(127c) Facility Siting Following a Merger of Two Large Oil Companies

Conoco Inc. and Phillips Petroleum Company merged in late 2002. ConocoPhillips Company is a company that has brought many refining cultures together and with that merger, the facilities siting practices of several petroleum companies. Corporate management was very interested in the facilities siting efforts that were in place for the combined company at the time of the merger and created a task force to address this subject on a timely basis. An initial assessment indicated that facility siting had been accomplished many different ways with results that varied widely.

This paper discusses the efforts that ConocoPhillips undertook and have developed to address facility siting within the downstream businesses. One of the key elements in the ConocoPhillips program is consistency between sites. The paper will explain the development of key processes which have been standardized within the company. There will be a discussion of the methodologies employed, preliminary results and review processes. Also covered is a discussion of the methodology to prioritize remediation of buildings. The methodologies and processes for structural upgrades are also included. Management of change is also a component which is included in the paper that will speak to the revalidation of facilities siting studies along with the use of temporary buildings within the refineries.