CARIGALI STANDARD PROCEDURE NO: CSP-Ol

CARiGAUI PROCEDURE

ONSHORE/OFFSHORE
REVISION: 2

CONSTRUCTION

CHANGE ORDER PROCEDURE

FOR

PETRONAS CARlGALl SDN BHD

KUALA LUMPUR

In the event of any ambiguity, inconsistency or conflict between this procedure and the
Contract Document and / or the Petronas Technical Standards (PTS), the Contract
Document and / or PTS shall take precedence over this procedure. PETRONAS
Carigali's interpretation shall be final.

PCSB
REV. DATE PREPARED BY REVIEWED BY APPROVED BY
NO
NAME SIGNATURE DATE NAME SIGNATURE DATE NAME SIGNATURE DATE

0 02/07/96 MNB 02/07/96 PTe 02/07/96 MSM 02/07/96

1 23/03/99 CZCI 23/03/99 PTe 23/03/99 MSM 23/03/99

2 25/08/09 h~(~ 2W'1 EEE
~t;I"rxr ~4! ")-,>pe/fJ
ATA WMJ
'-.l
 CHANGE ORDER PROCEDURE NO.: CSP-Ol

CARiGAUI PROCEDURE

ONSHORE/OFFSHORE
REVISION: 2

CONSTRUCTION

REVISION LIST

SECTION REV DATE DESCRlPTION OF AMENDMENT

All 1 23/03/99 Revised as per PETRONAS Carizali's requirements.
All 2 20/07/09 Revised as per PETRONAS Carigali's requirements.

,
 PROCEDURE NO.: CSP-OI

CARiGAUl CHANGE ORDER

PROCEDURE
ONSHORE/OFFSHORE
REVISION: 2

CONSTRUCTION PAGE I OF 7

TABLE OF CONTENTS

SECTION DESCRIPTION PAGE

1.0 PURPOSE 2

2.0 SCOPE 2

3.0 REFERENCES 2

4.0 DEFINITIONS 2

5.0 PROCEDURES 2

5.1 Changes 2

5.2 Field Instruction Request 4

5.3 Field Instruction 4

5.4 Change Order Proposal 5

5.5 Change Order 6

6.0 SPECIAL REQUIREMENTS 6

7.0 RECORDS 7

APPENDICES

Appendix I Field Instruction Request

Appendix II Field Instruction

Appendix III Change Order Proposal

•
Appendix IV Cost Estimation Sheet

Appendix V Change Order

Appendix VI Change Order Register

 CHANGE ORDER PROCEDURE NO.: CSP-O!
PROCEDURE
ONSHORE/OFFSHORE
CONSTRUCTION PAGE 2 OF 7

1.0 PURPOSE

This procedure addresses the basic requirements for processing changes to the
CONTRACT that may affect the cost or the time required to complete the
project either due to addition or deletion to the WORKS.

2.0 SCOPE

This procedure outlines the basic requirements for handling all changes to the
CONTRACT.

3.0 REFERENCES

Contract Document
Procurement Procedure - ( FSP- I 4 )

4.0 DEFINITIONS

FIR - Field Instruction Request

FI - Field Instruction
COP - Change Order Proposal
CO - Change Order
WORKS - As defined in the Contract Form
CONTRACT - As defined in the Contract Form
SMCD - Scheduled Mechanical Completion Date

5.0 PROCEDURE

5.1 Changes

5.I. I CONTRACTOR shall anticipate that as the WORKS progress,

PETRONAS Carigali may request for changes to the WORKS.
The changes can be addition or deletion to the WORKS.

5.1.2 As the WORKS progress, PETRONAS Carigali reserves the

right to request changes in the WORKS and may request
CONTRACTOR to quote, source and examine the feasibility of
the change before issuing the FI. CONTRACTOR on its own
initiative shall reply within the given duration, specifying the
validity of the quotation, for PETRONAS Carigali's evaluation.
 CHANGE ORDER PROCEDURE NO.: CSP-OI
PROCEDURE
REVISION: 2
ONSHORE/OFFSHORE
CONSTRUCTION PAGE 3 OF 7

5.1.3 CONTRACTOR shall refer to the Figure I below for the

responsibility and handling the changes in the CONTRACT.

CONTRACTOR'S PETRONAS Carigali'S

RESPONSIBILITY RESPONSIBILITY REMARKS

CONTRACTOR to recordthe FIR In Ihe

FIR Register. PETRONAS Carigal; will
acknowledge
receipt and return one original 10
CONTRACTOR

I. CLOSE FIR

.!S.sU.E 1'1(TWO CONTRACTOR\0 recordthe 1'1 in CO

ORIGINALS) Register.

! J PETRONAS C",igali willacknowledge

·1 REVlEWAND receipt aooreluIIl one original to
I ISSUE COP
rTWOORIGINALS)
EVALUATE COl'
CONTRACTOR

i
I
INCORPORATE COMMENT
AND ~~?~I~~ TWO
I
I ~.~
' .. m'.' """"" """ CONTRACTOR to update/record the
COP in CO Register.

Ace.pl

","OWLEOGEREC,,",·.
OF THE COl RETURN ONE
·+Io--f---t
I ISSUECO(TWO
CONTRACTOR
CO Register.
to record Ihe CO in

I ORIGINAL TO CARIGALI

L-_~--'
ORIGINALS)

CLOSE
I FIRICOP

Figure I - Flowchart for FIRIFI/COP/CO.

5.1.4 If at any time CONTRACTOR believes that any act or instruc-

tion by PETRONAS Carigali constitutes a change to the
•
WORKS, and it is not covered under FI or the CONTRACT,
CONTRACTOR may request for a FI from PETRONAS
Carigali by forwarding the FIR.
 CHANGE ORDER PROCEDURE NO.: CSP-OJ
PROCEDURE
ONSHORE/OFFSHORE
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5.1.5 PETRONAS Carigali reserves the right to specify which Sched-

ule in the Exhibit III of the CONTRACT shall be utilised to
compute the cost for such change.

5.2 Field Instruction Request (FIR)

5.2.1 If at any time CONTRACTOR believes that there has been a

change in the Scope of Work and/or change in the Scope of
Work is needed, CONTRACTOR may request PETRONAS
Carigali to issue a FI by completing and forwarding two copies
of signed FIR (see Appendix I) with detailed justification
indicating the cost or schedule impact of the change.

5.2.2 Upon receipt of the FIR, PETRONAS Carigali will evaluate

the request and at its discretion may approve or reject the
request. If PETRONAS Carigali agrees with the request, then
a FI will be issued.

5.2.3 CONTRACTOR shall maintain a running reference number

for the FIR but it may not necessarily be the same number as
the PI.

5.3 Field Instruction (FI)

5.3.1 If PETRONAS Carigali desires a change to the WORKS,

PETRONAS Carigali may instruct the CONTRACTOR to
make such changes by completing and forwarding to
CONTRACTOR two copies of the signed PI. (see Appendix
II).

5.3.2 Upon receipt of the FI, CONTRACTOR shall execute the

changes III line with the action required III the PI.
CONTRACTOR shall acknowledge receipt and return one
copy of the FI to PETRONAS Carigali. The PI may be used to
request CONTRACTOR to provide a COP for PETRONAS
Carigali's review and approval before proceeding with the
change. •

5.3.3 PETRONAS Carigali will assign a running number for the PI.
This number shall also be used for the COP and CO. If
PETRONAS Carigali decides to cancel the FI, then the FI
number shall not be used again for the issuance of the next FI.
 CHANGE ORDER PROCEDURE NO.: CSP-OJ
PROCEDURE
ONSHORE/OFFSHORE
CONSTRUCTION PAGE 5 OF 7

5.3.4 CONTRACTOR shall then study the FI and distribute copies to

relevant Departments who are involved with the changes. The
Project Manager shall assign a coordinator to monitor the status
of the FI. The assigned coordinator shall be capable to review
the FI against the CONTRACT requirements.

5.4 Change Order Proposal (COP)

5.4.1 CONTRACTOR shall prepare the COP (see Appendix III) in

line with the action requested in the FI and complete with all
the necessary supporting document. The CONTRACTOR's
responsibility for the change shall cover the following:

5.4.1.1 ENGINEERING - shall study in detail the changes

involved related to engineering, produce material take-
off, drawings, specification and other technical informa-
tion required for the change.

5.4.1.2 PLANNING/SCHEDULING - shall study and evaluate

any schedule impact to the Overall Master Schedule or
SMCD and assess the time impact due to the change as
stated in the FI. A schedule for the execution of the
change shall be developed if requested by PETRONAS
Carigali.

5.4.1.3 PURCHASING - if the FI requires additional materials

to be purchased, then the Procurement Coordinator shall
obtain quotations based on the approved Procurement
Procedure (FSP-14) and submit to PETRONAS Carigali
with detailed pricing. If the specified pricing is based on
Cost Plus, PETRONAS Carigali reserves the right to
attend the bid opening for both the Technical and
Commercial Proposals. The proposals shall be submit-
ted to Engineering for technical evaluation and
Planning/Scheduling for delivery and schedule analysis.

5.4.1.4 PROJECT MANAGEMENT TEAM - if the FI involves

fabrication works based on Time Rate Basis, then the
Discipline Engineers who are involved in the change
shall monitor the works involved. The Time Sheets of
the personnel doing the work shall be filled-up by the
Discipline Engineer and verified by PETRONAS
 CHANGE ORDER PROCEDURE NO.: CSP-Ol
PROCEDURE
ONSHORE/OFFSHORE
CONSTRUCTION PAGE 6 OF 7

Carigali on the day the work was performed. All the

Time Sheets shall be endorsed by the Project Manager.
The Time Sheets shall then be immediately forwarded to
PETRONAS Carigali for approval a day following the
performance of such work.

5.4.2 CONTRACTOR shall compile and submit to PETRONAS

Carigali two sets of the signed COP and Cost Estimation Sheet
(see Appendix IV) as Revision a within the duration stated in
the FI. A complete supporting documents such as Purchase
Orders, Time Sheets, Drawings, etc. shall be attached to the
COP for PETRONAS Carigali's review and approval.

5.5 Change Order (CO)

5.5.1 PETRONAS Carigali will review the COP and if PETRONAS

Carigali disagrees or has comments, the COP will be returned
to the CONTRACTOR for resubmission. CONTRACTOR shall
incorporate all the comments and resubmit the revised COP (as
Revision I) following Section 5.4.2 of this procedure.

5.5.2 Once agreement is reached on the COP, PETRONAS Carigali

will prepare the CO and issue two (2) copies of the signed CO
(see Appendix V) to CONTRACTOR. CONTRACTOR shall
acknowledge receipt and return a copy of the signed CO to
PETRONAS Carigali.

5.5.3 PETRONAS Carigali may at its option instruct

CONTRACTOR to proceed with the changes by issuing an
official letter before issuance ofthe CO.

Note: In line with PETRONAS Carigali internal approval process for

the execution of changes to contract, approval by Approving
Authority (AA) is required prior to the issuance of the CO /
instruction to proceed with the chauges by PETRONAS Carigali
to CONTRACTOR. This equally applies to Sectiou 5.5.3.

6.0 SPECIAL REQUIREMENTS

6.1 Payment for completed CO, either addition or deletion to the total
Contract Price shall be invoiced by the CONTRACTOR following the
requirement stated in Exhibit IV of the CONTRACT.
 CHANGE ORDER PROCEDURE NO.: CSP-OJ
PROCEDURE
ONSHORE/OFFSHORE
CONSTRUCTION PAGE 7 OF 7

6.2 PETRONAS Carigali may instruct CONTRACTOR to assign a

Milestone Payment for work completed. The Milestone Payment
Schedule shall be submitted by the CONTRACTOR together with the
COP for approval.

7.0 RECORDS

7.1 CONTRACTOR shall prepare FIR Register and submit to PETRONAS

Carigali on monthly basis.

7.2 CONTRACTOR shall register all the FI, COP, CO and payment status
of each CO according to Appendix VI-Change Order Register and to be
submitted to PETRONAS Carigali on monthly basis.

7.4 All revision numbers to the FI, COP, CO and their descriptions shall be
recorded in the Change Order Register.

7.3 CONTRACTOR's Project Manager shall be responsible to ensure that

this procedure is made available to the respective personnel.
APPENDICES
 CSP-OI
APPENDIX·I
PAGE I OF I

~'~~~~;~~,~i]~~~
F.I.R NO.

REV NO.

( CONTRACTOR's lOGO) DATE

PAGE
--- OF
---

PROJECT

CONTRACT NO

CONTRACT TITLE

CONTRACTOR

ATTENTION
SUBJECT

DESCRIPTION OF REQUEST ,

REASONS FOR REQUEST ,

SPECIFICATIONS AFFECTED ,

DOCUMENTS ATTACHMENT .,
D DRAWINGS
D SPECIFICATIONS
D OTHERS

Prepared By: Acknowledged receipt by ,

.........................................................................
CONTRACTOR REPRESENTATIVE ...
.........................................................................
PETRONAS CARIGALI REPRESENTATIVE ..
NAME: NAME:
DATE: DATE:

• TICK WHERE APPLICABLE

•• PETRONASCARIGALI RESIDENT ENGINEER/OTHER AUTHORISED REPRESENTATIVE
... CONTRACTOR PROJECT MANAGER/OTHER AUTHORISED REPRESENTATIVE
 CSP-OI
APPENI>IX-II
PAGE I OF I

F.1. NO.
"'~~'~
CARIGALI
FIELD INSTRUCTION REV. NO.

DATE
PAGE OF

PROJECT ,
TENDER NO. ,
TENDER TITLE ,
CONTRACTOR ,
ATTENTION ,
SUBJECT ,
This Field Instructionis issued for immediate action

DESCRIPTION OF INSTRUCTION

REASONS FOR INSTRUCTION ,

SPECIFICATIONS AFFECTED:

INITIATOROF INSTRUCTION :

DOCUMENTS ATTACHMENT ;"

DDRAWINGS
DSPECIFICATIONS

DOTHERS

ACTION REQUESTED ..

DGENERAL INSTRUCTION, NOT CHANGE ORDER WORK

DCHANGE ORDER WORK, SUBMIT CHANGE ORDER PROPOSAL WITHIN DAYS

DPROVIDE FIRMQUOTATIONOF LUMP SUM PRICE FOR PERFORMINGTHE CHANGE AND EFFECTON SCHEDULEWITHIN _ DY$
DPROVIDE ESTIMATE OF COST EFFECT AND SCHEDULE IMPACT OF CHANGE WITHIN DAYS
DPROCEED WITH WORK IMMEDIATELY (GENERAL INSTRUCTION)

DPROCEED WITH WORK IMMEDIATELYAT RATES ATTACHED

000 NOT PROCEEDWITH WORK

Issued by : For and on behalf of PETRONASCarlgali Accepted by : For and on behalf of CONTRACTOR

.................................. ................ "." .................... ....................................... " .....................

PETRONASCARIGAU REPRESENTATIVE ** CONTRACTORREPRESENTATIVE ***

NAME NAME

DATE DATE

Fir.nom. : APP FI

* TICK WHEREAPPLICABLE
** PETRONASCARIGALI R. E. OR OTHER AUTHORISEDREPRESENTATIVE
H, CONTRACTOR'S PROJECTMANAGER OR OTHER AUTHORISED REPRESENTATIVE PAGE 1 QF1
 CSP~Ol
APPENDIX-III
PAGE 1 OF 1

~~~I~$im~
C.O.P NO.
REV NO.
( CONTRACTOR's LOGO) DATE

OF
PAGE
--- ---
PROJECT
TENDER NO

TO
ATTN

SUBJECT

DESCRIPTION OF PROPOSED CHANGE ,

REASONS FOR PROPOSED CHANGE ,

DOCUMENTS ATTACHMENT .,
D DRAWINGS
D SPECIFICATIONS
D OTHERS

EFFECT ON SCHEDULED MECHANICAL COMPLETION DATE ,

EFFECT ON CONTRACT PRICE , ADDITION { DELETION OF LUMP SUM PRICE OF

SUPPORTING DOCUMENTS ,
D COST ESTIMATE D OTHERS (SPECIFIC INSTRUCTIONS SUCH AS MANNING,
D MILESTONE PAYMENT AND WORK SCHEDULES EQUIPMENT, ETC.)

Issued by: Acknowledged receipt by:

......................................................................... .................................................................................
CONTRACTOR REPRESENTATIVE ... PETRONAS CARIGALI REPRESENTATIVE ••

NAME NAME
DATE DATE

COPY TO PETRONAS CARIGALI SITE TEAM I PETRONAS CARIGALI CONSTRUCTION MANAGER I FILE
FILES
TICK WHERE APPLICABLE
.. PETRONAS CARIGALI RESIDENT ENGINEER { OTHER AUTHORISED REPRESENTATIVE
••• CONTRACTOR PROJECT MANAGER I OTHER AUTHORISED REPRESENTATIVE PAGE 1 OF 1
 eSP-Ol
APPENDIX-IV
PAGE 1 OFI

COP NO. :
COST ESTIMATION SHEET
REV.
CONTRACT NO. : DATE
CONTRACT TITLE: PAGE

1. DESCRIPTION OF CHANGE
2. COST OF BREAKDOWN

A I D : ADDITION I DELETION
MATERIALS FABRICATION
BASIS: COST PLUS (CP) I UNIT RATE (UR) /TIME RATE (TR) I AT COST (AC) TOTAL REMARKS

UNIT COST UNIT COST

ITEM DESCRIPTION TYPE AID BASIS UNIT QTY PRICE MULTIPLIER (1) PRICE MULTIPLIER (2) (1) + (2)

TOTAL
 CSP-Ol
APPENDIX-V
PAGE I OF 1

"'~u.~
CAllIGAl.\
C.O.NO.

CHANGE ORDER REV. NO.

DATE
PAGE - - OF - -
PROJECT

TENDER NO

TO
ATIN
SUBJECT

The following CHANGE to the contract is hereby approved in acceptance of

CHANGE ORDER PROPOSAL NO : DATE

DESCRIPTION OF CHANGE:

REASONS FOR CHANGE

SPECIFICATIONS AFFECTED

INITIATOR OF THE CHANGE

DOCUMENTS ATIACHMENT ..
D DRAWINGS

D SPECIFICATIONS

D OTHERS
EFfECT ON SCHEDULED MECHANICAL COMPLETION DATE

EFfECT ON CONTRACT PRICE: ADDITION I DELETION OF LUMP SUM PRICE OF

PAYMENT METHOD : .
D INVOICE PROGRESSIVELY FOR WORK COMPLETED IN ACCORDANCE TO THE MILESTONE

D PAYMENT SCHEDULE ATIACHED

D ITEMISE SEPARATELY ON INVOICE FOR PAYMENT WHEN COMPLETE

D THE CHANGE IS PRICED ON D LUMP SUM BASIS

D UNIT RATE BASIS OF EXHIBIT III

D DAY RATE BASIS PER SCHEDULE OF

-- --
D OTHERS (TO SPECIFY) :

SUPPORTING DOCUMENTS .
D COST ESTIMATE D OTHERS (SPECIFIC INSTRUCTIONS SUCH AS MANNING,

D MILESTONE PAYMENT AND WORK SCHEDULES EQUIPMENT,) QUOTATION, PURCHASE ORDER, ETC.)

Issued by: For and on behalf of PETRONAS Carlgali Accepted by: For and on behalf of CONTRACTOR

........................
~
PETRONAS CARIGALI REPRESENTATIVE CONTRACTOR REPRESENTATIVE *....
NAME NAME
DATE DATE

COPY TO PETRONAS CARIGALI PROJECT MANAGER I PROJECT SERVICES MANAGER I ENGINEERING MANAGER I FILE
FILES
* TICK WHERE APPLICABLE
** PETRONAS CARIGALI RESIDENT ENGINEER/OTHER AUTHORISED REPRESENTATIVE
*** CONTRACTOR PROJECT MANAGER IOTHER AUTHORISED REPRESENTATIVE PAGE 1 OF 1
 CSP - 01
APPENDIX - VI
PAGE 1 OF3
CHANGE ORDER REGISTER
(AS OF )
CONTRACT NO:
CONTRACT TITLE:
CONTRACT VALUE = RM.

(A)

COP PENDING SUBMISSION o 0 0.00%

COP PENDING RE-SUBMISSION o 0 0.00%
COP CANCELLED / COREVOKED o 0 0.00%
COP PENDING CARIGALI SITE REVIEW o 0 0.00%
COP PENDING CARl GAll KL APPROVAL o 0 0.00%
COAPPROVED o 0 0.00%

TOTAL o 0 0.00%

(B)
INVOICING:
1.) TOTALCO. PAID (ADDITIONAL) o 0 0.00%
2.) TOTAL CO. PAID(DELETION) o 0 0.00%
3.) TOTAL CO. PAID o 0 0.00%
4.) TOTAL CO. FOR INVOICING o 0 0.00%
 CSP - 01
APPENDIX - VI
PAGE20F3
CHANGE ORDER STATUS TABLE
I STATUS ASOF I

CONTRACT NO. :
CONTRACT TITLE:
CONTRACT VALUE: RM

CHANGE ORDER NUMBER 001 002 003 004 005 006 007 008 009 010 011 012 013 014 015 016 017 018 019 020 021 022 023 024 TOTAL

COP PENDING SUBMISSION 0

COP PENDING RE-SUBMISSION 0
COP CANCELLED / REVOKED 0
COP PENDING CARl GAll REVIEW 0
COP PENDING CARl GAll APPROVAL 0
COAPPROVED 0
0
NOTES:
 cse- 01
APPENDIX - VI
PAGE30F3
CHANGEORDER REGISTER
(ASOF)

CONTRACT NO. :
CONTRACT TITLE:
CONTRACT VALUE: RM

INITIATOR F.1. C.O.P. C.O. STATUS / REMARKS

NO. DESCRIPTION OF RM.
CHANGE REV. DATE REV. DATE COP/COST REV. DATE COST COP/CO PHY.WORK INVOICING
ISSUED ISSUED ESTIMATE ISSUED RM. PROCESSING PROGRESS

4
.
5

TOTALCURRENT ESTIMATE 0
PERCENTAGE FROM CONTRACT VALUE 0.00%

TOTALCURRENT APPROVED 0
PERCENTAGE FROMCONTRACT VALUE 0.00%