Abstract
Development of Liquefied Natural Gas (LNG) projects in Indonesia mostly utilized Engineering Procurement Construction) EPC as type of contract. The contract is particularly applied in large-scale project such as LNG because it needed to be realized with comprehensively planning and to be on time, and on budget for the benefit for all stakeholders. In maximizing the utilization of the resources, LNG plant project depended on detailed work plans and tightly work schedule. This research aims at analyzing factors influencing causes of project delay in construction LNG projects. Data were collected using survey method by mean of distributing questionnaire to respondent that representing skilled staffs of the contractor LNG construction. Grouping variables were carried out using factors analysis, and the generated factors and delay of the projects then were analyzed their relationship using Structural Equation Modelling (SEM). Results of this study generated seven factors that influenced the delay of the EPC contract in LNG projects. The factors are: Human Resources; Management; Material; External; Plant Equipment; Method; Quality. From the result of SEM analysis it generated a model for analyzing the delay of the EPC for LNG projects in Indonesia.
Highlights
Liquefied natural gas (LNG) is natural gas that has been converted to liquid form for ease and safety of nonpressurized storage or transport
Designed cryogenic sea vessels used as LNG carriers or cryogenic road tankers are used for its transport
Stages of collecting data for prior to the testing phase by collecting questionnaires, questionnaires have been spread to various parties who have experience in the field of Engineering Procurement Construction (EPC) LNG in particular
Summary
Liquefied natural gas (LNG) is natural gas that has been converted to liquid form for ease and safety of nonpressurized storage or transport. LNG achieves a higher reduction in volume than compressed natural gas (CNG) so that the (volumetric) energy density of LNG is 2.4 times greater than that of CNG (at 250 bar) or 60 percent that of diesel fuel. This makes LNG cost efficient in marine transport over long distances. LNG is principally used for transporting natural gas to markets, where it is distributed as pipeline natural gas It can be used in natural gas vehicles, it is more common to design vehicles to use compressed natural gas. Its relatively high cost of production and the need to store it in expensive cryogenic tanks have hindered widespread commercial use [1]
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