EPCM. Construction of the gold heap leaching site

Baseline

Construction of heap leaching site at goldmine “X”. The engineering works are at the stage “P” of the design (about 30% completion), lack of documents for stage “RD” (detailed design), tight construction schedule.

Findings
  • Mistakes in design solutions, discrepancies between sections of the design documents;
  • Construction started before completion of design estimates;
  • Insufficiently reliable contractor;
  • Impossible to forecast schedule and costs;
  • Lack of transparency in procurement: procurement standards and procedures, responsibility matrix, procurement plans etc.;
  • Lack of standardized project management procedures;
  • Discordant plans on different sections of the project;
  • Project progress analyzed intuitively;
  • Project data collected, consolidated and stored spontaneously;
  • Diffusion of responsibility between employees.
Solution

Implementation of corporate project management system and personnel training:

  • Implemented project planning and management tools, developed project management regulations;
  • Developed consolidated project plan: estimated actual project schedule and budget;
  • Increased employees’ competences.

Design monitoring:

  • Corrected mistakes in design documents;
  • Recommended alternative design solutions and equipment to reduce costs;
  • Initiated replacement of design company due to its incompetence;
  • Selected qualified design company to complete the design documents.

Procurement monitoring:

  • Developed corporate procurement standards;
  • Generated detailed procurement plan with comprehensive list of required materials, equipment and services;
  • Monitored procurement plan, proactively identified supply risks;
  • Selected suppliers of materials, services and equipment (market analysis, determination of low price limits, substantiated reduction of quotations);
  • Accelerated procurement process through use of our own procurement personnel.

Construction monitoring:

  • Monitored project execution plan and provided weekly progress reporting;
  • Initiated replacement of general contractor;
  • Tendered a new general contractor;
  • Managed risks, in case of risk occurrence optimized schedule keeping to initial budget;
  • Checked the contractor’s scope of works, submitted costs against arrangements, corrected advance payments;
  • ANTAL GROUP specialist admitted the construction site to control the construction schedule; provide contractors with required design documents and technical solutions, check quantities of completed works according to completion statements, control measurements; participate in works acceptance; control use of construction materials; control construction works quality.
Outcomes

The facility has been constructed in short timeline with minimum downtimes:

  • The project completed 2 times ahead of initial time of construction;
  • 8% saving of assigned budget.

Such savings were due to strict control of project works by ANTAL specialists as well as due to implementation of innovative solutions during construction.

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