Potential Conversion of Existing Tankers to FPSO

FPSO/FSO Advisors

Evaluation Steps when considering conversion of an older tanker to a FPSO

Obtain from the vessel's owner the Midship Section drawing and the Longitudinal Scantling
drawing of the subject vessel.
Obtain from the vessel's owner a record of the most recent tank and hull gauging that have
been taken. (If the owner does not have the gauging, obtain Owner authorization to obtain
the gauging records from the Class Society.)

With the information in hand, we can accomplish a relatively quick assessment of the vessel and
then provide to the Client our recommendation concerning whether or not it is worthwhile to
continue and if so, the extent of the onboard survey to be done.

The onboard survey will include not only hull and tank gauging, but will include an overall
assessment of the material condition of the vessel and the extent of the onboard drawings
and records.
Regardless of the extent of the onboard survey, it will be valuable to obtain authorization
from the owner to do a record survey of the vessel prior to the conduct of the actual
onboard survey. This record survey will require about one man-day of engineering effort
and it will provide to the lead surveyor (normally an engineer/naval architect) an indication
of what material condition items, beyond that of steel gauging, should be checked (For
example, the record survey may indicate that a particular piece of machinery has had a
spotty history.)

If the hull and tank gauging obtained from the owner, or class, are recent and within acceptable
limits, the extent of the onboard gauging that will have to be taken will be limited to that number
of readings necessary to confirm the gauging on record are accurate and minimal wastage, if any
has occurred since the record gauging was taken.

Regardless of whether sample gauging or complete gauging is required, two certified gaugers and
one experienced engineer should attend the vessel. In the case where only confirmation of the
gauging is required, our estimate is that the survey will require three or four days onboard the
vessel. If complete gauging is required, the number of gaugers attending the vessel will be a
function of the period of time the potential buyer and the owner allot to the survey. (If the vessel
particulars and allocated time for the survey are provided, we can provide a price for doing the
gauging.)

With the hull survey and associated gauging complete, a solid budgetary estimate for steel
renewals and steel preservation can be prepared.
From the results of the record survey and the onboard survey, a report can be prepared
that will provide an overview of the extent of equipment/machinery maintenance that will
have to be accomplished to meet class requirements and to achieve reliable service for a
reasonable period of time. This report will provide a budgetary price estimate for the
shipboard work that is defined within the report.

If, based on this budgetary estimate of steel renewals and equipement/machinery maintenance, it
appears the project is viable, the next steps would be to gain some indication for the overall price
of the conversion. The would entail...

Estimates concerning the price and the particulars of each piece of major equipment that
will be installed on the vessel. The equipment particulars are required to ascertain the
extent of steel modifications and to confirm ship specifics including intact stability, damage
stability, etc.
Preparation of a detailed scope of work.

If the overall estimated budgetary price of the conversions is favorable, a contract design should
be accomplished so that a contract specification and contract drawings can be prepared in
sufficient detail to obtain from the shipyards firm prices and period of performance for the
conversion.

CAUTION

The fact is proven by statistics from recent studies of conversions...the "average" conversion
"averages 5 MONTHS over schedule and about 20% above budget/price." REMEMBER...this is the
average outcome! NO ROOM for Blue Sky estimates!!!!!!!!!!

So...be very realistic in scheduling AND budgeting! - Paul Allen, FPSO Marine Advisor

Marine Projects - Potential Conversion of Existing Tanker to FPSO

Specific services are listed. Please contact us for further information.