![](https://webberresearch.com/wp-content/uploads/2021/08/eric-prouzet-Z62b9jIltGM-unsplash.jpg)
W|EPC: LNG Canada Project Update Q123 – Data & Satellite Image Review
For access information, contact us at [email protected] or at [email protected]. To download this report, please click here.
For access information, contact us at [email protected] or at [email protected]. To download this report, please click here.
For access information, please email [email protected]
Read MoreW|EPC: LNG Canada – Q321 Timeline, Budget, & Progress Update
Shell • Petrochina • Mitsubishi • Kogas • Petronas
1) Union Craft Avg. Wage Rate Escalators & Impact On JGC/Fluor, and broader project cost…
What’s Happened/Changed: Part of our current focus is on LNG Canada’s wage rate escalation and union labor agreements post-2023.
Why Does That Matter: EPC lump sum proposals generally include labor escalation between 1-3% per annum (rates vary based on geography/availability). Labor agreements supporting LNG Canada and other B.C. projects expire in 2023 and have a relatively advantageous average labor escalation rate of…..continued.
For context, union labor strikes, renegotiated agreements, and significant wage rate escalation supported Gorgon LNG coming in $20B+ over budget.
What’s The Impact:…..continued (Page 3)
2) Taking A Look At JFJV’s Longer-Term Labor Inflation Risk (Page 5)
3) JFJV’s Construction Activity – What does it tell us about the project timeline? (Page 8)
4) Satellite Image Analysis Baseline – Benchmarks for Remainder of the Project…. (Pages 9-17)
W|EPC: LNG Canada Q320 Monitor – Labor Dynamics & Baseline Satellite Image Review
For access information please email us at [email protected]
Read More• Key Takeaways (pages 1, 5)
• Estimated LNG Canada Schedule Shifts (page 2-3)
• Satellite Image Review: COOEC Fluor Module Yard Layout (May 17, 2020) (page 4)
• Satellite Image Review: Module Layout Descriptions (page 5)
• Satellite Image Review: CFHI Module Yard Pre-Assembly Areas (page 6)
• Long-Term Thoughts & Key Questions (page 7)
Key Highlights:
• Still Moving At A Crawl. As of May, module fabrication was ~2% complete, well behind our ~11% estimate in W|EPC’s February 2020 (pre-COVID 19) schedule…
• Satellite Image Review: The COOEC-Fluor Heavy Industries (CFHI) module yard pre-assembly areas look…
• Playing Catch Up Won’t Be Cheap. The schedule slip should put even more pressure on the back-end of LNG Canada’s timeline…continued…
For access information please email us at [email protected]
Read More