Joshua G.’s Post

🚧 Oil & Gas Construction Project Insights & Analytics (Q1 2024) 🚧 🌍 The total value of oil and gas construction projects is $3.8 trillion! 📈 Projections indicate moderate growth in the global oil and gas infrastructure market. 🔋 Key drivers include expanding LNG infrastructure and a shift towards natural gas. 🌿 However, stringent global environmental regulations are adding pressure to reduce emissions. https://lnkd.in/gWtzYkJV #OilAndGas #Infrastructure #Sustainability #LNG #NaturalGas

CAPEX projects – update on key contracting trends ⬇ With mega projects being kicked-off at rapid pace and with the green transition requiring massive investments in infrastructure and renewable energy, contractual frameworks must keep up with the latest contracting and project trends to meet the requirements in the market. In this update, we provide an introduction to some of the key trends that we see in our work with large-scale CAPEX projects, and which are reflected in the work currently undertaken by FIDIC to issue new model contract forms. Read more below 👇

Engineering, procurement and construction projects (often called EPC projects) can typically be found in large-scale infrastructure projects, for example in renewable energy projects. The success of EPC projects often hinges on robust contractual mechanisms designed to mitigate risks and ensure performance. Our latest blog provides an overview of the characteristics of EPC projects and highlights the following key contractual elements critical to the effective management of EPC projects: 🡆 Scope of work and performance metrics; 🡆 Performance guarantees; 🡆 Liquidated damages; 🡆 Security mechanisms; 🡆 Tripartite agreements; 🡆 Dispute resolution mechanisms; and 🡆 Force majeure clauses. https://bit.ly/3XZ5tMl #constructionlaw #constructioncontracts #constructionmanagement #riskmanagement

In an EPC contract, the contractor takes full responsibility for designing, procuring and constructing the renewable energy project. The contractor is responsible for delivering the project on time, within budget, and to the agreed-upon specifications and standards. The developer typically provides a defined scope of work and sets the budget for the project, but the contractor is responsible for all aspects of its delivery. In an EPCM contract, the contractor provides construction management services to the developer rather than taking full responsibility for the project. The developer retains control over the design and procurement of the project, while the contractor provides management and supervision of the construction process. The EPCM contractor provides expertise and oversight to ensure that the project is built to the agreed-upon specifications and standards, but the developer is responsible for the actual construction work and procurement of materials and equipment. In summary, an EPC contract provides a turn-key solution for the developer, while an EPCM contract provides support and expertise for the developer to manage the construction process themselves.

Engineering Energy Finance, transponing investments from planing to commissioning and Owners Engineer supervision #Commisioning #Energy #Engineering #Finance #Investment #Planning #Serbia https://lnkd.in/dXPUtH-G

Just over halfway through the year and utility battery installations are on track to overtake what was a breakout year in 2023. With close to 3 GWac / 8 GWh already starting construction in 2024. With 5 months of the year to go, it is possible that Australia could exceed 5 GW of capacity starting construction this year. Four hours is now the new two hours, with the latest announcement from Origin Energy to increase the Eraring BESS by 240 MW / 1030 MWh (>4 hrs of storage). The project cost ~437 AUD/kWh is the cheapest we've seen in the Australia market, however we perceive this as artificially low given much of the costs would have been incurred in phase 1 (civil, substation, EPC mobilisation etc). It does reflect the fall in prices for utility scale batteries over the past 12 months, with greenfield project capex expected to near or below 600 AUD/kWh (depending on size / hours of storage). Full report: https://lnkd.in/gdBf38nZ

*** Meet the Energy Expert *** Driving Sustainable Growth 🍀 ⚡ 📈 Q&A with Ran Fainstein, Tenders Director at El-Mor Renewable Energy. Q:  Ran, can you tell us about your path in the company? A: I am working in the company for a little over two years. I started my way in the company as a PMO after working for an executive contractor in the field of infrastructure. In my education I have a master's degree in business administration and hold a civil engineering diploma. After I took up the position and began to get to know the nature of the works at solar sites, I also began to price projects to submit to tenders, Little by little I started to take responsibility for all tenders and now I am acting as a tenders director. Q: What is your area of responsibility? A: I spearhead the entire tender process, transforming raw opportunities into winning bids. It's a collaborative effort, where I orchestrate seamless interaction between engineering, procurement, and finance. This ensures we submit the most compelling proposals that not only meet, but exceed, client expectations. After sending the price offer, I am in contact with the entrepreneur to make sure everything is in order, if clarifications are required and I act as a contact person for any action required until the project is confirmed, and a project manager is appointed on our behalf. Q: What is the most significant challenge you have experienced? A: The renewable energy market in Israel does not rest for a moment, I always have active tenders that I must take care of and in addition the projects are getting more and more sophisticated, and I am required to learn and specialize in other worlds of content. Today I study and specialize in everything related to connecting mega projects to the high voltage transmission network because we see that the market is going there. Q: What project are you particularly proud of? A: The most significant achievement was securing a massive three-site tender with a major industry player. The in-depth planning and competitive pricing paid off, and the win brought immense pride to the entire team. Thank you Ran and keep up the good work! #tender #renewableenergy #greenenergy

New energy construction jobs nearly doubled overall construction job growth last year, according to the U.S. Department of Energy (DOE)'s latest report. Construction was a key driver of this growth, second only to utilities, as noted in the update released on Aug. 28. Read more here 👉 https://hubs.ly/Q02P02ld0

NextDecade Corporation (NextDecade or the Company) (NASDAQ: NEXT) announced today that its subsidiary Rio Grande LNG Train 4, LLC (Rio Grande LNG Train 4) has executed a lump sum turnkey engineering, procurement and construction (EPC) contract with Bechtel Energy Inc. (Bechtel) for the construction of Train 4 and related infrastructure at the Rio Grande LNG Facility. Rio Grande LNG Train 4 agreed to pay Bechtel approximately $4.3 billion for the work under the EPC contract for Train 4. Price validity under the contract extends through December 31, 2024. NextDecade currently projects that owner’s costs, contingencies, financing fees and interest during construction will total approximately $1.7-1.9 billion, based on current estimates and expected interest rates. Total estimated project costs are expected to be $6.0-$6.2 billion for Train 4 and related infrastructure, in line with the per train cost of the three-train Phase 1 at the Rio Grande LNG Facility, which is currently under construction.

The Six Steps of Clean Energy Project Development: Land and Site Control, Interconnection, Permits and Environmental Considerations, Design and Engineering, Power Purchase Agreement (PPA), Project Finance. https://lnkd.in/gh9NWusD