert with the participation of Russian and foreign rock-stars will complete the award ceremony.
Representatives of two dozens of construction and manufacturing enterprises from all over Russia took part in in the First All-Russian Contest of Young Constructors in the Oil and Gas Industry that was held last year. The representatives of SGM Group of Companies, JSC «Krasnodargazstroy» and LLC «Neftegazkomplektmontazh», won three of the four nominations of the contest.

LLC «STROYGAZMONTAZH» took part in the 4th St. Petersburg International Gas Forum

LLC «STROYGAZMONTAZH» became a participant of the 4th St. Petersburg International Gas Forum — the largest event in the gas industry which gathered 1,500 delegates from 25 countries.
The Forum is held in St. Petersburg at International Convention and Exhibition Centre (EXPOFORUM). It is dedicated to the topical issues on global gas market, innovative technologies in the oil and gas sector, as well as the development of the internal and external markets. The representatives of Russian and foreign companies, including the global industry leaders such as Gazprom, Shell, Statoil, China Gas Association, arrived to take part in the Forum.
There were the 3rd International Congress of Oil and Gas Industry Professionals and a number of thematic exhibitions within the framework of the Forum. JSC «Volgogradneftemash», which is one of enterprises of SGM Group of Companies, participated in one of thematic exhibitions.

Volgogradneftemash and Gazprom Neft reached a new level of cooperation

In September, JSC «Volgogradneftemash», which is a part of SGM Group of Companies, and JSC "Gazprom Neft" signed an agreement on the strategic partnership for a 5-year period.
The agreement covers a broad range of areas of cooperation, such as equipment supply, comprehensive and integrated projects implementation, research and development works to name but a few.
Signing of the agreement certifies about the high level of credence that was given by one of the major subsidiary companies of OAO Gazprom, namely JSC "Gazprom Neft" to JSC «Volgogradneftemash» as a reliable manufacturer of the state-of-the-art and high-tech equipment that is utilized on the oil production and processing facilities.

JSC «Volgogradneftemash» is the best producer of reactor equipment, tanks and vessels

JSC «Volgogradneftemash», which is a part of SGM Group of Companies, was recognized as the best producer of reactor equipment, tanks and vessels according to the poll of oil companies and oil refinery plants that was held by the Advisory Council on cooperation between oil and gas complex enterprises and the related industries under the Chairman of the State Duma Committee for Energy.
Izhorskiye Zavody, JSC "Uralсhemmash", JSC "Kurganchemmash", JSC "SALAVATNEFTEMASH", JSC  "Dzerzhinskchimmash", JSC "GMS Neftemash", PENZNEFTEMASH, LLC and others were the rivals of the Volgograd plant in these nominations.
The award ceremony of the rating leaders in the framework of Production Modernization for Gas and Oil Processing Conference (Neftegazopererabotka 2014) was held on September 11 in Moscow.
It is worth mentioning that JSC «Volgogradneftemash» became a leader in the "Best Producer of Reactors" nomination for the second consecutive year. Such kind of recognition certifies that the plant manufactures qualitative and reliable products. For more than 70 years the plant provides the oil and gas complex of the country with the state-of-the-art equipment, which is equal to the foreign analogues.

LLC «STROYGAZMONTAZH» took part in the 4th St. Petersburg International Gas Forum

LLC «STROYGAZMONTAZH» became a participant of the 4th St. Petersburg International Gas Forum — the largest event in the gas industry which gathered 1,500 delegates from 25 countries.
The Forum is held in St. Petersburg at International Convention and Exhibition Centre (EXPOFORUM). It is dedicated to the topical issues on global gas market, innovative technologies in the oil and gas sector, as well as the development of the internal and external markets. The representatives of Russian and foreign companies, including the global industry leaders such as Gazprom, Shell, Statoil, China Gas Association, arrived to take part in the Forum.
There were the 3rd International Congress of Oil and Gas Industry Professionals and a number of thematic exhibitions within the framework of the Forum. JSC «Volgogradneftemash», which is one of enterprises of SGM Group of Companies, participated in one of thematic exhibitions.

Volgogradneftemash and Gazprom Neft reached a new level of cooperation

In September, JSC «Volgogradneftemash», which is a part of SGM Group of Companies, and JSC "Gazprom Neft" signed an agreement on the strategic partnership for a 5-year period.
The agreement covers a broad range of areas of cooperation, such as equipment supply, comprehensive and integrated projects implementation, research and development works to name but a few.
Signing of the agreement certifies about the high level of credence that was given by one of the major subsidiary companies of OAO Gazprom, namely JSC "Gazprom Neft" to JSC «Volgogradneftemash» as a reliable manufacturer of the state-of-the-art and high-tech equipment that is utilized on the oil production and processing facilities.

AA-level Сreditworthiness rating of LLC «STROYGAZMONTAZH» was confirmed according to the National Scale

National Rating Agency confirmed AA-level сreditworthiness rating of LLC «STROYGAZMONTAZH» according to the national scale.
The level of the Company’s сreditworthiness rating is supported by the leading positions of the Group in its market segment, high financial indicators and operational results as well as positive assessment of business prospects. Under moderately high profitability and a low debt load the Company has stable and sufficient liquidity, impressive order portfolio in different types of construction in the oil and gas industry. The Agency also remarks the positive trends in the Group activity regarding to the business diversification and optimization of the ownership structure, which shows even greater transparency of the Company’s business.
High concentration of order portfolio to serve OAO Gazprom usually influences the rating assessment while there are political risks that are peculiar to the state-controlled gas monopolist. Moreover, according to the results of 2013 the Agency noted the negative dynamics of some financial indicators while they maintain high level.
LLC «STROYGAZMONTAZH», which was founded in November of 2007, is a managing company of SGM Group of Companies. The core business of the Group is the management and implementation of projects in the construction of trunk pipelines, development of gas fields, gas and oil processing industries, gas supply system development of constituent entities of the Russian Federation as well as overhaul and diagnostic inspection of the gas pipelines.
Nowadays the Group participates in the construction of large-scale projects such as South European Gas Pipeline (Pisarevka – Anapa and Pochinki – Anapa), Bovanenkovo – Ukhta Trunk Gas Pipeline, 2nd String, Urengoy – Pur – Pe, Urengoy – Surgut Condensate Pipelines and lateral gas pipelines from Eastern Siberia-Pacific Ocean (ESPO) pipeline on Komsomolskiy Refinery. Works on reconstruction of Chusovoy – Bereznyaki – Solikamsk and Okhansk – Kirov Gas Pipeline Laterals are performed.
In 2012-2013 SGM Group of Companies laid over 1 500 km trunk gas pipelines and over 3 000 km gas network in more than 20 constituent entities of the country within the framework of the Program of Regions Gasification of the Russian Federation as well as 19 onshore facilities are put into operation. SGM Group of Companies took part in particularly all major trunk gas pipelines and onshore facilities of the oil and gas infrastructure on the territory of the Russian Federation. SGM’s key customers are Gazprom’s Group of Companies. However, recently there has been diversification of order portfolio due to the participation of OJSC Rosneft in the projects.
The Company’s activity involves in the implementation of large-scale projects (over 1 year project period) that is why financial indicators can vary from time to time depending on construction terms and the stage of facility completion.
In 2012, thanks to the completion of 7 several major projects such as Sakhalin – Khabarovsk – Vladivostok Trunk Gas Pipeline, Ukhta – Torzhok Gas Pipeline System (1st stage of construction) and Bovanenkovo – Ukhta (1st string) Trunk Gas Pipelines and others, the Company managed to achieve very high financial indicators in accordance with IFRS. In 2013, three projects of linear construction were completed. These facilities form from 45% to 65% of the Company’s revenue. At the present day near 6 projects are under the implementation (including those started in 2013) that will enable to increase the volume of revenue in relation to the figures of 2013. Other areas of activity don’t have any positive or negative dynamics. Such areas of business as overhaul and other construction and installation works, onshore construction and gasification provide sustainable revenue. Taking into account entering the construction market of oil transportation facilities and field development facilities the Company plans to get additional revenue in these construction areas.
According to the Company’s IFRS data as of December 31, 2013, the Company asserts accounts for 138.7 billion rubles, the equity decreased up to 27.7 billion rubles (fell by 30% in relation to 2012 due to the dividends payment). In 2013 the overall revenue totaled over 188.1 billion rubles, in 2012 it amounted to about 283.3 billion rubles. The net profit for the year accounted for 12.8 billion rubles, in 2012 it totaled 34.1 billion rubles. The Group’s total debt declined and equaled 16.6 billion rubles (fell by 32% in relation to 2012), the net profit contracted by 77%  in relation to 2012 and amounted to 4.59 billion rubles. The debt load is estimated as a modest one. Net profit divided by  EBITDA doesn’t exceed a ratio of 1. The only credit bank of the Company is OAO Gazprombank.
National Rating Agency (NRA) operates since 2002 and is one of leading independent rating agencies of Russia. Over 350 legal entities are the NRA clients by assigned contact ratings. More than 1.000 companies and banks participate in other information project of NRA.
NRA certified by the Ministry of Finance of the Russian Federation. NRA ratings are recognized by the Central Bank of the Russian Federation, Moscow Exchange, The Ministry of Economic Development and Trade, the State Corporation Bank for Development and Foreign Economic Affairs (Vnesheconombank), State Corporation "Russian Corporation of Nanotechnologies" (ROSNANO), the Agency for Housing Mortgage Lending (AHML), the Russian National Association of Securities Market Participants (NAUFOR), the National Fund Association (NFA), the National Securities Market Association (NSMA), the National League of Management Companies (NLMC), the Association of Russian Banks  (АRB).
Since 2011 NRA is a member of the European Association of the Credit Rating Agencies (ЕАСRA). Since 2011 NRA complies with the code of professional ethics of the Russian Rating Agencies, approved by Council of the Self-Regulated Organization of the National Fund Association.

LLC «STROYGAZMONTAZH» invites to participate in All-Russian Сontest "Best in Profession"

JSC «Krasnodargazstroy», which is a part of SGM Group of Companies, and the Charitable Foundation named after Andrey Andreev started accepting applications to participate in the Second All-Russian Contest of Young Constructors in the Oil and Gas Industry (up to the age of 35), namely "Best in Profession". The contest will be traditionally held in Krasnodar since 15 until 18 of May 2015
The contest will be held under the auspices of SGM Group of Companies, NP «SO AGOC» and the Academy of Technological Sciences. Panel of experts will choose laureates in the following nominations:
- the Best Linear Engineering and Technical Worker,
- the Best Engineer of the Production and Technical Department,
- the Best Specialist of the Laboratory of Non-Destructive Testing,
- the Best Specialist of the Welding Production,
- the Best Quality Engineer,
- the Best Engineering and Technical Worker of the Industrial Construction in the Oil and Gas Industry.
Laureates of the contest will be awarded with diplomas, memorial gifts, and the winners will receive prize money from the Charitable Foundation named after Andrey Andreev. A gala concert with the participation of Russian and foreign rock-stars will complete the award ceremony.
Representatives of two dozens of construction and manufacturing enterprises from all over Russia took part in in the First All-Russian Contest of Young Constructors in the Oil and Gas Industry that was held last year. The representatives of SGM Group of Companies, JSC «Krasnodargazstroy» and LLC «Neftegazkomplektmontazh», won three of the four nominations of the contest.

JSC «Lengazspetsstroy» successfully completed pneumatic test of two sections on the Yamal Peninsula

JSC «Lengazspetsstroy», which is a part of SGM Group of Companies, completed the performance of tests on the GP1 – km 0 and 0 km – 57 km of Bovanenkovo – Ukhta trunk gas pipeline. The total length of tested sections is 86.6 km.
In the nearest time the drying and nitriding of a pipeline for conservation of ready assembled sections are be done. A tie-in in the operating gas pipeline is be performed by the December of this year. At present time JSC «Lengazspetsstroy» carries out  remediation work, construction of onshore facilities and land improvement.
ZAO Yamalgazinvest is the Customer of the works being conducted on linear portion of gas pipeline. LLC «STROYGAZMONTAZH» is the General Contractor. The construction and installation works are planned to be performed on the section of the second string, entrusted to JSC «Lengazspetsstroy» and to be completed by the end of 2014 or at the beginning of 2015.
As of today the total length of gas pipeline, which JSC «Lengazspetsstroy» is to build in the framework of 2nd string of Bovanenkovo – Ukhta, totals over 193 km.

Assessment of Subcontractors

Stroygazmontazh develops proprietary system to evaluate quality of work by subcontracting organizations
The rules on technical oversight of construction works have been thrown into a quandary. Beginning in 1997, with the passage of the federal law “On Industrial Safety at Dangerous Manufacturing Sites” № 116-F3 dated July 21, 1997, contracts for long-distance pipeline construction projects were required to contain a provision for independent technical oversight of construction works. In other countries, this principle is referred to as third-party oversight. Typically such oversight was provided by a company that was independent of the project owner and the contractor, to ensure maximum objectivity of oversight results. The company performing oversight obtained all licenses and permits required for the work. If a project owner wished to bring in its own subdivision, that subdivision must be accountable only to the chief executive officer.
Details of independent technical oversight along with requirements for structure and order are described in the Rostehnadzor (Russian Technical Oversight Service) document RD 08-296-99, “Guidelines for Organization of Technical Oversight of Project Design and Construction Quality, Structural Repairs, and Reconstruction at Long-Distance Pipelines.”.
In 2007 a new edition of the City Planning Code of Russia was adopted. It is silent on the matter of technical oversight. The code, however, introduces a new term: construction oversight – a mandatory procedure for construction of buildings, reconstruction works, and structural repairs of industrial and civil sites. Construction oversight is charged with confirming that construction works are completed in accordance with project documentation, technical requirements, the city plan, and engineering findings.
As provided in the code, construction oversight is conducted by the company that carries out the construction. Control may be organized by the project owner or, under agreement with the owner, contracted to a specialized organization. (Previously, this function was performed by the bodies of technical oversight).
Hence current legislature moves technical oversight into construction oversight, making it an optional feature. The abovementioned “Guidelines for Organization of Technical Oversight…” were canceled. At present no normative documents exist for conducting technical oversight.
The largest Russian oil and gas companies, Gazprom and Transneft among them, have not abandoned project owner-administered technical oversight of pipelines construction; indeed, they are requiring general contractors to tighten construction oversight.
Stroygazmontazh is one of the leading companies in gas pipeline construction in Russia. As general contractor for numerous large projects, we always strive to achieve high quality in construction and installation work. To ensure that we do so, the company has set up a special Quality Control Service. The duties of this team include the following:
  • Supervision of our contractors’ quality control teams and coordination of their activities
  • Initiation, organization, and management of measures designed to ensure compliance with normative documents and project solutions
  • Analysis of construction technologies and equipment to select the most advanced.
Quality Control Service employees work at construction sites full time, performing the functions of technical oversight for the general contractor. Their activities full reflect the news trends in construction quality oversight stipulated in the City Planning Code.
Currently Stroygazmontazh specialists are developing in-house guidelines for conducting construction process control and technical oversight, since the essential regulations are absent, as noted above. New documents will be developed for each property the general contractor builds. Then they will be discussed and, if necessary, revised with the project owner and forwarded to the subcontractors.
According to Gazprom’s STO standards, there is a different set of requirements for each property. For instance, when laying pipes for the North European Gas Pipeline pipe edge defects repair are prohibited. On the Pochinki-Gryazovets pipeline, those repairs are permitted. Such fine points are reflected in the Stroygazmontazh’s regulations as well. Whenever it issues new standards, the Quality Control Service prepares a brief description and distributes it to subcontractors. In addition, the company conducts seminars, advisory sessions, and knowledge testing for our subcontractors’ employees.
Stroygazmontazh has implemented its system of assessing subcontractor’s works based on recommendations contained in international, national, and industry quality standards. In particular, the company follows special guidelines used monthly by the quality control team to evaluate the quality of work completed by subcontractors. The assessment is performed at the construction site by calculating penalty points for each division for the reporting period. When calculating penalty points, the following is taken into consideration:
  • Number of citations and comments issued by technical oversight inspectors, state and industry oversight bodies, as well as the quality control team of the general contractor. If one citation lists several violations, each one of them is counted, but each one is valued differently based on how serious it is. (See Table 1.)
  • Number of uncorrected citations – only those whose correction time extensions were not agreed with the project owner and technical oversight inspector
  • High level of defects in welding work and the volume of repairs to remove the flaws
  • Forgery of radiographic films.
Table 1

Number of Penalty Points Depending on the Type of Violations

№ Violation Description Number of Penalty Points Comments
1 Citation that was not corrected ontime 5 Without issuing arespective permit
Comment that was not implemented ontime 3
2 Number ofrepaired joints per month exceeds 4%ofall welded joints 2  
Number ofjoint defects per month exceeds 3%ofall welded joints 3
3 Citation (comment) regarding:   Every violation listed inthe citation, ifmore than one
3.1 Work stoppage 5  
3.2 Violation oftechnology (welding, insulation, pipe-laying) requiring that work bere-done 2  
3.3 Untimely orincorrect preparation ofexecuting documentation 3 Documents must becompleted within five days after completion ofwork
3.4 Violation ofdeadlines:    
— Specialists’ attestations (re-attestations 1
— Inspections ofinstruments 2
3.5 Violation oflabor safety rules 4 Violations threaten the life orhealth ofpeople
3.6 Violation ofrequirements for environmental protection 1  
3.7 Violation ofrequirements for work inanature/architecture preservation zones 3  
3.8 Absence ofproject ortechnical documents (pre-project work, technical maps) at the construction site 1  
4 Forgery ofradiographic images 20 Replacement ofimages ofunacceptable joints with images ofacceptable joints
A representative of our Quality Control Service develops findings emanating from the assessment of the subcontractor’s work. He/she then reaches agreement with the project manager on its content and passes it to the chief engineer for review and approval. A subcontractor’s representatives may appeal these conclusions by addressing the management of the general contractor with a proposal to re-assess the quality of their work. An assessment is considered satisfactory when the sum of the penalty points is below 20. At 20 points or more, the assessment is considered unsatisfactory. If, over the course of three consecutive months, the quality of work of a subdivision found to be unsatisfactory, the general contractor has the right to request replacement of the working team and/or the manager of the work; in isolated cases, he may even request that the agreement with the subcontractor be terminated.
Our quality control team have been doing monthly assessment of their partners’ and colleagues’ work for the past six months following these procedures. . It should be noted that none of the subcontractors has received more than the maximum allowable number of penalty points – typically their sum does not exceed 12-14 points. We already see leaders and those lagging behind. We are working with those who have fallen behind to eliminate past and prevent future violations.
At Stroygazmontazh we are confident that the new system for evaluating work will to improve the quality of construction and installation in general, and give us a more objective approach to subcontractor selection.

Policy on health, industrial safety, and environmental protection

Stroygazmontazh has set a strategic goal of becoming one of the leading companies in Russian Federation providing the full range of construction and installation services for the oil and gas industries. We can achieve this goal only by ensuring that the products and services that we offer meet national and international laws and regulations and take into consideration the safeguarding of our employees’ health and the protection of the environment and the potential of natural resources.
Stroygazmontazh has based its policies of on the national strategy for industrial and environmental security and take into consideration corporate politics of Gazprom. The policies were approved by the top management of our company.
The policies set the following priorities in health, industrial safety and environmental protection:
  1. Protection of the health of Stroygazmontazh’s employees and the health of people residing in the areas where the company conducts operations.
  2. Improvement of industrial safety and environmental security by ensuring accident-free operation of vehicles, mechanisms, and technological equipment.
  3. Adherence to recognized labor safety and environmental protection principles.
  4. Reduction of negative impact on the environment by improving environmental safety at industrial objects and by minimizing emissions and hazardous waste in manufacturing processes by improving the quality of project documentation and the conduct of environmental environment impact assessments.
  5. The use technologies, modern machinery, and equipment that consume materials and energy efficiently and facilitate recycling and waste disposal.
  6. Management decisions regarding multiple development scenarios will be evaluated with environmental priorities in mind.
  7. Facilitate cooperation of divisions and key specialists of the company with all stakeholders to increase health, labor, and environment protection measures.
Stroygazmontazh has taken takes on the following responsibilities to allow it to achieve the goals relatedabove:
  1. Ensure compliance with Russian laws, international agreements, industry norms, and requirements for health, labor, and environmental protection.
  2. Require all personnel of Stroygazmontazh to fulfill work in accordance to the current rules and norms for security, labor, and environmental protection.
  3. Conduct technological upgrades, introduce advanced technologies, and modern equipment that eliminate the possibility of accidents at construction sites.
  4. Require subcontractors selected by our company to follow Stroygazmontazh’s health, industrial safety, and environmental protection norms.
  5. Review, correct, and improve, as required, the company policy on health, industrial safety, and environmental protection.
  6. Explain the health, industrial safety, and environmental protection politics changes to company employees, subcontractors, and other interested parties. Publicly report on our activities in this field.
  7. Engage employees in activities to improve health, industrial safety, and environmental protection; introduce incentive/motivation system for such activities.
  8. Improve the company’s management system in the field of environmental protection, use of natural resources, prevention and liquidation of accidents, introduction of ecological management systems based on ISO 14001 international standard requirements.
  9. Constantly improve the image of Stroygazmontazh as an environmentally conscientious company, recognized by the environmental protection organizations, project owners, partners and people residing in the zones of Stroygazmontazh’s operations.

South Stream gas pipeline construction started up

Ruslan Goryukhin, Chief Executive Officer of LLC «SGM», told to “Komsomolskaya Pravda” about his company participation in construction works for South Stream Project and other projects.
— Mr. Goryukhin, first joint of gas pipeline was welded within ceremonial event. Was the welders chosen according to some achievements?
— The best welders were chosen. Alexander Toporkov, the Head of the Welding team, has fifth category and works as a welder for more than 10 years. He took part in many well known facilities such as, without limitation, compressor stations and atomic power station.
Generally speaking nowadays almost all welding operations are done by automatic units. But we had an intention to make the event more specific and human, that’s why the first joint of gas pipeline was welded by the highest professionals.
— The event was organized within the Russkaya compressor station site. This station for the moment is just the working site, construction camp, reloading area and storage facilities. When construction works for this station will be completed and if it would differ from the other stations that were erected by your company?
— The works for Russkaya compressor station will be finished in 2016. This station will be the most powerful one in the world. It is specific one not only for its scale but also for domestic equipment that will be used there. Such equipment is produced by REP Holding CJSC based on the Italian technology. On the current moment this equipment is the best equipment that we can compare by quality and reliability with one installed at Portovaya compressor station used for Nord Stream. Gas is pumped there through the Baltic sea with gas-pumping units of Rolls-Royce and here we will use Ladoga gas-pumping units with the capacity of 32 MW. These GPUs are produced by Russian plant so the process of their installation and maintenance will be easier comparing with the GPUs, manufactured by foreign companies.
— What will be the length of gas pipeline section that is for construction by your company within the Project?
— We were awarded for construction of two sections of pipeline that is 421 km long in total and two compressor stations. Accordingly exactly these facilities will be constructed by us and after that we’ll try to be awarded for the other bids concerning the other onshore sections (that is near 2 000 km of gas pipeline) and other compressor stations to be erected within Russian Federation.
— If this time working conditions are more simple than during the execution of Sakhalin Project?
— If we take a geographical aspect then the Project will be more simple for sure. It is because South Stream Project doesn’t cover such long route as we had for Sakhalin — Khabarovsk — Vladivostok gas pipeline. If we had some failures there then two or three weeks had to be spent in ride to repair it over such territories as sopka, swamp and taiga, where it’s hard to find not only the equipment but the people. It is possible to say that such gas pipeline was constructed based on field engineering principle, when designing engineers were just several steps ahead us.
I hope that here we will not change anything in the Project. Although, as everybody knows, every single area in Krasnodar Territory is the private property that is hard to take out from residents.
— «STROYGAZMONTAZH» Company was established just 5 years ago but able to implement the most complex projects. What make it possible to win correspondent bids?
— As a matter of fact our company was established not on the zero ground but on the basis of the companies with 30 — 40 years of experience. For staff working there succession approach is applied. And by the way this is very important to have the team that is ready to work and has its own traditions and internal rules. It is much easier to work at complex projects having ready to work teams with more than 40 years of experience. That is the reason for OAO Gazprom to trust our company.
— Do you spread the experience gained within the company?
— First of all we have definite Institutes for skills development. And then it’s obvious that our staff share their knowledge working within one construction project. Engineers that have been working at any route for many years and understand how to make the work in a better way transfer their knowledge from one construction facility to another one and share their knowledge with their colleagues. Our team consists of 17 000 people and 10–15 percent of them are engineers. Moreover without hesitation we consult with other experienced people that are working directly at place, we accumulate our and their knowledge, arrange workshops, skills development courses and as a result we have synergistic effect.
It’s just seems so that it is easy to construct any gas pipeline — laid it down, dumped and that’s all. But in reality each section of it has some specific features. Within South Stream Project we have to lay 46 km of pipeline through rice paddy fields. After laying down the rice have to be grown as before and many people will not even know that there is a pipe in the ground.
Somewhere gas pipeline passes through spawning area as in Far East region. In Sochi City pipeline was laid there under mountain range and we have to make it so not to disturb anyone. No doubt to achieve this we need to use the experience of such personal that made it before and these people assigned for leading project positions by us.
— When the construction of gas pipelines or infrastructure starts then the ecologists at the same time raise an uproar. Your company became an award winner of «100 Best Companies of Russia. Ecology and Environmental Management» contest because your construction techniques are the most environmentally safe.
— We didn’t break any environmental rules. During the construction of Dzhubga — Lazarevskoye — Sochi gas pipeline we were under very strict control because there was a natural reserve from one side and residential area from the other side. We had to be very careful not to disturb the ecosystem and residents. Nobody likes when under your territory somebody make some drilling works. But we could find the optimal solution and made no harm to wildlife and residents while laying the pipeline down. The ecologists followed our every step willing to control that we cut out nothing prohibited, made no flooding and harm to the nature.
At every our site we have an environmental monitoring service. Such specialists look for correct dispose of logging residues, control works to be done within defined territory limits, control the deployment of equipment on the prescribed place and so on. And when independent control service comes with the inspection, we already know that our internal service has been checked everything. We don’t break any environmental standards and for this reason nobody make any claims. This is one of the factors that allow us to win the bids.
— As «STROYGAZMONTAZH» Company so often become a bid winner, it is frequently called as General Contractor of Gazprom. Do you feel tough competition in Oil & Gas industry?
— Yes, we feel it. Main contractor of Gazprom is Stroygazconsulting LLC that at the moment is executing the largest scope of work in the sphere of Oil & Gas construction. PJSC «Stroytransgaz» returned to the market and nowadays makes construction works for compressor station within South Stream Project and Bovanenkovo — Ukhta gas pipeline section. Why do «STROYGAZMONTAZH» become bid winner so often? That is because there are just few companies that have the same scale and resources — scientific, engineering, technical and human. For example, during the designing stage of Sakhalin Project the construction works had to be fulfilled with a quick rate. And such contractors that can be mobilized, able to move to the site and start works in a shortest time I just called, they were two and now they are three.
It is obvious that there are plenty of small-scaled contractors that we also compete with and such companies win the bids too. We are represented just in a frame of capital construction within large length gas pipelines projects. There are gas pipelines overhaul works and LP gas pipelines, where struggling between companies is huge and it’s hard for our company to compete there as our company is large-scaled one. But small-scaled companies can win the bids suggesting the low price. In general we compete on the open market when the bid conditions are transparent.
— And what about the competition concerning workforce? If the competitor would suggest your worker better conditions will he then change his working place?
— It can happen from theoretical point of view. But we struggle with high personnel turnover in a simple way. Every our worker knows that he has a firm salary and work. And good work is remunerated by premium, bonuses, some extras, Northen hardship pay, pay for the complexity and other prescribed payments. Moreover people have the chance to develop their career. I can take many examples when low rank worker after he has got the university education become an engineer or the leader at some level. Who wants to grow can grow and do it. That’s why we have no serious turnover of the personnel: 90% of the staff is fixed and move from one construction site to the other.
— How many people will be engaged in the South Stream Project and what scope of work has the company for the current day?
— That is approximately 8 000 people from 17 000 that we have. Other staff make works at Bovanenkovo — Ukhta gas pipeline, on Ukhta — Torzhok gas pipeline within the first string and at Kirinsky OPF (Sakhalin region).
Several bids will be announced during the next year for the second stage of Ukhta — Torzhok gas pipeline, Chayandinskoye field Project. Just before coming here we were discussing the possibility of our participation in the construction of Bulgarian Section of South Stream Project. Recently it was calculated that the length of the pipe we welded enough to rap the Earth along the equator. This year we intend to finish works at four gas pipelines and 17 compressor stations. No one company ever fulfilled such scope of work at the same time!