Project Risk Management

Plan
BI-10-00875
Relocate Jazan-Abha Refined Products Pipeline
Jazan-Abha Pipeline 2 (JAPL-2)
MM3/DD3/YY3

Saudi Aramco: Company General Use

Table of Contents
1. High Level Project Description and Key Objectives .......................................... 3
2. Project Justification ............................................................................... 4
3. Potential Sources of Risk .......................................................................... 4
a. Design Data and Scope Definition ............................................................. 4
b. Project Uniqueness .............................................................................. 4
c. Project Dependencies ........................................................................... 4
d. Market & Commercial Uncertainties (NA) ................................................... 5
e. Commercial Infrastructure (NA) ............................................................... 5
f. Economic Uncertainties (NA) .................................................................. 6
g. Major Milestones ................................................................................. 6
h. Project Location (NA) ........................................................................... 7
i. Project Technologies (NA) ..................................................................... 7
j. Resources (NA) ................................................................................... 7
k. Health, Safety and Security Issues (NA) ...................................................... 8
l. Environmental Issues ............................................................................ 8
m. Project Constraints ........................................................................... 8
n. Assumptions and Stakeholder Alignment .................................................... 9
o. Key Decisions & Main Alternatives ............................................................ 9
p. Pre-commissioning, MCC, Commissioning, Operations and Decommissioning ........ 10
q. Additional Risk Drivers & Other Information (NA) ......................................... 10
4. Scope of the Project Risk Management Process .............................................. 10
6. Risk Evaluation Criteria .......................................................................... 11
7. Risk Reviews........................................................................................ 11
8. Risk Reporting...................................................................................... 12
9. PRM Roles and Responsibilities .................................................................. 12

1 BI-10-00875 Project Risk Management Plan Saudi Aramco: Company General Use
 Project Risk Management Plan
MM3/DD3/YY3

BI-10-00875 Relocate Jazan-Abha Refined Products Pipeline

Jazan-Abha Pipeline 2 (JAPL-2)

30% DETAIL DESIGN

Project Classification: CMS Type C

PRM Planning Event Date & Venue: 02/25/2020; SLFE Office, Al-Khobar

Prepared By:
Title Name Signature Date

PRM Consultant 
Muhammad Mazhar AnwarUlHaq     
 

Distribution:
Title Name
IPT Leader Rehman, Zia U & rehmanzu 
Project Manager Najrani, Sami H & NAJRSH0C 
Proponent Qurashi, Mosa M & quramm0f 
PMOD PMD General Supervisor Faisal Mansour & MANSFI0A 
Risk Manager Alajmi, Hassan A & alajmiha 
FPD Planning Engineer Hamad, Maher A & HAMAMA0W 

Report Version Control:

Version Date Author Change Description

DRAFT  02/25/2020  Muhammad Mazhar AnwarUlHaq  Issued to IPT for review and comment 

FINAL  MM3/DD3/YY3  Consultant/SME Name  Final issue 

2 BI-10-00875 Project Risk Management Plan Saudi Aramco: Company General Use
1. High Level Project Description and Key
Objectives
 What are high-level project objectives and deliverables?

The project objective is to sufficiently meet the Kingdom’s product demands of Ultra
Low Sulfur Diesel (ULSD), Premium Gasoline 91 (PG-91), Premium Gasoline 95 (PG-
95) and Kerosene in Jazan, Abha and Najran regions

 What are main components of the project scope as currently understood?

Package-2: Jazan-Abha Pipeline 2 (JAPL-2)

The main function of this package is to install new pipeline. The scope includes new
pipeline which will improve loss control and safety by abandoning the existing JAPL-
1 pipeline from Jazan Bulk Plant (JBP) to BS#1 including existing pipeline sections
for new upgrades downstream of BS#1 and BS#2, as well as reducing intercity
trucking through dedicating the existing JBP to cater only to Jazan city and nearby
villages along with the benefit of avoiding the utilization of SSSP-6 storage.

Pipeline scraper facilities for cleaning and instrument scraping will be installed at JZR
and BS#1. Due to space limitation, BS#2 will have typical dropout spool to receive
and launch the scraper at the same time.

This BI (package-2) shall add the following systems/facilities to achieve the

objectives:

Jazan Refinery:

 New JAPL-2 Scraper Launcher

Pipeline:

 New 16” JAPL-2 pipeline, 91.4 KM (approx.) long, from JZR to BS#1
 Three (3) new Valve stations for JAPL-2 pipeline
 New upgrade sections of the existing 14” JAPL-1 pipeline to a higher wall
thickness, 10.1 KM (approx.) downstream of BS#1 and 1.6 KM (approx.)
downstream of BS#1.

Booster Stations (BS#1 & BS#2):

 Accommodation building
 booster pumps (Use existing Pumps per DBSP Addendum)
 Scraper Traps skids (BS#1)
 Surge Relief Skids (BS#1)
 Security system and facility upgrade

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  What factors define the project’s level of complexity (structural, socio-political
and emergent)? And why?

Ongoing construction of the facility, with many contractors working simultaneously.

2. Project Justification
 Why is the project being conducted? How does the project relate to and align with
the Saudi Aramco strategic objectives?

The average demands for refined products (ULSD, PG91, PG95, JetA1). In Jazan,
Abha, and Najran provinces are forecasted to increase from 108MBD in 2018 to 155
MBD in 2040.

 Is possibility of a partnership (joint venture, consortium, etc.) considered for

execution of the project? What challenges have been encountered? And why?

NA

3. Potential Sources of Risk

a. Design Data and Scope Definition
 What critical design data and scope definition challenges are being faced and
why?

As Built Information, Drawings of the interface projects.

b. Project Uniqueness
 What aspects of the project are unique or new to Saudi Aramco? And, are
there any concerns? And why?

‐ Working and interfacing with multiple contractors at the same time.

‐ Interface data is difficult to get which could affect the Design schedule.

 Is this type of project a regular occurrence or one-off? And, are there any
concerns? And why?

No

c. Project Dependencies
 List any concerns related to dependencies on other Saudi Aramco entities
(e.g. other projects, existing operations and other departments), and
explain why

‐ BI-10-01055, Jazan Refinery

This BI construct a 400 MBD refinery to process Arabian Heavy and Arabian
Medium crude oil to produce 52 MBD of regular gasoline 91, 28 MBD of
premium gasoline 95, 248 MBD of Ultra-low Sulfur Diesel, 93 MBD of
Vacuum Residue to be used as fuel for the adjacent Power Plant or Asphalt,
200 KTA of benzene, and 760 KTA of paraxylene. The refinery configuration
includes a 400 MBD crude/vacuum distillation unit, a 175 MBD diesel hydro

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 treating unit, a 119 MBD naphtha hydro treating unit, an 85 MBD
continuous catalytic reforming unit, a 109 MBD hydrocracker unit, a 34 MBD
isomerization unit, and associated utilities and offsite.

‐ Package-1: In-Plant Facilities

The main function of this package is to install in-plant facilities. These

facilities include booster pumps, shipper pumps, mainline isolation valve
stations, power supply and scraper receiving / launcher facilities as part of
this package. Booster and Shipper Pumps will be designed for 80-140 MBD
that will suffice the peak demands until year 2040. In Abha Bulk Plant, new
storage tanks for Kerosene and High Flash Interface Tank will be provided
along with new ULSD/JET A1 Re-injection Pumps, Interface Truck Loading
Pumps and Foam Generation Skid will be provided.

 List any concerns related to dependencies on external entities (government

agencies, approvals, permits, etc.), and explain why

Provision of Stage 1 and Stage 2 security package. The package is still under
approval.

 If applicable, list any program management concerns, as it relates to the

program administration, coordination, and interface management with
other projects within the program. Explain why.
NA

d. Market & Commercial Uncertainties (NA)

 Outline any concerns related to the demand forecasts for the output
products, and explain why

 XXXX

 To what degree potential customers of output products are contractually

committed?

 XXXX

 Are there any known competitive considerations as related to output

products?

 XXXX

 Outline any concerns regarding feedstock supply and specification, and

explain why

 XXXX

e. Commercial Infrastructure (NA)

 Highlight any infrastructure concerns related to delivering feedstock and
export output products, and explain why
XXXX

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  Outline any concerns related to utilities to support the project, and explain
why
XXXX

f. Economic Uncertainties (NA)

 What are the main concerns related to the expected project benefits and
level of profitability, highlighting any major economic sensitivities?
XXXX

 Are there any considerations or uncertainties related to phasing of the

project?
XXXX

g. Major Milestones
Table 1.
PROJECT MILESTONE PLANNED ACTUAL
FEL 3 Dec 2017 Feb 2018
ERA Aug 2019 Aug 2019
Detail Design June 2020
ERC April 2023

Project Duration: ERA 08/2019, ERC: 04/2023

Project Cost: $XXXX
 Is the project schedule accelerated? XXXX

 List the key activities for all remaining phases which need to be done well
to ensure a successful project outcome, and outline any concerns (e.g.
schedule), and explain why
Design
‐ Finalization of Feed Verification Report findings.
‐ Provision of As Built Drawings of interface project.
‐ Reply of all technical queries.
Procurement
‐ Expedite the long lead items

 Are there any milestones that have greater significance over others (e.g. are
there major merge points in the schedule)? Explain why

NA

 Were PRM activities undertaken in previous phases of project development?

Yes

 Is information about previous PRM activities available (PRM Plans, Reports,

Risk Registers)?

Only 30% PP phase report is available

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 h. Project Location (NA)
 What challenges exist with regard to securing approval for use of the project
site(s)? And, why?
XXXX

 List any logistical challenges related to accessing the project site, explaining
why
XXXX

 Outline any major brownfield challenges, if relevant, explaining why

XXXX

 List any existing facilities, areas adjacent to existing facilities, existing

RoWs, etc. which can be used
XXXX

 Outline any preliminary arrangements with the government related to

potential site(s)?
XXXX

i. Project Technologies (NA)

 List any key technologies that are not considered commercial XXXX

 List any considered technologies that have not been successfully used by
Saudi Aramco previously XXXX

 List any technologies or modules considered by the project that were not
successfully tried yet as at least commercial pilots XXXX

 Highlight any preliminary arrangements with potential technology licensors

XXXX

j. Resources (NA)
 Are there any concerns regarding expected future market conditions to
select qualified EPC contractors and/or licensors and acquire required
amounts of labor, materials and equipment? And why?
XXXX

 Are there known projects that will directly compete for the same resources?
XXXX

 Is Saudi Aramco expected to timely get required number of qualified in-

house specialists to develop and execute the project?
XXXX

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  What is the level of Saudi Aramco organizational knowledge and experience
related to development and execution of the project?
XXXX

 What aspects of this project are not covered by the existing Saudi Aramco
standards and procedures?
XXXX

k. Health, Safety and Security Issues (NA)

 Are there unique health challenges facing the project?
XXXX

 Are there unique safety challenges facing the project?

XXXX

 Are there any security concerns related to project execution?

XXXX

 Are there any health, safety and security challenges that are not considered
manageable using the project’s existing controls? And why not?
XXXX

l. Environmental Issues
 Are there any specific environmental challenges that are not considered
manageable using the project’s existing controls? And why not?

EIA Category III conducted

 Is an EIA required and is it expected to raise any considerable concerns (scope

changes, delays, extra costs, etc.)? And why?
NA

m. Project Constraints
 List any constraints that have been identified that may impact the ability to
deliver the project (e.g., shutdown windows)? And why?

‐ As Built Information and software (SP3D/SPI) Data bases.

‐ Congestion in MOT corridor for new pipeline routing
‐ Limitation of existing JAPL-1 pipeline
‐ Logistic during project execution
‐ JAPL-1 tie-in optimization
‐ Limited space for pipeline routing in hilly area
‐ Installation of pipeline inside refinery area

 Are there any constraints that may possibly be removed during the project?
And why?

NA

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 n. Assumptions and Stakeholder Alignment
 Based on information provided in previous sections please point out key
project assumptions that have yet to be validated. XXXX

‐ All electrical, instrument and telecommunication spares Reservation have

been secured.
‐ Material selection is finalized in the project proposal package.
‐ LUP for the new line is secured
‐ Integrity of Existing JAPL-1 pipeline and pump is acceptable

 Which scope, market, economics, location, technology, etc. assumptions

made by the Proponent, Management or IPT that have not been validated
yet? And why not?

‐ Assumptions not yet validated

 In general, is there any misalignment amongst key stakeholders? And why?

‐ None

 Are there any differences amongst key stakeholders that relate to the scope
definition? And why?

‐ None

o. Key Decisions & Main Alternatives

 Please outline the key decisions the project still has to make.

‐ Preparation of Instrumentation and Controls deliverables (SPI or

microstaion)
‐ Decision related to the piping design works in Tank farm
‐ Confirmation for the classification of the Abha Bulk plant for security scope.

 List all overdue key decisions. Explain why they are overdue.

‐ Refer to TQ list

 Have all the alternatives required for making the key decisions been
identified?

‐ To be made

 What are main short-listed project alternatives?

‐ To be made

 List the distinguishing strengths and weaknesses of each alternative?

NA

 Does the project have sufficient information to make these decisions? If no,
what additional information is needed?
NA

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  What concerns are there to obtain the required information in time to make
these key decisions? And why? XXX

 What concerns, if any, does the project have about the reliability of the
information currently available to make these key decisions? And why? XXXX

p. Pre-commissioning, MCC, Commissioning, Operations and

Decommissioning
 What are the main pre-commissioning and MCC concerns? And why?
To be worked out

 What are the main handover, commissioning, operations and

decommissioning concerns? And why?
To be worked out

q. Additional Risk Drivers & Other Information (NA)

 Highlight any activities on the schedule that are considered critical path or
near-critical path (including long-lead items) that have a significant degree
of uncertainty associated with them and explain why.
XXXX

 Identify any major costs (not schedule-related e.g. major equipment and
bulk material costs) that have a significant measure of uncertainty
associated with them, and explain why.
XXXX

 What further challenges are expected to confront the project that have not
been mentioned in the questions above?
XXXX

4. Scope of the Project Risk Management

Process
Will the PRM process cover the entire project scope, and risks affecting all of the
project’s objectives (as described in Section 1) will be addressed? If not, then what is
the scope?
Project Scope as described in Section 1

5. Project Risk Management Process &

Tools
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 The Saudi Aramco Project Risk Management Guide (PRM Guide) outlines the standard
PRM Process and tools to be adopted by the project.

6. Risk Evaluation Criteria

Specific evaluation criteria have been developed by the project team to evaluate the
potential effect of each risk on the project ability to achieve its objectives, as follows
in Tables 2 and 3:
Table 2. Probability Evaluation Criteria

Probability Very Low Low Moderate High Very High

% 0 - 5% 6% - 10% 11% - 25% 26% - 50% 51% - 100%

Table 3. Impact Evaluation Criteria

Impact Type of Risk Very Low Low Moderate High Very High

Threat >$250K and <=  >$500K and <=  >$1MM and <=  Greater than 

$250K or Less
(Downside) $500K $1MM $2MM $2MM
Cost-2
Opportunity >$250K and <=  >$500K and <=  >$1MM and <=  Greater than 
$250K or Less
(Upside) $500K $1MM $2MM $2MM

 1 Week or  >1 Week <= 2  >2 Weeks <= 4  >4 Weeks <= 8  Greater than 8 

Threat Less  Weeks  Weeks  Weeks  Weeks 
(Downside) (5 Working  (6‐10 Working  (11‐20 Working  (21‐40 Working  (40+ Working 
Days) Days) Days) Days) Days)
Schedule-3
 1 Week or  >1 Week <= 2  >2 Weeks <= 4  >4 Weeks <= 8  Greater than 8 
Opportunity Less  Weeks  Weeks  Weeks  Weeks 
(Upside) (5 Working  (6‐10 Working  (11‐20 Working  (21‐40 Working  (40+ Working 
Days) Days) Days) Days) Days)

7. Risk Reviews
PRM is a continuous process, as a result, risk reviews are held not only during formal
desktop reviews or workshops (PRM events) mandated by SAEP-367. Risk reviews
should also be regularly undertaken (monthly) during the entire project life cycle.
Table 4 contains dates of PRM events according to:

 SAEP-367 requirements

 Current project schedule

Table 4. PRM Events

PRM Events FEL 2 FEL 3 Detail Design, 20%

(SAEP-367) (DBSP) 30% (PP) 30%
Applicability Yes
Yes Yes
(yes/ no)
Planned Date Feb 2020
Oct 2015 Nov 2016
(month – year)
Actual Date Feb 2020
Oct 2015 Nov 2016
(month – year)

11 BI-10-00875 Project Risk Management Plan Saudi Aramco: Company General Use
8. Risk Reporting
Regular (monthly) PRM Reports will be prepared to represent current project risk
exposure. PRM Reports are also produced after each PRM event undertaken in
accordance with Table 4. Both Reports are prepared using ARM functionality.

9. PRM Roles and Responsibilities

The general PRM roles are described in Table 5. PRM responsibilities of core
individuals are outlined in Table 6.

Table 5. Typical PRM Roles

IPTL IPT Leader Approves PRM Plan; fully accountable for PRM
system implementation and its effectiveness

RM Risk Manager Manages all PRM risk activities; responsible for PRM
process and tool’s implementation

RF Risk Facilitator Runs main PRM events and workshops (either PEOD/
PMOD member or consultant)

SME Subject Matter Expert Provides PRM support (all aspects) in area of
expertise

C Contributor Contributes to specific PRM Information (risk

identification, assessment, addressing, etc.)

DM Decision Maker Validates and approves PRM results

Table 6. PRM Responsibilities of IPT Members (See List of PRM Session Attendees)

PRM Role Name Company/ Email address

Department

IPTL/DM

RM

C (FPD)

C (Proponent)

C (Contractor)

RF

SME

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 PARTICIPANTS
Attach the attendance sheet with signatures

13 BI-10-00875 Project Risk Management Plan

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Project Risk Management
Status Report
BI-10-00875
Relocate Jazan-Abha Refined Products Pipeline
Jazan-Abha Pipeline 2 (JAPL-2)
MM3/DD3/YY3

Saudi Aramco: Company General Use

Table of Contents
1. Summary ............................................................................................. 3
2. Trend Analysis ...................................................................................... 3
3. Commentary......................................................................................... 4
a. Risks ............................................................................................... 4
i. Proximity and Manageability ................................................................... 5
ii.Additional Items ................................................................................. 5
b. Workshop Preparation, Attendance and Participation..................................... 6
4. Recommendations .................................................................................. 6
5. Management Activities ............................................................................ 6
a. Monitoring & Control ............................................................................ 6
i. Risk Manager ................................................................................... 6
ii. Risk Reviews ................................................................................... 6
b. Training ........................................................................................... 7
c. Next PRM Event .................................................................................. 7

1 BI-10-00875 Project Risk Management Status Report

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 Project Risk Management Status Report
MM3/DD3/YY3

BI-10-00875 Relocate Jazan-Abha Refined Products Pipeline

Jazan-Abha Pipeline 2 (JAPL-2)

30% DETAIL DESIGN

Project Classification: CMS Type C

PRM Event Date & Venue: 02/25/2020; SLFE Office, Al-Khobar

Prepared By:
Title Name Signature Date

 PRM Consultant  Muhammad Mazhar AnwarUlHaq     
 

Distribution:
Title Name
IPT Leader Rehman, Zia U & rehmanzu 
Project Manager Najrani, Sami H & NAJRSH0C 
Proponent Qurashi, Mosa M & quramm0f 
PMOD PMD General Supervisor Faisal Mansour & MANSFI0A 
Risk Manager Alajmi, Hassan A & alajmiha 
FPD Planning Engineer Hamad, Maher A & HAMAMA0W 

Report Version Control:

Version Date Author Change Description

DRAFT  02/25/2020  Muhammad Mazhar AnwarUlHaq Issued to IPT for review and comment

FINAL  MM3/DD3/YY3  Consultant/SME Name Final issue

2 BI-10-00875 Project Risk Management Status Report

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 BI‐10‐00875 RELOCATE JIZAN‐ABHA REFINED PRODUCTS PIPELINES
Risk Management Status Report

This Report Last PRM Event Next PRM Event

Feb 2020 30% DD  Nov 2016  30% FEL3 (PP) TBD XX% DD 

1. Summary
The Risk Heat Map opposite (Figure 1) shows the current number  Figure 1:Risk Heat Map
of  risks  at  each  level  of  significance.  Red,  orange,  yellow,  and 
Impact
green  cells  demonstrate  critical,  significant,  important,  and  low 
threats  respectively.  Opportunities  are  highlighted  in  the  blue 

Moderate

Very High
Very Low
cells.

High
Low

OPP
The overall project risk situation is Medium as:
Very High 0 0 00 01 21 11 00

Probability
 Critical  Threats  =  1  and  Significant  Threats  =  1;  resulting  in  2 High 00 00 00 00 00 00
critical/significant threats, which is considered Low.
 Cost Risk is 0.38% which is considered Low. Moderate 0 0 00 21 11 00 00
 Schedule risk is 2.50% which is considered Low.
Low 00 01 00 00 00 00
 Average Risk Score is 14.70% which is considered Low.
 
 Total (0) opportunity has been identified. Very Low 0 0 01 00 00 00 00

Opp: Is abbreviation of Opportunities. 
Black font represents current. Gary font represents 
expected risks, assuming the developed risk 

2. Trend Analysis response plans are effective. 

Figure 2 outlines the forecasted trend analysis, including the effect of the opportunity identified, assuming that 
the risk response plans which  have been articulated are implemented effectively. Referring to the trend chart 
below, the future risk situation is expected to not change and stays Low from Low.                                                        
 Critical  and  significant  risks  is  expected  to Figure 2: Trend Analysis
reduce from 2 to 2 (Low) 
 Cost  risk  is  expected  to  reduce  from  0.38%
(Low) to 0. 37% (Low) 
Previous 0.08%
Cost

 Schedule  risk  is  expected  to  reduce  from  2.5% Now 0.38%
(Low) to 1.49% (Low) Expected 0.37%
 Average  Risk  Score  is  expected  to  reduce  from
Previous 0.45%
Factor Schedule

15% (Low) to 13% (Low)
 The  risk  response  actions  are  shown  in  Table  4 Now 2.50%
which  indicates  16  actions  are  proposed  to Expected 1.49%
manage the project’s risks.
Previous 2.20%
Threat

Now 14.70%
Expected 13.45%

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3. Commentary
a. Risks
A  PRM  event  was  held  at  30%  Detail  Design  on  02/25/2020  at  SLFE  Office 
location. This BI scope is divided into two packages:  
 
 Package‐1: In‐Plant Facilities  
 Package‐2: Jazan‐Abha Pipeline 2 (JAPL‐2)  
 
This  PRM  workshop  covered  scope  of  Package‐2.  The  risks  (threats  & 
opportunities)  identified  represent  only  those  uncertain  events  or  conditions 
which  the  project  team  believes  are  not  adequately  managed  by  the  existing 
plans  and  procedures  of  the  project  and  can  therefore  affect  the  project 
achieving its objectives. As a result, new actions (risk responses) were developed 
to address them. 
 
A  total  of  2  critical/significant  threats,  2  important/low  threats,  2  issues  and  0 
concern have been identified. Overall the following items were discussed during 
the PRM event (Table 3): 
 
o 2# Critical & Significant Threats   
Overall risk level is considered LOW, the following two (02) risk items are 
to be addressed:  
 Risk (13647): ‐ Limited accessibility to job site – Critical (Red) 
Due  to  mountainous  area  and  poor  Infrastructure  there  is  very 
high possibility (risk) of limited accessibility to job site at BS‐2 and 
downstream of both BS‐1 & BS‐2. The risk is attributed as critical 
due  to  possible  difficulty  in  the  mobilization  of  construction 
equipment and likelihood of accident during mobilization phase.  
Proposed  actions;  develop  a  comprehensive  logistic  & 
transportation  plan  and  utilize  pre‐casted  structure  for 
accommodation  building  instead  of  cast  in  place  may  not  reduce 
the risk severity, and risk will stay as critical.  
 
 Risk (13659): ‐ Existing Pipeline Damage – Significant (Orange) 
There are existing pipelines in existing corridor, which are in close 
proximity  of  the  proposed  pipeline.  There  is  moderate  likelihood 
of  potential  damage  to  existing  pipelines  during  excavation.  This 
risk  is  attributed  as  significant  due  to  possible  pipeline  rupture, 
production  loss,  stop  of  construction  activity  and  environmental 
damage.  Two  actions  were  proposed;  Identification  of  existing 
pipelines  and  development  of  method  statement  besides  vigilant 
construction  supervision.  With  the  possible  implementation  of 

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 both  actions  the  risk  severity  may  not  reduce  from  significant  to 
important.  
 
o 2 # Moderate/Low Threats  
Two Moderate/Low threat were identified  
 Risk (13660): ‐ Pipeline contamination – Moderate (Yellow) 
 Risk (13657): ‐ Pipeline washout – Moderate (Yellow) 
o 2 # Issues  
There are two inherent issues, which will affect the project in achieving its 
objectives  if  not  addressed  properly.  Both  issues  are  certain  (100% 
probability) and classified as critical based on their possible impact. Issues 
were identified as: 
 Issue (13661): ‐ Unavailability of Dwgs & Docs – Critical (Red) 
 Issue (13662): ‐ SWCC pipeline interference – Critical (Red)  
Actions  proposed  to  deal  with  these  issues  need  to  be  executed 
swiftly.  Due  to  Issue  13661  the  project  DD  phase  will  not  be 
completed  as  anticipated.  Because  of  Issue  13662  project  will  face 
delay or stop due to modification and approval of new LUP based on 
revised route.  
o 0 # Concerns  
 No Concern was identified  
o 0# Opportunity  
No opportunity was identified in this review 

i. Proximity and Manageability

Table 1 provides a listing of the risks based on when it first impacts the
project, with the likelihood and impact pre and post-response
illustrated.
Table 1

First 
Phase  Risk Title  Pre‐Response  Post‐Response 
Impacted 

13647 Limited accessibility to job 
CONST.  75% x ($1.5MM + 30 days)  75% x ($1.5MM + 15 days) 
site 

CONST.  13659 Existing Pipeline Damage  18% x ($1.5MM + 30 days)  18% x ($1.5MM + 30 days) 

Critical risks in red text & Significant risks in Orange text  

ii. Additional Items

During the PRM event no concern was highlighted by the team, which needs to 
be watched during the execution of DD & Construction.

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 b. Workshop Preparation, Attendance and Participation
Invitation was sent one week before the workshop. ARM access was secured before the 
workshop.  As  a  result  of  good  planning  and  proper  logistics  PRM  workshop  was 
conducted in an organized manner. Team was composed of representatives from SAPMT, 
representative from Proponent, FPD, LSTK Contractor and Design Contractor (SLFE). See 
attached list of attendees.   

4. Recommendations
a. Prioritization of Risk Responses

 Issues arising from unaddressed risks are current problems and obviously
need to be dealt with first.

 Risks are potential issues and should next be addressed. Risks are
prioritized based on severity and proximity as mentioned below.
o First Order Risk Prioritization (Severity) - Risks are ordered based on
severity. Potential showstoppers are considered as risks with the
highest severity level.
o Second Order Risk Prioritization (Proximity) – Risks with closer
proximity are considered higher priority.
 Concerns watch list should be given the least priority

b. Risk Response Grouping

To have an efficient overall project risk response, it is recommended that risk
responses for the different risks be coordinated in groups where possible,
based on the cause or effect grouping identified. So, as an example, a specific
team member could be assigned as the risk owner to manage all the risks in a
particular cause or effect grouping.

5. Management Activities
a. Monitoring & Control

i. Risk Manager
The Risk Manager (Hassan Al Ajmi) is responsible for arranging regular risk
reviews with the project management, and for preparing all risk reports.
He will also be responsible for the necessary monthly updates of the Risk
Register in ARM.
ii. Risk Reviews
Risk Management Plan and Status Reports should be living documents
and regularly reviewed, to reflect the current and expected project risk

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 profile as circumstances change. Monthly management reviews of the
risk register are therefore required to adequately manage the risks.

Next review dates at critical points for each risk are also mentioned in
Table 4. These review dates allow special focus to be placed on the
progress and effectiveness of the actions associated with specific risks,
to facilitate amendments to the risk response plans if necessary.

b. Training
PRM training is recommended as follows:

 PMT107 – Risk Fundamentals (1 day) for Risk Owners and Action Owners.

 PMT217 – Project Risk Manager Essentials (3 days) for Risk Managers

All training can be arranged with PEDD. ARM access can be obtained by
contacting ARM Support ([email protected]).

c. Next PRM Event

This PRM event was conducted at 30% of Detail Design Phase. The next review
shall be held as per LSTK contract requirement.
The following information will aid in the interpretation of this report:

 Number of critical risks. A low project risk is where the number of critical/significant risks is
below four. High project risk is where the number of critical/significant risks is eight or more.

 Cumulative Schedule risk. This is calculated by adding the individual schedule risks end-to-end.
In a real project much of the schedule risk appears in parallel, so this value is a qualitative
indicator only. The cumulative schedule risk is considered low if it is below 16% of the project
schedule and high if it is 24% or more.

 Cost risk. This is the accumulated cost risk for the project. Cost risk is considered low if it is
below 4% and high if it is above 6% or more of project value.

 Average Risk Score. This is a qualitative assessment of the level of risk in the project. It is the
average risk severity/score. A value below 16 is considered low risk and a value of 24 or more is
considered high risk. The maximum value of 100 occurs when all risks have a very high impact
on the project and a very high probability of occurring.

 Red Flags. A Red Flag is a risk outside the scope of management of the project and for which no
effective response plans have been identified.

 Orange Flags. Orange Flags are risks within the scope of management of the project but where
insufficient risk response plans have been identified for the management of the risk.

 Overall risk rating. This is a calculation based on the above four risk indicators.

 Expected. The expected risk position is the risk position that should result if all risk response
plans are adopted and they are effective, based on the current expectations of the project.
Many risk response plans take time to become effective so the expected risk situation may not
reached within the next reporting period.

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 Figure 3 

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 Table 3: Risk, Issue and Concern Descriptions

ID Title Cause(s) Event Impact(s)

Limited Mountainous area, Poor Limited accessibility to Difficulty in the mobilization

Infrastructure of construction equipment,
accessibility job site at BS-2 and
13647 Possible accident
to job site downstream of both BS-
1 & BS-2

Pipeline Lack of drainage system, Pipeline washout due to Re work, damage of line
pipe and trenches
13657 washout heavy rain at BS-1 and
upstream

Existing Existing pipelines are in Potential damage to Pipeline rupture, production

close proximity in existing loss, stop of construction
13659 Pipeline corridor
existing pipelines during
activity, environmental
Damage excavation damage

Pipeline Bad Preservation of Potential pipeline Material Damage, Clogging

Materials and Pipeline, of PL, Commissioning delay
contamination contamination
13660 Residual Water after
hydrotest, Corrosion due to
moisture

Unavailability DOB are not in PP package, Unavailability of As-Built Delay in completion of Detail
Old drawings not As-Built, Design
of Dwgs & Drawings and
13661 Dwgs not available in Iplant
Docs (Issue) Documents (Process
BOD)

SWCC Lack of Coordination among SWCC line is Project delay due to

stakeholders, Unknow modification and approval of
pipeline constructed exactly at
causes new LUP
interference the same location,
13662
(Issue) where16 JAPL-2 pipeline
is proposed in existing
MOT corridor

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 Table 4: Responses and Owners

Next Current Expected

Rank Title Owner Status Description
Review Date Severity Severity

13662 - SWCC
AlAjmi,
pipeline interference Active 100 100
Hassan
(Issue)

Action ID - Title Owner Status Due

SAPMT to select one out

three given options and ask
18021 - Select Optimal AlAjmi,
Active contractor to proceed 31 Mar 2020
Option Hassan
accordingly (By 60% DD
design)

Contractor to explore and

18020 - Develop Multiple AlAjmi, develop multiple options and
Active 05 Mar 2020
Option Hassan submit to SAPMT to approve
one

13647 - Limited
AlAjmi,
accessibility to job Active 70 70
Hassan
site

Action ID - Title Owner Status Due

18009 - Develop a Develop a comprehensive

AlAjmi,
comprehensive logistic Active logistic and transportation 15 Apr 2020
Hassan
and transportation plan plan

Utilize pre-casted structure

18002 - Utilize pre- AlAjmi,
Active for accommodation building 31 Mar 2020
casted structure Hassan
instead of cast in place

13661 -
AlAjmi,
Unavailability of Active 70 53
Hassan
Dwgs & Docs (Issue)

Action ID - Title Owner Status Due

Proceed for the multi-

18019 - Proceed for As- AlAjmi,
Active discipline as-built limited to 31 May 2020
Built Hassan
project scope

Approach proponent and ask

18018 - Operations team AlAjmi, the latest a-built drawings (if
Active 05 Mar 2020
Library Hassan available) in the Operations
Library

13659 - Existing AlAjmi,

Active 28 28
Pipeline Damage Hassan

Action ID - Title Owner Status Due

Develop specific method

18015 - Method
AlAjmi, statement and enforce
statement and Active 30 Dec 2021
Hassan vigilant construction
construction supervision
supervision

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 Identify all the existing
18014 - Identification of AlAjmi, pipelines in close proximity
Active 30 Dec 2021
existing pipelines Hassan of proposed pipeline route
using magnetic pipe detector

13660 - Pipeline AlAjmi,

Active 13 13
contamination Hassan

Action ID - Title Owner Status Due

Generate inspection
18017 - Inspection AlAjmi, schedule for the tested and
Active 31 Jul 2022
Schedule Hassan accepted pipelines segments
until commissioning

Follow proper material

18016 - Proper AlAjmi,
Active preservation and layup 31 Jul 2022
Procedures Hassan
procedures after hydrotest

13657 - Pipeline AlAjmi,

Active 13 5
washout Hassan

Action ID - Title Owner Status Due

Gather weather forecast

information and develop
18011 - Weather AlAjmi, emergency response plan
Active 31 Aug 2020
forecast and monitoring Hassan accordingly against heavy
rain/flooding during
construction

Provide temporary drainage

18010 - Temporary AlAjmi, system to avoid flooding /
Active 31 Jul 2022
Drainage system Hassan soil erosion during
construction phase

Notes for Table 4 This table compares the risks from the current desktop review or workshop to the 
expected risk position if all the existing risk actions are effective.   

       Critical    Significant    Moderate    Low    Zero    Opportunity 

 

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 Figure 4: Heat-Map with Standard Severity Scores

Each risk is given a severity score depending on where it falls on the Heat Map.

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 Table 5: Closed Risks
Risks, which were captured, manged / closed during the PP (FEL 3) Phase for complete
project scope before the split of scope into both package-1 & 2 for LSTK.

Next Current Expected

Rank Title Owner Status Description
Review Date Severity Severity

6492 - LSTK AlAjmi,

Closed 0 0
availability Hassan

Action ID - Title Owner Status Due

1. Early screening of
potential LSTK
2. Selection of pioneer in
mountain scope
3. Work quality assurance.
7002 - Mr. Falah LSTK
Otaibi, Misfer Closed 4. Joint visit along the 15 Jun 2017
selection actions
pipeline rout during the
bidding stage.
5. Have IPT backup.
6. Design review workshops
LSTK and SA stakeholders

6493 - Trespassing AL Faeem,

Closed 0 0
of the LUP Mohammad

Action ID - Title Owner Status Due

7003 - Secure the land Secure the land via

Lajmi, Saleh Closed 14 May 2017
via acquisition acquisition

AL Faeem,
6494 - LUP approval Closed 0 0
Mohammad

Action ID - Title Owner Status Due

LUP task force to escalate

7004 - Escaltion the matter to the required
Lajmi, Saleh Closed 01 May 2017
processing higher authorities to secure
the approval

6495 - Interfacce ALMAQBAL,

Closed 0 0
with JIZAN BI MOHAMMED

Action ID - Title Owner Status Due

JIZAN refinery project to

Hamad, implement the required
7005 - JIZAN Tie-In Closed 30 Nov 2015
Maher changes to the interface of
Tie-ins

6496 - ABHA BULK ALMAQBAL,

Closed 0 0
PLANT TIE-IN MOHAMMED

Action ID - Title Owner Status Due

6497 - Shutdown AlAjmi,

Closed 0 0
Schedule Hassan

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 Action ID - Title Owner Status Due

1. Continuous follow up
2. Utilize T&I schedule
3. prioritize the shutdown
Alnemer, requirement to be done
7006 - Mutliple actions Closed 12 Feb 2017
Ahmed early.
4. Commitment from
operation management
(Proponent)

6498 - Pipelien AL Faeem,

Closed 0 0
clearance standards Mohammad

Action ID - Title Owner Status Due

Detailed constructability/
QRA workshop need to be
7007 - Constructability
Akhtar, Imran Completed arranged between all parties 31 Dec 2015
session
including LPD, CSD and
Proponent

Involve the higher

10143 - Higher Hamad,
Closed management to ensure the 01 May 2017
Management Action Maher
approval of these waiver

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 PARTICIPANTS
Attach the attendance sheet with signatures

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