Sarawak Shell Berhad DIN : OCG.OD.

F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION & MAINTENANCE PRACTICE Page 1 of 11

This is an SSB/SSPC Standard and as such is a Controlled Document. Previous revisions of Controlled Documents shall be returned
to the Document Custodian. It is the responsibility of the recipients of registered Controlled copies to ensure that users of this
document are aware of this issue.

2.06 : PIPELINES
(Maintain Process Containment)

This Practice supersedes the Inspection and Maintenance Philosophy 2.06 Revision 01 (1996).

The content set out in this document shall be applicable to all SSB/SSPC operating
(hydrocarbon) functional facilities, including both offshore installations as well as onshore
plants. Deviations to any of the content of this document shall be subject to an independent
review and endorsement by the Company Technical Authority of (1) Pipeline – prior to final
approval by the designated Company Approving Authority to proceed with the deviation. The
deviation shall be in strict accordance with “SSB/SSPC Asset Integrity Management
Framework”. In addition to the requirements specified herein, all other requirements as
stipulated by PETRONAS (e.g. PGIM) shall be fully complied with.

Technical Validation
Company Technical Authority Signature : Adrian Sia Date : 26/09/02
PIPELINE
Company Technical Authority Signature : Maimunah Ismail Date : 26/09/02
MATERIALS & CORROSION
Company Technical Authority Signature : George Mayer Date : 27/09/02
MAINTENANCE

Authority for Issue

Senior Operations Manager Signature : Ken Robertson Date : 30/09/02
SARAWAK BUSINESS UNIT
Senior Operations Manager Signature : Raja Ahmad Murad Date : 30/09/02
SABAH BUSINESS UNIT

Document Custodian
Company Technical Authority
PIPELINE

ã Copyright
This Document is the property of Sarawak Shell Berhad/Sabah Shell Petroleum Company Limited. All rights reserved. Neither
the whole nor part of this document may be disclosed to others or reproduced, stored in a retrieval system or transmitted in any form
by any means (electronic, mechanical, reprographic recording or otherwise) without prior written consent of the Copyright owner.
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 2 of 11

REVISION REGISTER

Revision No. Date Details of Revision Edited by

01 01/1996 New Issue OPM/41
02 09/2002 New revision EPS-OMES-MSK

DISTRIBUTION LIST

Copy Registered Holders Date Distributed

No

01 EPK-OPS
02 EPS-OPS

03 EPK-MTN
04 EPS-OME

05 EPK-MTNS
06 EPS-OMES

07 EPK-IMP
08 EPK-MTNA
09 E11

10 F23
11 F06

12 D35
13 M01

14 M03
15 BIM
16 Kinabalu

17 South Furious
18 LIF

19 BIF
20 Barton

21 St. Joseph
22 EPH-CSP

23 EPK-OBS
24 EPS-PDE
25 EPK-PRJ

26 EPT-DCP
27 EPT-MCI
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 3 of 11

TABLE OF CONTENTS

1.0 INTRODUCTION AND FUNCTION ........................................................................... 4

2.0 INSPECTION PHILOSOPHY .................................................................................... 4

2.1 INSPECTION SCOPE............................................................................................................ 4

2.1.1 Installation Acceptance Survey ........................................................................................ 4
2.1.2 Front Line Inspection....................................................................................................... 5
2.1.3 Periodic Inspection........................................................................................................... 5
2.1.4 Intelligent Pigging ........................................................................................................... 5
2.1.5 Internal Corrosion Monitoring at both ends of pipeline. ................................................... 6
2.2 FREQUENCIES................................................................................................................ 6
2.2.1 Factors Affecting Inspection Frequencies ......................................................................... 6
2.2.2 Installation Acceptance Survey. ....................................................................................... 7
2.2.3 Front Line Inspection....................................................................................................... 7
2.2.4 Periodic Inspection........................................................................................................... 7
2.2.5 Internal Corrosion Monitoring at both ends of pipelines................................................... 8
3.0 MAINTENANCE PHILOSOPHY..................................................................................... 8

3.1 ROUTINE MAINTENANCE ................................................................................................. 8

3.1.1 Operational Pigging ......................................................................................................... 8
3.2 MINOR MAINTENANCE................................................................................................ 8
3.2.1 Onshore Pipeline.............................................................................................................. 8
3.3 MAJOR MAINTENANCE................................................................................................ 8
3.3.1 Offshore Pipeline ............................................................................................................. 8
3.3.2 Inshore Pipeline .............................................................................................................. 9
3.3.3 Onshore Pipeline.............................................................................................................. 9
4.0 PLANNING ............................................................................................................... 9

5.0 INSPECTION REPORTING ...................................................................................... 9

6.0 ANALYSIS..................................................................................................................... 9

7.0 DOCUMENTATION..................................................................................................... 10

8.0 DEVIATION CONTROL............................................................................................... 10

9.0 SPARING PHILOSOPHY FOR PIPELINE .................................................................. 11

 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 4 of 11

1.0 INTRODUCTION AND FUNCTION

This document covers the practices for the inspection and maintenance of pipeline for
inshore, offshore and onshore. It defines the initial and maximum inspection frequencies. The
inspections serve to monitor the deterioration of the pipeline that can lead to the degradation
of their integrity. The results of the inspections will be the basis for decisions regarding
maintenance actions. When required, maintenance action can then be planned, scheduled,
and executed to ensure the technical integrity, safety, environmental compliance, and
reliability of the pipelines. This ensures adequate safety and reliability for operations and
installations and compliance with the Pipeline Integrity Management System document. All
key data pertaining to the preventive and corrective maintenance undertaken on the pipelines
shall be populated in the Company’s Computerised Maintenance Management System
(CMMS).
Pipeline integrity shall be managed by applying the following fundamental principles:
a. Pipelines are designed and constructed to be suitable for their intended purpose
b. Continual confirmation, through the control of operating processes, that pipelines are
operated within specified critical operating parameters.
c. Continual confirmation, through the specified survey and rectification that pipeline
physical condition remains suitable for its intended purpose.
d. When operating conditions change during the life cycle of a pipeline, a "re-design" is
carried out to ensure continued integrity.
e. Clearly defined ownership policy and allocation of responsibilities to ensure that critical
activities are in fact properly carried out.
f. Provision of adequate training of operator and all relevant documents, in line with the
latest pipeline operations requirements and cost effective techniques.
g. Continual upgrading of pipeline design and operating standards
h. Compliance with statutory requirements should be regarded only as a minimum
i. Inspection/maintenance activities are to be conducted by technically competent personnel
and shall comply with company standard.
Deviation from IMP requirements shall be subject to strict deviation control in accordance
with “SSB/SSPC Asset Integrity Management Framework”.

2.0 INSPECTION PHILOSOPHY

2.1 INSPECTION SCOPE
1
SSB/SSPC pipelines are divided into inshore , offshore and onshore. The type of inspections
that is carried out for these pipelines is categorized as follows: -

2.1.1 Installation Acceptance Survey

Installation Acceptance Survey is a visual inspection carried out prior to the installation
contractor's departure from the site. This survey consists of review and acceptance of
construction reports and records, witnessing of pre-specified tests, status of completion with
punch-list and verification of as-built condition. This survey is also used to ;-
- confirm full performance of installation scope of work and compliance with the company
standards and specification
- obtain "Installation Acceptance Certificate"
- supply information for the status establishment of the pipeline
- obtain pipeline 'as built data'
- obtain baseline information

1
Inshore pipeline is the shore approach section of pipeline between onshore and offshore pipeline
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 5 of 11

- CP survey to ensure the CP system is functioning as per requirement

This survey shall consist all the test and inspections necessary to issue the "Installation
Acceptance Certificate".

2.1.2 Front Line Inspection

Operation Supervisors or his nominees shall, in addition to their normal duties, be considered
"Front Line" Inspectors. The "Front Line" Inspection basically involves regular visual
observation on the physical condition of the pipelines. This inspection is carried out in
conjunction with the routine operation activities. No specific check lists or inspection
techniques will be required in this case. Note : the visual inspection is only applicable to
onshore pipeline and offshore riser sections.

2.1.3 Periodic Inspection

The inspections carried out in this section are detailed in the followings:-

2.1.3.1 Offshore Pipeline

a) visual leak detection
This visual survey is carried out along the pipeline route by helicopter to look out and
logged for sign of leaks (e.g. gas bubbles) and vessel anchored or fishing trawlers
operating in close proximity of the pipeline route.
b) side scan sonar (SSS) surveillance survey
This activity is carried out on the pipeline from platfom to platform and platform to
shore. This survey may includes activities such as to look for free spans, verification of
pipeline crossings recording of position of pipeline, debris on and near the pipelines,
seabed marks caused by anchor wires, anchors, jack-up legs and fishing.
c) ROV inspection
For offshore pipelines, this type of survey shall be carried out on the pipeline 100m from
platform to 100m from other platform or to the last subsea flange connection whichever
is longer distant. This activity will look for the followings, which are free spans,
verification of pipeline crossings, recording of position of pipelines, concrete & corrosion
coating damages, corrosion attack, damage to & debris near pipelines steel surface and
CP potential and anode current output using Swain Ammeter measurement.

2.1.3.2 Inshore Pipeline

a) visual inspection
This visual inspection shall be carried out by divers on the inshore pipeline from the end
of the ROV survey until the beach at mean sea level (MSL).
b) ROV inspection
The inshore pipeline is surveyed with an ROV suitable for shallow water depth and is
further categorised into buried and non-buried pipeline. The activities which may, be
carried out during this inspection is similar to those mentioned in item 2.1.3.1- Offshore
Pipeline.

2.1.3.3 Onshore Pipeline

a) Visual inspection
A right of way visual inspection is to be carried out on pipeline routes for buried and non-
buried pipeline sections.

b) CP inspection survey by On and Off potential.

c) Checks on TR, current output and voltage settings, if any.

d) Anode buried location identification.

2.1.4 Intelligent Pigging

Intelligent pigging of major pipelines will be done to meet one or more of the following
objectives:
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 6 of 11

1. Confirm the effectiveness of the corrosion prevention and condition-monitoring program

2. Establish the extent of corrosion once a problem has been identified
3. Measure the rate of corrosion
Intelligent pigging will be performed after fixed time intervals or based on the pipeline Risk
Based Inspection (RBI) results. Frequency shall be based on the results of the ongoing
integrity-monitoring programme. Deviation from the initial frequency or RBI recommendation
or, based on condition, will be subject to management approval.

For lines other than major pipelines, based on risk, intelligent pigging will be run if there are
indications of internal or external corrosion ongoing which cannot be quantified by other more
economical means based on recommendation from Pipeline RBI study.

Baseline surveys in principle are not required, except for major strategic trunklines and
pipelines designed to be corroding at a controlled rate, which needs to be verified. The
manufacturing process of the line pipe shall be taken into account when deciding on the need
for a baseline survey.

2.1.5 Internal Corrosion Monitoring at both ends of pipeline.

Internal corrosion monitoring will be carried out by a combination of the following, which are
process monitoring by dew point control, water in condensate and crude oil control, probes &
coupons, key point monitoring by UT wall thickness, pig scale analysis, water and
hydrocarbon
analysis. inhibitor residual measurements and intelligent pigging.

2.2 FREQUENCIES

2.2.1 Factors Affecting Inspection Frequencies

The frequency of inspection is determined by the risk and consequences of failure,
determined by a number of factors:
a) Design factors e.g.
- robustness of the original design compared with present standards and requirements
- modifications (deletions or additions) which degrade the original design premise
- usage of corrosion resistant materials and/or techniques or processes i.e.
painting/coating, cathodic protection, etc. which reduce corrosion degradation

b) Operational factors e.g.

- nature of contained fluid

c) Condition factors e.g.

- deterioration throughout service life to date due to wear, corrosion damage etc.
- critical areas like underwater tees and pipeline crossings
- area with construction activity
- predictions on future deterioration rates such that the date when technical integrity is
impaired can be identified
- improved technology e.g. usage of paint/coating systems which enhance life cycles
between maintenance
- renovation caused by previous maintenance activities
- operability of techniques or processes designed to reduce corrosion degradation

d) Statutory requirement e.g.

- any statutory requirements or regulations

e) Consequences of failure
- safety of personnel
- damage to facilities
- pollution
- loss of production
- commercial and related consequences
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 7 of 11

These factors contribute to the risk ranking of the pipeline and may result in corresponding
variations in the frequency and scope of inspection and condition monitoring requirements.

2.2.2 Installation Acceptance Survey.

This inspection is performed before the pipeline is commissioned. Pipelay contractor shall be
responsible for the scope

2.2.3 Front Line Inspection

The operators carry out this inspection in conjunction with the routine operational activities.

2.2.4 Periodic Inspection

The intervals between periodic inspections shall be as listed under initial interval until there is
sufficient data to go on condition based inspection intervals with a maximum interval
between
inspections as indicated in the table.

Item Description Of Activity Initial Interval Maximum Interval

1.0 Offshore Pipeline
1.1 a) visual leak detection During routine flight During routine flight
1.2 b) side scan sonar (SSS)
surveillance survey
- major pipelines 2.5 yearly 2.5 yearly
- other pipelines 2.5 yearly 5 yearly

1.3 c) ROV survey of major gas 5 yearly 5 yearly

pipelines
(in lieu of SSS survey)

1.4 d) intelligent pigging

- major pipelines - 5 yearly or RBI - 10 yearly or RBI
recommendation recommendation

- Other pipelines - RBI - RBI

recommendation recommendation

1.5 e) CP survey
- major pipelines - 5 yearly - 10 yearly

2.0 Inshore Pipeline

2.1 visual inspection - major pipelines yearly 2.5 yearly

3.0 Onshore Pipeline

3.1 a) visual inspection (including 6 monthly 6 monthly
launchers / receivers / valve
stations)

3.2 b) close-up inspection launchers / yearly Yearly or based on

receivers / valve stations inspection on item
3.1(a).
3.3 c) CP inspection 3 monthly 6 monthly

Additional ROV or diver held Video camera inspection for offshore and inshore pipeline shall
be performed based on condition from side scan sonar inspection, in areas where there is
span length, anchors drag, CP problem etc.
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 8 of 11

2.2.5 Internal Corrosion Monitoring at both ends of pipelines.

Item Description of Activity Initial Interval Maximum Interval

1.0 process monitoring and control:
by dew point and water in Daily Weekly
condensate (gas lines)
probes and coupons 3 monthly Yearly
2.0 key point monitoring by 3 yearly 5 yearly
ultrasonic wall thickness
measurements
3.0 analysis and inhibitor residual
measurements of water,
condensate/crude oil
- major pipelines Monthly Monthly
- other pipelines Monthly 3-Monthly
4.0 Analysis of pig scale samples Each pig run Yearly

Note : Inspection of subsea system is covered under IMP 5.01 Subsea facilities.

3.0 MAINTENANCE PHILOSOPHY

Work is dependent on the inspection findings and should be condition based. The types of
maintenance being carried out are Routine, Minor and Major Maintenance

3.1 ROUTINE MAINTENANCE

3.1.1 Operational Pigging

Operational pigging is the major routine maintenance activity that is carried in SSB/SSPC.
Operational pig runs are performed in pipelines normally using bi-directional pigs to clean the
line, remove water drop outs, soft wax, sand deposits and debris, manage the liquid
inventory and distribute corrosion inhibitor over the full circumference of the line.
The followings operational pigging frequencies are applied as guidelines after which can be
changed as per requirements based on the analysis of results detailed in section 6.0.
Analysis

Type of Pipeline Initial interval Maximum interval

Major Gas Trunk lines monthly 3 monthly
Major Oil Trunk lines monthly 3 monthly
Waxy Oil Lines weekly monthly
Gaslift Lines monthly 3 monthly
Flowlines monthly 3 monthly

3.2 MINOR MAINTENANCE

3.2.1 Onshore Pipeline

The maintenance activities that may be carried out are clearing of debris away/close to
pipeline, ensuring securities so that no structures, building and vehicles within the boundaries
of the right of way and blasting/painting of pipeline surface at corroded areas.

3.3 MAJOR MAINTENANCE

3.3.1 Offshore Pipeline

Depending on the inspection findings, the followings are the maintenance that may be carried
out are removal of debris close/near to pipeline, reinforcement/replacement of damaged/
corroded pipeline sections, installation of grout bags/support under excessive free span and
anode and stabilisation of pipelines by piles/gravel dumping/concrete saddles.
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 9 of 11

3.3.2 Inshore Pipeline

Depending on the inspection findings, the followings are the maintenance that may be carried
out are as in item 3.2.1. Onshore pipeline

3.3.3 Onshore Pipeline

Depending on the inspection findings the major maintenance activities which may be carried
out are blasting of corroded pipeline sections, reinforcement/replacement of pipe support,
replacement and painting of corroded/damaged pipeline sections and change out of leaking
valves/joints.

4.0 PLANNING
The key preventive maintenance (PM) requirements for the pipeline inspection shall be pre-
programmed in the CMMS or “Computerised Maintenance Management System” (e.g. MAXIMO,
SAP) and should be generated on demand. The relevant onshore support team (e.g. EPS-OMES,
EPK-MTNA) shall be responsible for ensuring that these PMs are in the CMMS.
The Installation Manager (e.g. offshore Installation Manager and onshore Plant Managers) shall be
responsible and accountable to ensure that
• all planned PMs are extracted from the system and incorporated into the daily operation work
plan, the 90-days plan, 1+1 plan, as well as scheduled for execution within the planned
frequency time frame, and
• the PMs are executed in compliance with the requirements specified in this Practice.

5.0 INSPECTION REPORTING

Following the inspection, all key findings and remedial actions taken shall be recorded in the
Computerised Maintenance Management System (CMMS). The Installation Manager (e.g.
offshore Installation Manager and onshore Plant Managers) shall be responsible for this entry. In
addition, the Installation Manager shall be responsible and accountable to ensure that :
• the outcome/results of the PMs are reported in the CMMS prior to “closing” the PMs, and
the necessary Corrective Maintenance (CM) are raised in the CMMS for remedial action, in
the event that the functional testing and/or inspection found any anomalies.
As part of the Pipeline integrity management requirement, the following documents to be
prepared to satisfy the pipeline & SBM integrity management feedback loop ;
• Pipeline & SBM annual report
• Pipeline and SBM Asset Reference plan should be prepared in line with the IMP
inspection and maintenance requirement for all the pipelines until expiry of
individual PSC.

6.0 ANALYSIS

The result of each inspection survey, Internal Corrosion Monitoring and Operational Pigging,
maintenance and remedial work shall be reviewed by the relevant technical support
department. Trending analysis and risk assessment will be carried out to decide:

a) Continue surveys, internal corrosion monitoring and operational pigging at planned

frequency. To be applied when trends indicate that condition of the pipeline will not
deteriorate such that the technical integrity is jeopardised before the next planned
frequency.
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 10 of 11

b) Continue surveys, internal corrosion monitoring and operational pigging at increased

frequency. To be applied when trends indicate that the pipeline condition may deteriorate
such that the technical integrity cannot be guaranteed over the originally planned
frequency.

c) Continue surveys, internal corrosion monitoring and operational pigging at reduced

frequency. To be applied when trends indicate that the pipeline condition will not
deteriorate such that technical integrity is compromised within the extended duration, but
in no case should the intervals be extended beyond the period determined by the
maximum interval specified in the table.

d) Plan for condition based maintenance. When trends from previous surveys indicate that
the pipeline condition is deteriorating, maintenance activities should be planned before
the technical integrity is jeopardised. Mitigation to be put in placed to arrest increasing
trend Special attention should be paid to repetitive problems whereby design should be
revisited and modifications/improvements should be considered. The operating envelope
of each pipeline shall be revised as required through ongoing analysis of condition and
trending.

7.0 DOCUMENTATION

The Pipeline Asset Register shall contain the Pipeline description, Operating, Maintenance
and Inspection History, Record of Condition, Approved Operating Envelope and formal
approvals to deviate from the initial frequencies and/or inspection scope together with
supporting documents.

The valuable data collected from the inspection, condition monitoring, testing and
maintenance provides a comprehensive picture of the general condition of the pipelines.
Documentation in the forms of Inspection reports, Maintenance Close-out Reports, or
computerised database shall be kept to facilitate analysis and trending, and shall result in an
up-to-date Asset Register and reliability database. All Corrosion and Inspection related data
such as Intelligent Pigging results, CP potential surveys, specific key points surveys, pigged
samples, etc to be captured and trended using Pacer system.

Reliability data, and inspection and maintenance experience shall be made available for
proper evaluation of life cycle cost for future pipeline specifications and investment decisions
at appropriate phases of any new development project.

For all major pipelines a "statement of condition" shall be issued at two yearly intervals.

8.0 DEVIATION CONTROL

Deviations to any of the requirements set out in this Practice shall be subject to an independent
review and endorsement by the Company-appointed Technical Authority of (1) Pipeline – (2)
Maintenance (3) Materials & Corrosion prior to final approval by the designated Company
Approving Authority to proceed with the deviation. The Installation Manager (e.g. offshore
Installation Manager and onshore Plant Managers) shall be responsible for raising a request for an
“IMP Deviation Control” in this case. The deviation shall not be allowed to proceed until approval
is given for the IMP Deviation Control.
Where severe anomalies that affect Pipeline integrity are detected or found, OIM shall be
responsible and accountable to ensure that the operations through the affected pipeline shall
cease with immediate effect. Operation and production through the affected pipelines shall not be
allowed pending the satisfactory rectification of the anomaly. Where the OIM wishes to continue
operation in dispensation, he/she shall be responsible and accountable to raise a request for an
“Operational Integrity Deviation Control (OIDC).
 Sarawak Shell Berhad DIN : OCG.OD.F018
Sabah Shell Petroleum Company Limited
Rev.: 02
OPERATIONS
INSPECTION AND MAINTENANCE PRACTICE Page 11 of 11

All deviations shall be in strict accordance with “SSB/SSPC Asset Integrity Management
Framework” (AIMF). Where inconsistencies or conflicts arise between the requirements set out in
this Practice and the AIMF (e.g. due to revision, changes or updates of either document), the
requirements in the AIMF shall take precedence. This shall apply to the deviation control
processes, as well as all other scope within the purview of the AIMF.
As a minimum, all request for deviations must be supported by a HAZOP analysis – the outcome
of which must be endorsed by the Technical Authorities of Pipeline, as well as HSE.
Any changes to the pipeline that fall within Plant Change shall be subject to the “Plant Change
Processing Guidelines” (DIN : OCG.PO.ZZ03).

9.0 SPARING PHILOSOPHY FOR PIPELINE

Please refer to DIN : OCG.PM.ZP01 “Pipeline Emergency Repair Capability” document for
pipeline sparing philosophy and listing.