Clean Fuels Project

Brief

The JV Contractor sought an adjustment of the contractual completion date and financial compensation due to delays in purchase order placement, discovery of unexpected underground obstacles, delay in manpower mobilisation and time-consuming procedures for access to site. Heavy rain and subsequent flooding caused serious damage to the greenfield area of the site causing the JV Contractor to require both a geotechnical engineering expert and an insurance coordinator to advise on the extent of the damage and on the remediation measures that the JV Contractor should adopt, as well as to advise and lead the preparation of the claim to the insurers.

What we did

The HKA team comprised three quantum experts, two delay experts, one planning consultant, one geotechnical expert and one insurance expert, mobilised from our network of offices worldwide.

The team initially carried out a comprehensive review of the available documentation relating to the JV Contractor’s first submitted Extension of Time (EOT) claim and subsequently, working alongside the JV Contractor’s team, prepared a revised, robust EOT claim. The revised EOT claim consisted of contractual entitlement, identification and justification of delays not attributable to the JV Contractor, an in-depth analysis of the delays and a quantum analysis of the delay and disruption. HKA also supported the JV Contractor in the EOT negotiations with the Employer.

Following the heavy rains, the geotechnical expert visited the site to inspect and record visible damage, assess subterranean damage and review on-site records. A desk study appraisal was carried out where the expert reviewed all available contractual, hydrological and project documents in order to formulate detailed guidance on the design and implementation of the preferred ground and drainage remediation options. Working alongside the rest of the HKA team, the insurance coordinator assisted the JV Contractor to prepare the insurance claim for the ground remediation works, and any associated costs arising from the flood, as well as prepared draft correspondence to both the Employer and the Insurer.

Outcomes

Our findings on quantum, engineering and delay confirmed that a robust case based on further detailed evidence needed to be constructed. The client and its legal advisors appreciated the value that our joint approach added to the JV Contractor’s case and claim and were confident they had achieved greater clarity on their position. The integrated QED (Quantum, Engineering and Delay) approach that was applied by the HKA team of experts was vital towards building a strong case to support the client’s claim.