തോന്ന്യാക്ഷരങ്ങളും നേരംപോക്കുകളും: kk

നന്മ അപ്പാടെ കടലെടുക്കാറില്ല. തിന്മ ഒരു കൊടുങ്കാറ്റായി ഒറ്റയടിക്ക് ആഞ്ഞടിക്കാറുല്ല.
ചില ലക്ഷണങ്ങൾ കാണും. ചെറിയ ചെറിയ തിന്മകൾ തലപൊക്കും. കണ്ണടക്കുമ്പോൾ തിന്മകളുടെ എണ്ണം കൂടും. അതിന്റെ സ്പോൺസർമാരും കൂടി കൂടി വരും. അവയോട് ഒട്ടിനിൽക്കാത്തവനൊക്കെ അവർക്ക് പിന്നെ ശത്രുക്കളാണ്. എല്ലാത്തിനും മുഖ്യ കാർമ്മികത്വം അവർ തന്നെ വഹിക്കാൻ വന്നേക്കും. പണം എറിയാനും എറിഞ്ഞതിന്റെ പത്തിരട്ടി നാടന്മാരിൽ നിന്ന് തിരിച്ചെടുക്കാനും അവർക്ക് അറിയാം.
പവിത്ര കേന്ദ്രങ്ങളിൽ വരെ അവർ കുഞ്ചിക സ്ഥാനങ്ങളിൽ ഇരുന്ന് സമൂഹത്തെ നോക്കി പല്ലിളിക്കും.
വലിയ വലിയ ദുരന്തങ്ങൾ വായിക്കുന്നതിലേറെ ചെറിയ ദുരന്തങ്ങൾ മഹ്മൂദിന്റെ ഈ കുറിപ്പിലൂടെ കണ്ണോടിക്കാനാണിഷ്ടം. മനസ്സിലാകുന്നുണ്ടല്ലോ, അല്ലേ ?

വീണുകിട്ടിയ ഡയറി വലിച്ചെറിയാനുള്ളതല്ലല്ലോ. സൂക്ഷിച്ചു വെക്കാനുള്ളതല്ലേ ?

XXXXXXXXXXXXXXX

Reference to your letters above, please find attached document to allow CONTRACTOR from entering and exiting Yanbu Refinery Terminal (Jetty) concurred and approved by Saudi Customs and Coast Guard. CONTRACTOR shall accept the responsibility of transporting all of its material and the attached document is restricted on the list mentioned within from October 2, 2016 up to three months. Therefore, CONTRACTOR shall exercise effort to conclude all on going activities before then around 30^th of Dec 2014

XXXXXXXXXXXXXXXXX\

CONTRACTOR change proposal submittal for the subject change order request is overdue beyond the final submittal date of 03 October 2014

COMPANY hereby urges CONTRACTOR to submit the proposal for the above change order request no later than 31 October 2014

XXXXXXXXXXXXXX

COMPANY reviewed CONTRACTOR's Letter and all previous related letters and COMPANY concluded to maintain its expressed position in Letter No. LUB-SSA-3209 that CONTRACTOR has no entailment for claim or change request. CONTRACTOR is reminded to complete the other unfinished thrust borings at location RC#3, RC#10, RC#12, RC#16. As of October 20, 2016, RC#3, RC#10, RC#12, RC#16 are not yet completed.

XXXXXXXXXXXXXXX

YNGL Management raised their concern regarding CONTRACTOR's labors safety compliance and transportation inside the plant. It was noticed that most of the workers were walking inside the plant and crossing the pipe racks without using the proper PPE which is a clear violation to safety and plant rules. Consequently, effective immediately all contractors are requested to comply with the safety requirements otherwise YNGL will not issue any work permit.

To ensure safe movement, CONTRACTOR was requested to provide transportation to/from work location which was already communicated to CONTRACTOR on April 05, 2016 via attached email and no action been taken from CONTRACTOR's side.

Therefore, CONTRACTOR is requested to provide proper transportation to/from the job site locations to ensure safe movement inside the plant.

COMPANY advised CONTRACTOR to adhere to the safety rules to avoid any work stoppage in future.

Thus, any delay or impact due to incompliance with above requirements will be solely CONTRACTOR’s responsibility.

XXXXXXXXXXXXXXXXXXXX

Reference to your letter no XXXX, XXXXX & XXXXX COMPANY would like to highlight the following:

1/ COMPANY exercised its contractual right to suspend the performance any part of WORK as per Para. 21.1 of Schedule A or any part. Meanwhile, CONTRACTOR shall continue working in un-suspended areas. No manpower or equipment were idle because there are other thrust boring remaining not yet completed as of Jun 02, 2016.

2/ CONTRACTOR agreed contractually to cooperate fully with COMPANY since COMPANY will have other projects being designed or constructed at/or near the FACILITIES as per Para. 3.7 of Schedule B. Meanwhile, the backfilling was requested to restore the area for Other COMPANY Contractor in which part of CONTRACTOR’s agreement to cooperate with COMPANY.

3/ Upon site verification conducted June 02, 2016, the thrust boring subcontractor was found not present at site conducting the thrust boring at any location. CONTRACTOR and his subcontractor have remaining works to do and available work fronts in hand (RC#1, 3, 7, 8, 10, 11, 12, 16). Therefore, CONTRACTOR and Subcontractor are requested to be at site conducting the required remaining thrust boring.

Based on the contract terms and availability of work fronts during the whole suspension of above subject work, CONTRACTOR has no entitlement to request for a Change Order.

If you have any further questions related to this letter, please contact

XXXXXXXXXXXXXX

COMPANY received your reference letter above and would like to make the following highlights:

1) This is after the fact incident. Due to the lack of supervision over assigned site under contract, CONTRACTOR opted not to inform COMPANY while others were mobilizing in the location.

2) The subject location is identified as a Constructability Interface Point and CONTRACTOR already knew that a new 56" Pipe shall pass under.

3) As per Contract, CONTRACTOR is obligated to take all care and custody of the WORK and it shall remain with CONTRACTOR until such WORK has been accepted in writing by COMPANY and shall there upon pass to COMPANY.

4) Find below the details and contact of Dodsal Construction Company for your direct coordination and claim:

Perumal Srinivasan, Manager
            Dodsal Const. Company
            56” EWG-2 Loop-2 and 56” KAEC Pipeline Project
            P.O.BOX: 79102, AL Khobar, Saudi Arabia

Dir: +966555802610

Email: Perumal.Srinivasan@dodsaldxb.ae

www.dodsal.com

If you have any further questions related to this letter, please contact Mr. Mohammed

XXXXXXXXXXX\

Reference to your letter no XXXXXX, XXXXX & XXXX COMPANY would like to highlight the following:

Based on the contract terms and availability of work fronts during the whole suspension of above subject work, CONTRACTOR has no entitlement to request for a Change Order.

If you have any further questions related to this letter, please contact Mr. Mohammed

XXXXXXXXXXXXXXXXX

COMPANY would like to inform CONTRACTOR that the submittal of technical and commercial proposals of Change Order Request (COR # 077 IK) is extended to September 27, 2016.

If you have any further questions related to this letter, please contact

XXXXXXXXXXXXXXXXXXX

With reference to Contractor's letter no.LXXXXXXXXX; COMPANY confirmed CONTRACTOR's statements related to the tie-ins work inside SAMREF plant are contradicting the actual situations due to the following reasons:

1. Tie-in packages released form SAMREF Engineering on last 15^th August, 2016 as CONTRACTOR failed to clear the outstanding comments received from SAMREF on last 29^th June, 2016 such as blind list, alignment with Operation through a joint site visit.

2. CONTRACTOR was able to update relevant Mark-up P&IDs for Tie-in Isolation and finalize the isolation points and appropriate blinds type with rating only on last 21^st July, 2016 (see attached email).

Moreover, COMPANY exerted its full efforts for the tie-ins work inside SAMREF starting from tie-in packages approval and alignment with Samref operation confirming that SAMREF operation is fully committed and responsible on isolating the existing line, drain and flush out of existing lines and completely remove the hazardous remaining material in the existing lines.

Hence, COMPANY emphasizes that it is CONTRACTOR's sole responsibility to complete the tie-ins work as per the agreed schedule.

Thus, subject matter is officially closed with no further action required from COMPANY.

If you have any further questions related to this letter, please contact Mr.

XXXXXXXXXXXXXXXXXXXXXXXX

With reference to CONTRACTOR's letters no. : XXXXXXXX & XXXXXX; COMPANY confirmed that the first Construction kick off meeting scheduled for 8^th Sep, 2015 to commence the temporary lay down yard facility was rejected by SAMREF Technical Manager. This was in part due to having not finalized the agreement between Luberef and Samref.

However, it is also noted that CONTRACTOR was not in a position to commence works inside SAMREF plant, a situation that continued until 28^th Sep, 2015.

CONTRACTOR’s inability to progress works was directly related to the following:

1. The Civil Construction package was not released from SAMREF until 27^th Sep, 2015, as a result of CONTRATOR still clearing open comments.

2. CONTRACTOR's resources had not attended the required safety trainings or completed the IDs and pass processes.

3. CONTRACTOR proceed and focus on Samref safety training requirements, permanent IDs and stickers.

COMPANY however have continued to support CONTRACTOR in mitigating your delays by obtaining Samref agreement for your mobilization and commencing construction activities for the temporary lay down yard by 29^th Sep, 2015. Subsequently the permanent civil work construction kick off meeting was held 6^th October, 2015.

However, despite COMPANY’s assistance culminating in access to permanent works 22^nd November, 2016 the continued lack of resources impacted the actual start of works i.e. lack of surveyor’s etc. resulting in survey commencing 10^th Dec, 2015 and the excavation work on 16^th December, 2015.

These delays are a direct result of CONTRACTOR allocating resources to temporary laydown rather than permanent works clearing indicating a lack of resources. COMPANY cannot and will not accept CONTRACTOR tardy mobilization as grounds for delaying works. As such CONTRCTOR is advised to make best efforts to recover schedule as per contract.

If you have any further questions related to this letter, please contact

XXXXXXXXXXXXXXXXXXXXXXXX

With reference to CONTRACTOR's letter no. MMMMMM, COMPANY would like to advise CONTRACTOR to approach SA Aramco ID office to clarify for any reason behind the rejection of submitted ID /Sticker requests.

Moreover, COMPANY advised CONTRACTOR to plan ahead for permanent IDs and sticker’s issuance that required for its resources to access YR, YNGL plants without relying on the temporary access requests to save time and maintain an access to the said plants at any time avoiding any delay due to late approval or rejection of temporary access requests.

Accordingly, COMPANY strongly emphasizes that any delay on ID/STICKERS issuance and schedule/cost impact is solely CONTRACTOR’s responsibility. Just COMPANY has issued the response officially to confirm and close the matter.

I you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMM

The attached documents of New Vehicle Sticker (1) and ID Badge applications (12) are reviewed and signed by COMPANY and return to CONTRACTOR the same full set of documents for your final processing with SAMREF.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMM

COMPANY accepts CONTRACTOR Proposal to include engineering and construction in the above subject Change Order Request. You are hereby requested to acknowledge the subject Change Order Request and forward to COMPANY. Please ensure to submit your detailed technical and commercial proposal by Sunday, August 21, 2014.

Moreover, CONTRACTOR is hereby requested to submit the scope of work and bill of quantities related to the subject change no later than Sunday, August 14, 2014 to Luberef PMT for Luberef PMT review and agreement.

Please forward any technical questions to

MMMMMMMMMMMMMMMMM

COMPANY acknowledges and appreciates CONTRACTOR's subject notification. A site visit was conducted by COMPANY Project Engineer with CONTRACTOR to overcome the obstacles so far. Nevertheless, CONTRACTOR can submit a Site Technical Query offering solution proposals to mitigate and resolve the issue to be reviewed by COMPANY if essentially needed further.

Meanwhile, COMPANY would like to highlight to CONTRACTOR the following points:

I. As per Para 3.5 under SCHEDULE B, COMPANY clearly made no representation that any or all given 'as built' drawings, documents or procedures will be available or that the information provided on such drawings, if available, will be accurate. Therefore, CONTRACTOR shall be fully responsible for carrying out all field surveying and engineering WORK as and when necessary to prepare new ‘as built’ drawings, in case these do not exist, or check and update existing as built drawings as may be required for the WORK. CONTRACTOR shall perform all site surveys and update as-built drawings of existing facilities accordingly. CONTRACTOR shall be responsible for logistics of requesting, receiving, transporting, storing and returning drawings.

II. Due to technical aspect of such similar cases, CONTRACTOR is advised to raise Technical Query supported with all technical documents and drawings reflecting the existing condition (For this case and for any similar case future wise). CONTRACTOR also to follow up and coordinate with responsible Project Engineers to evaluate and resolve such Technical Queries jointly for accommodative resolution for both COMPANY and CONTRACTOR.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMM

COMPANY maintains its position that any disruption to the works is a result of CONTRACTOR’s failure to undertake an adequate and timely survey of the works as per contract requirements i.e.-

As per Para 3.5 under SCHEDULE B, COMPANY clearly made no representation that any or all given 'as built' drawings, documents or procedures will be available or that the information provided on such drawings, if available, will be accurate. Therefore, CONTRACTOR shall be fully responsible for carrying out all field surveying and engineering WORK as and when necessary to prepare new ‘as built’ drawings, in case these do not exist, or check and update existing as built drawings as may be required for the WORK. CONTRACTOR shall perform all site surveys and update as-built drawings of existing facilities accordingly. CONTRACTOR shall be responsible for logistics of requesting, receiving, transporting, storing and returning drawings.

Furthermore CONTRACTOR’s continual failure to or consider existing brownfield nature of the works and or CONTRACTOR’s responsibilities for accommodating same as per contract is unreasonable.

CONTRATOR has failed to even the most basic of surveys for the area CONTRACTOR is required to work in an effort to identify existing U/G RTR pipe, electrical cables etc. Such surveys could and should include U/G cable detection, visual inspection for cable marker etc., U/G F/W equipment’s routes.

Considering the facts above, CONTRACTOR’s assertions that the services identified were unexpected is unacceptable. COMPANY would note that even a cursory visual inspection could easily identified the existence of cables and pipelines in the area from valve and cable marker locations which would have enabled further investigation prior to starting works. Obviously such details clearly make it reasonable for CONTRACTOR to expect these underground services.

Given the proposed works can be undertaken without redesign or significant changes to the working methodology there are no grounds for additional costs. Furthermore as any impacts to schedule are a result of CONTRACTOR choice not to undertake pre-work surveys and accommodate the services in your work methods, all responsibility is CONTRACTOR’s.

CONTRACTOR is directed to proceed with the works in a safe and efficient manner without further delay.

If you have any further questions related to this letter, please contact

XXXXXXXXXXXXXXXXXXXXXXXXXXXXX

Meanwhile, COMPANY would like to highlight to CONTRACTOR the following points:

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR's letter no. XXXXXXXXXXX, COMPANY would reiterate concerns that CONTRACTOR remains uncommitted to progressing the OCI Scope of Work diligently[1] despite COMPANY raising this previously.

There are numerous open and available work fronts with pending works yet these remain un-progressed. For example, Steel Structure erection for pipe rack, E/I Cable trench, Grouting work for Equipment foundations and Installation of Density skid foundation.

COMPANY believe CONTRACTOR is being disingenuous claiming delays, rather the root cause of delays is a lack of resources and stickers.

The attached table reflects the status of the open items. CONTRACTOR is advised to progress the works diligently and with dispatch as required, otherwise COMPANY may be forced to take punitive actions[2] in accordance with our contractual rights.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMMMMMM

Meanwhile, COMPANY would like to highlight to CONTRACTOR the following points:

II. Due to technical aspect of such similar cases, CONTRACTOR is advised to raise Technical Query supported with all technical documents and drawings reflecting the existing condition (for this case and for any similar case future wise). CONTRACTOR also to follow up and coordinate with responsible Project Engineers to evaluate and resolve such Technical Queries jointly for accommodative resolution for both COMPANY and CONTRACTOR.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMMM

COMPNAY maintains its position expressed in its pervious letter no. MMMMMMMMMM and takes the opportunity to remind CONTRACTOR to carry his field responsibilities in accordance to contract. Meanwhile, COMPNAY will always remain supportive and helpful to CONTRACTOR as long as CONTRACTOR provide sound technical representation and sufficient explanation to the encountered problems. Otherwise, all none-technical communication or insufficiently presented technical data about field problems cannot enable COMPNAY to give informed technical decisions.

Therefore, COMPANY hopes that CONTRACTOR to comply to Contract Terms and refrain from unpractical and unnecessary reluctance that will only delay CONTRACTOR at his own cost.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMMMMM

The subject unexpected obstacle (concrete block) found in the way to excavate and install new sleeper SL-307 at SAYR Tank Farm have been resolved on site with the coordination of PMT, CONTRACTOR Construction Team, and CONTRACTOR Civil Design Team by agreeing slightly shift the alignment. The Construction Team resumed excavation June 7, 2016 as per COMPANY Site Verification. Therefore, CONTRACTOR is requested to update the IFC drawings either through reissuing or red line marking.

Meanwhile, COMPANY would like to remind CONTRACTOR that site investigation, as built verification, and field engineering are his responsibility during design and construction. Therefore, no Change Order Request will be issued.

If you have any further questions related to this letter, please

MMMMMMMMMMMMMMMMM

Upon reviewing submitted OCI Weekly Construction Report cut of date as of May 26, 2016, COMPANY would like to highlight the following items:

A) Civil Activities at YR

1. CONTRACTOR did not make any progress on sleeper installation. The reported progress for sleepers installation is 0% (363 Sleepers Total) knowing the fact that the actual excavation start was May 7, 2016.

2. COMPANY does not accept CONTRACTOR excuse that his vehicle and equipment were not allowed to access YR Gate #17. In addition to COMPANY Letter No. LUB-SSA-L-2902, the attached VEHICLE STICKER STATUS LIST confirms the availability of vehicles and equipment with stickers during the no progress period.

3. CONTRACTOR shall safely expedite the civil activities to avoid impacting the progress in piping activities in which forecasted to start as per CONTRACTOR's schedule July 2, 2016.

B) Thrust Boring for Road Crossings

Upon site verification conducted June 02, 2016, the thrust boring subcontractor was found not present at site conducting the thrust boring at any location. CONTRACTOR and his subcontractor have remaining works to do and available work fronts in hand (RC#1, 3, 7, 8, 10, 11, 12, 16). Therefore, CONTRACTOR and Subcontractor are requested to be at site conducting the required thrust boring. CONTRACTOR is reminded of his own schedule that all thrust boring must be completed sufficiently before Sept 2016 to allow for Hydro-testing to complete.

C) Area G at RC Corridor Pipeway

Sleeper installation should have been completed by May 20, 2016 as per CONTRACTOR's schedule. However, 18% still remaining resulting the piping activities to be idle in which CONTRACTOR's Civil Team is responsible.

D) Area H at RC Corridor Pipeway

1. Upon site verification conducted June 02, 2016, no sleepers were installed (0%) since CONTRACTOR's schedule start date was May 21, 2016.

2. CONTRACTOR is reminded to perform with extreme caution and adhere to all safety regulations and best practices for critical lifting since exciting pipelines are present at execution area.

E) Plant Fence Crossing

1. CONTRACTOR did not provide plan and schedule reflecting the start, end, and progress.

2. Upon site verification conducted June 02, 2016, no manpower and equipment were deployed at site to finish this remaining works in which these work fronts in the hand of CONTRACTOR.

All of the above is an indication for weak supervision, low allocated resources, miscommunication among internal departments. Therefore, CONTRACTOR shall safely expedite executing the remaining works as highlighted above and update his OCI Weekly Construction Report to reflect schedule and plan for Plant Fencing Crossing and Thrust Boring for Road Crossings.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR’s letter no. MMMMMM; COMPANY has communicated to the CONTRACTOR via email dated 19th May, 2016 to proceed with the attached proposal considering the following items during the execution:

1. No ESD logic will be implemented in the DCS.

2. The ZV which is motor operated valve will have maximum four points to DCS as temporary installation.

3. Two digital output points for open and closed and two digital input points for valve opened and closed status.

4. Two additional analogue input points for pressure and temperature transmitters.

Accordingly, CONTRACTOR is requested to work with Honeywell vendor to finalize the scope of work and proceed with placing the required PO.

COMPANY issues this letter to close the matter officially.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMM

COMPANY acknowledges and appreciates CONTRACTOR's subject notification. As per coordination with Civil Engineer Mr. Junghoon Ki, the sleeper can be shifted and relocated away from the found cable after desginer review and approval.

Meanwhile, COMPANY would like to highlight to CONTRACTOR that as per Para 3.5 under SCHEDULE B, COMPANY clearly made no representation that any or all given 'as built' drawings, documents or procedures will be available or that the information provided on such drawings, if available, will be accurate. Therefore, CONTRACTOR shall be fully responsible for carrying out all field surveying and engineering WORK as and when necessary to prepare new ‘as built’ drawings, in case these do not exist, or check and update existing as built drawings as may be required for the WORK. CONTRACTOR shall perform all site surveys and update as-built drawings of existing facilities accordingly. CONTRACTOR shall be responsible for logistics of requesting, receiving, transporting, storing and returning drawings.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMMMMM

COMPANY acknowledges and appreciates CONTRACTOR's subject notification. PMT were present during the Civil Design Team site visit and inspection to the location. There were clear above ground markers above the buried cable. However, it seemed that field survey did not notice them or it was overlooked during design for a reason or another. Company and Contractor observed that there is still small clearance that can be used to allow shifting the impacted sleepers. Contractor's Civil Design Team shall update drawings accordingly.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMMMMMM

In reference to CONTRACTOR's correspondence MMMMMMMMM COMPANY notes our disagreeing with the statements therein. COMPANY would contend that the statements completely misrepresent the facts and seek to obscure the true reasons for the delays i.e. CONTRACTOR’s failure to manage your responsibilities competently.

The responsibility for application, processing and assignment of ID’s, passes etc. is entirely CONTRACTOR’s scope of work. COMPANY however made particular efforts to assist CONTRACTOR in obtaining the first issues of ID’s and Passes etc. as a result of CONTRACTOR’s inability to progress matters.

Furthermore COMPANY sort to remind CONTRACTOR of your responsibilities thereafter to ensure vigilance was maintained as regards permit and ID, requests, processing and issuing via direct liaison with Saudi Aramco GRO.

In addition to the above support, COMPANY arranged the required safety orientation sessions for YNGL, YR, SAMREF (1100 personnel in total).

COMPANY also advised CONTRACTOR (Ref: LUB-SSA-L-2620) of the importance and concerns regarding the lack of progress for the YNGL works.

However and despite COMPANY’s concerns and assistance, CONTRACTOR continued to rely on temporary ID’s and passes for more than 6 months for YNGL resulting in CONTRACTOR not having the required permanent ID’s, passes stickers for the work areas for YNGL and JETTY resources such as water truck, loader, excavator, dump truck, rigger, QC personnel and the piping team in Jetty.

In respect of the particular issues associated with the YR and Jetty vehicle stickers CONTRACTOR incorrectly applied for same, resulting in passes etc. being issued for main gate instead of the required restricted work locations. Subsequently CONTRACTOR corrected this error. COMPANY are not liable for CONTRACTOR’s failure to apply and obtain the correct passes for the works.

It is clear that CONTRACTOR’s misrepresentation merely seeks to divert attention from the facts of the matter i.e.

· COMPANY provided significant additional assistance as and when possible.

· Permit, Passes, ID’s etc. are solely CONTRACTOR’s responsibility.

· CONTRACTOR’s administration & construction teams, communications and coordination was inadequate to the task at hand.

· CONTRACTOR’s change from subcontract to direct labor resulted in delays to works whilst new permits were applied and processed.

· CONTRACTOR’s submitted many incorrect access applications.

· CONTRACTOR’s operation of EXTRANET was incompetent and in no way COMPANY responsibility.

· CONTRACTOR failed to ensure adequate hand-overs were undertaken when assigning replacement GRO’s and Administrators.

· CONTRACTOR’s sort to utilize operators without the required sponsors with SA ARAMCO vendor number.

· CONTRACTOR’s team planning preparation and execution of works were grossly negligent.

Considering the COMPANY’s observations, it is apparent CONTRACT must redouble efforts to ensure access requirements are complied with completely and correctly thereby avoiding further impacts. CONTRACTOR is also required to make reasonable efforts to mitigate the impacts resulting from CONTRACTOR’s delays. COMPANY will not consider contractual relief given the failures are entirely CONTACTOR’s responsibility.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMM

Further to CONTRACTOR’s letter referenced above, COMPANY has reviewed CONTRACTOR proposal and found it is not acceptable due to the fact that the CONTRACTOR failed to pass the test even it was done three times for the same test package. (See the attached rejected RFI's). Therefore, COMPANY will not accept any request that may jeopardize the project's quality.

CONTRACTOR is requested to comply with the IK CONTRACT, Schedule Q Clause 1.4 and SA Standard requirements SAES -L-150 item 7.3 & SAES -L-150 item 8.3; A tightness test shall be conducted at 95% of the strength test pressure, immediately after the completion of the strength test, however if the test failed then COMPANY has the right to conduct whatever additional test such as 100% RT test.

In view of the above, COMPANY emphasizes that it is entirely CONTRACTOR responsibility to meet with SA requirements. Thus, it is CONTRACTOR responsibility for any delay that may jeopardize the program progress.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMM

Reference to your letter nos. MMMMMMMMMMM, COMPANY have advised and reminded CONTRACTOR to carry his field responsibilities as per contract; however, CONTRACTOR for many repeated times keeps ignoring COMPANY instructions and in the meantime fails to carry his responsibilities. Therefore, CONTRACTOR is reminded again as follow:

Issues arising from field conditions usually requires a technical representation and evaluation in which usually documented by Technical Queries. As per Para 3.4.3 of Schedule "B", CONTRACTOR shall provide all Construction WORK SITE related field Investigation, analysis, additional soil reports, inspection, survey, detailed design, field engineering, procurement, construction. In addition, CONTRACTOR shall make itself familiar with the requirements of the Engineering Contract and provide to the Affiliated CONTRACTOR all WORK - Site analysis, soil reports, inspection, survey, detailed design, engineering, procurement support and construction support necessary for the successful performance of the Affiliated CONTRACTOR's work.

COMPANY made no representation that any or all ‘as built’ drawings, documents or procedures will be available or that the information provided on such drawings, if available, will be accurate as per Para 3.5.4 of Schedule "B". Also, CONTRACTOR shall be reminded he shall be fully responsible for carrying out all field surveying and engineering WORK as and when necessary to prepare new ‘as built’ drawings, in case these do not exist, or check and update existing as built drawings as may be required for the WORK.

Instead of CONTRACTOR to correct and comply in pervious communication, CONTRACTOR remains to open secondary subjects overlooking the above clear contractual paragraphs. Combining similar root causes and issues and addressing them collectively under one common subject in fact is found practical to remind CONTRACTOR that it is his responsibility to take charge and responsibility for all site and field engineering as per above highlighted contractual paragraphs.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMM

Reference to our letter LUB-SSA-L-1757, pursuing its Contractual right as per Para 3.9, Schedule A, COMPANY has requested CONTRACTOR to release Mr. Sanghoon Park from the project due to his unacceptable business behavior that made him an obstacle for the work. However, CONTRACTOR requested to keep him confirming that this behavior will improve. Although COMPANY has accepted CONTRACTOR wish, Mr. Sanghoon Park has improved for one (1) month only and after that his performance went back to be NOT performing, NOT cooperating with the team and delaying the progress in construction activities.

Therefore COMPANY, under the same contractual rights, requests CONTRACTOR to relieve Mr. Sanghoon Park from the project and provide on immediate basis a qualified replacement in order to assist the construction and achieve the needed deliverables with no further delay.

MMMMMMMMMMMMMMMMMMMMMMMM

In accordance with the provisions of Schedule A of the subject contract, Paragraph 10, you are hereby requested to submit your detailed technical and commercial proposals in duplicate originals, including a detailed breakdown of cost and schedule changes associated with this Change Order Request (COR # 077 IK) by Monday, May 09, 2016.

Before submitting the detailed proposal to the bid box, CONTRACTOR is hereby requested to submit the scope of work and bill of quantities related to the subject change no later than Monday, May 02, 2016 to Luberef PMT for Luberef PMT review and agreement.

Please submit your proposal in a sealed envelope, in duplicate originals, to LUBEREF Central Bid Box located in Procurement and Contracts Department in Jeddah Saudi Arabia, marked with the Contract Number and title, Change Order Request Number and addressed as follows:

MMMMMMMMMMMMMMMMMMM

In conformance to Para 14.2 of Schedule A, COMPANY regrets to decline CONTRACTOR's request for stand-by time. There was no timely verbal notice given to the assigned Project Engineer for the subject Area Mr. Mohammed S. Al-Otaibi. Mr. Yoosung Kwon who is acting as Piping Manager did not inform Mr. Otaibi as soon as Luberef Work Permit Issuer did not show up for the appointment. In fact, COMPANY Project Engineer was verbally informed after the fact in the late afternoon and there was nothing can be done. If CONTRACTOR Piping Manager informed COMPANY Project Engineer within the first 15 to 20 minutes, Project Engineer would have communicated to Luberef Operation and Safety Management and in the same time witness the development of the case to support CONTRACTOR.

If you have any further questions related to this letter, please

MMMMMMMMMMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR’s letter no. MMMMM; COMPANY Representative exerted his full effort and met with CONTRCATOR piping and project engineers and assessed this situation at job site, which concluded that no obstruction occurred as the new fire water line will tie-in with the existing fire water line without being impacted by the existing concrete thrust block.

Accordingly, COMPANY advised CONTRACTOR to expedite the excavation work for fire water line in order to proceed in the tie-in work with the existing FW system.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMM

Reference to previous communication (see attached email), COMPANY would like to confirm the cancellation of the Change Order Request (COR) No. 72 (IK) related to the ESD modification at YR terminal (Jetty).

Should you have any question or concern, please contact Mr

MMMMMMMMMMMMMMMMMMMMMMMMMM

COMPANY would like to raise the following concerns in regard of CONTRACTOR's construction progress in OCI:

1) CONTRACTOR did not yet provide Level 5 forecasted schedule for expected completion.

2) CONTRACTOR did not yet start civil activities at YR Terminal and Jetty

3) CONTRACTOR did not yet start any excavation and sleeve installation for the fence crossings at YR, Luberef, YNGL, and Samref.

4) CONTRACTOR did not yet start excavation works in Area H, I and J at RC Corridor.

5) CONTRACTOR did not yet submit schedule and tie in packages in order to coordinate with Third Facility Owners.

Despite the continues providing of Temporary Visit Access for workers, CONTRACTOR still did not determine, organize, and resolve to apply and receive Aramco IDs for some of his essential required workers and equipment i.e. Boom Truck and Driver. Day after another, COMPANY receives more requests for safety orientation and work permit receivers on top of what already provided before by COMPANY. In addition to that, COMPANY received from CONTRACTOR repetitive weak excuses that lead to no-where other than delaying and stalling to start work. For example, CONTRACTOR reported that most of the labors cannot be deployed to site because they got promoted to higher job level!.

COMPANY also received promises from CONTRACTOR management to turn around the situation and increase manpower in open areas like road crossings, civil activities at RC Corridor, and YR both terminal and tank areas. However, nothing yet materialized. Still low number of manpower and unoccupied work fronts (see attached).

Therefore, COMPANY requests CONTRACTOR to pay attention to the above raised concerns and avoid to loss more time than lost already by increasing manpower to fill and occupy all open and unoccupied work fronts. Otherwise, CONTRACTOR bears the responsibility and the liability of the delay at his own cost and time.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMMMMM

Reference is made to your letter MMMMMMMM dated 07, please note:

Regarding the captioned subject and as you know, PDA PMT was coordinating with MEP PMT interface group for T-2005 delivery and road clearance.

Please find attached the five sets of email correspondences from Sept/Oct 2015 until 6^th March for chronology of communication on the subject.

1). Attachment 1: It is very clear that Mr. Yun Young Park on 31^st October replied that route is clear and available anytime and agreed on attached proposed route for T-2005 transportation from Gate to PDA unit.

2). Attachment -II: Sulzer notified Samsung on Jan 13, 2016 that T-2005 Delivery is scheduled at Luberef in mid Feb 2016.

3). Attachment-III: On Jan 13, 2016 PDA PMT was informed that Samsung has completed back filling work for power cable duct bank & trench at 'C' Avenue (south west of S/S#7).

4). Attachment-IV: PDA PMT Informed MEP PMT interface on 6^th March about T-2005 delivery and clearing the Samsung scaffolding material stored in front of temporary gate.

5). Attachment-V: On 5^th March, 2016 John Mcvey mail includes Samsung mail of 3^rd March, 2016 on refusal of road closure permit but Samsung has continued work on G-Avenue using man lift.

In conclusion, Samsung was fully aware from October 2015 and re informed in Jan 2016 about Mid Feb delivery of T-2005 and had agreed to transportation route. Samsung did not co-ordinate/failed to co-ordinate with their subcontractor as the placement of Scaffolding material at temporary gate was not in line with the agreement and Samsung did not take any consent from Luberef PMT. Hence the claim of change order is rejected.

If you have any further questions related to this letter,

MMMMMMMMMMMMMMMMMMMMMM

Reference to your letter no. MMMM,, COMPANY have advised and reminded CONTRACTOR to carry his field responsibilities as per contract; however, CONTRACTOR for many repeated times keeps ignoring COMPANY instructions and in the meantime fails to carry his responsibilities. Therefore, CONTRACTOR is reminded again as follow:

If you have any further questions related to this letter,

MMMMMMMMMMMMMMMMMMMMMMM

COMPANY raised this concern regarding to the CONTRACTOR reluctant and lack of commitment in attending OCI weekly meeting as the CONTRACTOR's Representative (Mr. Cowboy Kim) and rest of the team denied to attend the scheduled meeting on March 08, 2016 at 2:30 pm. CONTRACTOR's refusal from attending the meeting and just Sending the OCI progress report is a clear violation to accommodate the responsibilities undertaken and deliberate effort to delay the progress. COMPANY will not accept this kind of attitude as CONTRACTOR is obligated to attend the subject meeting and work with company to improve the progress.

Therefore, CONTRACTOR is requested to attend the scheduled OCI weekly meeting on weekly basis and developing relevant MOM to be signed by both parties as per IK CONTRACTOR - Sch. A item no. 2.11 and sch. (B) item no. 5.7.4.1. COMPANY will not accept any future deviation from above-mentioned CONTRACT's conditions and requests CONTRACTOR to ensure attendances in all future meetings.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMM

COMPANY notes that CONTRACTOR apparently has not interested to perform the OCI Scope of Work even with many open front area inside the plants. As an example, YNGL has many open work front, sufficient to make excellent progress, while CONTRACTOR reluctant to perform any progress due to the fact that CONTRACTOR has a shortage in manpower.

The attached table is reflecting the status of the open items which requires more resources to maintain the program schedule. The subject table will be updated and reported officially to CONTRACTOR in a weekly basis to enhance the CONTRACTOR to make more progress and for records purposes.

COMPANY again stresses the importance and Contractual requirement of completing the OCI Scope of Work as scheduled to avoid any Schedule delay that may jeopardize the whole program completing date.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMM

COMPANY have reviewed CONTRACTOR claim of the subject and finds it not warranted for the following reasons:

1- COMPANY confirms that the work permit procedure imposed by Saudi Aramco near its facilities in the RC corridor did not have any change in procedure; and it is still as per General Instruction GI.0002.100. Therefore, CONTRACTOR is obligated to support his proclaim with tangible documentation

2- After the fact reporting from CONTRACTOR in which violated Paragraph 14.1 &14.2 & 14.4 for Standby Time under Schedule A of the contract, COMPANY records confirm that CONTRACTOR did not refer to COMPANY (written or verbal) at the time of this proclaimed suspension to investigate the matter and support both CONTRACTOR and Subcontractor.

3- CONTRACTOR is required to proof that the work permit was not issued by Saudi Aramco Work Permit Issuer and clearly confirm the specific reason of rejection. CONTRACTOR must understand that SA Work Permit Issuer has the right to reject to issue any work permit due to lack of any requirement affecting safety and procedures. The root cause is not clearly stated and confirmed by CONTRACTOR and Subcontractor. Also, the location of work (From Station To Station) is not specifically and clearly identified. CONTRACTOR did not provide enough details other than generalized statements.

4- Contradiction between CONTRACTOR and Subcontractor pertaining the main reason for idle time. The reason stated by subcontractor “due to unavailability of work permit for piping works" is meaningfully different from the reason stated by CONTRACTOR "changes in the Work Permitting procedure"

5- CONTRACTOR and Subcontractor did not clearly state whose responsible to apply and receive the work permit from Saudi Aramco Work Permit Issuer. It is interpreted from the communication between Subcontractor and CONTRACTOR, that CONTRACTOR is the responsible party to apply and receive. However and regardless of that and in all cases, CONTRACTOR is responsible for the progress of work in front of COMPANY.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR’s letter no. MMMMMM; COMPANY reviewed subject open cut plan and rejected due to the followings:

1. The plan has to be more detailed.

2. JSA has to be submitted to be reviewed by both COMPANY & SAMREF.

3. The traffic plan such as detours, safety setup, etc should be included.

4. Related IFC package should be released prior to the submitted plan.

5. Safety measurement for mechanical excavation has to be submitted for proponent’s approval.

CONTRACTOR is kindly requested to conduct a meeting with COMPANY to discuss it in details before the submittal to SAMREF.

COMPANY advised CONTRACTOR to prioritize areas and divide them into sub areas to focus on each area case by case to obtain approval from SAMREF then proceed in construction.

If you have any further questions related to this letter, please contact

MMMMMMMMMMMMMMMMMMMMMMMMMM

Reference to Weekly Progress Meeting for OCI Works conducted on Tuesday Feb 16, 2016.

Upon reviewing the submitted progress report (copy attached), COMPANY would like to make the following highlights:

RC Corridor Area

· Area H & I and Thrust Boring Crossing #10: CONTRACTOR was instructed by COMPANY to manually excavate and cast in situ sleepers and install the Diesel Pipeline as per original location at Area H and Area I. CONTRACTOR through his GRO must renew and coordinate with RC and Marafiq during RC Excavation Permit Renewal. The revised location was found to conflict with existing sea water pipeline owned by Marafiq. CONTRACTOR shall resume work

· Thrust Boring Crossing # 6: CONTRACTOR is requested to expedite acquiring and coordinate with Hanawah Co. to identify the installed facilities previously. CONTRACTOR in according to that shall finalize and submit his proposal in order to proceed for Work Permit from Aramco E/W Pipeline Corridor.

· Thrust Boring Crossing # 7: CONTRACTOR is requested to expedite submitting his designed proposal in order to share it with RC and Marafiq

· Open Cut Crossings: CONTRACTOR is requested to finalize and conclude his communication with RC in the seeking for open cut for the remaining crossings. Otherwise, CONTRACTOR will be obliged to conduct thrust boring as it was originally enforced by RC.

· Fence Crossings: CONTRACTOR is requested to make progress on Fence Crossings for Diesel, Propane and Lube Oil pipelines at Luberef. These crossings are past due and no witnessed progress is made these open and available work fronts for CONTRACTOR.

Yanbu Refinery Tankage Area

· Until today, CONTRACTOR did not start excavations for sleepers at YR Tankage Area. As per CONTRACTOR issued progress report attached, CONTRACTOR did not give the civil workers the priority to apply for Aramco IDs. By examining the tables, Instrument and Electrical Workers are higher than Civil Workers in which means no priority attention was given to Civil Workers.

· CONTRACTOR issued Aramco IDs for only 12 Civil Workers. COMPANY is concerned that this number is very low compared to the amount of civil excavations. Therefore, CONTRACTOR is requested to expedite applying for IDs for the remaining 20 Workers who already completed their YR Safety Orientation.

Yanbu Refinery Jetty

· Until today, CONTRACTOR did not resume the interrupted pipe welding activities at YR Jetty Area after the withdrawal of subcontractor PCMC. CONTRACTOR is requested to expedite all required government permits and mobilize to site and resume the work as soon as possible.

COMPANY hereby takes the above as a reminder effort after witnessing the new re-organization change in CONTRACTOR Management for OCI Works. COMPANY will remain to assist CONTRACTOR and hope to see CONTRACTOR manpower and resources to be managed to meet the targeted completed date June 30, 2016.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMMM

Meanwhile, COMPANY would like to highlight to CONTRACTOR the following points:

II. Due to technical aspect of such similar cases, CONTRACTOR is advised to raise Technical Query supported with all technical documents and drawings (For this case and for any similar case future wise). CONTRACTOR also to follow up and coordinate with responsible Project Engineers to evaluate and resolve such Technical Queries jointly for accommodative resolution for both COMPANY and CONTRACTOR.

If you have any further questions related to this letter, please contact Mr

MMMMMMMMMMMMMMMMMMMMMMMM

As per the conducted Technical Meeting on January 31, 2016 pertaining the required shutdown duration for executing ESD MODIFICATION at YR Jetty, COMPANY and CONTRACTOR agreed to explore the following:

1/ COMPANY advised CONTRACTOR to explore the possibility to perform the subject work directly in the field and with no tender to subcontractor.

2/ COMPANY advised CONTRACTOR to explore performing the subject work directly in the field with vendor supervision. CONTRACTOR hereby is advised to calculate required resources and required time in fast tracked manner.

3/ COMPANY advised CONTRACTOR to explore the possibility to perform the subject work in the field by the vendor.

CONTRACTOR is requested in his response to this letter to present and compare all pervious options analytically to proof that performing the subject work directly in the field is still qualified as the Minimum Execution Duration Option.

Based on receiving from CONTRACTOR the response for the above, COMPANY and CONTRACTOR will then align and sign the viable technical proposal for the subject ESD MODIFICATION. Also, Notification for bid closing date extension will be sent officially.

If you have any further questions related to this letter, please contact Mr

MMMMMMMMMMMMMMMMMMMMMMMMMMMM

Further to CONTRACTOR’s letters referenced above, COMPANY’s introduction of a “new” formal protocol was an effort to improve communications and limit CONTRACTOR’s response and sending many letters without proposing alternative solution to the identified problem. COMPANY have no objection to withdrawing same and simply addressing matters as per the existing contract provisions. The proposal of this procedure is not out with CONTRACT, but is in fact a CONTRACTOR responsibility.

COMPANY maintain previous advice and consider CONTRACTOR is again incorrectly addressing matters without any contractual merit. It is also clear that CONTRACTOR’s refusal to accommodate the responsibilities undertaken, upon execution of the contract in respect of proposing alternatives for the unexpected obstacles during underground excavation at local conditions is unreasonable and a deliberate effort to delay progress.

COMPANY maintain the major contributing factors in these incidents are a direct result of CONTRACTOR’s inefficient and poorly considered work processes, poor management.

CONTRACTOR constantly refers to aspects of contract provision in Schedule A para 6.2, yet completely fails to consider the context and, or the entire full provision or the responsibilities further outlined in the contract documents relating to such works and conditions, to wit.

Reference to Contract Schedule A para 6 and B para 3.4, 3.5, 3.20, 4.3, CONTRACTOR has the following awareness and responsibilities:

· CONTRACTOR was FULLY aware of the brown field nature of elements of the works and the existing facilities.

· CONTRACTOR had the opportunity to survey the WORKS pre and post award.

· Responsibility to obtain as-Builts is CONTRACTOR’s.

· COMPANY does not warrant correctness of As-Builts and advised CONTRACTOR this was the case during clarification, prior to award and in numerous specific requirements of the CONTRACT.

· CONTRACT is clear there may be un-surveyed or unidentified services, obstructions etc., CONTRACTOR may be required to accommodate.

· CONTRACTOR is responsible for surveying and verifying all existing works, updating and correcting all existing as-Builts and ensuring the new records are correct.

· CONTRACTOR is responsible for undertaking any and all modifications and relocation of facilities necessary to successfully complete the project WORKS.

Considering the above contract requirements a competent and experienced EPC CONTRACTOR having the opportunity to include provisions for these obligations during bid preparation would reasonably have made adequate provision for same in the tender.

Furthermore COMPANY consider the impacts suffered are self-inflicted as a result of CONTRACTOR’s failure to adequately pre-survey areas of the work as contractually obliged in a timely manner.

COMPANY will continue to respond as quickly as is reasonably possible to CONTRACTOR’s notifications however COMPANY would suggest CONTRACTOR fulfil the CONTRACTUAL requirements and propose a proper solution in a timely prior to sending letters.

If you have any further questions related to this letter, please

MMMMMMMMMMMMMMM

COMPANY raised its concern regarding the event of CONTRACTOR's quality violation occurred on last January 20, 2016. The welder was caught by YNGL Inspection Department while he was performing welding activities inside the plant. He was found violating Aramco procedure SAEP-324 and carrying out a welding job utilizing SMAW process while he was only certified for GTAW. Also, the welder’s JCC was checked and found the date was not clear.

Despite of continuous reminders from COMPANY to assign full QC present to site but CONTRACTOR failed to comply.

CONTRACTOR is strictly advised to comply with the COMPANY’s quality procedure & requirement to avoid any unexpected defects that require rework. Repeating such violation will jeopardize the quality and work schedule and it is CONTRACTOR’s responsibility for any delay or schedule impact.

If you have any further questions related to this letter, please

MMMMMMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR’s letters no. L-SSA-LUB-2973 & L-SSA-LUB-2933; COMPANY emphasizes that CONTRACTOR is obligated to follow the IK Contract requirements of Schedule B Section 4.6.4 and Schedule D Section 2 pertaining to WORK PERMITS. The contract stated that any permit to work shall not be applied for and issued without an approved method statement and risk assessment in place.

CONTRACTOR has decided to commence YNGL piping works on January 05, 2016 without proper preparation. He requested the COMPANY to approve the relevant method of statement in the same day while such documents should be prepared earlier to be shared with the proponent and approved by PMT. Moreover, CONTRACTOR submitted informally total of six (6) specific Job Safety Analysis (JSA) related to the piping activities to be approved in the same day of submission.

CONTRACTOR is requested to follow the contract and submit the required documents ahead of times to avoid unreasonable standby time, holding the construction activities and may jeopardize project completion date.

If you have any further questions related to this letter

MMMMMMMMMMMMMMMMMMMMMMM

As clearly established in Contract Schedule "D", CONTRACTOR shall refer to HSE Plan and Procedures, specifically the provisions of:

SAUDI ARAMCO Construction Safety Manual (CSM)

SAUDI ARAMCO Construction Safety Manual Handbook (CSMH)
Sections I, “Safety and health Requirements”, Section II, “Environmental and Sanitary Requirements” of Contractual Schedule “D”

In case of conflicting requirements, the most stringent requirement shall apply.

Additionally, CONTRACTOR will be informed of any further procedures or requirements that may be demanded by Operations or Other Plants.

For any further inquiries, please coordinate

MMMMMMMMMMMMMMMMMMMMM

COMPANY explained to CONTRACTOR in many occasions to provide certified Operators and Equipment to perform the work. It is still remaining CONTRACTOR’s responsibility to provide as per Contract Para. 3.6 and Para 4.

Any solicitation from COMPANY to state its right and demand CONTRACTOR to provide the necessary obligation cannot be taken as an instruction or acceptance to a Change. COMPANY for example re-issued (reprint) Work Permit Certificates for CONTRACTOR's Workers provided from Shaybah project to allow them work in Aramco Facility (YR and YNGL). COMPANY also was informed many times by CONTRACTOR that supplemental resources were to be mobilized from CONTRACTOR Base in Jubail and other Aramco Projects. It is for sure that CONTRACTOR has qualified labor and equipment however, it is apparent that he is not willing to provide to justify his slow progress with any excuse.

For any further inquiries, please coordinate with Project

MMMMMMMMMMMMM

COMPANY acknowledges and appreciates CONTRACTOR's subject notification. A site visit was conducted by COMPANY Project Engineer with CONTRACTOR Project Engineer (Mr. Ki). Mr. Ki informed that he with his team managed to overcome the obstacles so far. Nevertheless, CONTRACTOR can submit a Site Technical Query offering solution proposals to mitigate and resolve the issue to be reviewed by COMPANY if essentially needed further.

Meanwhile, COMPANY would like to highlight to CONTRACTOR the following points:

For any further inquiries, please coordinate with Project Engineer

MMMMMMMMMMMMMMMMM

On December 16, 2015, a site visit was conducted with your field team. We confirm that there are placed precast sleepers owned by others. However, these placed sleepers do not represent any obstruction to CONTRACTOR's activity. Your complaint is not valid because upon our joint inspection and evaluation, cranes, cars and other type of resource can function with no hindrance. We think who raised this issue was not able to evaluate and get around the situation.

Neither COMPANY nor CONTRACTOR have the right to stop neighboring Contractors and other Companies from executing their works unless there is a forcing and approved constructability interdependence. Other than that, CONTRACTOR has to excise effort and cooperation.

For any further inquiries, please coordinate with Project

MMMMMMMMMMMMMMMMMMMMM

COMPANY raised its concern regarding the event of CONTRACTOR's crane that has been utilized by other CONTRACTOR (Techno Grat) on last 13 January, 2016 inside YNGL plant violating SA Aramco GI while still the work permit is valid related to your piping work without closing it.

CONTRACTOR is strictly advised to follow the rules especially inside SA Aramco plants. Any resources assigned for our project prohibited to work or been utilized by other contractors.

Repeating such violation will jeopardize the work inside the said plant.

If you have any further questions related to this letter, please

MMMMMMMMMMMMMMMMMMM

The method statement has been reviewed and the following comments are listed below for your compliance:

1- All Security Agencies (FSF, Saudi Aramco Security, Luberef Security or any other recognized Saudi Security Entity not mentioned herein) announce their right not to treat any review as an obligatory commitment to COMPANY or CONCTRACTOR. And any promised support or given comment is based only on the expansive level and quality of information provided in your submittal. Therefore, Security Agencies have the right to re-evaluate the situation frequently and thus both COMPANY and CONCTRACTOR shall be cooperative even if it requires exploring new methods.

2- Safe and quick execution is the key factor for the activity. Therefore, CONCTRACTOR will be held and be obligated to complete it in One Working Shift (Day Time).

3- As pipelines and cables shall be placed in the sleeve, no ends of sleeve shall be lifted open. Therefore, the open ends shall be sealed or closed by a practical safe mean to eliminate totally any openings under the fence.

4- CONCTRACTOR is responsible to request and apply for a permit prior construction and installation.

For any further inquiries, please coordinate with Project Engineer

MMMMMMMMMMMMMMMMMMMMMMM

With reference to CONTRACTOR’s letter no. L-SEC-LUB-1285 dated received 21 December 2014, COMPANY confirmed its continuous support to access I-PLANT through its PMT personnel and YNGL Engineering Team.

For the record, engineering items such as drawings and tag numbers requested to COMPANY via emails have been timely obtained without any impact to the CONTRACTOR.

In view of all above, COMPANY confirms its continuous support to CONTRACTOR and emphasizes that any required engineering items relevant to YNGL scope of work will be obtained on time.

If you have any further questions related to this letter, please contact Mr

MMMMMMMMMMMMMMMMMMMMMMMMM

Company would like to highlight the following concerns in regard of the required Hot Tap materials for performing the connection between the new 6" Naphtha pipeline going to YR and the exciting CHD pipeline;

Company arranged a meeting between Contractor and Saudi Aramco Hot Tap and Stopple Unit in Dhahran on Feb 04, 2015.
Contractor received all requirements and procedures required to make a hot tap on the CHD pipeline.
On October 10, 2015 Contractor informed Company that he could not find vendors willing to supply him material. Company advised Contractor to check with Sulzer who is another Contractor at site having the same requirement and did not report that he faced a problem in securing the material. Unfortunately, Contractor did not do any effort to communicate and seek help as advised.
Company arranged a meeting with Sulzer on Dec 09, 2015 and requested Contractor to attend, however Contractor did not show up. In addition to Contractor's absence, Contractor is requesting a Change Order and seeking unpractical alternatives as per his attached email.

Thereby, Contractor is reminded of his scope where he is responsible to install the new 6" Naphtha pipeline and connect to the existing CHD feed pipeline to the Yanbu refinery. (Established in Design Basis Jetty Facilities and Off-plot Piping, Document No. LEP-P1-GS-0269).

Contractor shall and is instructed to provide the materials required to perform the hot tap connection.

For any further inquiries, please coordinate with Project Engineer

MMMMMMMMMMMMMMMMMMMMMM

By today, a total of 210 days (7 months) has been passed since the 1st Saudi Aramco ID was successfully issued in May 10, 2015 as per above Reference Letter. The progress in YR Tankage, YR Terminal, and YNGL is not progressing at all. The current status as follow:

Samsung only issued a total of (27) IDs for YNGL
Samsung only issued a total of (54) IDs for YR Tankage and Terminal
PCMC (Subcontractor) only issued a total of (22) YR Terminal
Samsung does not finalized the ceiling number of manpower for each discipline and each area which reflects manpower sourcing and planning issues not yet resolved
Until today Samsung is still entering applications and not yet all finished

Company hereby remind and encourage Contractor to correctly finalize all submittals of manpower applications and assign the applicants for their work areas immediately. The inability or further delays to resolve this urgent matter will constitute an impact to the completion date in which Contractor responsible for it.

For any further inquiries, please coordinate with Project Engineer

MMMMMMMMMMMMMMMMMMMMMMMMMMMM

COMPANY would like to inform CONTRACTOR that the subject letter and claim is REJECTED due to the fact that CONTRACTOR has shortage of resources which caused the delay.

In fact, CONTRACTOR's Supervision is very poor to lead OCI including SAMREF Construction activities and control the material gate passes. The specified approved material gate pass was given to CONTRACTOR for one day and it MUST be used for the same date. It does not make sense when you just build your assumption based on judgment while the approval was sent to CONTRACTOR on November 10th, 2015 for ONE day only.

In addition to that, NO assigned focal point to coordinate the passes as COMPANY received many requests from different personnel and sometimes for the same subject to obtain temporary access. CONTRACTOR is requested to apply for permanent ID's for GRO, OPERATORS and DRIVERS and do not rely on temporary access requests keeping in your mind poor quality of documents will NOT be accepted by SAMREF.

Moreover, COMPANY noticed that CONTRACTOR is reluctant to submit the material gate pass and driver temporary access requests ahead of time to be approved. Sending request on late time in Thursday to get approval for Sunday is NOT possible as NO one from SAMREF management will be working during weekend.

Finally, COMPANY would like to emphasis that making excuses to delay the work and jeopardize the program schedule is not ACCEPTED as CONTRACTOR knew SAMREF requirements for material and personnel gate passes since CONTRACTOR applied for it at the beginning before ID's was expired.

Should you have any question or concern, please contact Mr

MMMMMMMMMMMMMMMMMMMMMMMM

COMPANY acknowledges receipt of CONTRACTOR letter no. MMMM and disagreed with the reasons of the rejection mentioned.

COMPANY has exerted a lot of efforts and assigned one engineer to hand carry CONTRACTOR ID's applications to SAMREF ID Office by himself as CONTRACTOR's assigned GRO has no SAMREF ID although several safety orientation session been conducted however he did not attend any.

On other hand, COMPANY noted that CONTRACTOR did not comply with the SAMREF IDs requirements for submitting IDs for renewal as all applications filled for them with a dual CONTRACTOR numbers IK and OOK that your administrator was aware about it.

In addition to that, COMPANY noticed that CONTRACTOR will not able to start any construction work regardless of ID’s issue as NO sleepers are ready yet to start the civil work.

Therefore, COMPANY would like to emphasize on the followings:

1) CONTRACTOR MUST prepare the required sleepers immediately.

2) CONTRACTOR MUST be planned ahead to start execution in terms of manpower, materials and equipment.

Finally, CONTRACTOR is requested to focus on the construction work rather than preparing just letters that could jeopardize the whole project schedule which will not be accepted by the COMPANY.

Should you have any question or concern, please contact

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Tuesday, December 20, 2016

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