SPECIFICATION December

S-723Q 2020

Quality Requirements for

Electric Process Heaters
Revision history

VERSION DATE PURPOSE

1.0 December 2020 Issued for Use

Acknowledgements
This IOGP Specification was prepared by a Joint Industry Programme 33
Standardization of Equipment Specifications for Procurement organized
by IOGP with support by the World Economic Forum (WEF).

Disclaimer
Whilst every effort has been made to ensure the accuracy of the information
contained in this publication, neither IOGP nor any of its Members past present or
future warrants its accuracy or will, regardless of its or their negligence, assume
liability for any foreseeable or unforeseeable use made thereof, which liability is
hereby excluded. Consequently, such use is at the recipient's own risk on the basis
that any use by the recipient constitutes agreement to the terms of this disclaimer.
The recipient is obliged to inform any subsequent recipient of such terms.
This publication is made available for information purposes and solely for the private
use of the user. IOGP will not directly or indirectly endorse, approve or accredit the
content of any course, event or otherwise where this publication will be reproduced.

Copyright notice
The contents of these pages are © International Association of Oil & Gas Producers.
Permission is given to reproduce this report in whole or in part provided (i)
that the copyright of IOGP and (ii) the sources are acknowledged. All other rights are
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with the laws of England and Wales. Disputes arising here from shall be exclusively
subject to the jurisdiction of the courts of England and Wales.
 Quality Requirements for Electric Process Heaters

Foreword

This specification was prepared under Joint Industry Programme 33 (JIP33) "Standardization of Equipment
Specifications for Procurement" organized by the International Oil & Gas Producers Association (IOGP) with
the support from the World Economic Forum (WEF). Companies from the IOGP membership participated in
developing this specification to leverage and improve industry level standardization globally in the oil and gas
sector. The work has developed a minimized set of supplementary requirements for procurement, with life
cycle cost in mind, resulting in a common and jointly agreed specification, building on recognized industry and
international standards.

Recent trends in oil and gas projects have demonstrated substantial budget and schedule overruns. The Oil
and Gas Community within the World Economic Forum (WEF) has implemented a Capital Project Complexity
(CPC) initiative which seeks to drive a structural reduction in upstream project costs with a focus on industry-
wide, non-competitive collaboration and standardization. The CPC vision is to standardize specifications for
global procurement for equipment and packages. JIP33 provides the oil and gas sector with the opportunity to
move from internally to externally focused standardization initiatives and provide step change benefits in the
sector's capital projects performance.

This specification has been developed in consultation with a broad user and supplier base to realize benefits
from standardization and achieve significant project and schedule cost reductions.

The JIP33 work groups performed their activities in accordance with IOGP's Competition Law Guidelines
(November 2014).

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 Quality Requirements for Electric Process Heaters

Table of Contents

1 Scope ....................................................................................................................................................... 4
2 Normative references .............................................................................................................................. 4
3 Terms and definitions ............................................................................................................................... 4
3.1 Conformity assessment ................................................................................................................. 4
3.2 Conformity assessment system (CAS) ......................................................................................... 4
3.3 Conformity assessment - Hold point (H) ....................................................................................... 5
3.4 Conformity assessment - Witness point (W) ................................................................................. 5
3.5 Conformity assessment - Surveillance (S) .................................................................................... 5
3.6 Conformity assessment - Review (R) ........................................................................................... 5
4 Symbols and abbreviations ...................................................................................................................... 5
5 Quality requirements ................................................................................................................................ 5
5.1 Quality management system.......................................................................................................... 5
5.2 Conformance assessment ............................................................................................................. 5
6 Certification and traceability ..................................................................................................................... 6
7 Control of nonconforming products and services ..................................................................................... 6
8 Evidence (records) ................................................................................................................................... 6
Annex A (normative) Purchaser conformity assessment requirements ............................................................. 7
Annex B (normative ) Material traceability and certification requirements ......................................................... 9

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 Quality Requirements for Electric Process Heaters

Introduction

The purpose of this quality requirements specification (QRS) is to define quality management requirements for
the procurement of electric process heaters in accordance with IOGP S-723 for application in the petroleum
and natural gas industries.

The QRS includes definition of a conformity assessment system (CAS) which specifies standardized purchaser
interventions against quality management activities at four different levels. The applicable CAS level is
specified by the purchaser in the equipment data sheet or purchase order.

This QRS shall be used in conjunction with the supplementary requirements specification IOGP S-723, the
information requirements specification IOGP S-723L and the equipment data sheet IOGP S-723 which
together comprise the full set of specification documents. The introduction section in the specification provides
further information on the purpose of each of these documents and the order of precedence for their use.

JIP33 Specification for Procurement Documents

Quality Requirements Specification

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 Quality Requirements for Electric Process Heaters

1 Scope
To specify quality management requirements for the supply of electric process heaters to IOGP S-723
Specification for Electric Process Heaters including:

a) supplier quality management system requirements;

b) purchaser conformity assessment (surveillance and inspection) activities;

c) traceability requirements;

d) evidence of conformance;

e) factory acceptance.

2 Normative references
For the purpose of this document, the documents referenced in S-723 and those listed below, in whole or in
part, are normatively referenced in this document and are indispensable for its application. For dated
references, only the edition cited applies. For undated references, the latest edition of the referenced document
(including any amendments) applies

API Specification Q1, Specification for Quality Management System Requirements for Manufacturing
Organizations for the Petroleum and Natural Gas Industry

IOGP S-723, Specification for Electric Process Heaters

ISO 9001, Quality management systems — Requirements

ISO 29001, Petroleum, petrochemical and natural gas industries — Sector-specific quality management
systems — Requirements for product and service supply organizations

3 Terms and definitions

For the purpose of this document, the terms and definitions given in IOGP S-723 and ISO 9000 (normative to
ISO 9001) and the following shall apply.

3.1 Conformity assessment

Demonstration that requirements relating to a product, process, system, person or body are fulfilled.

NOTE 1 Conformity assessment (or assessment) includes but is not limited to review, inspection, verification and
validation activities.

NOTE 2 Assessment activities may be undertaken at a supplier/sub-supplier's premises, virtually by video link, desktop
sharing, etc. or by review of information formally submitted for acceptance or for information.

3.2 Conformity assessment system (CAS)

Systems providing different levels of assessment of the supplier's control activities by the purchaser (second
party) or independent body (third party) based on evaluation of the supplier's capability to conform to the
product or service specification and obligatory requirements.

NOTE CAS A reflects the highest risk and associated extent of verification. CAS D is the lowest.

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 Quality Requirements for Electric Process Heaters

3.3 Conformity assessment - Hold point (H)

Point in the chain of activities beyond which an activity shall not proceed without the approval of the purchaser
or purchaser's representative.

3.4 Conformity assessment - Witness point (W)

Point in the chain of activities that the supplier shall notify the purchaser or purchaser's representative before
proceeding. The operation or process may proceed without witness if the purchaser does not attend after the
agreed notice period.

3.5 Conformity assessment - Surveillance (S)

Observation, monitoring or review by the purchaser or purchaser's representative of an activity, operation,

process, product or associated information.

3.6 Conformity assessment - Review (R)

Review of the supplier's information to verify conformance to requirements.

NOTE Information review requirements are managed on a surveillance basis and as such do not impose schedule
constraints, unless specified as hold points in Annex A or as conditions specified in the associated IRS.

4 Symbols and abbreviations

For purposes of this document, the following symbols and abbreviations apply:
CAS conformity assessment system
IRS information requirements specification
QRS quality requirements specification (this document)

5 Quality requirements

5.1 Quality management system

The supplier shall demonstrate that the quality management arrangements established for the supply of
products and services conform to ISO 9001, ISO 29001, API Specification Q1 or an equivalent quality
management system standard.

5.2 Conformance assessment

5.2.1

Quality plans and inspection and test plans developed as outputs to operational planning and control shall
define the specific controls to be implemented by the supplier to ensure conformance with the specified
requirements.

5.2.2

Controls shall address both internally and externally sourced processes products and services.

5.2.3

Quality plans and inspection and test plans shall include provision for the purchaser conformity assessment
system (CAS) as specified in the data sheet. See Annex A.

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5.2.4

Supplier performance in meeting the requirements will be routinely assessed during execution of the scope
and where appropriate, corrective action requested and conformity assessment activities increased or
decreased consistent with criticality and risk.

NOTE 1 For industrial proven solutions CAS level D is specified unless risk assessment indicates that a more stringent
CAS level is required.

NOTE 2 Irrespective of conformity assessment requirements defined by the purchaser, either, by reference to standard
or specification requirements or in the scope, the supplier remains responsible for operational planning and control and
demonstration of the conformity of products and services with the requirements. See ISO 9001, 8.1 and 8.2.

6 Certification and traceability

The supplier shall maintain traceability of sub-assembly components to the original component supplier tag /
serial number and where applicable, associated certification. See ISO 9001, 8.5.2.

Material certification and traceability shall be maintained as specified in Annex B.

7 Control of nonconforming products and services

Nonconformance with specified requirements identified by or to the supplier shall be corrected such that the
specified requirements are satisfied or the purchaser's acceptance of the nonconformance agreed in
accordance with purchase order conditions. See ISO 9001, 8.2.3, 8.2.4, 8.5.6 and 8.7.

8 Evidence (records)
Plans, procedures, methods and resultant records shall be provided in accordance with the associated IRS.

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Annex A
(normative)
Purchaser conformity assessment requirements

This annex defines four conformity assessment systems (CAS) or levels of purchaser assessment.

CAS
PURCHASER ASSESSMENT ACTIVITIES
A B C D
1 Planning and control activities
1.1 Quality planning (ISO 9001, 8.1 and ISO 10005) H W S S
1.2 Inspection and test planning (ISO 9001, 8.1 and ISO 10005) H W S S
1.3 Pre-Inspection/Pre-production planning (meeting) H W W W
2 Design and development activities
2.1 Tubesheet and heater element sheath material identification, traceability and
certification W R R -
(IOGP S-723, 5.1.12)
2.2 Electrical and instrumentation components identification, traceability and certification
S S S S
(IOGP S-723, 4.2.2, 4.2.5)
3 Control of external supply
3.1 External supply scope, risk assessment and controls (ISO 9001, 8.4) H W S S
3.2 Nominated sub-suppliers and services review H W S S
4 Production and service provision
4.1 Visual and dimensional inspection of heater bundle assembly
W W S -
(IOGP S-723, 10.1.1, 10.1.2, 10.1.3, 5.3.1, 5.4.17, 5.6.1)
4.2 Painting or coating inspection
W W S -
(IOGP S-723, 5.4.13, 5.4.14, 5.4.15, 5.4.16)
5 Inspection and testing
5.1 Heater element
5.1.1 Electric testing of sheath heating element
R R R -
(IOGP S-723, 9.1)
5.2 Heater bundle
5.2.1 Non-destructive examination of welded type sheath-to-tubesheet joint
W R R -
(IOGP S-723, 5.1.2)
5.2.2 Pressure test of sheath to tubesheet joint
W W R -
(IOGP S-723, 5.1.12, 9.2.4)
5.2.3 Pressure test of complete shop assembled heater bundle and vessel
W W W W
(IOGP S-723, 5.1.12)
5.2.4 Routine tests
H W W R
(IOGP S-723, 9.2.1)
5.3 Power and control assembly
5.3.1 Power and control assembly routine testing
H W W R
(IOGP S-723, 9.3.1, 9.3.2, 9.3.3)

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5.3.2 Semiconductor switching device routine testing

H W W R
(IOGP S-723, 9.3.4)
6 Release of product or service
6.1 Inspection of preservation and packaging
H W S -
(IOGP S-723, 10.1.1, 10.1.2, 10.1.3, 10.2, 10.3)
6.2 Final release H H H H
H is hold point, W is witness point, S is surveillance and R is review.
NOTE Definitions for these terms are provided in Clause 3 of this document.

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Annex B
(normative )
Material traceability and certification requirements

Item Certificate Traceability Additional Requirements

Type level

Pressure part Heater element 3.1 Level II

tubesheet

Explanatory notes

Inspection certificates shall be provided in accordance with ISO 10474 or EN 10204.

Traceability
A. Level I - Full Traceability - Material is uniquely identified and its history tracked from manufacture through
stockists (where applicable) to the supplier and to actual position on the equipment with specific location defined
on a material placement record (the traceability to a specific location only applies to skids / packaged equipment,
not to bulks).
B. Level II - Type Traceability - The supplier maintains a system to identify material throughout manufacture,
with traceability to a material certificate.
C. Level III - Compliance Traceability - The supplier maintains a system of traceability that enables a
declaration of compliance to be issued by the supplier.

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