ABSTRACT

The design and construction of offshore oil and gas exploration and production (E&P) development project facilities has evolved rapidly from the shallow waters of 50 feet in the late 1940s to depths in excess of 1000 feet by 1980. The offshore search for hydrocarbons typically follows a pattern determined by economics, environment, and government regulation. This chapter describes the unique risk nature of the offshore oil business and discusses the production story from the standpoint of project management methods applied to planning, design and construction of offshore hydrocarbon production facilities. Offshore oilfield E&P projects are unique in that the environmental risks during construction have a much greater impact on project viability than they do on similarly sized onshore projects. The project definition phase addresses conceptual designs, plans, and cost estimates. During the project definition phase engineering companies often are engaged to assist in developing conceptual layouts, preliminary engineering and order of magnitude estimates and schedules.