ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
ANNEX F-10651.
QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
This document is property of Técnicas Reunidas. Full or partial reproduction without written permission is strictly forbidden. 1
ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
1 PURPOSE AND SCOPE … 4
2 DEFINITIONS AND ACRONYMS … 4
3 GENERAL PROVISIONS … 4
3.1
3.2
3.3
3.4
3.5
3.6
3.7
3.8
3.9
3.10
3.11
3.12
3.13
3.14
3.15
3.16
FREE ACCESS … 4
HSE & SOCIAL REQUIREMENTS FOR QA, QC/INSPECTION AND EXPEDITING ACTIVITIES … 5
PROJECT QUALITY MANAGEMENT SYSTEM REQUIREMENTS … 6
INSPECTION AND TESTING … 7
SELLER’S PROVIDERS CONTROL … 7
INSPECTION LEVELS… 8
SHOP EXPEDITING LEVELS … 9
PRE-INSPECTION MEETING … 10
NON-CONFORMITY REPORTS … 11
PUNCH LIST … 11
MATERIAL IDENTIFICATION AND TRACEABILITY … 12
SELLER PERSONNEL QUALIFICATION … 12
PAYMENT MILESTONE REQUIREMENTS … 13
MARKING OF FABRICATION LOCATION/ORIGIN … 14
INSPECTION RELEASE CERTIFICATE … 15
RELEASE NOTE … 16
4 DOCUMENTATION TO BE DELIVERED BY SELLER … 16
4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.8
4.9
GENERAL PROVISIONS … 16
DOCUMENTS TO BE DELIVERED BY SELLER PERIODICALLY … 17
NOTIFICATION OF INSPECTION … 20
INSPECTION WAIVER … 22
INSPECTION AND TEST PLAN … 22
SPECIAL PROCESSES DOCUMENTATION … 24
MATERIAL CERTIFICATES … 26
HAZARDOUS AREA CERTIFICATES… 29
CALIBRATION CERTIFICATES FOR INSTRUMENTS INCLUDED IN SELLER’S SCOPE … 29
4.10
LOGISTIC DOCUMENTS … 30
This document is property of Técnicas Reunidas. Full or partial reproduction without written permission is strictly forbidden. 2
ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
4.11
4.12
FINAL QUALITY DOSSIER … 30
AUTOMATIZED ULTRASONIC TEST (TOFD AND PHASED ARRAY) … 32
ANNEXES
ANNEX F.1-10651. HSE CHECK LIST
ANNEX F.2-10651. PIM AGENDA
ANNEX F.3-10651. CONFIRMATION OF MATERIAL RECEPTION
ANNEX F.4-10651. OVERALL EXECUTION SCHEDULE
ANNEX F.5-10651. INSTRUCTIONS FOR FILLING IN VPRS
ANNEX F.6-10651. VPR FOR EQUIPMENT
ANNEX F.7-10651. VPR FOR BULK MATERIAL
ANNEX F.8-10651. CONFIRMATION OF SUB-ORDERS AWARD
ANNEX F.9-10651. TWO-WEEK LOOK-AHEAD SCHEDULE
ANNEX F.10-10651. NOTIFICATION OF INSPECTION
ANNEX F.11-10651. MCS FOR PIPING
ANNEX F.12-10651. NDT LIST
ANNEX F.13-10651. WELD SUMMARY LIST
ANNEX F.14-10651. FQD INDEX
ANNEX F.15-10651. FQD COVER SHEET
ANNEX F.16-10651. ITP
ANNEX F.17-10651. NON-INSPECTABLE MATERIAL REQUIREMENTS
ANNEX F.18-10651. NOT USED
ANNEX F.19-10651. PROJECT QUALITY POLICY
ANNEX F.20-10651. NOT USED
ANNEX F.21-10651. NOT USED
ANNEX F.22-10651. MADE IN INSTRUCTIONS
ANNEX F.23- 10651.NOT USED
ANNEX F.24-10651. MTC AUTHENTICATION VERIFICATION SUMMARY LOG
This document is property of Técnicas Reunidas. Full or partial reproduction without written permission is strictly forbidden. 3
ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
1
PURPOSE AND SCOPE
1.001 The purpose of this document is:
a) to establish the QA, QC/Inspection and Expediting requirements that SELLER and its SELLER’S PROVIDERS shall comply for equipment, materials and services under their scope.
b) to define the QA, QC/Inspection and Expediting documentation that SELLER shall provide since the COMMENCEMENT DATE, as well as the information that shall be included in it.
c) to give detailed instructions on the coordination activities between BUYER and SELLER for the implementation of QA, QC/Inspection and Expediting activities and documentation requirements for the equipment, materials and services under SELLER´s scope.
1.002 The requirements contained in this document apply to all parties involved in the PROJECT and during all
its stages.
1.003 Any specific requirement concerning QA, QC/Inspection and Expediting to be fulfilled at SITE by SELLER shall be under the relevant site documentation/instructions provided by BUYER under the ORDER.
2 DEFINITIONS AND ACRONYMS
2.001 Capitalized words and expressions in the wording correspond with definitions. All definitions and acronyms used in this document are defined in the Annex A of the PURCHASE CONDITIONS and shall be applicable to this document accordingly.
3 GENERAL PROVISIONS
3.001 SELLER shall be responsible for ensuring that all the requirements herein included are complied with.
Likewise, it will be SELLER’s responsibility and obligation to get in touch with BUYER in case of any doubt or inability to comply with any of the requirements of this document and/or its annexes.
3.002 SELLER shall be responsible for and shall document the Quality aspects of all the equipment and materials and services under its scope and shall be responsible for all inspection, testing and QUALITY CONTROL to ensure that the requirements of the ORDER are met.
3.003 SELLER shall advise BUYER with any eventual regulatory requirement in force in the COUNTRY to be considered for any specific fabrication/quality activity under the ORDER. Such activities shall be included in the ITP(s) by SELLER.
3.004 Even if the inspection is not attended by BUYER, SELLER is in no way relieved from the responsibility for
the quality of the goods/services supplied or from performing these inspections.
3.1
FREE ACCESS
3.1.001 OWNER /TPIA /BUYER /LICENSOR shall be entitled to have their representatives or their nominees present at all locations where SELLER or its SELLER’S PROVIDERS are engaged in the performance of the ORDER, at any and all times, to review all aspects of SELLER’s /SELLER’S PROVIDERS’ quality activities and to witness whatever inspection and testing is required under the ORDER.
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
3.1.002 SELLER /SELLER’S PROVIDERS shall provide OWNER /TPIA /BUYER /LICENSOR and/or its authorized representatives with all necessary documentation, equipment, individual safety equipment/garments, workspace and any other facilities needed to carry out the required inspections and tests.
3.1.003 SELLER /SELLER’S PROVIDERS shall not refuse access to technical data or other relevant type of data which SELLER /SELLER’S PROVIDERS consider(s) proprietary or confidential, and which is reasonably required to inspect SELLER’s /SELLER’S PROVIDERS’ performance of the ORDER, except where the OWNER’s /TPIA’s /BUYER’s /LICENSOR’s representative(s) is a competitor of SELLER /SELLER’S PROVIDERS in the sale, engineering, or installation of systems similar to the facilities or is related to or affiliated with such a firm. In such event, OWNER’s /TPIA’s /BUYER’s /LICENSOR’s representative may nominate an alternative party to perform the inspection.
3.1.004 OWNER’s /TPIA’s /BUYER’s /LICENSOR’s representatives shall have the right to photograph, make graphical reports, etc. of the development of all phases of manufacturing of the equipment, materials or components of to SELLER/SELLER’S PROVIDERS and in the presence of SELLER/SELLER’S PROVIDERS. SELLER/SELLER’S PROVIDERS shall not refuse this request and shall allow these activities free of cost.
the ORDER, previous notification
3.2
HSE & SOCIAL REQUIREMENTS FOR QA, QC/INSPECTION AND EXPEDITING
ACTIVITIES
3.2.001 The HSE Check List attached to this document (Annex F.1-10651) will be filled in by BUYER’s Inspector during the first visit to the working facilities, being such process repeated quarterly as long as visits are performed regarding the sustainability requirements explained below.
3.2.002 Based on the mentioned check list, SELLER´s HSE and Social performance will be rated by BUYER. If any concern is detected, SELLER and/or SELLER’S PROVIDERS shall carry out all actions needed to improve the subject for getting a solution and to implement it in agreement with all involved parties.
3.2.003 Also, BUYER will be entitled to keep OWNER informed about any outstanding issue regarding
HSE and Social requirements.
3.2.1
HSE REQUIREMENTS
3.2.1.001 SELLER and/or SELLER’S PROVIDERS shall be responsible to ensure workers’, visitors’ and property’s health and safety by implementing the related HSE instructions, procedures and actions that prevents the risk of accidents, incidents and illness, and the like during the execution of the PROJECT as per its/their own workshop health and safety management system, international standards and safe working practices.
All OWNER’s /BUYER’s personnel or others acting on behalf them shall be instructed by SELLER appointed personnel on any potential risk during the activities at workshop as well as emergency arrangements and measurements at place. They shall be escorted in the workshop and shall be provided with the necessary PPEs.
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
3.2.1.002 BUYER’s personnel will be entitled to register and maintain a record of all unsafe acts and conditions identified during the visit and will report them to SELLER for assessment and corrective actions implementation or general improvement, as applicable.
3.2.2
SOCIAL REQUIREMENTS
3.2.2.001 BUYER is committed to act in accordance with the LAW and local regulations at all times,
guaranteeing respect for human rights and for internationally accepted ethical practices.
All activities shall be carried out aligned with the values and principles contained in the United Nations Global Compact. In addition, BUYER business activity follows the principles of Universal Declaration of Human Rights and the Organization for Economic Cooperation and Development Guidelines for Multinational Enterprises.
3.2.2.002 BUYER unequivocally states its total rejection of child and forced or compulsory labour, and abide by the freedom of association and collective bargaining and to recognize the rights of ethnic minorities in the countries where it operates, rejecting all forms of exploitation, in particular child labour, and ensuring compliance with the provisions of the ILO concerning the work of minors.
3.2.2.003 SELLER shall ensure equal opportunities through its action policies. Any kind of discrimination in corporate or professional contexts on the grounds of age, race, colour, sex, religion, political opinion, nationality, social origin, sexual orientation, disability, or any other circumstance likely to lead to discrimination will be unacceptable.
3.2.2.004 These ethical behaviours shall be observed by SELLER and any SELLER’S PROVIDERS
involved in the PROJECT.
3.3
PROJECT QUALITY MANAGEMENT SYSTEM REQUIREMENTS
3.3.001 SELLER shall comply with Quality Management System requirements established in Clause
15 of the PURCHASE CONDITIONS.
3.3.002
In case SELLER does not have its Quality Management System under ISO 9001, SELLER shall be required to demonstrate their ability to comply with the PROJECT QA/QC requirements stated in the ORDER.
In this case, SELLER shall provide before the ORDER award, a current copy of its Quality Manual(s) and any relevant Quality Procedures and Plans, together with any certificates showing QC product approvals such as ASME, TÜV, UL or CSA, among others.
Otherwise, SELLER shall assume BUYER’s quality procedures.
3.3.003 SELLER shall be aligned with the Project Quality Policy included in Annex F.19-10651.
3.3.004 BUYER shall have the right to request SELLER to prepare a specific Quality Plan for any
good/service under its scope, that even may require OWNER approval.
3.3.005 SELLER shall be required to issue specific ITP(s) for the ORDER (see Section 4.5). These ITP(s) shall show the planned activities, resources and events that serve to implement and record the implementation of SELLER Quality Management System relevant to the ORDER in accordance with ISO 9001 or equivalent approved by BUYER as per clause 3.3.002.
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
3.3.006 BUYER/OWNER or appointed representatives thereof, reserve the right to request SELLER both to provide a schedule of its Quality Audits, appropriate to SELLER’s /SELLER’S PROVIDERS’ activities, and to provide the related reports on such audits.
3.3.007 BUYER/OWNER or appointed representatives thereof, reserve the right to carry out Quality Audits and to conduct surveillance or independent additional inspections at SELLER’s /SELLER’S PROVIDERS’ premises, to verify that the Quality Management System requirements are being met.
3.4
INSPECTION AND TESTING
3.4.001 All testing and inspection activities shall be in accordance with the applicable PROJECT inspection requirements and applicable codes, specifications and instructions and shall take into account the duties and limitations of the materials or systems under consideration. In addition, any regulatory inspection as required by the local authorities shall be considered.
3.4.002 SELLER shall comply with the SA-175 FORM(S) requirements included in the ORDER, and shall perform inspection and testing as required by the applicable PROJECT specifications, international standards, ITP(s) and the INSPECTION LEVEL assigned for the material and equipment as defined in the early stages of the PROJECT. SELLER shall submit to BUYER the manufacturing and test reports as specified on each activity, if it is indicated in the corresponding SA-175 FORM.
3.4.003 SELLER shall ensure that all test and measurement equipment/instruments required to be used during inspections and/or tests are available in due time, in the needed quantities, with the adequate characteristics, ready for use and properly calibrated.
3.4.004 OWNER, TPIA and BUYER reserve the right to conduct whatever additional tests or inspections they may deem necessary to assure itself that all requirements of the ORDER are being met.
3.4.005 For the avoidance of the doubt, BUYER’s Inspector in no way shall be entered into discussions
regarding neither invoicing/commercial issues nor design changes.
3.4.006 SELLER shall maximise factory testing.
3.5
SELLER’S PROVIDERS CONTROL
3.5.001
In addition to the related requirements included in the PURCHASE CONDITIONS, SELLER is responsible for the following:
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
a) Flow down all the applicable requirements of this document to all its SELLER’S PROVIDERS, ensuring that they are communicated and understood at all levels in the SUPPLY CHAIN.
b) Establish and monitor the fulfilment of the QA/QC requirements to/by its SELLER’S
PROVIDERS to ensure that the specified contractual Quality is met.
c) Carry out any audits, reviews, surveillance, inspections and tests activities at SELLER’S PROVIDERS’ facilities, which were necessary to comply with the specified QA/QC requirements of supplied equipment, materials or services.
d) Control all HSE requirements to assure that works and inspections are performed safely.
e) Control, coordinate, expedite and solve any problem with its SELLER’S PROVIDERS to
achieve QA/QC requirements of the ORDER.
f) Guarantee and be responsible for the design and functioning of all materials or components
of its SELLER’S PROVIDERS.
g) In particular, SELLER shall review SELLER’S PROVIDERS documents required to be
submitted to BUYER prior to submission to BUYER.
h) SELLER shall include in its quotation a list of all SELLER’S PROVIDERS proposed for the supply of equipment, materials and services. The proposed SELLER’S PROVIDERS shall be included in the PROJECT Regulated/Approved Vendor Lists. Any deviation from this list shall be brought to the attention of BUYER for its approval. For materials and/or services not covered under the above-mentioned list, SELLER shall identify well proven SELLER’S PROVIDERS who can demonstrate previous experience of supplying similar materials or services of a similar size or duty/service and quality.
i) SELLER shall provide a copy of all SELLER’S PROVIDERS’ un-priced purchase orders signed by SELLER and SELLER’s PROVIDERS and identifying the equipment to which purchased material belongs.
j) SELLER shall have, as a minimum, the same involvement in SELLER’s PROVIDERS’
inspection activities as BUYER.
k) SELLER shall ensure that SELLER’S PROVIDER’S POs are placed sufficiently early to ensure that SELLER’S PROVIDER’S documentation is available in time to meet the agreed due dates.
3.6
INSPECTION LEVELS
3.6.001 The codes listed below indicate the inspection level(s) for the material(s) and/or equipment under the scope of the ORDER. The INSPECTION LEVELS establish the minimum surveillance coverage by BUYER’s /OWNER’s /TPIA’s Inspector deemed necessary to ensure that SELLER and/or SELLER’S PROVIDERS execute the QC activities as required in the ORDER.
3.6.002 The following levels of inspection shall be used as applicable:
0 :
BUYER’s /OWNER’s /TPIA’s Inspector(s) shall perform FQD review and submit the IRC.
NOTE: In the absence of an applicable SA-175 FORM, documentation of testing specified by the applicable industry standard (e.g. material test report, NDT, hydrostatic and functional test reports, etc.) shall be submitted to BUYER for revision prior to shipment.
1 :
BUYER’s /OWNER’s /TPIA’s Inspector(s) shall attend FINAL INSPECTION; perform FQD review and submit the IRC
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
2 :
3 :
4 :
BUYER’s /OWNER’s /TPIA’s Inspector(s) shall attend the PIM; perform non-periodic surveillance visits; attend all “M”, “W” and “H” points in accordance with agreed ITP(s), and FINAL INSPECTION; perform FQD review and submit the IRC.
BUYER’s /OWNER’s /TPIA’s Inspector(s) shall attend the PIM; perform surveillance visits on a regular basis ( weekly, bi-weekly or monthly); attend all “W” and “H” points in accordance with agreed ITP(s), and FINAL INSPECTION; perform FQD review and submit the IRC.
BUYER’s /OWNER’s /TPIA’s Inspector(s) shall be resident, performing all activities indicated for IL 3.
3.6.003 For further requirements on INSPECTION LEVELS, SELLER to follow SAEP-1151.
3.6.004 There may be more than one FINAL INSPECTION visit at any INSPECTION LEVEL,
depending on the delivery conditions that are defined in the ORDER.
3.6.005 All the supplies in the PROJECT will be assigned to one of these INSPECTION LEVELS based on the supply complexity, nature and criticality rating, numbers of items to be manufactured by SELLER, previous experiences and performance of SELLER, the corresponding SA-175 FORM, and any specific PROJECT requirement.
For critical risk PO’s , BUYER will conduct focused technical and quality assessments at thirty percent (30%), sixty percent (60%) and ninety percent (90%) of the manufacturing completion schedule. For high risk PO’s, BUYER will conduct assessments at sixty percent (60%) and ninety percent (90%) completion. For medium risk PO’s, BUYER shall conduct assessments at ninety percent (90%) completion. SELLER shall notify BUYER of PO progress milestones at 30%, 60% and 90%, For further requirements, SELLER to follow SAEP-1151.
3.6.006 According to the assigned INSPECTION LEVEL set out, a plan for visits, both periodic and occasional, shall be agreed between the PARTIES either in the KOM, PIM or any other specific meeting called for this purpose.
3.6.007 BUYER shall have the right to modify the assigned INSPECTION LEVEL to the ORDER at any time during the development of the ORDER. In case the INSPECTION LEVEL is increased, SELLER shall prepare and provide the adequate office space, a high-speed internet connection and the required facilities, at SELLER´s cost, as required.
3.6.008 Regardless the INSPECTION LEVEL, SELLER shall ensure that adequate office space, proper internet connection and facilities are provided to BUYER’s /OWNER’s Inspector, at its own expenses.
3.6.009 When definitions of Hold, Witness and Review contained within SAEP-1151 are not consistent
with API International Standards, definitions stated within SAEP-1151 take precedence.
3.7
SHOP EXPEDITING LEVELS
3.7.001 The codes listed below indicate the applicable shop expediting requirements, establishing the frequency of planned expediting visits to SELLER’s /SELLER’S PROVIDERS’ workshop(s) and/or to any other relevant SELLER´s /SELLER’S PROVIDERS’ premises as required in the ORDER for each equipment or material under the scope of the ORDER:
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
Rev. [0] [November 2023
Resident Expeditor at SELLER’s /SELLER’S PROVIDERS’ workshop(s) (*)
Shop expediting visits every two (2) days (*).
Weekly shop expediting visits (*).
Bi-weekly shop expediting visits (*).
Monthly shop expediting visits (*).
Occasional shop expediting visits (*).
A :
B :
C :
D :
E :
H :
(*) and/or to any other relevant SELLER´s /SELLER’S PROVIDERS’ premises as required in the ORDER.
3.7.002 The ORDER will be assigned to one of these expediting levels based on the supply complexity, nature and criticality rating, numbers of items to be manufactured by SELLER, previous experiences and performance of SELLER, and any specific PROJECT requirement.
3.7.003 Regardless the defined level, BUYER shall have the right, at any time during the development of the ORDER, to increase the shop expediting level and/or to assign and maintain resident Expeditors at SELLER’s or SELLER’S PROVIDERS’ premises. In case a resident Expeditor is required, SELLER shall ensure that adequate office space, proper internet connection and facilities are provided to BUYER/OWNER, at its own expenses.
3.7.004
In addition to the above, a Home Office Expeditor will be assigned by BUYER to each PO.
3.7.005 SELLER shall be responsible for all expediting activities related to its scope from the inception of a requisition until goods are delivered to the agreed delivery point. Such expediting shall continue until all documents and all replacement materials are received at the agreed delivery point and beyond, depending on the ORDER requirements.
3.8
PRE-INSPECTION MEETING
3.8.001 When specified in the ORDER, and in accordance with the assigned INSPECTION LEVEL, the required PIMs shall be carried out at the relevant SELLER’s offices and/or places of manufacturing, unless otherwise agreed. The attendees shall be SELLER, SELLER’S PROVIDERS (when applicable), and BUYER. In some instances, OWNER/TPIA shall attend. The PIM shall be held after PO awarding and prior to the start of any manufacturing/production operation, in order to discuss the subjects included in the PIM agenda (Annex F.2-10651).
If SELLER intends to subcontract equipment and/or fabrication where inspection and testing is required (as per applicable SA-175 FORMS), SELLER shall arrange attendance of those SELLER’S PROVIDERS to the PIM.
3.8.002
In the event that during the PIM any error, omission, deviation or inconsistency related to the ORDER is detected and/or discussed, it shall not be deemed as an approval. SELLER shall officially submit a resolution proposal of such issue to BUYER for approval.
3.8.003 Notwithstanding any other requirements regarding its submission, SELLER shall have submitted for BUYER’s review prior to the PIM, and no later than forty-five (45) calendar days before the start of manufacturing, both from SELLER and SELLER’S PROVIDERS, the following information:
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
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a) Complete copy of SELLER’S PROVIDERS’ unpriced purchase orders, or subcontracts,
material requisitions and attachments.
b) ITP(s).
c) SPECIAL PROCESSES Procedures (especially the WPS/PQR).
d) Technical Purchase Specifications for main materials.
3.8.004 PIMs will be called by BUYER, who will provide SELLER with the PIM agenda (Annex F.2- 10651) in advance, to allow it to make the necessary arrangements and make the relevant key personnel available also of SELLER’S PROVIDERS, if it is considered necessary by BUYER.
3.8.005 The minutes of meetings shall be prepared by BUYER’s authorized representative and will be
recorded according to the agenda and officially submitted to all participants.
3.9
NON-CONFORMITY REPORTS
3.9.001 SELLER shall implement and maintain a comprehensive record of all non-conformities.
3.9.002 BUYER shall advise SELLER of any non-conformity found through a NCR.
SELLER shall respond to all NCRs issued by BUYER in writing within 24 hours from receiving notification of non-conformity, including the proposed corrective action and the preventive actions to avoid recurrent or repeated non-conformities, and shall initiate an appropriate root cause analysis.
3.9.003 SELLER is not allowed to continue the works on the material involved in the NCR until the proposed corrective action has been agreed between all parties, unless SELLER receives previous written confirmation to proceed from BUYER.
3.9.004 No IRC will be issued by BUYER until all approved corrective actions have been fully implemented and have been verified by BUYER’s Inspector. The necessary actions for the approval and closure of an NCR shall in no way be considered by SELLER as a justification to claim cost or impact on SCHEDULE.
3.9.005 All inspection activities and tests performed for NCR closure shall be a HOLD POINT for
BUYER.
3.9.006 BUYER may also establish other ways of identifying deficiencies in work, documents, services and sub-tier performances. These methods may include corrective action reports, surveillance reports, audit finding reports, audit observations included in audit reports and other reports.
3.10 PUNCH LIST
3.10.001 If during a FINAL INSPECTION a punch list is opened, SELLER shall indicate the scheduled time to close it. The punch list shall be closed by SELLER and accepted by BUYER before packing.
3.10.002 In case BUYER decides to send the equipment/material with an open punch list to SITE or intermediate destination, the IRC and RN will be conditioned to the resolution of the pending points at such place, and SELLER will be responsible to carry out the necessary works to close the punch list, at its own cost.
3.10.003 If PARTIES agree that such works at SITE or intermediate destination is required to be carried out by BUYER, SELLER shall be responsible of sending to BUYER a complete description of the methods of the works to be performed at such place. A copy of this description of the
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
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methods shall be also included in the documentation sent together with the related CARGO. In this case, all costs incurred by BUYER will be back charged to SELLER and all the contractual warranties of the concerned equipment/material shall be kept in full effect.
3.10.004 BUYER shall have the right to decide if it is acceptable to release the equipment with open
punch list.
3.11 MATERIAL IDENTIFICATION AND TRACEABILITY
3.11.001 SELLER shall establish, maintain and implement procedures to guarantee the traceability of the received raw material and components from receipt through manufacture/fabrication, assembling, shipping processes and installation.
The procedures shall require that verification of correct identification of material, parts and components be made and documented prior to release for fabrication, assembling, shipping or installation.
3.11.002 Material traceability and identification is essential in cases where alloy verification will not detect a material non-conformance, e.g. where impact tested carbon steel is used for pressure vessels, pipework and structural steel or when normalized steel is used. All inspection/test records and certifications shall identify the relevant item or batch to which they apply.
3.11.003 Once the raw material has been assigned to the job – especially welding consumable after it has been PMI tested – it shall be physically segregated from the other materials at the workshop in order to assure a proper traceability.
3.12 SELLER PERSONNEL QUALIFICATION
3.12.001 SELLER’s personnel performing, interpreting, or otherwise affecting the results of NDT operations during the performance of an ORDER, shall be qualified and certified to meet or exceed the minimum requirements of ISO 9712, or ANSI/ASNT CP-189 level II in the relevant methods, or SELLER’s own qualification system which will require approval by BUYER level III before being applied.
Likewise, SELLER personnel in charge of any other SPECIAL PROCESS shall also be certified in the corresponding technique.
3.12.002 These qualifications shall be made available for BUYER’s Inspector review, upon request.
OWNER shall also be granted access to any qualification and certification records pertaining to NDT, welding or SPECIAL PROCESS during any visit. This applies to any organization covered under the scope of this document.
3.12.1
SELLER’S /SELLER’S PROVIDERS’ INSPECTORS
3.12.1.001 SELLER’s /SELLER’S PROVIDERS’ Inspectors for NDT shall be certified to a minimum of level
II as per the certifying organization’s written practice.
3.12.1.002 These qualifications shall be made available for BUYER’s Inspector review, upon request.
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
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3.12.2
SELLER’S /SELLER’S PROVIDERS’ WELDERS
3.12.2.001 The welders assigned by SELLER /SELLER’S PROVIDERS for the ORDER shall be certified according to the applicable codes and standards. BUYER’s Inspector will check and confirm the qualifications of each welder, reviewing their certificates.
3.12.2.002 These qualifications shall be made available for BUYER’s Inspector review, upon request.
3.12.3
SELLER’S /SELLER’S PROVIDERS’ PMI OPERATORS
3.12.3.001 SELLER /SELLER’S PROVIDERS shall produce the required documentation to demonstrate that its PMI personnel have the working knowledge regarding the PMI instrument, skill in using the device and knowledge of alloys, by showing such documentation to BUYER’s Inspector representative, upon request.
3.13 PAYMENT MILESTONE REQUIREMENTS
3.13.001 General invoicing instructions and requirements are included in the main body of the
PURCHASE CONDITIONS and in its Annex B.
3.13.002 In case of any PO payment milestone is subject to OWNER approval, the applicable
requirements shall be set down to SELLER subsequently.
3.13.003 The conditions for achieving some PO payment milestones (e.g. arrival of raw materials, verification of material certificates) may require verification by BUYER’s Inspector at SELLER’s /SELLER’S PROVIDERS’ premises.
3.13.004 The following requirements are applicable for the PO payment milestones, mainly related to
Expediting activities:
a) OVERALL EXECUTION SCHEDULE RECEPTION
SELLER shall send the Overall Execution Schedule document to BUYER fulfilling the requirements indicated in the ORDER, and specifically in Section 4.2.1 of this Annex F.
b) ISSUING OF SUB-ORDERS
SELLER shall send to BUYER a copy of the sub-orders, which shall contain, at least, the following information:
Description of the material or component with reference to the equipment, or category, or
type, or materials, or sizes, etc. of the SUPPLY affected.
Sub-order number.
Sub-order awarding date.
Name of SELLER´S PROVIDER indicating country and place of manufacture.
Contractual delivery dates.
Acceptance of the sub-order duly signed by both SELLER and SELLER´S PROVIDER.
Moreover, the sub-orders shall be issued in one of the official PROJECT languages. In those cases where it is impossible to issue the sub-order in one of them, the sub-order shall be sent together with a translation to one of the official languages.
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c) MATERIAL RECEPTION IN SELLER’S PREMISES
During the programmed inspection visits, SELLER shall provide BUYER with the appropriated evidence to prove that the associated payment milestone has been achieved. No specific BUYER’s Inspector visits will be carried out for this purpose.
In case of its Inspection Coordinator or its Project Procurement Manager does not consider that an Expediting visit to the premise is advisable, BUYER, at its sole discretion, may confirm achievement of the associated payment milestone if SELLER proves the delivery of such material at its premises with the following set of documents:
Confirmation of Material Reception form (Annex F.3-10651).
Duly signed material delivery notes that indicate receipt at SELLER’s /SELLER’S
PROVIDERS’ premises.
Copy of the Material Certificates duly verified and stamped with the acceptance of the person in charge of SELLER’s /Manufacturer’s QUALITY CONTROL, as a confirmation that SELLER /Manufacturer has accepted them as good.
Alternatively, if the material reception was stated as “W” on the ORDER ITP(s), the Inspection Report issued by BUYER for such “W” point, would be deemed as a proof for the achievement of the milestone.
Any SELLER claims about potential delays on corresponding invoice approval process for no compliance with this document shall not be considered.
d) MANUFACTURING PROGRESS
In order to proceed with the approval of this payment milestone, data included in VPR regarding this milestone will be considered.
In the event that the data in the VPR is not in line with the data in the Inspection Reports or if deemed necessary by BUYER, an Expediting visit will be required to verify this milestone.
e) MATERIAL DELIVERY AND FINAL DOCUMENTATION
The material will be considered delivered once SELLER provides BUYER with a proof of delivery at the agreed delivery place and BUYER has confirmed the receipt of the material as required by the ORDER and in perfect condition.
the FQD (tests certificates,
Notwithstanding any other applicable provisions established in the ORDER for the final documentation, trials, equipment quality, manufacturing certificates, etc.) or the different Material Certificates (in the case of piping material, such as pipes, flanges, accessories, etc.) included in the final documentation payment milestone, will be considered as delivered when BUYER receives them in the format and number of copies required by the PROJECT.
3.14 MARKING OF FABRICATION LOCATION/ORIGIN
3.14.001 SELLER shall mark the ORIGIN MARKS in all equipment/material with final destination Saudi
Arabia. The marking shall be executed on the material and on the package.
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This marking shall be carried out before notifying BUYER for FINAL INSPECTION.
3.14.002 BUYER’s Inspector will check these marks and in case of non-conformance, no IRC will be
issued.
3.14.003 Instructions and examples of how to carry out this marking are included in Annex F.22-10651.
3.14.004 The non-compliance with attached requirements could be cause of the returning of the goods
by Customs Authorities, at SELLER cost.
3.14.005 In case of doubt, it is SELLER responsibility to confirm with BUYER the final destination as
well as if this item is applicable to its SUPPLY.
3.15
INSPECTION RELEASE CERTIFICATE
3.15.001 SELLER shall not release any equipment/ material/ component for packaging and preparation for shipment prior to delivery to destination before receiving the IRC from BUYER’s Inspection Coordinator.
3.15.002 In case packaging inspection is required to be performed as per applicable ITP, SELLER shall not release any equipment/ material/ component for packaging and preparation for shipment before receiving authorization in writing by BUYER’s Inspection Coordinator. The related IRC will be issued after such packaging inspection.
3.15.003 For non-inspectable equipment/ material according to Annex F.17-10651, no IRC shall be
issued.
3.15.004 IRC will be issued once the following requirements are met:
a) Equipment/ material/ component meet all inspection requirements established in the ORDER.
b) All related quality documentation is complete and endorsed by BUYER’s Inspector.
c) All NCRs are closed out.
d) All SELLER’s Waiver Requests are closed out.
e) Punch List duly signed by PARTIES, if any.
IRC may be issued with minor exceptions to these requirements only with the written consent of BUYER’s QC Manager or the authorized person by him. In that event, those exceptions shall be noted on the IRC and acknowledged by SELLER.
3.15.005 Notwithstanding the above, IRC issuance of the released material/equipment shall not mean any acceptance/ acknowledge/ approval by BUYER regarding the provisions to achieve the PROVISIONAL CLOSE OUT.
3.15.006 No IRC will be issued to any SELLER’S PROVIDER when the material is going to be shipped to SELLER. In such case, the release of material by a SELLER’S PROVIDER is the responsibility of SELLER, who shall ensure that all applicable ORDER requirements are fulfilled, including the inspections required in the corresponding ITP(s).
3.15.007 SELLER shall be wholly responsible for ensuring that the items that are ready for release (including those by SELLER’S PROVIDERS) are fully compliant with the requirements of the ORDER.
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3.15.008 The IRC issued by BUYER does not release SELLER from its responsibilities under the ORDER. For the avoidance of doubt, the omission or error by BUYER of the acceptance of the inspected equipment/material do not release SELLER of its responsibilities under the ORDER.
3.15.009 SELLER shall submit within the next five (5) days from IRC issuance, all the MTCs, and all the manufacturing and test reports indicating BUYER’s acceptance, as specified in the applicable SA-175 FORM and/or SELLER ITP(s) reviewed by OWNER. The submission by SELLER and acceptance by BUYER of this document package is mandatory.
3.16 RELEASE NOTE
3.16.001 Once SELLER has carried out, according to Annex D and E of the PURCHASE CONDITIONS, the packaging and/or adequate conditioning for transportation, and the required documents are sent to and validated by BUYER, the Home Office Expediting group will proceed to issue and send the corresponding RN to SELLER.
3.16.002 SELLER shall not make the CARGO available for shipping, without BUYER prior written consent and instructions. In any case, SELLER shall coordinate the logistics details with BUYER prior to the shipment of the CARGO.
3.16.003 Once SELLER has complied with all the requirements associated with the INCOTERM set out in the PO, BUYER will send a confirmation regarding mentioned requirements to SELLER by e-mail following the provisions stated in Clause 4 of the PURCHASE CONDITIONS.
4 DOCUMENTATION TO BE DELIVERED BY SELLER
4.1
GENERAL PROVISIONS
4.1.001 SELLER shall send to BUYER all documentation mentioned on this document following the requirements included herein and in all other related documents forming part of the ORDER. SELLER shall comply with the agreed dates for issuing such documentation.
4.1.002 Notwithstanding the provisions stated in Clause 6 of the PURCHASE CONDITIONS,
previously to the KOM, SELLER shall provide BUYER with the following:
a) Confirmation of PO reception and acceptance, according to the provisions of Clause 5 of the
PURCHASE CONDITIONS.
b) Responsible personnel inside its organization, especially those related to fabrication, planning, inspection and deliveries, providing all contact details: name, telephone number, e-mail address, etc.
c) Confirmation of availability and list of attendees to the KOM and their positions (at least the Engineer in charge of the PO and SELLER´s REPRESENTATIVE assigned to the PO shall assist).
d) Completed and available e-VDDL in eGesDoc, to be able to check and clarify it during the
KOM.
e) Technical documents required in the e-VDDR(s) as critical in order to be able to check and
clarify them during the KOM.
f) ITP(s) to verify the inspection activities and points planned for discussing them during the
KOM, as much as possible.
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g) Preliminary Overall Execution Schedule including sub-ordering plan to be able to check and
clarify it during the KOM.
h) Confirmation of manufacturing location of each equipment or component (subject to the provisions of Clause 7.14 of the PURCHASE CONDITIONS), either at SELLER’s premises or at SELLER’S PROVIDERS’ premises to facilitate possible subsequent inspection/expediting activities.
i) A copy of the preliminary Packing List, if available.
4.1.003 BUYER will contact SELLER in order to send to it the templates (attached to this document) to be used for the PROJECT, as well as to inform about any additional and/or specific instructions that may be required.
4.2
DOCUMENTS TO BE DELIVERED BY SELLER PERIODICALLY
4.2.001 The following documents shall be prepared periodically by SELLER and delivered to BUYER:
a) Overall Execution Schedule (on a monthly basis).
b) VENDOR Progress Report (on a monthly basis).
c) Copies of the sub-orders/subcontracts placed in the reported period in the official language of the PROJECT, signed by both parties (SELLER and SELLER´S PROVIDER) (on a monthly basis).
d) Two-week look-ahead schedule of all planned HOLD POINTS and WITNESS POINTS (on a
weekly basis).
4.2.002 BUYER shall have the right to modify the submission frequency of the above-mentioned documents to weekly or bi-weekly, depending on the criticality of the ORDER for the PROJECT. In any case, BUYER will inform SELLER in advance about the required frequency.
4.2.003 A progress report shall be sent for each purchase order (according to Annex F.4-10651, Annex F.5-10651 and Annex F.6-10651 /Annex F.7-10651), regardless of the number of purchase orders awarded to SELLER. The first report shall be issued by SELLER within the agreed dates mentioned in the VDDR(s). Thereafter, each of the documents that comprises this report will be updated and issued on a date to be confirmed by BUYER.
4.2.004 A two-week look-ahead schedule shall be issued by SELLER following the requirements stated
in Section 4.2.3.
4.2.1
OVERALL EXECUTION SCHEDULE
4.2.1.001 The Overall Execution Schedule will show the main activities for the performance of the ORDER, including WITNESS POINTS and HOLD POINTS indicated on the SA-175 FORM(S).
4.2.1.002 The Overall Execution Schedule shall be a schedule in bar chart form, showing design, manufacture, inspection, testing and delivery of all equipment, materials and components to be delivered by SELLER and its SELLER’S PROVIDERS, if any. It shall show the earliest and latest completion dates for each activity with float, and the start date of shop manufacturing shall be clearly indicated.
4.2.1.003 The Overall Execution Schedule will show both the foreseen progress for the performance of mentioned activities in accordance with contractual SCHEDULE requirements (P) and the actual progress for each activity on the updated date of the Overall Execution Schedule (A).
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Any deviation in SCHEDULE, identified as a difference between (P) and (A) dates, for any of the Overall Execution Schedule activities shall be notified immediately to BUYER, informing of the corrective actions and updating the Overall Execution Schedule with the proposed reprograms to be carried out in order to meet the contractual date(s) established in the ORDER.
4.2.1.004 For equipment ORDERS, SELLER shall issue a detailed Overall Execution Schedule for each
piece of equipment to be supplied.
4.2.1.005 For material ORDERS, SELLER shall issue a detailed Overall Execution Schedule either by
categories, or by types, or by materials, or by sizes, or by sub-orders, etc.
4.2.1.006 The Overall Execution Schedule shall be issued for the complete scope of the ORDER and shall
include the following information (Annex F.4-10651):
a) SELLER’s DOCUMENTATION issue and review dates.
b) Dates of issue of sub-orders and its acknowledgement (when available) for materials and
components.
c) Delivery dates of materials and components at SELLER’s premises.
d) Dates of process or manufacturing activities.
e) Dates of intermediate and final tests.
f) DELIVERY DATES of items to BUYER according to commercial terms of the ORDER.
4.2.1.007 The content of the detailed Overall Execution Schedule for each piece of equipment may be divided by the following criteria: categories, types, materials, sizes, sub-orders/subcontracts, etc. This Overall Execution Schedule of the materials under the scope will include as a minimum the following information:
a) Weight of each item in relation to total PO (in kg and %, as applicable).
b) Main Engineering activities and SELLER’s DOCUMENTATION status with its issue and review
dates.
c) Dates of purchase and receipt at SELLER’s premises of all materials and items.
d) Manufacturing stage activities. The dates for all activities that are relevant within the
manufacturing process shall be included.
e) Dates of workshop tests and intermediate controls required in the manufacturing process. The points indicated in the IAPs or ITPs will be shown, with special concern on those marked as “W” or “H”.
f) Date(s) of final tests and inspections.
g) Date(s) of “Ex works” activities without packaging.
h) Date(s) of packaging and marking activities.
i) Date(s) of “Ex works” packaging activities.
j) Date(s) of shipping activities (if applicable) according to INCOTERMS stated in the PO.
4.2.2
VENDOR PROGRESS REPORT
4.2.2.001 SELLER will issue a detailed progress report (VPR) for each item by either of these criteria:
categories, types, materials, sizes, sub-orders/subcontracts, etc. of the items under the scope.
4.2.2.002 This VPR will show the updated progress (%) in reference to documentation and engineering activities, sub-orders/ subcontracts, material reception, stocks and manufacturing, etc., including the completion date of the different activities in reference to the scheduled dates (Annex F.5- 10651 and Annex F.6-10651 /Annex F.7-10651).
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4.2.2.003 Although the SELLER shall send the VPR on a monthly basis, BUYER reserves the right to request the VPR on a fortnightly, weekly or other basis if the criticality of the ORDER so requires.
4.2.2.004 In the event where the VPR shows a delay, BUYER also reserves the right to ask SELLER for a
recovery plan.
4.2.2.005 The VPR will include the following information, among others:
a) Summary of main activities carried out, main problems/areas of concern for the reported
period, including the solutions proposed by SELLER.
b) Identification of any delay in the SCHEDULE detected during the reported period and, that in
the SELLER’s opinion, is caused by (or might be caused by) BUYER and/or OWNER.
4.2.2.006 An updated purchasing program (list of materials or components) of the accomplished SELLER’s
purchases will be provided with the VPR, including as a minimum, the following information:
a) Material or component description with reference to equipment or category, type, material, size, etc. of the concerned SUPPLY. In case this is not practical, a material list itemized by equipment, categories, types, sizes, etc. shall be issued.
b) Number of sub-order.
c) Sub-order foreseen awarding date and actual awarding date. SELLER shall be responsible to
ensure that the sub-orders placement dates do not jeopardize the fabrication schedule.
d) SELLER’S PROVIDERS’ name indicating country and manufacturing location.
e) Contractual delivery dates and foreseen or updated dates.
f) Brief information of the sub-order status.
4.2.2.007 SELLER shall send unpriced copies of the sub-orders within the reported period and in the way specified in the VDDR(s) on the same day of its awarding. The sub-orders shall show SELLER’s and SELLER’S PROVIDER’s signatures, main PO number and a reference to the equipment or part of the SUPPLY to which the material purchased under the sub-order belongs to.
4.2.2.008 Once all the sub-orders for each main item in each PO have been awarded, SELLER shall attach to the VPR a written confirmation. The format for the mentioned confirmation is included as Annex F.8-10651.
4.2.2.009 Additionally, once the main raw materials/components/equipment have been received at the SELLER’s premises and accepted by SELLER, a written confirmation will be issued and included in the VPR. The format for the mentioned confirmation is included as Annex F.3-10651.
4.2.2.010 The VPR shall include pictures of:
a) Raw material received during the period covered by the report.
b) Manufacturing progress during the period covered by the report.
4.2.2.011 The first submission of VPR shall include a Schedule 0 following the related VPR instructions.
4.2.3
TWO-WEEK LOOK-AHEAD SCHEDULE
4.2.3.001 SELLER shall provide BUYER with a two-week look-ahead schedule of all WITNESS POINTS and HOLD POINTS planned QC activities [in accordance to the applicable SA-175 FORM], as specified in the corresponding ITP.
4.2.3.002 The schedule shall be sent electronically on a weekly basis to BUYER’s QC Manager or the
delegated person in the attached format (Annex F.9-10651).
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4.3
NOTIFICATION OF INSPECTION
4.3.001 Notification and subsequent confirmation of inspections and tests requiring “W” or “H” points by BUYER, OWNER and/or TPIA shall be in accordance with the agreements/instructions below and any agreements/instructions provided during the PIM.
4.3.002 All the inspection notifications shall be done as per the final ITP(s) and in accordance with BUYER surveillance points in the applicable template “Notification of Inspection” attached to this document (Annex F.10-10651).
4.3.003 The notifications shall be numbered in accordance with the following rules:
0000000000-XXX-NOI-999
where:
0000000000: PO number as indicated in the ORDER
XXX: Three first letters of SELLER’s or SELLER’S PROVIDER’s name (to be defined by BUYER’s QC Coordinator).
999: Sequence number.
In case that separated POs per Contract Packages are issued at the same SELLER’s or SELLER’S
PROVIDER’s , the notifications shall be numbered in accordance with the following rules:
10651-XXX-NOI-999
where:
10651: Project Code
XXX: Three first letters of SELLER’s or SELLER’S PROVIDER’s name (to be defined by BUYER’s QC Coordinator).
999: Sequence number.
4.3.004 Unless otherwise indicated in the ORDER, all NOIs shall be sent by SELLER at least fifteen (15) days in advance to the start of the concerned inspection. Such inspection dates should be previously agreed with BUYER’s Inspector assigned to the PO. The NOI shall be sent for the attention of, as a minimum, BUYER’s QC Coordinator, BUYER’s QC Manager, BUYER’s Expeditor and BUYER’s Inspector. Additional and/or specific instructions will be indicated during the PIM, if any.
4.3.005
Inspection starting date and duration of the activity shall be detailed in the NOI and they shall be working dates at the location of the premises and within business hours (08:00 – 18:00 h). Any time for an inspection out of the timing indicated above shall be previously agreed with BUYER’s QC Coordinator/Manager.
4.3.006 SELLER /SELLER’S PROVIDER shall assure that the associated equipment/materials and documentation are ready and available for related inspection before submitting the NOI. In case of any inspection cancellation, it shall be notified at least five (5) days in advance, otherwise the cost of cancelled inspection visit will be charged to SELLER (as a minimum one
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(1) working day and the expenses incurred by the parties other than SELLER). This also includes aborted or non-productive visits attributable to failure by SELLER /SELLER’S PROVIDER (e.g. lack of preliminary verifications by manufacturer’s QC, unavailability of test bench or calibrated measurement tools, or any other reason that prevent the inspection from being carried out).
4.3.007
In case of failure of any test, the new re-test shall be considered as a HOLD POINT, regardless of whether the initial test was a WITNESS POINT or a MONITORING POINT. Consequently, a new NOI for retest shall be issued, with the same provisions required above.
4.3.1
MCS FOR PIPING BULK MATERIAL
4.3.1.001 In addition to the notification as explained in the above paragraphs of Section 4.3, SELLER shall provide an Excel sheet including the following information applicable to pipes, fittings, flanges, etc.:
a) Inspection notification or MCS number.
b) PO item number, PO item description, PO item quantity, Ident item code, Certificate number
and Heat numbers.
If an item has more than one Heat number, the quantities shall be split up in different rows indicating quantities and corresponding Heat numbers.
4.3.1.002 It is advisable to attach corresponding Material Certificates to corresponding MCS. When it is not possible to attach them due to heavy volume, they will be sent by any cloud service to BUYER’s QC Coordinator, and SELLER shall ensure that they are available on the agreed inspection date for review and signature by the Inspector.
4.3.1.003 Template to be used is included in Annex F.11-10651.
4.3.1.004 The MCS shall be numbered in accordance with the following rules:
0000000000-XXX-MCS-999
where:
0000000000: PO number as indicated in the ORDER
XXX: Three first letters of SELLER’s or SELLER’S PROVIDER’s name (to be defined by BUYER’s QC Coordinator).
999: Sequence number.
In case that separated POs per Contract Packages are issued at the same SELLER’s or SELLER’S
PROVIDER’s , the notifications shall be numbered in accordance with the following rules:
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10651-XXX-NOI-999
where:
10651: Project Code
XXX: Three first letters of SELLER’s or SELLER’S PROVIDER’s name (to be defined by BUYER’s QC Coordinator).
999: Sequence number
4.4
INSPECTION WAIVER
4.4.001 Whenever BUYER waives an “H” point visit to SELLER’s /SELLER’S PROVIDERS’ premises, written confirmation will be sent by the Project BUYER’s QC Manager. Production shall not proceed beyond any HOLD POINT until that written release is issued.
4.4.002
In case BUYER decides not to attend a “W” point, SELLER and/or SELLER’S PROVIDERS can proceed with its own inspection.
4.4.003
In both cases, SELLER /SELLER’S PROVIDERS shall:
a) Either prepare the related documentation to meet the requirements of the applicable ITP(s) or [SA-175 FORM(S)] for BUYER’s Inspector revision during its next visit. The mentioned documentation will be included in SELLER’s FQD or Inspection Record Book (IRB), or
b) Submit one (1) copy of all certifications to BUYER for review and endorsement, prior to shipping the corresponding materials or items. After endorsement, the certifications will be returned to SELLER for compilation in the FQD and or Inspection Record Book (IRB).
4.4.004 The waiving to attend a “H” or “W” point does not release SELLER from the obligation to carry
out the test.
4.5
INSPECTION AND TEST PLAN
4.5.001 SELLER shall provide on agreed dates shown in VDDR(s) an ITP for each supplied equipment or group of materials, which describe the methods and procedures to be used to assure and verify conformance and quality of the item during receiving, in process and FINAL INSPECTION and testing.
4.5.002
In no case, SELLER /SELLER’S PROVIDERS can start the manufacturing of the SUPPLY until the corresponding ITP(s) is(are) in status “Reviewed with minor comments”.
4.5.003 SELLER’s ITP(s) shall incorporate the requirements of SELLER’s Quality Management System, SA-175 FORM, and all other applicable ORDER requirements. The ITP(s) shall identify the INSPECTION LEVEL defined by BUYER, the governing document(s) for each activity and shall contain provisions to identify HOLD POINTS, WITNESS POINTS, MONITORING POINTS and REVIEW POINTS, and to record inspection and test results for BUYER’s /OWNER’s representatives.
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The nature and scope of implication of BUYER/ TPIA/ OWNER will be indicated in the [SA-175 FORM(S)] and ITP(s) for each manufacturing and test activity through the letters “M”, “W”, “H” and “R”, the meanings of which are defined in the Annex A of the PURCHASE CONDITIONS.
4.5.004 The ITP(s) shall include as a minimum three (3) columns: one for SELLER /SELLER’S PROVIDER, other for BUYER’s Inspector and the last one for OWNER’s involvement in inspection activities.
4.5.005 SELLER shall indicate on the ITP(s) all the surveillance that SELLER will perform on
SELLER’S PROVIDERS’ goods.
4.5.006 Unless otherwise indicated in the ORDER or by BUYER, SELLER may use its standard format for the ITP(s) but shall include all the information stated in the attached format (Annex F.16- 10651). The content shall include all requirements of the PROJECT specifications referenced in the ORDER.
4.5.007 The final ITP(s), after reviewed by BUYER, shall be subject to OWNER review, if required.
4.5.008 The final ITP(s) might be reviewed and agreed upon discussed with SELLER during the PIM. In case PIM is not applicable, the ITP(s) will be agreed during the documentation review process.
4.5.009 The agreed ITP(s) shall be kept by SELLER and endorsed progressively by SELLER’s QC personnel, BUYER, and any other authorized party to demonstrate successful completion of each inspection activity.
4.5.010 As a minimum, each ITP shall include the following general fields to be filled in with the related
information:
a) PROJECT name.
b) PO No./Supplement No.
c) OWNER Dummy PO number.
d) SELLER’s /SELLER’S PROVIDER’s name and workshop location.
e) Equipment/material description.
f) INSPECTION LEVEL.
g) Notification requirements for inspection witness and hold points (minimum 10 working days.)
4.5.011 As a minimum, for each activity, the following information shall be included:
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a) Inspection activity.
b) QC verification activity.
c) Reference documents (drawings, procedures, etc.).
d) Acceptance criteria (codes, etc.).
e) Reports and documents to be supplied for controls and tests.
f) SELLER’s QC Department involvement.
g) BUYER’s Inspection involvement, according to SA-175 FORM(S)
h) OWNER involvement according to SA-175 FORM(S).
i) TPIA and/or NOBO involvement, if any.
j) Sampling criteria.
k) Line reference of 175 form.
4.5.012 For all pressure vessels, SELLER shall include a summary list attached to the ITP showing all pressure bearing weld joints and those joints which weld together non-pressure retaining parts to pressure bearing parts, with all the NDTs to be performed on each weld prior and after the PWHT, if applicable (e.g. PMI, hardness test, etc.), including the percentage of each NDT.
Applicability of PWHT for each of the above joints shall be indicated in the summary list, as well as the joints from where the test coupons shall be taken.
SELLER shall use the attached format (Annex F.12-10651) as NDT List.
4.6
SPECIAL PROCESSES DOCUMENTATION
4.6.001 SELLER shall submit manufacturing procedures for SPECIAL PROCESSES for BUYER’s review at least forty-five (45) calendar days before the start of the related SPECIAL PROCESSES’ works. “Review with minor comments” status for the documentation shall be reached before the start of related SPECIAL PROCESSES’ works.
4.6.002 The welding dossier shall be issued for a family of equipment (i.e. those equipment which are identical apart from the tag number), and shall include the applicable WPS, PQR and the weld maps indicating the real positions of welds, type of welds to be done, actual thickness of the base metal and type of material to be welded.
As a part of the weld map, a list/summary of welds shall be included with at least the following information: weld seam, material, governor thickness, welding process, WPS, PQR, PWHT, MDMT and impact test requirements.
In case the welding dossier has any comments, BUYER shall show in this list the weld seams that can be welded since that part of the dossier has no comments. In this regard, SELLER needs the writing confirmation of BUYER to start welding activities and filling in the attached format (Annex F.13-10651).
4.6.003 Aramco Consulting Services Department´s “Procedure Review Sheets” formerly issued by Aramco for the corresponding WPS (in previous works) shall be included whenever the design/operation conditions of the corresponded Vessel/Item matches.
4.6.004 For welding procedure qualification, SELLER shall use OWNER approved laboratories taking
into consideration the following:
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a) For inside Kingdom welding procedure qualification, see below Saudi Aramco approved list for mechanical testing laboratories. SELLER to bring to the attention of BUYER if Saudi Aramco had recently approved new laboratories:
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b) For outside Kingdom welding procedure qualification, the mechanical testing can be carried
out by any ISO 17025 certified test laboratory.
4.6.005
In case any of these documents (weld map, WPS and PQR) are missed, the welding dossier will be rejected. In case any of these documents are sent separately, they will be rejected and will be considered as not received.
4.6.006 Regarding the alloy verification (PMI), the corresponding procedure shall satisfy the requirements of the PMI PROJECT Specification, if any, and shall also indicate the PMI instrument proposed to be used for the job.
4.7
MATERIAL CERTIFICATES
4.7.001 Unless otherwise indicated in the ORDER or in the technical scope of the RFP DOCUMENTATION, SELLER shall supply Material Certificates as required in SA-175 FORM and according to EN 10204 /ISO 10474 for all and every parts and components to be supplied, following the requirements stated below:
Item Parts
Certificate Type
Pressure containing Parts *(Note-1)
Direct weld to pressure containing parts *(Note-2)
3.1
3.1
Non-pressure parts
2.2 (3.1 for NACE Material)
Gasket
Bolt/Nut
*Note-3
*Note-4
Welding consumable for pressure parts
3.1 for chemical composition.
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2.2 for mechanical properties *Note-5
*Note-1: Valves: body, bonnet/cover and closure.
*Note-2: In-line instruments: SELLER shall propose the type of certification for non-pressure
retaining parts welded to pressure retaining parts. Unless expressly otherwise indicated in the ORDER, the minimum certification accepted will be 2.2.
*Note-3: Certificate type 2.2 for gasket, except ring type gasket, shall be applied. For ring type
gasket, Certificate type 3.1 shall be applied.
*Note-4: Certificate type to be applied as follows:
Machine Bolt: Certificate Type 2.2. Stud Bolt for non-pressure parts: Certificate Type 2.2. Stud Bolt for pressure parts (Piping, Equipment, Instruments, etc.): Certificate Type
3.1.
Stud Bolts for Steel Structure: Certificate Type 3.1, unless otherwise indicated in the
PROJECT Specification.
*Note-5: All consumables shall be tested in accordance with AWS A5.01 (or European /Japanese equivalent) and with the table at 4.7.002 for Lot Classification and Level of Testing, unless otherwise indicated in the ORDER. Additional testing requirements may be included in the ORDER. Certifications shall be attached to all materials shipped.
Above requirements shall be applicable to non-metallic products.
4.7.002 For welding material consumables, the table below shall be followed:
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Above requirements for filler metals are applicable whenever there are not stringent requirements within the PROJECT Specifications and Standards (for example, for those items designed under API RP 934- A, a Schedule K shall be included to fulfil screening test required in API).
Any deviation to this kind of certificates shall be previously agreed between SELLER and BUYER, beforehand the PO is awarded.
4.7.003 For equipment, PO number, item number, Saudi Aramco Dummy Number and drawing mark of the material shall be included in the certificates and test reports for a correct traceability. On multipage certificates and reports, these indications can be added on the first page of the document only if all the pages are traced. The certificates shall indicate the final product or configuration (i.e. “Pump rotor” versus “Forging blank”). Certificates created by manufacturers that transform raw material into products shall include the original test data and the name and location of the raw material source (e.g. certificates for flanges shall identify the source of the forging and the material test results from the forging).
4.7.004 For bulk material certificates, BUYER PO number, Saudi Aramco Dummy Number and BUYER item number as well as the quantity of material covered shall be indicated on each material certificate.
4.7.005 For any packaged equipment such as pressure vessels, heat exchangers, rotating equipment which include flanges and fittings procured by the main packaged equipment supplier as integral part, SELLER shall verify and authenticate the flange’s and fitting’s orders awarded by its SELLER’S PROVIDERS. The relevant MTCs shall be accompanied with its corresponding authentication letter from the OCM.
The implementation of this requirement shall be as per the following and evidences shall be provided to OWNER’s /BUYER’s Inspectors during receiving inspection and before installation on the equipment:
a) Obtain and review written evidence from sub-components manufacturers that authenticates the mechanical tests and chemical composition reported in the certificates for the sub- components materials provided by sub-supplier/stockist.
b) For the material supplied by a stockist, the former shall perform the inspection activities defined in the applicable SA-175 FORM and provide inspection reports and testing records prior to release of sub-component materials to be used by the main manufacturers.
The information gathered by SELLER shall be compiled in the format included in Annex F.24-10651.
Furthermore, this requirement shall be implemented by SELLER in the ITP(s) as a specific activity.
4.7.006 MTCs for NACE material shall include the hardness (HRC value) obtained and the chemical
composition. All the alloy elements listed in NACE (SP0472) shall be included.
4.7.007 According to NACE MR0175/ISO 15156 (A.2.2.4 Bolting and fasteners), bolting that can be exposed directly to a sour environment, or that is buried, insulated, equipped with flange protectors or otherwise denied atmospheric exposure, shall conform to the general requirements of A.2.1.
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4.8
HAZARDOUS AREA CERTIFICATES
4.8.001 Hazardous area classification and particular equipment requirements shall be indicated in the
RFP DOCUMENTATION.
4.8.002 For further requirements on Hazardous area classification and particular equipment
requirements, SELLER to follow SAES-P-100 paragraph 8.3.
4.8.003 SELLER shall provide hazardous area certificates in compliance with the hazardous area classification indicated on the PROJECT technical specification and/or data sheet for each single certified equipment.
4.8.004 SELLER and/or SELLER’S PROVIDERS shall be responsible to ensure the installation of nameplates or labels warning in both English and Arabic Languages of dangerous or hazardous conditions. Eg: High voltage.
4.9
CALIBRATION CERTIFICATES FOR INSTRUMENTS INCLUDED IN SELLER’S
SCOPE
4.9.001 All instruments and pressure safety valves within SELLER´s scope shall be calibrated prior to
be shipped to SITE.
4.9.002 A calibration certificate (traceable to certified laboratories according to ISO/IEC 17025) shall be issued for each instrument. These certificates shall make reference to BUYER’s tag number of each instrument, and they shall be offered for review by BUYER’s Inspector.
4.9.003 SELLER shall include specific instructions for preservation and storage regarding calibrated goods in its Preservation Procedure. Whenever the commissioning date of the goods is established in the ORDER, SELLER shall guarantee that the calibration validity period covers this former date.
4.9.004 A copy of the calibration certificates duly signed by the BUYER’s Inspector shall be sent to BUYER in an independent document coded as CER-0006 (Instrument Calibration Certificates) or CUR-0001 (Calibration Curves) according to VDDR and VDDL requirements, while another copy shall be sent to BUYER with the FQD inside a particular chapter named “Calibration Certificates”. A traceable sheet indicating BUYER’s tag number/reference number of the instrument and calibration range shall be included as part of the document. The validity period of the calibration shall be clearly stated in both certificate and in the traceable sheet. Each tag shall include a link to the relevant calibration certificate.
4.9.005 BUYER reserves the right to not release the goods until all certificates have been properly
supplied by SELLER and reviewed by BUYER in accordance with the above instructions.
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ANNEX F-10651. QA, QC/INSPECTION AND EXPEDITING REQUIREMENTS
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4.10
LOGISTIC DOCUMENTS
4.10.001 Logistic documents shall comply with Annexes D and E of the PURCHASE CONDITIONS,
included in the ORDER.
4.11
FINAL QUALITY DOSSIER
4.11.001 SELLER shall prepare the FQD according to the related requirements stated in the RFP
DOCUMENTATION.
4.11.002 The FQD issued by SELLER shall contain, as minimum, all applicable information according
to the contents shown in the template included in Annex F.14-10651.
4.11.003 One (1) individual FQD shall be supplied per:
a) Each piece of equipment if the PO groups several pieces under the same item.
b) Each package unit and machine (composed by several Sections for different components).
c) Each lot of material delivered for bulk materials (i.e. piping, instruments, etc.) for each PO.
4.11.004 The FQD documentation shall be prepared and compiled on an ongoing basis during the manufacturing period in a Master Document and kept available to BUYER for its periodic review and signature.
4.11.005 The cover page of the FQD shall be as per template included in Annex F.15-10651.
4.11.006 SELLER shall compile all required documents arranged exactly according to the template included in Annex F.14-10651. SELLER shall complete every line of this template, indicating “not applicable” where necessary.
Additional chapters might be needed in the FQD. In such case, SELLER shall inform BUYER for a final resolution about these additional contents.
4.11.007 All chapters shall have a bookmark.
4.11.008 All ITP(s) and welding dossiers included in the FQD shall be the version reviewed without comments by BUYER and shall include the official cover sheet of the PROJECT where the document status is shown.
4.11.009 Unless otherwise indicated in the VDDR(s), two (2) weeks after the PIM, SELLER shall send
the table of contents (index) of the FQD for review by BUYER.
4.11.010 In case hardcopy of the FQD is required, all A3 drawings contained in it shall be folded to A4 size. Larger drawings, which cannot be reduced to A3 size, shall be folded and placed in A4 plastic bags.
4.11.011 During FINAL INSPECTION visit, the FQD shall be available for BUYER’s Inspector final
review and signature.
4.11.012 The issue of the IRC will be subject to the confirmation that the FQD is almost finished, with the only pending point of including the IRC in it. Once the FQD is completed, SELLER shall send an electronic copy of the FQD signed and stamped by the Coordinator/Manager for final review using the official document review channel. A copy of the transmittal shall be sent to BUYER’s QC Manager. The FQD might be subject to OWNER review.
4.11.013 All pages of the FQD shall be numbered.
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4.11.014 All the certificates, documents and reports contained in the FQD shall be searchable and
readily reproducible.
4.11.015 All certificates shall remain unaltered as issued at source. Altered certificates shall be cause for rejection of certificates and associated equipment/materials. The forgery of any document or part of the FQD shall be considered as SELLER’s wilful misconduct.
4.11.016 Each page shall be given a totalized page number, which shall be placed at the top right corner
of each sheet.
4.11.017 Once the FQD of a concerned material or equipment has been fully reviewed and signed, in the case physical copies of this document were required, SELLER shall send the number of copies indicated in the ORDER following BUYER’s Expediting instructions not later than one (1) week from revision and signature of the FQD.
4.11.018 The documents in digital format forming part of the FQD shall fulfil the following requirements:
a) Documents (including certificates/reports, etc.) shall be colour scanned copies of the original.
b) Information in the documents shall be clear, legible and reproducible, if photocopied.
c) Where a document has stamps or seals on both sides of the page, then both sides shall be
scanned.
d) Documents shall be scanned at the original size.
e) SELLER shall ensure no part or pages of the documents are missing.
4.11.019 Material/Equipment delivery shall not be considered complete until the FQD is reviewed without
comments by BUYER.
4.11.1
FQD FOR BULK MATERIAL: PIPING MATERIAL, VALVES
4.11.1.001 A complete FQD shall be issued including an Excel list of utilized materials with a full identification of the item where they have been used and/or their location in the specific piece of equipment/supply assuring perfect traceability with material certificates and test coupon certificates. Such list shall be ordered by item number with the following information:
a) PO Item number
b) PO Tag/Item Description
c) PO Quantity
d) Id. code
e) Heat number
f) Certificate number
g) IRC number
h) FQD page number
4.11.1.002 Item number, material description, material dimensions and heat number shall be included on
each certificate.
4.11.2
FQD FOR BULK MATERIAL: ELECTRICAL AND INSTRUMENT MATERIALS
4.11.2.001 A complete FQD shall be issued including an Excel list of utilized materials with a full identification of the item where they have been used and/or their location in the specific piece of
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equipment/supply assuring perfect traceability with material certificates and test coupon certificates. Such list shall be ordered by tag number with the following information:
a) PO Tag number
b) PO Item number
c) PO Tag Description
d) PO Quantity
e) Id. code
f) IRC number
g) FQD page number
4.11.3
FQD FOR PACKAGED UNITS
4.11.3.001 A complete FQD shall be compiled by unit item number.
4.11.3.002 Sections of each equipment item and materials that comprise the unit, shall be separated by
sections spacers.
4.11.4
FQD FOR ALL GOODS
4.11.4.001 For an easier review by BUYER, SELLER shall prepare a traceability spreadsheet (in Excel file) correlating the material drawing mark/ tag number/ item number with its corresponding description, Heat number and material certificate number.
4.11.5
FQD FOR STRUCTURAL STEEL
4.11.5.001 FQD shall be compiled for each structure I.D.number. The common records/certificates can be compiled in a separate volume,in which case, a sheet refers to the common FQD volume, shall be inserted,
4.12 AUTOMATIZED ULTRASONIC TEST (TOFD AND PHASED ARRAY)
4.12.001 SELLER shall hand over electronically the files of all weldments register before the hydraulic test to BUYER who is entitled to not allow any hydraulic tests until the revision of the files. Any discrepancy on the qualification of such files shall be brought to the attention of SELLER for its resolution.
4.12.002 SELLER shall notify ahead BUYER when Automatized Ultrasonic Test will be used. SELLER shall notify its intent of performing Automatized Ultrasonic Test to BUYER with sufficient time to arrange OWNER approval.
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Project: Q-31108 - Tecnicas - Riyas Folder: PURCHASE CONDITIONS SEP.21 REV.01