· Long term contract signed between GE and PT Donggi Senoro LNG is worth EUR 102 million
· Under the terms of the agreement GE will provide full package services for Donggi Senoro LNG plant
· The deal sees for the first time ever GE Oil & Gas maintain and monitor non-GE equipment supplied by other Original Equipment Manufacturers (OEMs).
Jakarta, November 30th, 2015 - GE Oil & Gas announced the signature of a Contractual Service Agreement with the Asian energy company PT Donggi Senoro LNG (“DSLNG”). The deal will see GE Oil & Gas provide full package services and also monitor non-GE equipment supplied by other Original Equipment Manufacturers (OEMs), offering a stretched reliability target embedded in the contract. For the first time, GE Oil & Gas guarantees performance even on non-GE equipment including electric motors and centrifugal compressors.
The landmark long term deal, worth more than a EUR 102 million, is a milestone for the company, because under the terms of the agreement, GE will act as a single contractual supplier. For the first time, this performance driven contract will also include a bonus scheme linked to real customer production, to reinforce the partnership concept that CSA contracts offer to the customer.
GE will provide full package services, including planned (spare parts, repairs, supervision and manpower) and unplanned maintenance. Full Reliability Max Predictivity Solution package for the facility will be also provided to the plant, which includes elements such as a dedicated diagnostic engineer, monitoring and diagnostics, as well as more advanced outcome-based offerings designed to optimize plant-wide asset performance management and maintenance operations. GE will leverage its team of software engineers to build a bespoke platform to interpret data collected from machines manufactured by other OEMs.
An extended GE high level skilled resident team will also be permanently based at the site of the plant in Banggai Regency, in the Province of Central Sulawesi in Indonesia, to guarantee constant coverage and outstanding performance results.
The commercial and technical offering to PT DonggiSenoro LNG has been conceived and developed through highly specialized site assessments prior to the plant construction phase. This has ensured that the plant layout best fits the tailored maintenance philosophy GE is offering to maximize customer production.
GE contract execution will be carried out alongside with strong local partnership building, with a localization plan to be further developed during the whole contract life.
The agreement is a watershed moment for the oil and gas sector, signalling greater future integration of service maintenance and industrial internet application. Operators are looking for more optimization in their maintenance agreements, asking companies to provide insight and information not only for their specific manufactured equipment, but also widening the scope to cover the balance of the plant.
“This flagship project is immensely exciting for us both because it sees GE Oil & Gas employing its service offering to serve and monitor the performance of machines manufactured by other companies,” said Visal Leng, General Manager for Asia Pacific, GE Oil & Gas. “DSLNG has taken an industry leading step by signing a maintenance agreement with just one supplier for its LNG plant. We believe this is a sign of things to come as Operators move towards greater integration across their portfolios.”
Iwan Chandra, President Director of GE Oil and Gas Indonesia, said, “This deal will allow GE and DSLNG to monitor plant equipment in a single interface and identify issues before they become problems in order to ensure better reliability and safety. By leveraging our engineering expertise and extensive knowledge of big data analytics we have been able to create an integrated system that optimises the flow and quality of information to plant operators. This is a huge step forward in terms of monitoring and diagnostics and has the potential to unlock significant productivity gains.”
Gusrizal, President Director of PT Donggi-Senoro LNG, said, “GE was the best choice for this maintenance contract because of its strong expertise in data analytics. GE’s cutting edge data solutions and ability to monitor machines from different manufacturers sets it apart. We look forward to embark in this long term partnership to maintain, to the very highest degree of performance, Donggi Senoro LNG plant, which has such huge strategic significance to Indonesia, especially in Central Sulawesi region.”
GE’s cutting-edge Full Reliability Max Predictivity Solution package, which is being brought to the plant, is designed to simplify and optimise the stream of information for diagnostics engineers. Moreover, it will also provide Donggi Senoro with access to a web-based service, allowing the company to monitor how its machines are performing in real time and represents a further evolution of its Reliability Max offering.
Capable of producing 2 million tons of LNG per annum, Donggi Senoro’s LNG plant was first constructed in 2011.
Most of the LNG exported from the facility, which is fitted with GE equipment originally manufactured by GE Oil & Gas in Florence goes to Japan and Korea.
Earlier this month, GE Oil & Gas Indonesia also signed a cooperation agreement with PT Pertamina Drilling Services to jointly develop a more comprehensive and efficient drilling equipment and solutions for onshore and offshore applications; and with PT Elnusa to jointly develop market opportunities for GE’s Artificial Lift business.
PT Donggi-Senoro LNG (“DSLNG”) is a collaboration among Asian renowned companies which are PT Pertamina (Persero), PT Medco Energi Internasional (Tbk), Mitsubishi Corporation, and Korea Gas Corporation. Donggi Senoro LNG plant is the first LNG project in Indonesia which was developed under the downstream business scheme.
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