Perseus 1B North Rankin Drilling Rig Reinstatement. Perseus 1B North Rankin Drilling Rig Reinstatement. Presentation

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1 Perseus 1B North Rankin Drilling Rig Reinstatement 8 th December 2005

2 RIG MOBILISATION Star Racker Efficiency Improvements Transfer & Rig Up Equipment Shared With GWA Maintenance To Return Facility Functionality HSE Improvements Sap Implementation Risk Mitigation Maintenance Rig Up All Rental & New Equipment Crew Competence And Inductions Continue Routine Maintnce Activities Site Integration Test Rig Down & Preserve NRA

3 Perseus 1b Rig Mob Scope Transferred Equipment 1. Top Drive 2. Shale Shakers 3. BOP 4. Iron Roughneck 5. All Transferred Equipment Operational/Hot Stacked Equipment 1. Major Services: Drawworks Drilling Generators Skidding System Mud Pumps 2. API RP8B Inspections Travelling Block Crown Block Deadline Anchor All load path equipment New Equipment: HSE/Performance 1. Cuttings Driers 2. Stab-master 3. Dedicated Man-Riding Winches 4. Upgrade Pipe Racker Functionality Maintenance Mud tank valve actuators ~1500 hrs work Star Racker - replacement of umbilicals and upper arm API RP8B inspections Tugger maintenance Overhaul of Drilling Air Compressors Risk Mitigation Maintenance Rebuild Draw works Rebuild Mud Pump Power and Fluid End Replaced bulk valves Overhaul Generators Cement System Major Service

4 North Rankin Life Extension Project Drilling Rig Scope Derrick Wind-wall Crane Clash Modifications Cuttings Caisson Renewal of Corroded System Shale Shaker Auto Divert System Upgrade of V-ICIS [Drillers Controls] Mud Tank Corrosion Repairs Choke Control Panel Replacement Drilling MCC Remedial Works Harmonic Filter Installation [Power Factor Correction] New Air Drier Miscellaneous Simple Technical Changes (STC)

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6

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8 Progress % Complete 100% 80% 60% 40% Forecast Hrs Actual Hrs Earned Forecast Actual Target Rebaseline Earned Rebaseline Actual Rebaseline Target Rebaseline P1B Rig Mobilisation Overall SCurve and Histogram. Planned: 78.5% Earned: 67.5% Actual: 75.7 % Hours Rig Mob S Curves 20% % 14-Feb Feb Mar Mar Apr Apr-05 9MAY May-05 6JUN Jun-05 4JUL Jul-05 1AUG Aug Aug Sep Sep Oct Oct-05 7NOV Nov-05 5DEC Dec-05 2JAN Jan Jan Feb Feb Mar Mar Apr Apr-06 Based on Hours (Does Not Include Procurement) 0 Feb-05 Mar-05 Apr-05 May-05 Jun-05 PERSEUS 1B RIG MOBILISATION DESIGN S-CURVE & BARCHART Jul-05 Aug-05 Sep-05 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Mar-06 Apr % ` Rotary Equipment Hoisting Equipment Planned: 92.3% Earned: 85.8% Actual: 92.4% 100% Well Control Equipment Cement System 80% Low Pressure Mud High Pressure Mud Design progress has maintained increased growth in actuals and Progress % Complete 100% 80% 60% 40% Actual Hours Forecast: TW/Other Support Forecast: Drill/HS Crew Rebaseline Actual Rebaseline Earned Rebaseline Target Target Actual Forecast Earned P1B Rig Mobilisation Offshore SCurve and Histogram NRA Shutdown Competency Based Training / Site Integration Test Planned: 73.3% Earned: 67.4% Actual: 75.1% No. of People 60% 40% 20% 0% SCurve Based on Hours (Does Not Include Procurement) earned hours, with additional Mud Treatment scope/budget requirements, percentages are only approx. 7% Pipe Handling behind the target plan. Skidding Schedule expected to align with targeted progress over the next Utilities fortnight, and actuals to exceed Materials Handling the planned budget. Structures Forecast target completion 24th November for all Worleyparsons, Site Integration Test Perth TW design works. Cutting Drier Stabmaster 150 kg Manriding Tuggers CLOSE-OUT 20% Assist Well Services Availability: AOA (includes hot stacking) 9 people to end May 13 people to end June 17 people to shutdown 35 people post-shutdown TW - As Required (10 Currently) 20 0% 14-Feb Feb Mar Mar Apr Apr-05 9MAY May-05 6JUN Jun-05 4JUL Jul-05 1AUG Aug Aug Sep Sep Oct Oct-05 7NOV Nov-05 5DEC Dec-05 2JAN Jan Jan Feb Feb Mar Mar Apr Apr-06 0 Based on Hours (Does Not Include Procurement)

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10 Star Racker Fingers

11 Star Racker

12 Drillers Screen

13 Cuttings Dryer Skid

14 Mud Tank Habitats

15 Valve Actuators Under Mud Tanks

16 Derrick

17 Perseus 1B Rig Mob Main Challenges New crews, access to crews Access to engineering support Reinstating rig contractor Project implementation management Productivity early on Procurement turnaround Brownfield growth Critical path in derrick Platform requirements: Hot work Concurrent activity Inductions Travel booking system

18 Successes HSE and Teamwork Offshore Early start strategy Focus on critical path Engaging workforce in critical path Worked estimate in detail at the outset Engaging stakeholders

19 Project Learnings Cost Engineers more versatile and project focussed than accountants Planners spend considerable time manipulating Primavera and need to be focussed on critical path Need to understand estimating jargon: Norms, Productivity, Non-prods, Growth, Contingency, Probabilistic Project quality processes need to be focussed on project objectives Project Execution Plan: Very good document Toll-gate reviews have to be managed carefully

20 Concept Learnings Platform drilling rig concepts Incentivising rig labour contracts

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