Engineering Services

INVESTMENT OPPORTUNITY:
Engineering and design of small
modifications in piping and
tankage
Executive summary
◼ There is potential to establish or expand local capabilities in operations engineering specialized in
small modifications in piping and tankage projects.
◼ For almost all operations engineering projects, design work is needed to expand the piping and
storage network, make modifications to, or replace parts of the network as well as model optimum
operating parameters.
◼ On average, demand for engineering and design of small modifications in piping and tankage is
expected to be QAR 42M/yr for 2019-23, with little capex investment required to open up an
office and hire specialized staff.
◼ With increasing age of facilities, creep expansion initiatives, and further increases in civil
construction projects, demand for replacements, alterations, and refurbishments in piping and
tankage is expected to increase in 2019-23.
◼ To support cost-efficient operations in Qatar, low-cost logistics, labor, and utilities could be
provided, as well as support with visas and housing for international staff.

ENGINEERING SERVICES INVESTMENT OPPORTUNITY: ENGINEERING AND DESIGN OF SMALL MODIFICATIONS IN PIPING AND TANKAGE 2
 Detailed opportunity description
Engineering and design of small modifications
in piping and tankage

◼ Engineering and design of piping and tankage is an essential

part of almost any operations engineering project, as most
facility modifications require rerouting of existing infrastructure.
◼ For almost all operations engineering projects, design work is
needed to either expand the piping and storage network, make
modifications to, or replace parts of the network.
◼ In addition to design engineering, additional services are
required to model optimum operating parameters.

Piping in Qatargas LNG train

Localization opportunity
Business scope

◼ Piping and tankage engineering services for all operations engineering projects (including
predesign)
◼ Piping assessment, such as fitness for service and other specialized services, e.g.
◼ Vibration assessment for piping (specialized subvendors)
◼ Remnant life analysis
◼ Flow assurance
◼ ECA (Engineering Critical Assessment)
◼ Corrosion protection
◼ Dynamic simulation of flare network systems
◼ Hot tapping/tie-ins
◼ Smart pigging and pipeline isolation services

Out of scope

◼ Construction/installation

Capital intensity

Low (QAR 0-10M) Medium (QAR 10-50M) High (QAR 50M+)

ENGINEERING SERVICES INVESTMENT OPPORTUNITY: ENGINEERING AND DESIGN OF SMALL MODIFICATIONS IN PIPING AND TANKAGE 3
Market size
Estimated spend (Qatar only) on engineering and design of small
modifications in piping and tankage, QAR M
Historic Forecast
45 49
39 42
36 36
29 28
22 24
19

2013 14 15 16 17 18 19 20 21 22 2023

Key highlights

◼ Demand for engineering and design of small modifications in piping and tankage is driven by a
relatively stable demand of engineering spend on maintenance and minor capital works projects.
◼ Of the total engineering spend on maintenance and minor capital works projects, approximately
85 percent is related to upstream, and more than half is expected be spent by Qatar Petroleum
and its subsidiaries (2018-19).
◼ The market size for small modification engineering of piping and tankage is forecasted to be
approximately QAR 42M/yr for the period 2019-23.
◼ The stability of demand in combination with the relatively standard engineering processes for
piping and tankage could make this an ideal opportunity for an international company to relocate
staff to Qatar or an existing local player to expand their in-country capabilities.

Relevant stakeholders
Top 3 buyers Other demand

TOP 3 BUYERS :

ENGINEERING SERVICES INVESTMENT OPPORTUNITY: ENGINEERING AND DESIGN OF SMALL MODIFICATIONS IN PIPING AND TANKAGE 4
Disclaimer
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or as a recommendation whatsoever. The user of the Information (“User”) is responsible for
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ENGINEERING SERVICES INVESTMENT OPPORTUNITY: ENGINEERING AND DESIGN OF SMALL MODIFICATIONS IN PIPING AND TANKAGE 5
Email: tawteen@qp.com.qa | Website: https://tawteen.com.qa