SAFETY CONSTRUCTION
Azfen JV was registered in January 1996 and formed by State Oil Company of the Republic of Azerbaijan (60% of the statutory fund) and TEKFEN Tesisat & Insaat AS of Turkey (40% of the statutory fund). Despite the short time lapse, today when upturn in the national economy is observed, AZFEN JV plays an important role in the development of market relations and execution of large-scale projects in Azerbaijan. Since the date of establishment, AZFEN JV started implementation of significant projects successfully competing with strong foreign companies. Over the period of its activity, AZFEN JV has participated in many tender procedures and won over 60 contracts.
Competence of employees and compliance with HSE requirements during execution of works have always been the basis of timely and successful completion of projects. HSE has always been a priority for AZFEN JV, which is working to international standards. On January 1999, for a third time, AZFEN JV was awarded for 3 million man/hours without LTIs.
In a number of projects being presently carried out AZFEN JV participates in Alliance with TEKFEN Tesisat & Insaat of Turkey. AZFEN-TEKFEN Alliance was awarded by AIOC for their achievement of 13 million man/hours without LTI within Sangachal Terminal Expansion Project in 2004. This award reflects continuous efforts of the company in HSE issues, Improvement of HSE principles is an ongoing objective for the company and this achievement helps to improve the HSE standards. This figure was brought to 17 mln man/ hours by the end of 2004. And this is another impressive achievement obtained during construction. This shows mat safety principles are complied with from management level to work group level with equal selflessness regardless of work being executed. The principle of "0 resistance" to hazardous works is implemented. No safety issue is compromised.
Within Early Crude Oil Project, in alliance with TEKFEN, AZFEN JV was awarded the following contracts:
- Mechanical, Electrical & Instrumentation works at Sangachal Terminal
- Fabrication and Erection of Crude Oil Storage Tanks at Sangachal Terminal
- Baku-Supsa Oil Export Pipeline -- Azerbaijan Section
- Construction of Pumping & Pressure Reduction Stations for Baku-Supsa Oil Export Pipeline - Georgian Section
- Instrumentation Works at Supsa Terminal
- Construction of Water Injection Module for Chirag-1 Platform
- Fabrication, Construction & Installation works for facilities within Early Crude Project (Technical Service Contract)
Currently, in alliance with TEKFEN, AZFEN JV is carrying out works for the Sangachal Terminal Expansion Project within FFD/ACG Phase 1 for storage and further export of oil. Having successfully completed Preliminary Civil Works of the awarded contract, AZFEN-TEKFEN started execution of Main Civil Works at Sangachal Terminal Expansion Project. Phase 1 of this project was completed at the third quarter of 2004, currently Phase 2 is being executed. 85% of the whole project, including Phase 1 & 2, was completed by the end of 2004. In general Scope of Work includes fabrication, construction and installation. Also, project scope of work includes construction of BTC Pump Station (PSA1).
At present, pre-commissioning and commissioning phases are being implemented at PSA1, Focus is on installation of Integrated Control & Safety System, telecommunications and commissioning. PSA1 related works have been executed by 98%. Meanwhile, 60% of works related to commissioning certification has already been completed.
In 2002, AZFEN JV, in consortium (ATA) with TEKFEN (Turkey) and AMEC (UK), was awarded C&WP Topsides Fabrication Project within FFD/ACG Phase 1. Works started on September 18, 2002. Completion of the project is scheduled for the 3-rd quarter of 2005.
Besides, in 2004 AZFEN JV together with TEKFEN/Turkey and AMEC/England (ATA Consortium) won the PCWU Platform Topsides Fabrication Project to be installed in Guneshli Field within the Phase 3 of ACG Full Field Development Project. The Project was sanctioned on the 20th of September 2004 and will be completed for the 3-rd quarter of 2007.
One of the successful projects of 2004 is Onshore Shah Deniz Gas Terminal Construction
Project. The Project is carried out by AZFEN JV together with TEKFEN Tesisat & Insaat Company of Turkey. This Project comprises Construction, Installation, Testing, Pre-comissioning and Commissioning works. The gas produced in the Caspian Sea Shah Deniz gas field will be transported to this Terminal through underwater pipelines and then the Azeri gas will be exported to international markets through export pipeline.
Internationally experienced foreign companies have been involved in the projects being carried out by AZFEN BM. Almost all of the AZFEN JM employees are of Azeri nationality. Thanks to the AZFEN JV workforce, number of local employees and specialists is always high in the projects performed by the company. At present, 75% of general project personnel is local employees. More than 3500 local employees participated in the projects carried out by AZFEN JV in 2004. Furthermore, a number of local subcontractors were involved in the projects which, in its turn, means new work places for the local workforce.
AZFEN JV was awarded a "Company Of The Year" Prize for Construction Works in the field of Fuel-Energy Complex instituted by "Consulting & Business" Magazine for the results of the projects carried out during the year.