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Caltex Success Story

Downstream Maintenance Management, Mechanical and Support Services for Caltex Australia Ltd

12 February 2013

Caltex, Australia's leading oil refiner, accounts for around 35 per cent of the country’s refining capacity. It owns and operates two of Australia’s seven oil refineries: Lytton in Brisbane and Kurnell in Sydney. Together, the Caltex refineries have the capacity to process 244,000 barrels of crude oil per day. Production at the two refineries is primarily high-value transport fuels: petrol, diesel and jet fuel.

Wood Group PSN (“WGPSN”) provides an integrated suite of maintenance and mechanical support services to Caltex at both the Lytton and Kurnell refineries. 
Oil refineries are sprawling industrial complexes with extensive piping running throughout, carrying streams of fluids between large complex processing units. The processing units include crude oil distillation, vacuum distillation, catalytic reforming, catalytic cracking, alkylation and isomerisation, hydrotreating, and product blending. Because of high-capacity throughput many units operate continuously, as opposed to processing in batches, at steady state or near steady state for long periods of time. Process optimization and advanced process control systems are extensively employed. Carefully planned and executed maintenance and preventive maintenance programs are required to sustain cost-effective operations on a 24/7 basis.

What we’re doing

WGPSN is responsible for planning and scheduling all on-site maintenance activity; managing the execution of mechanical, electrical and instrumentation work scopes; and delivering major maintenance and minor CAPEX projects. We employ a workforce of approximately 250 personnel across both sites.

Promoting and maintaining a strong safety culture at both Lytton and Kurnell has been a priority. In the two years since this contract award, maintenance performance improvements are tangible and have been realized across both refineries. Key successes include:• reduction in the backlog of maintenance work from more than 60,000 man-hours to just under 20,000 man-hours• significant improvement in maintenance compliance • 20 per cent increase in scheduled work delivery• reduction in the number of maintenance personnel across both sites, resulting in cost savings to Caltex• two years without a lost time injury (LTI) as of August 2012 (a significant milestone after more than one million hours).

Added value

Additionally, improvements at both refineries are ongoing. WGPSN is currently reviewing the Caltex maintenance regime and comparing this with detailed WGPSN maintenance strategies (encompassing 51 individual equipment programs) with a view to improving the overall plant availability and reducing the amount of corrective and breakdown work. A plan to optimise material management to suit the current refinery operating parameters is also a key development underway.

These initiatives are designed to help Caltex achieve its goal of becoming a top quartile performer for maintenance and reliability when compared to other refineries in the Asia Pacific region.