Epc Project Interdepency
Epc Project Interdepency
and
Work Flow
Our Belief
Topic Page
Sample WBS 65
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Don’t be like this…
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EPC Project Management
- Introduction
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EPC Project Management
EPC stands for Engineering, Procurement, Construction and In some cases, the contractor carries the project risk for
is a prominent form of contracting agreement in the schedule as well as budget in return for a fixed price,
construction industry. called lump sum LSTK depending on the agreed scope of
work.
The engineering and construction contractor will carry out
the detailed engineering design of the project, procure all EPCM stands for Engineering, Procurement, Construction
the equipment and materials necessary, and then construct Management. This type of contract is different to an EPC
to deliver a functioning facility or asset to their clients. Contract in that the Contractor is not directly involved in
Companies that deliver EPC Projects are commonly referred the construction but is responsible for administering the
to as EPC Contractors. Construction Contracts.
The EPC phase of the project is also known as the Execution EPCI stands for Engineering Procurement Construction
phase which normally follows what is know as a FEED or and Installation which is a common form of contracting
Front End Engineering Design phase. The FEED is a basic arrangement in the Offshore Construction Industry. As
engineering design used as the basis for the EPC phase. opposed to an EPC contract, the offshore facility or vessel
that is constructed has to be transported and installed at
The FEED can be divided into separate packages covering the project location.
different portions of the project. The FEED packages are
used as the basis for bidding on when the client offers the EPIC stands for Engineering Procurement Installation
EPC work to the market. Commissioning is typically a Lump Sum Turn Key (LSTK)
type Contract integrating the responsibility going from the
Under an EPC contract, the contractor designs the conception to the final acceptance of one or more
installation, procures the necessary materials and builds the elements of a production system. It can be awarded for
project, either directly or by of the work. all, or part, of a field development.
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EPC Project Organization
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EPC Project Organization
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Manufacturing/
Design Procurement Shipment
Fabrication
Construction &
Installation Inspection & FAT Hand-Over
Erection
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Engineering in the Project
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Engineering Discipline
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EPC Project Management
- Work Flow
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Engineering Work Flow
Engineering work flow concept is required to be fully understand There are many interdependencies between engineering
for someone who involved in the EPC Planning and Activity documents.
Sequencing.
For instance piping routing drawings are issued after the process
This concept is applied when the EPC level 4 schedule is diagram Is defined.
developed.
Most of the documents will usually issued several times, at
The process of engineering work to produce the required different stages to for review as well as to incorporate the
deliverables depends on not only within the functional comments.
discipline itself but also among the process, mechanical and
piping engineering functions. Typically a document is first issued for Internal Review (IFR) of the
other disciplines, then to client for comment (IFC), it will be
Engineering in EPC project is the task of translating a set of returned to be incorporated with the client comments and issue
functional requirement into a full set of drawings and for Approval (IFA), then for construction (IFC) and last once
specifications depicting every detail of a facility, everything is confirmed and will Approve for Construction (AFC)
• Process
•Civil and Structure
•Mechanical
•Piping
•Electrical
•Instrumentation
•General Engineering
•Safety
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The entire strategy is dependent on Engineering and
Procurement providing their deliverables to meet
Path of Construction.
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Engineering Work Flow
Engineering Disciplines
Civil and
Activity Process Mechanical Piping Electrical Instrumentation
Structure
Diagrams
Geographical
Drawing
Architecture
Drawing
Calculations
Equipment or
material spec,
data sheet &
requisition
Engineering
Procurement
Construction
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Project Execution
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EPC Project Management
- Engineering Document Issue Purposes
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Issuing Purpose
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Engineering Workflow
Rule of credit
Step Review cycle
Increment % Cumulative %
P&ID
HAZOP
REVIEW
PIPING MTO
& PO
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Document Control
Client
Documents
•Engineering submission cut-off Approval/ •Client Review cycle. (IFR,IFA,IFC,AFC)
submitted
•Maintain internal and external baseline Comments •Client Review duration
to client
Engineering
•Vendor information criticality for client Documents •Vendor duration to incorporate the
submission Comments comments
doc approval
•Vendor delivery estimation
Vendor
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Vendor Data
Engineering is the integrator of the Plant equipment, and is highly dependent on vendor data
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Engineering Work Flow – Process Design
Process Design
PFDs
P&IDs
H&M balance
Piping
Instrumentation
Equipment specification
Vendor drawings
Rotating
Packages etc.
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Piping Engineering Flow
PFD
Stress
ok ?
Process
equipment
list
Piping
isometric
drawing IFC
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1st Model
review
3D Model 3D
Modeling
2nd model (General)
review
3rd model
review
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Plot plan
1st Model
review (30%)
Piping Materials
2nd model
review (60%)
IFA Instrument cable IFA pipe GA dwg IFA Skid Tie-in report
routing layout
3D Model IFA instrument cable IFA General
IFD P&IDs IFA piping plan dwg
trench &tray layout
IFA Instrument
structural deflection
& stress analysis 3D
E&I main cable IFA structural GA report
routing
location
IFC Instrument IFA tubing routing IFA Structural GA
Modeling
First equipment
vendor dwg
location dwg layout dwg
(Skid
IFA pipe support dwg
Project)
IFI pipe ISO
3rd model
review (90%)
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Skid 3D Modelling – Interdependency
30% PDMS
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Skid 3D Modelling – Piping GA as example
30% PDMS
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Engineering Work Flow-Process, Mech and Piping
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Engineering Work Flow –C&S, Mech and Piping
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Engineering Work Flow – E&I
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Engineering Work Flow – Instrumentation
•Instrument Index
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Engineering Work Flow – Instrumentation
I/O List is a contains list of instrumentation which serve as an input or output of control system. Hence the tag number that physically
has a cable which connects to the control system appears on I/O list.
Instrument index is a document containing list of instrument devices within a plant. Instrument index shall include tag number of all
physical instruments
Reference Drawing
P&ID, HMB
Instrument Index
Reference Document
Cause & Effect
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Engineering Work Flow – Instrumentation
Instrument Data Sheet is a document containing specification and information of an instrument device. It specifies general information
of instrument such as tag number identification, service description, location (line number/equipment number), P&ID number or
drawing number reference, process data (if applicable), calibrated range (if applicable), material, performance details (such as accuracy,
linearity – if applicable), hazardous certification (for electrical device), accessories required, etc. The details of information in data sheet
may differ among each types of instrument such as transmitter, switch, gauge, control valve
Once the data sheet completed, it is attached to requisition which to be sent to vendors. Vendors will offer their quotation with various model and
manufacturer among the offers.
Having been considered its technical and commercial aspects, the instrument is purchased. Following the purchase order, vendor will submit
supporting document and drawing. Based on vendor data, instrument data sheet may be updated to accommodate details to make the data sheet
“as-built”.
Reference Drawing
P&ID, HMB,
Instrument Data
Sheet
Reference Document
Instrument specification,
piping specification,
calculation, vendor
catalogue
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Engineering Work Flow – Instrumentation
Hook-up drawing is a detailed drawing showing mounting and connection of instrument to process lines and corresponding list of
required material.
Hook-up drawing also gives information the requirement of bulk material for each installation. It also details its specification (size, type
and material) and the quantity.
Reference Drawing
P&ID, Installation Detail
Hookup Drawing
Specification, Piping
Specification
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Engineering Work Flow – Instrumentation
Instrument Layout is also known as instrument location plan. This drawing shows the exact position of each instruments with reference
to plant layout.
The point indication of instrument position and its mounting stand where instrument to be mounted and process tap
location.
Often the tap location and the instrument is separated quite distant. In some project, it is not mandatory to show the
process tap location
Reference Drawing
P&ID, Piping
Instrument Layout
Plan,piping GA and
ISO
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Engineering Work Flow – Instrumentation
Cable Schedule is a document containing list of instrument cables to install, cable type, length, origin, destination and route.
Reference Drawing
Instrument Cable Layout,
Interconnection block
diagram
Cable Schedule
Reference Document
Instrument Index / I/O
List
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EPC Project Management
- Procurement Work Flow
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Procurement Work Flow
Tender
Inquiry Purchasing Purchasing Received Approved FAT or Final
Evaluation Delivery at
issued to request order Key vendor key vendor Fabrication inspection Ex-work
and client site
bidders created placed drawings drawings finished
approval
General procurement work flow and how rule of credit being assigned to each step.
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Procurement Work Flow
Procurement progress calculation excel sheets are available for download in ignite.com
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Typical On-Shore Project Schedule and
Dependencies
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Typical Level 1 –On-Shore Project Schedule
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Work front Concept
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Work Front
Engineering progress is commonly measured by assigning a weight, usually the required number of required manhours, to each
task/deliverable. Once the task is performed/ the deliverable is issued, the corresponding manhours are earned.
The earned progress divided by the total number of manhours gives the % progress.
As each engineering task/deliverable is scheduled at certain dates, it is possible to anticipate the progress that should be earned at a
given date. It is the planned progress.
At regular period, usually on a monthly basis, the actual progress of each activity/deliverable is measured against the planned progress.
An actual progress less than the planned progress might show a lack of resources and a need for increased mobilization to get back on
plan, following a (re-)forecast progress curve.
Although such progress measure is commonly used, it could be deceiving. It indeed reflects rather well the progress of engineering on
its own but not how well is engineering supporting the Project schedule.
Let’s consider that engineering must issue 2 material requisitions, an urgent one for a Long Lead Item and another one which is
required later on. Engineering will earn progress whatever requisition it issues, even if putting the Project in delay by issuing the non
urgent requisition first.
One sees that the above measure of progress alone is insufficient. It must be complemented by monitoring that important Milestones
are met.
These Milestones are first of all, the ones associated with the issue of the Requisition for the equipment. Long lead items have
naturally to be purchased early. All equipment and packages also need to be purchased as early as their technical definition allows.
Indeed, engineering development is highly dependent on information from vendors. The sooner the purchase orders are placed the
sooner the vendor information will be available.
Next come the Milestones associated with Bulk Material Procurement to support construction, such as the Piping MTO and the
Structural Steel MTO (for an off-shore Project).
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Work Front
Then come the Milestones associated with Construction. These are the IFC Plot Plan, a pre-requisite to start any site work, and the IFC
P&IDs, a pre-requisite to the issue of Piping isometrics. The 50% IFC Piping isometric milestone comes next, which typically falls half way
through the Project, as ensuing works, such as pre-fab and erection have a rather incompressible duration, due to site constraints
(capacity of pre-fab shop, space constraints for erection limiting the progress).
Even if engineering deliveries are in sequence, the above engineering progress measure might still be deceiving, as it will only reflect
the amount of engineering work completed and not the workfront made available to construction.
Let’s consider for instance that two foundations are to be cast. The first one is a very large foundation and the second one a small one.
Issuing the drawing of either the large or small foundation will earn engineering the same progress, although it will open quite a
different workfront to Construction.
In the case of foundations, for instance, this will be done by monitoring the cumulative quantity of concrete (m3) of all issued IFC
foundation drawings.
Producing an S curve, such as the one shown in next slide, showing both planned and actually issued quantities will give a true picture of
how well engineering is supporting civil works.
One will similarly monitor, for an On-Shore project, the cumulative quantity of steel (tons) of issued IFC Structural drawings.
The cumulative tons (or dia inch) of IFC issued Piping isometrics will show the available piping workfront.
Such progress curves, showing the actual versus planned available workfronts are instrumental to monitor engineering progress, identify
shortage and take corrective actions (increase mobilisation).
It is not perfect however and can still be deceiving, in case of out-of-sequence issues: engineering may have issued drawings
representing significant quantities, but that does not generate construction workfront as such works can not be performed at this time
(due to lack of access or pre-requisite for another work to be completed before, for instance).
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Work Front
Construction work-front planning and forecasting processes allow Materials to gather construction work package requirements and
material situation throughout the supply chain with appropriate feedback into the EP process 51
Advanced Work Packaging
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Work Face Planning
Path of
FIWPs
EWP CWP
Construction
500 – 1000mhrs
CWPs (Construction Work Packages)& FIWPs (Field Installation Work Packages) are Construction deliverables
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Work Face Planning
EWPs (Engineering
Work Packages) set
the precedence for
Construction work.
Using the P&IDs (for item count) and Piping Layout Drawings (for lengths) a preliminary list for piping material requirement generated
which known as piping MTO (piping material takeoffs)
The GA drawing used for pipe erection while the piping ISO are used for pipe prefabrication.
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Planned Path in Construction Work
Work commences
9 weeks lag
Engineering Work Package (EWP) Construction Work Package (CWP)
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Planned Path in Construction Work
Work commences
9 weeks lag
Engineering Work Package (EWP) Construction Work Package (CWP)
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Constrained Path of Construction
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Constrained Path of Construction
Work commences
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Constrained Path of Construction
Work commences
Delay in Engineering will cause lag gets squeezed CWP
starts late
Engineering Work Package (EWP) Construction Work Package (CWP)
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Engineering Work Package Progress
1 3D modelling development
2 P&IDs
3 Requisitions
4 Specifications.
6 Calculations
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Forecasting Scenario
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Potential Work Flow and Rule of Credit for Piping
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What Makes Forecasting is a Challenge
The rules of credit (if they exist) are either not known or not utilized.
Challenges
Construction mobilizes resources based on forecast completions of EWP IFC
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Engineering Work Package and Construction Work Package
CWP
Engineering Procurement Construction
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Sample WBS
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WBS Structure
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WBS Structure
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Sample WBS for Electrical Construction
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Sample Pipeline Construction Project WBS for Refinery/Chemical Plant
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Sample Pipeline Construction Project WBS for Refinery/Chemical Plant
Sample WBS for piping construction project for a refinery or chemical plant may be organized as the following.
It is worth to be organized by location wise (i.e. platform and pipe rack, platform and equipment around piping) prior to “Phase” WBS.
Timely completion of piping construction is not only depending on timely receiving of engineering drawings and materials from Owner/EPC
contractor but timely availability of the infrastructure should also be addressed. Sometime it refers to work front availability.
Developing WBS is mainly depending on the project scope. It should be defined according to the project specific as every project is different,
for instance, “Demolishing” WBS may also be added under “Phase” level priority to “Installation” WBS if your project scope involved a
considerable amount of piping demolishing scope. “Above Ground” and “Under Ground” WBS can be left in case no underground piping work
is
included in the project.
(1) Level 1: Plant Unit, e.g. Utility Unit, Ethylene Theatre Unit, etc.
(2) Level 2: Area within a Unit, for instance, Area ABC, Area XYZ. Area demarcation is marked for a group of process piping on above
ground and underground.
(3) Level 3: Height. This is to segregate pipe work on the above ground and underground.
(4) Level 4: Location where pipeline is run, for instance, piping on and around pipe rack, equipment and equipment platform.
(5) Level 5: Phase, e.g. Fabrication, Installation (field erection, NDT) and pre-commissioning (hydro testing, air flushing, chemical cleaning
etc.)
Note :
“Common” WBS name refers to common location where interconnecting piping is running between the pipe rack and equipment
or equipment platform. Having a clear definition of what is and what is not meant by “Common” is important
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Sample Fuel Tank WBS
Bottom plates Shell plates Center deck plate Internal Foam piping
installation installation installation Appurtenances installation
2.1.1 2.2.1 2.3.1 2.4.1 2.5.1
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Sample Fuel Tank WBS
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Piping Discipline
( Piping Fabrication, Tie-in and Commissioning )
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Piping Tie-in Process
Normally, piping tie-in installation scope is involved in revamp project only. The progress tracking system for tie-in work includes Tie-in
Tracker Sheet and Progress tracking sheet.
Tie-in numbers against the Isometric drawings and work packages are listed in the tracker sheet. The tie-in type (Bolt-up, cut and
weld, hot tap, cold tap and threaded are typical tie-in types in process industry), project area or system name and installed dates are
also included in the tracker sheet.
To develop Progress Tracking Sheet for overall Isometric drawings, the following work steps and weight factor percentages are utilized.
Developing procedure of progress tracking system for pipeline erection work is the same as piping fabrication work except work steps
and weight factor percentages. To do that, replace the following work steps and weight factor percentages with the existing ones and
rearrange the formulae.
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Commissioning Test package and Tie-In
Piping Fabrication
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Piping Tie-in Work Sequence
General piping tie-in work flow and how rule of credit being assigned to each step.
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Piping Hydrotest Work Sequence
General hydrotest work flow and how rule of credit being assigned to each step.
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Commissioning Test package and Tie-In
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Piping Tie-In
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Special Pipe Support Drawing
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Piping Pre-Fab Drawing
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Piping ISO Drawing
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Vessel Fabrication
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Vessel Fabrication Work Flow
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Vessel Fabrication Work Flow
Inspection (Hydro-testing)
Inlet and outlet nozzles fabrication
· Hydrostatic testing
· Pipe marking/cutting / beveling and inspection
· Draining/drying and final inspection
· Fit-up and welding of flanges and pipes
· Inspection for nozzles to flange joints (NDE)
Blasting and Painting
Nozzle Attachments to Dished Head
· Blasting/Inspection
· Marking of nozzle location on dished head · Primer/Final coating/Inspection
· Cutting/opening/ beveling and inspection
· Fit-up and tack weld nozzle to dished head
· Inspection for tack welding (if required)
· Full weld - nozzle assembly with dished head
· Inspection for nozzle to dished head welds (NDE)
Nozzles and other accessories to Shell
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Vessel Fabrication Case Study
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Vessel Fabrication Process
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Plate Cutting
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Plate Rolling
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Longitudinal Seam Welding
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Longitudinal Seam Welding
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Can to Can Fit-up
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Can to Can Fit-up
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Can to Can Fit-up
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Tack Weld
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Weld Inside Circumference of Can
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Weld Outside Circumference of Can
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Weld Outside Circumference of Can
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NDT
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The End
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