EXHIBIT A

SCOPE OF WORK

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 TABLE OF CONTENTS

1) DEFINITION OF TERMS 3
2) ABBREVIATIONS 3
3) INTRODUCTION 5
4) GENERAL REQUIREMENT 5
5) PROJECT DESCRIPTION 6
6) CONTRACTOR’S RESPONSIBILITIES
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a) Technical Specifications
b) Pre-pipeline Inspection Requirements
c) Materials and Equipment for the Pigging Operations
d) Contractor’s Contingency Plan for Stuck Pig Retrieval
e) Work Plan
f) Progress Reports and Meetings
g) Post Pipeline Pigging Requirements
7) GENERAL CONDITIONS 9
8) COMPANY’S RESPONSIBILITIES 10
9) TECHNICAL REQUIREMENTS
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9.1 Applicable Technical Standards
9.2 Performance Specification
9.3 Personnel Qualifications
9.4 Reporting Requirements
a) Weekly Report
b) Monthly Report
c) Daily Report – Cleaning and ILI Phases
d) Preliminary ILI Report
e) Final ILI Report
9.5 Data Management System
9.6 Additional Documentation
10) PRE-RUN FUNCTION TEST AND POST-RUN REPORT ACCEPTANCE
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11) SAFETY INCENTIVES PROGRAM 15
12) ACCEPTANCE
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13) ATTACHMENTS TO EXHIBIT A
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1. DEFINITION OF TERMS

For the purpose of this document the following definitions shall apply;

SHALL and SHOULD The word ‘shall’ is understood as mandatory and the word ‘should’
as non-mandatory, advisory or recommended.
COMPANY Chevron Nigeria Limited, the client.
CONTRACTOR The contractual party charged to execute the work scope.

2. ABBREVIATIONS

The following abbreviations are used in these specifications:

AGM Above Ground Marker

API American Petroleum Institute

ASNT American Society for Nondestructive Testing

BOPD Barrel of Oil per Day

CNL Chevron Nigeria Limited

DPR Department of Petroleum Resources

GPS Global Positioning System

GS General Specification

HSE Health Safety and Environment

ILl In-Line Inspection (Internal inspection pipeline)

ITP Instruction to Proceed

LPO Lost Production Opportunity

MAOP Maximum Allowable Operating Pressure

MAWP Maximum Allowable Working Pressure

MFL Magnetic Flux Leakage

MI Mechanical Integrity

MMSCFD Million Standard Cubic Feet per Day

NACE National Association of Corrosion Engineers

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OE Operational Excellence

PDL Pipeline Data Logger

PEP Project Execution Plan

PGPA People, Government and Public Affairs

PL Pipeline

PLQ Pipeline Questionnaire

POF Pipeline Operator's Forum

PPE Personal Protection Equipment

PTW Permit to Work

QA/QC Quality Assurance / Quality Control

ROW Right of Way

SDV Shut Down Valve

SERIP Surface Equipment Reliability & Integrity Process

SIMOP Simultaneous Operation

SNAME Society of Naval Architects and Marine Engineers

SO Service Order

SOP Standard Operating Procedure

SWP Standard Work Practice

TSP Tactical Security Plan

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3. INTRODUCTION

This Scope of Work document defines the requirements for the Provision of Cleaning and Intelligent
Pigging of COMPANY’S Pipeline in Onshore and Offshore locations in the Niger Delta region of the
Federal Republic of Nigeria. The requirements detailed herein are not an exhaustive detailed statement of
all CONTRACTOR’s obligations under the CONTRACT deemed necessary to successfully execute the
cleaning and intelligent pigging works in accordance with COMPANY’S Technical and Commercial
Requirements. This scope of work document shall be read in conjunction with other project documents,
general specifications, procedures, SWP’s, exhibits and all other documents included within the
CONTRACT.

4. GENERAL REQUIREMENTS

This document covers the requirements for the Cleaning and Intelligent Pigging of COMPANY'S
PIPELINES IN ONSHORE AND OFFSHORE LOCATIONS IN THE NIGER DELTA REGION OF
THE FEDERAL REPUBLIC OF NIGERIA. The cleaning and intelligent pigging services shall include
but not limited to the followings:
 Provision of cleaning equipment, ILI tools, associated equipment and competent personnel for
cleaning and completing ILI of the COMPANY pipeline system (s)
 Provision of progressive pipeline cleaning.
 Detection and sizing of metal wall loss which include both internal and external corrosion,
cracks, or mechanical damage to the pipeline and other related defects.
 Provision of auxiliary pumping to support cleaning and intelligent pigging of pipelines.
 Performance of post-run dig-up verifications at selected point for each line inspected.
 Provision of detailed survey reports in hard bound copies as well as CD packages.
 Provision of detailed field result following execution of each job.

CONTRACTOR shall immediately report any conflicts between the project specifications and conditions
on site to COMPANY Representative for clarification and resolution. Any conflicts shall be resolved
between the COMPANY and CONTRACTOR before any work is performed concerning the conflict. The
COMPANY will issue both an Instruction to Contractor (ITC) document and/or a: Change Order (CO)
clarifying in writing any conflicts.

CONTRACTOR shall be responsible for determining all the CONTRACTOR’S requirements to execute
this contract, whether specified or implied. 'The CONTRACTOR shall determine all requirements for
materials, consumables, etc., for each telecommunications tower.
CONTRACTOR shall be responsible for coordinating all movement of materials, equipment, and
personnel, including transportation and loading or offloading in each location with COMPANY Logistics
and/or Operations personnel.

Following commencement of work, CONTRACTOR shall invoice COMPANY on a monthly basis for an
amount representing the percentage of work completed during that month as mutually agreed by

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CONTRACTOR and COMPANY. The invoice(s) are to be detailed by location, as mutually agreed upon
by the CONTRACTOR and COMPANY. In addition, and in the same detail, each invoice shall state the
cumulative percentage of work completed.

5. PROJECT DESCRIPTION (SCOPE OF WORK)

This scope of work describes detailed work scope and minimum technical requirements for the
cleaning and intelligent pigging of COMPANY pipelines. The pipelines Outer Diameter (OD) varies from
6.0" – 42.0" and length from 2.0 Km (1.24 Miles) to 45.5 Km (28.28 miles). The average age is
approximately 25 years old and transports Crude Oil and/or Gas from one Production Platform / Flow
stations to another. The COMPANY pipelines are constructed from wide range of pipe schedules with
kicker lines and pig traps and have varying MAOP. The pipelines have SDVs at least on one end of
pipelines, actuated by a pipeline Pressure Switch Low (PSL). Relevant Information on Pipelines would be
provided to CONTRACTOR before commencement of work.

The primary objectives of the pigging program are detection and sizing of metal wall loss which include
both internal and external corrosion, cracks or mechanical damage to the pipelines and other related
defects that may compromise integrity of COMPANY pipelines. The Contractor shall supply cleaning
equipment, an ILI tool,
associated equipment, and personnel to comprise an ILI system (in accordance with API 1163) for the
purposes of cleaning and completing ILI of the Company's pipeline system(s). CONTRACTOR shall
record, analyze, interpret, and document the data obtained from the pigging operations.

Pipeline cleaning must utilize a progressive pigging approach to remove accumulated solids from the
pipeline to prepare the pipeline for ILI. Pipeline cleaning may be carried out by either the Company or
Contractor and will be determined on a case-by-case basis per Company and operational
requirements. In either case Contractor will be required to supply cleaning pigs and associated equipment
to
Company under the contract.

It is anticipated that the ILI tool vendor will require a sizing tool run and may also require a dummy tool
run in advance of the primary ILI tool run in order to verify the acceptability of the pipeline geometry
for the primary ILI tool. Such tools shall be equipped with transmitters and shall be provided by the
Contractor. In addition, the contractor will be required to provide above ground tracking equipment for
monitoring the ILI tools progress through the pipeline.

The ILI contractor may also be required to supply additional manpower on either a full or part-time basis
to support the Company's engineers in managing and executing the project. Manpower may include but is
not limited to: Project Manager(s), Pigging Team Leader(s), Pigging Technician(s), and Integrity
Engineers.
Precedence of Documents
The following shall be the order of precedence of the documents applicable to project works:

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  Contractor Service Contract
 Project Specifications
 Relevant Industry Standards and Procedures

6. CONTRACTOR’S RESPONSIBILITIES

The CONTRACTOR shall be responsible to provide suitable pigs for the pipeline cleaning.
Contractor will also be responsible to make the final tool ILI selection for each pipeline as
necessary to ensure satisfactory performance in achieving the COMPANY's inspection objective.
CONTRACTOR shall be responsible to provide a thorough and complete cleaning and ILI
proposal in accordance with the requirements and technical specifications.

CONTRACTOR's proposal shall address required system modifications to achieve compatibility

with proposed cleaning and ILI tools, system pre-cleaning requirements, and operational
constraints associated with the ILI tool run.

CONTRACTOR shall mobilize personnel, tools, materials and supervision to undertake both
cleaning and intelligent pigging activities of the abovementioned pipelines. CONTRACTOR will
be responsible for transporting CONTRACTOR personnel from CONTRACTOR's facilities
to/from either Lagos Local Airport or Warri Airport. CONTRACTOR will be responsible for
transporting equipment and materials to/from COMPANY’s Warri dock or any other COMPANY
location or work site specified by COMPANY. COMPANY will be responsible for transporting
personnel, materials and equipment to/from specific project site locations.

CONTRACTOR shall clean the pipelines by means of progressive pigging to the extent needed so
that accurate data is obtained from the intelligent pigging operation. All pigs will be run in
pipeline production (e.g. oil or gas) without shutting in production unless otherwise stated by
the COMPANY for business case. CONTRACTOR shall propose a conservative progressive
pigging procedure designed to remove solids from the pipeline, while minimizing the potential for
a stuck pig, and verifying that the pipeline inside diameter is adequate for passage of the ILI tool.

As a minimum, this procedure shall include pigging progression steps, starting with undersized
low density foam pigs, progressing with successful pig runs through medium-density foam pigs, to
high density foam pigs, on to steel-body scraper and gauge pigs. Each progression step shall be
carried out using as many number of pig runs as are needed to clean the pipeline to the satisfaction
of the COMPANY.

Final decision on whether to proceed to the next progression step will be made by COMPANY
Pipeline Integrity Lead Engineer and Mechanical Integrity Supervisor based on physical
examination of pig condition and amount of materials received with the pig. CONTRACTOR shall
not launch a pig without the approval of the onsite COMPANY Representative. Under no
circumstances will a second pig be launched until it is verified by the Company that the first pig
has been fully recovered from the pipeline. At no time during cleaning and ILI operations will
there be more than one pig in the pipeline without the COMPANY’s approval.

In certain situations, where debris deposits are heavy, the debris has adhered to the pipewall and it
exhibits adhesive or cohesive properties, mechanical pigging alone is not sufficient to clean the
pipeline. In such cases, CONTRACTOR shall employ the use of specialized fluids or chemicals
with enhanced solid dissolving and transporting capabilities to clean the pipeline.

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CONTRACTOR shall ensure that the adequate amount of materials, needed equipment and
personnel are on site to enable the project to be run smoothly. CONTRACTOR shall be
responsible for inserting and removing the cleaning pigs and ILI tool(s) into and from the pig
traps and pipeline.

CONTRACTOR shall survey the pipeline route along the ROW to ensure that there are no third-
party structures or other impediments that could mitigate effective tracking of the intelligent
pigging tool in the pipeline.

CONTRACTOR will monitor the data from each ILI tool run to ensure that quality data is
gathered, and shall provide qualified personnel to record, process, analyze, and interpret the data
obtained from the intelligent pigging operation. CONTRACTOR shall report inspection and
analysis results for each pipeline, including evaluation and location of areas of metal loss,
anomalies or defects, early identification and location of critical defects which require further
COMPANY attention, and proposed remediation strategies.

CONTRACTOR shall submit a final inspection report to COMPANY in the following formats:
two (2) paper copies, two electronic copy (CD/DVD). Report shall include a Microsoft Excel-
formatted spreadsheet listing of all features identified. The ILI tool inspection datafiles shall also
be submitted to the COMPANY electronically (CD/DVD).

CONTRACTOR shall submit to COMPANY for approval, a detailed work plan for the proposed
pigging operations. CONTRACTOR shall indicate the planned duration for each of the milestone
activities listed in the detailed work plan.

CONTRACTOR shall demobilize all tools, personnel, equipment and high-resolution intelligent
pig after successful completion of all pigging activities for all pipelines. However, if inspection
survey of a pipeline is declared unsuccessful then contractor to remobilize the high-resolution tool
at no extra cost to COMPANY and within the time schedule as per contract to carry out inspection
of pipeline which was declared as unsuccessful.
a) Technical Specifications
Project work shall be carried out in accordance with this Scope of Work and the referenced
technical standards. CONTRACTOR shall give due consideration to all details required to
successfully inspect the pipeline, but are not covered in the specifications.
b) Pre-pipeline Inspection Requirements
CONTRACTOR shall carry out a detailed survey of the pipeline route and general work site.
CONTRACTOR shall identify existing COMPANY facilities (marked or unmarked), obstructions
and other third party structures, if any, within the pipeline ROW that could mitigate against
effective tracking of the inspection tools.

COMPANY shall provide a workshop within Escravos Terminal for calibration of inspection
tools.
c) Materials and Equipment for the Pigging Operations
CONTRACTOR shall provide the pigs and inspection tools required for the cleaning and
inspection of the pipeline. COMPANY will provide a boat for water transport and, if necessary, a
mobile crane for pig handling.
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 d) Contractor's Contingency Plan for Stuck Pig Retrieval
CONTRACTOR shall provide a detailed Contingency plan for stuck pig retrieval to COMPANY
prior to starting work. CONTRACTOR shall fully implement the procedures detailed in the
contingency provisions submitted to COMPANY for retrieving stuck pigs if required during the
pigging operations. COMPANY shall provide resources and equipment necessary to support the
pig retrieval process (i.e. high pressure water pumps or other construction equipment)
e) Work Plan
CONTRACTOR shall submit a detailed work plan including project execution plan and schedule
with its tender. CONTRACTOR shall clearly indicate the planned schedule for each milestone
activity. The work plan shall include a project organizational chart for CONTRACTOR personnel.
f) Progress Reports and Meetings
CONTRACTOR shall submit daily progress reports throughout all phases of the project to
COMPANY representative. A section of the daily report shall address quality assurance activity of
the previous day. CONTRACTOR shall record details of any work delays or shut-ins caused by
civil disturbances at the project site. CONTRACTOR shall report any incidents on COMPANY's
incident report form which will be issued to CONTRACTOR prior to commencement of project
works.
g) Post Pipeline Pigging Requirements
CONTRACTOR shall provide COMPANY with a final notice of completion at the end of the
pigging operations. CONTRACTOR shall prepare and submit completion certificate to COMPANY.

7. GENERAL CONDITIONS

Work shall commence only after a project kick-off meeting to be held in COMPANY's main
office in Escravos between COMPANY and CONTRACTOR.

COMPANY will designate a representative to inspect work performed by CONTRACTOR.

CONTRACTOR shall keep a competent superintendent on site at all times during the various
phases of the work who shall have responsibility to execute instructions from COMPANY and to
make decisions on behalf of the CONTRACTOR.

COMPANY shall provide adequate security to protect both CONTRACTOR equipment and
personnel when on Company premises.

CONTRACTOR shall not sub-contract any part of the work without knowledge and prior approval
of the COMPANY.

CONTRACTOR shall demonstrate excellence in all safety issues. All work shall be performed in
accordance with COMPANY "Safe Practices Manual - 2015". All workers must wear appropriate
personnel protective equipment whilst on site.

CONTRACTOR presents itself as knowledgeable and experienced in handling similar projects.

Therefore, all items that are normally required as a generally accepted practice to clean and
inspect the pipeline but are not specifically mentioned in this contract shall not constitute a basis
for extra work.
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 CONTRACTOR agrees that any damage to cleaning or inspection tools shall be borne by
CONTRACTOR's insurance company.

8. COMPANY RESPONSIBILITIES

COMPANY shall provide space around work sites and the project warehouse site for the
temporary storage of materials which CONTRACTOR requires to execute the project.
CONTRACTOR shall submit detailed storage requirements, including estimated surface area
required, length and period for which storage is needed, and date on which storage is first needed.
CONTRACTOR shall provide all other requirements for proper storage of project materials such
as lockable containers, and security personnel.

The mobilization/demobilization charge shall be inclusive of all costs to move all materials,
equipment and labor to the work sites. There shall be no additional charges for movements
between locations unless the COMPANY requests further movements .

COMPANY shall reimburse CONTRACTOR the mobilization fee, after mobilization and
commencement of work under the contract for CONTRACTOR'S Spread.

COMPANY shall reimburse CONTRACTOR the demobilization fee, after the acceptance of work
and the demobilization of CONTRACTOR'S spread.

COMPANY will designate a representative, referred to as the COMPANY Representative, to

consider and approve all changes in plans and services, which are not included in the
specifications, and to inspect any work performed by the CONTRACTOR. The COMPANY
Representative will be assisted by other employees of COMPANY or by contract personnel, as
required.

The COMPANY Representative shall have the right to inspect, at all times, any tools, materials or
other equipment used in the performance of the work. The COMPANY reserves the right to
inspect any materials or equipment proposed by the CONTRACTOR prior to mobilization.

COMPANY requires forty-eight (48) hours advance notice before contractor may enter the site
and before CONTRACTOR moves equipment from one location to another for any purpose.

The COMPANY reserves the right to remove from or add to the scope of work. Compensation for
the work shall be adjusted accordingly.

COMPANY is responsible to provide an accurate and complete description of the pipeline systems
to be inspected, and of the inspection objectives. COMPANY shall prepare the pipeline systems to
the best of their ability in accordance with the requirements specified by the CONTRACTOR; that
is per the requirements of the performance specification or any other requirements in the
Contractor's compensation or the Contract.

At all times during the execution of tool runs, the pipeline shall remain under the control and
operation of the COMPANY. COMPANY personnel will be responsible for the operation of all
pipeline equipment (e.g. valves) and shall endeavor to ensure that the tool(s) are operated in
accordance with the performance specifications provided. CONTRACTOR'S personnel shall be
present at all times during the execution of tool runs and are expected to provide expert advice and
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 assistance throughout.

In addition, COMPANY shall provide the Following:

 System modifications as requested by CONTRACTOR to ensure compatibility with selected ILI
tool(s).
 Lifting equipment to assist the CONTRACTOR in inserting and removing the ILI tool(s), as
specified in the Contractor's proposal; such equipment shall work under the direction and
instruction of the CONTRACTOR who is responsible for insertion and removal of the tool(s).
 Pig launcher(s) and pig receiver(s) in accordance with the requirements specified by the
CONTRACTOR in his proposal.
 Where necessary, fluids and pumping equipment to supplement normal pipeline flows in order
to achieve minimum required tool velocities.
 Personnel to place and monitor above ground tracking equipment provided by the contractor, in
order to achieve the ILI tool performance specifications and provide tool monitoring during
pigging operations. Requirements for above ground tracking equipment should be specified in
the Contractor’s proposal. Where required, surveying of tracking equipment should be provided
by the company.
 Labor and equipment necessary to complete any verification digs that the CONTRACTOR
requires to calibrate tool data. Contractor should comment on whether or not it requires
verification digs for data calibration as part of his proposal.

Note: The COMPANY requires the CONTRACTOR to provide process validation in

accordance with API 1163.

Non-destructive examination personnel for the purpose of providing direct examination of exposed
pipe at verification dig locations. COMPANY shall complete verification dig reports if provided
by the CONTRACTOR. CONTRACTOR shall provide sample dig sheets and/or verification dig
reports in his proposal.

9. TECHNICAL REQUIREMENTS

7.1. Applicable Technical Standards

CONTRACTOR's execution of this Contract shall be in full compliance with the
following:
 Pipeline Operators Forum (POF) Specification Ver. 3.2 "Specifications and Requirements for
Intelligent Pig Inspection of pipelines",
 API 1163 "In-Line Inspection System Qualification Standard",
 NACE RP 0102 "In-Line Inspection of Pipelines", and
 ASNT ILI-PQ-2005 "Inline Inspection Personnel Qualification and Certification".

Unless otherwise specified by the Company, in the event of conflict between these documents,
the most stri ngent requirement shall apply.
7.2. Performance Specification
CONTRACTOR's proposal as included in this Contract shall include a detailed performance
specification for the proposed tool(s) that, at a minimum, complies with the requirements of the POF
Specification and API 1163. The intent of a performance specification is to clearly document the
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detection capabilities, sizing tolerance, and measurement accuracy of the tool. In addition, the
performance specification shall document any limitations associated with the operation of the tool or
with the data obtained by the tool.
7.3. Personnel Qualifications
CONTRACTOR personnel shall be qualified in accordance with the requirements of API
1163 and the following:
 Personnel responsible for tool operation, and who provide advice and assistance to the Company
during tool runs, shall at a minimum be qualified as Level II or III Tool Operators in accordance
with ASNT ILI-PQ-2005.
 Personnel responsible for the data analysis shall at a minimum be qualified as Level II or III
Data analysts in accordance with ASNT ILI-PQ-2005.

CONTRACTOR's proposal shall identify proposed personnel and their qualification level. Personnel
substitutions shall not be permitted without the approval of the COMPANY
7.4. Reporting Requirements
a) Weekly Progress Report
CONTRACTOR shall provide a written weekly progress report covering status, activities,
concerns and progress relating to all aspects of the project (cleaning and ILI), including a forecast
of activities in the following week.
b) Monthly Report
CONTRACTOR shall provide a written monthly report which summarizes significant milestones,
percentage progress for activities on each individual pipeline cleaning and ILI project, an overall
summary of man hours and contract charges for the month, and cumulative manhours and
charges.
c) Daily Report- Cleaning and ILI Phases
CONTRACTOR shall provide a daily written report covering all aspects, concerns and progress
relating to the cleaning and/or ILI phases of the project/s.
d) Preliminary ILI Report
CONTRACTOR shall provide a preliminary written report identifying anomalies of "immediate
concern'', or defects, as soon as practical after completion of the ILI tool run, but within 14
calendar days. Anomalies of immediate concern are:
• Metal loss greater than 80% of wall thickness regardless of dimensions
• Metal loss resulting in a predicted failure pressure less than or equal to 1.1 times the current
MAOP of the pipeline
• Dents with stress concentrators (gouges or ki nks)
• Top of pipeline dents with metal loss greater than 10% of wall thickness
• Any indication of stress corrosion cracking
• Other anomalies that meet the Contractor's criteria for inclusion in the preliminary report.
e) Final ILI Report
Upon completion of data review and analysis, but no later than 60 calendar days following
completion of the ILI tool run, the Contractor shall provide his final report. The final report shall
comply with the requirements of the POF Specification and API 1163; at a minimum it shall
include the following:
• The project ILI performance specification; if modified with COMPANY's approval during the
course of the project then this would be the final COMPANY approved performance
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 specification.
• A description of the method used to qualify the performance specification.
• ILI system equipment specifications.
• An executive summary.
• A summary of inspection results with information on each feature reported. Feature
classifications shall be as per the POF Specification.
• Summary tables and plots as required by the POF Specification; including all the optional
tables and plots described in paragraphs 10.3.1 and 10.3.2 of API 1163.
• Pressure based assessment of all metal loss anomalies that have a depth in excess of 10% of
the pipe wall thickness. This shall include the assessment methodology and pipeline
parameters used in calculations.
• A description of the method used for ILI system results verification; whether based on prior
test data, historical operating data or verification digs. In the case of verification dig data, the
report shall include the results of verification digs and shall clearly show how the verification
dig measurements have been incorporated into the data analysis.
7.5. Data Management System

CONTRACTOR shall be required to provide ILI system results in an electronic database format
and Microsoft Excel format for incorporation by the Company into her pipeline integrity
management program.

CONTRACTOR shall provide both the raw indication data log obtained from the ILI tool(s) as well as
the Interpreted results. Both raw data and interpreted results shall be provided in a format suitable for
incorporation into an electronic data management system. Contractor shall also furnish one hardcopy
of this report.

Contractor shall provide the latest version of the Contractor’s ILI data viewer software with license to
Company. If requested by Company, an additional copy of the deliverables and raw ILI data shall be
sent by the Contractor to Chevron Energy Technology Company – Inspection Team in Houston, TX,
USA.

7.6. Additional Documentation

CONTRACTOR shall be required to furnish the Company with the following additional
information during execution of the Contract:

 Project execution plan(s)

 Risk assessments
 Pre-inspection equipment functional test procedure(s)
 Post inspection equipment functional test procedure(s)
 Post inspection data checking procedure(s)
 Anomaly assessment procedure(s)
 Quality System Manual(s)

10. PRE-RUN FUNCTION TEST AND POST-RUN REPORT ACCEPTANCE

CONTRACTOR shall complete a pre-inspection function test, in accordance with API 1163, prior to
execution of an ILI run. If the tool fails to meet all the specified requirements, the ILI shall be
suspended until such time the deficiencies can be remedied and a successful function test achieved.
Contractor's proposal shall include a copy of the pre-inspection function test procedure.
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The primary purpose of these activities is, insofar as practical in the field, to validate the essential
variables for the tool run. The essential variables being the variables that most impact on the ability of
an ILI system to achieve its stated performance specification. Essential variables would typically
include inspection energy characteristics, measurement system components, operational limits,
analysis algorithms, etc. In accordance with API 1163, any change to an essential variable requires a
new performance specification and qualification.

CONTRACTOR shall provide the COMPANY with a post run operational report prior to
demobilizing from the work site. This report shall clearly identify any deficiencies in the tool run that
have the potential to cause the tool run to be considered a failure; failure defined as the reported
results failing to meet the previously provided performance specification.
The post run operational report shall include the following:
 Pipeline name,
 Date of run,
 Tool run and primary inspection objective,
 Length and diameter of pipeline,
 Any significant tool modifications for run,
 Deviations in pre-inspection function test and remediation implemented,
 Average speed of run and speed profile if available,
 Deviations noted in the post inspection function test,
 Deviations noted in the completion of data checks,
 Summary of run status, success or failure, and
 If failed, reasons for failure and recommended remedial action.

As part of the evaluation of the success of the tool run, the Contractor shall complete the
following:
 A review of the operating conditions present during the ILI tool run to ensure that they were
consistent with the requirements of the performance specification.
 A post inspection function test in accordance with the requirements of API 1163.
CONTRACTOR's proposal shall include a copy of their procedure for post inspection
function testing.
 Data checks in accordance with the CONTRACTOR’s procedure for post run data checking
(per API 1163). CONTRACTOR's proposal shall include a copy of the data checking
procedure.
Run success or failure for MFL or UT tools shall be determined using the criteria specified in
Section 4.1 of the POF Specification. Criteria for success or failure of geometry or mapping tools
shall be defined during contract negotiations. Where a tool run has failed due to inherent problems
with the tool (e.g. it has failed to operate within the bounds of its operating envelop as described in the
performance specification) then there is to be no charge from the Contractor for any subsequent re-
run. Note: there may be cases where the tool run is successful (per the specified criteria) but
where, due to the nature of the anomalies identified, the COMPANY requires a rerun in order to
fully assess the pipeline; in such cases, the re-run would be chargeable to the Company.
A re-run may be required where the measured distance (via odometer wheels) differs by more
than 1% from a prior ILI tool run. If this problem is found to have resulted from an error in the
odometer wheel(s) readings, the re-run would be done at no cost to the Company.
When there is reason to believe that the tool run has failed, CONTRACTOR and the COMPANY

14
shall jointly review and evaluate the situation. Depending on the reasons for failure, and the potential
impact of the failure, a number of options are available; these include:
 Completing modifications to either the tool, or the pipeline system, and performing another
tool run. This might be considered in the event of an onboard failure on the tool, a speed
excursion outside the acceptable range (that can be corrected), or where additional pipeline
cleaning or minor system modi fications could rectify the problem.
 Accepting the run as is, and modifying the performance specification for the project to
accommodate the deviations. This would typically be considered where neither the tool nor
the pipeline could be readily modified to correct the problem and where the impact on
reported results would not be significant; that is, where the data reported would still be
sufficient to establish pipeline integrity _ In such cases, the tolerances may be greater
and additional verification digs may be required; alternatively, incomplete data may be
available and statistical analysis may be required to evaluate the potential for significant
anomalies to remain unidentified.
 Terminating the current ILI project. This would be considered where it was impractical to
modify either the current ILI tool or the pipeline to rectify the problem, and where the results
reported on the basis of the current run would be of negligible benefit.

In no case, shall CONTRACTOR demobilize until they have received appropriate written
confirmation from COMPANY; either acceptance of the field run or an instruction to terminate
the project.

11. SAFETY INCENTIVE PROGRAM

CONTRACTOR may be entitled to an incentive payment based on safety performance. The criteria for
safety incentive payment shall be determined by COMPANY and communicated to CONTRACTOR.
The safety incentive payment shall be disbursed to the CONTRACTOR's field and office work force.
CONTRACTOR shall submit a plan for distribution of the safety incentive payment for COMPANY
approval.
The safety incentive program shall be administered by CONTRACTOR at CONTRACTOR's expense.
The safety incentive total shall not exceed 1% of the labor portion of CONTRACTOR’s monthly
invoiced amount for Work.

12. ACCEPTANCE

Before completion of the work at each location, CONTRACTOR shall notify COMPANY three days
in advance so COMPANY can prepare a punch list document of and deficiencies that does not
conform to the specifications prior to CONTRACTOR demobilization. CONTRACTOR shall
maintain all equipment, materials and personnel on site until acceptance of the work by COMPANY.
CONTRACTOR shall resolve all deficiencies to the satisfaction of COMPANY prior to COMPANY
signing a Notice of Acceptance.
CONTRACTOR shall warranty all work for a period of 180 days after acceptance.

13. ATTACHMENTS TO EXHIBIT A

Attachment 1 Procedures for Delivering Materials on Service Contracts to CNL Warri

for Shipment to Escravos and other Locations

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Attachment 2 Safe Practices Manual
Attachment 3 Safe Work Practices (SWP) & Standard Operating Procedures (SOP)
SOP-103 Chevron Health, Environment & Safety Guidelines
SWP-401 Permit to Work
SOP-406 Simultaneous Operations Guidelines
SWP-503 Safe Work Practices Standard
SWP-504 Lifting and Rigging
Attachment 4 NMA MSRE Supplement - SUP1
Attachment 5 Procedure 20 Pre-mobilization/Mobilization
Attachment 6 Updated NMA SBU Marine Notices
Attachment 7 General Project Procedures
Attachment 8 CNL Vessel Guidelines
Attachment 9 Comprehensive Pipeline List

End Exhibit A

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