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REPORT DATE: 08 May 2017

EXECUTIVE SUMMARY
Introduction
The on-site inspection of used stationary equipment located in three separate locations in the Canada was requested by
our client Engro Pakistan Fertilizer Dharki. The inspection was conducted on 01 to 05 May, 2017 by TII inspection team.

The focus of the inspection was verification of product identification, external physical condition, general appearance of the
equipment, and certificate for residual life expectancy.

The Plant was originally built for Apache Canada and Located at the Apache Hamburg Gas Processing Complex west of
Manning, Alberta. The unit was commissioned in year 2002 and only ran for a short time before being shut in at the end of
2002. The plant consisted of two additional new amine units, dehydration, compression and ancillary equipment. The
supply gas to the plant was re-routed by the field producers to a neighboring plant so the plant was only running at ~20 to
40 % capacity. The owner decided to shut I the new expansion and wait for additional gas production. Unfortunately, no
new producers entered the Hamburg area and in 2011 the equipment was dismantled and removed from the Hamburg
Site.

The conclusion of the inspection was based on the documentation reviewed which included but not limited to Plant
maintenance records, and equipment drawings, there was no maniantence or production records available for the review
at the time of inspection. Visual inspection was limited to the extent of visual access.

Conclusion
After a thorough review of the information obtained during the inspection, it was concluded the equipment presented for
inspection, has a residual life estimated to be an average of 10 years or more, depending on regular maintenance,
upgrades, operating environment, proper utilization and repairs.

INSPECTION REPORT

CUSTOMER INFORMATION
Customer Name M/s Engro Fertilizers Project Name Assessment of Used Amine Plant
P.O. / Ref Number Contact Name M.Aqeel

INSPECTION LOCATION
Vendor : Enylen Sub-Vendor :
5509 Broadway Ave. Blackfalds, AB,
Location: Storage Yard Address :
T0M 0J0
Contact Name Mark Rajher Country :

Phone / Email
t: 403.885.9262 Vendor Order No.

Inspector: Naeem Sattar Inspection Date May 01-05, 2017

ASSIGNMENT DETAILS
PO Item Serial / TAG
Qty Product Description ITP No. Activity Description
No. No.
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SCOPE OF INSPECTION
ASSIGNED SAMPLING / RESULTS*
SCOPE OF WORK CRITERIA
Y N APPLIED Sat Conf Non-C Rej Abo
Progress Monitoring
Witness Testing
Functional Performance Mechanical Run Hydro Noise Balance Electrical NDT
Other ______________
Final Visual
Packaging inspection
Pre-Shipment
Witness Container Loading
Audit
Damages inspection / Assessment
Used Equipment inspection X X
Other: NDT-Thickness Monitoring X X

1.OVERALL INSPECTION RESULTS

OVERALL INSPECTION RESULTS / CONFORMITY:
Enyln Blackfled Yard, AB , Canada
• All equipment presented for visual inspection was found to be in satisfactory used condition and in conformance with
design specifications except few minor observation on stationary equipment’s. No Physical damage found on Pumps,
Motors, Instruments and valves except high to mild atmospheric corrosion and few piping circuit identified with high
scaling and corrosion due to failure of external coating.
• The operability of rotary equipment’s, motors, pumps, actuators, PRV and other instruments as equipment’s are out of
service without any preservation or maniantence.

Enylen Ponoka Yard, AB , Canada

• Inspector visited the Enylen Ponoka Yard on 03Rd May 2017 Used Equipment Examinations of the V-4506 Amine
Regenerator vessel and to discuss the findings with the client representatives on site.
• The equipment was inspected externally as equipment was not prepared for vessel entry. The vessel external surface
was insulated only inspection possible through inspection ports. The vessel was found in good condition there was no
sign of damages on the insulation. The internal view shows no sign of corrosion, pitting or any other damage mechanism
in visual inspection.

Hamburg processing facility AB , Canada

• Inspector visited the Hamburg oil field on 4th May 2017 to perform Used Equipment Examinations of the V-4603 Amine
Contractor Tower, the vessel was found in good condition although the vessel was not preserved. There is no

NON CONFORMITY: - None noted during this visit

NCR Issued / NCR No. -
Description non conformity -
Actions taken -
Equipment -
Component -
Quantity -
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Date proposed for solution -

2. ATTENDEES

• TII North America Team

3. REFERENCE DOCUMENTS USED DURING INSPECTION.

• Equipment Drawings
• Engineering Data Sheet
• Maintenance Manual
• Assignment Instructions as provided
• ASME U-1 document

4. MEASURING EQUIPMENT / INSTRUMENTS USED

Instrument Instrument Nº. Calibration certificate Validity date
UT Meter
Calibration Blocks
Tape Measure N/A N/A N/A
straight edge N/A N/A N/A
level N/A N/A N/A

5. EQUIPMENT / MATERIAL INSPECTED

Enylen Blackfled Yard, AB, Canada.(Major Equipment’s )

• V-4604: AMINE FLASH DRUM
• V-4607: AMINE STRIPPER REFLUX DRUM
• E-4603A/B: LEAN/RICH EXCHANGER
• E-4606: AMINE STRIPPER REFLUX CONDENSER
• E-4604: AMINE REGENERATOR REBOILER
• F-4604: RICH AMINE PARTICLE FILTER
• F-4601: LEAN AMINE PARTICLE FILTER
• F-4605: LEAN AMINE CHARCOAL FILTER
• F-4606: LEAN AMINE POST FILTER
• P-4602 A/B:LEAN AMINE BOOSTER PUMPS
Enylen Ponoka Yard, AB, Canada.
• V-4606: AMINE REGENERATOR
Hamburg Processing Facility, AB, Canada
• V-4603: AMINE CONTACTOR TOWER

5. MANDATORY INSPECTION ACTIVITIES

5.1 Quantity and Identification verification:
02 May, 2017
• All equipment quantities were verified against equipment list (attached).
• All accessible name plates were verified and photographed.

5.2 Visual Quality Verification:

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Hamburg Plant
• The Plant was originally built for Apache Canada and Located at the Apache Hamburg Gas Processing Complex west of
Manning, Alberta. The unit was commissioned in year 2002 and only ran for a short time before being shut in at the end of
200, in 2011 the equipment was dismantled and removed from the Hamburg Site.

The equipment’s were dismantled and stored at three different location as described above

This Inspection at the Enylen Blackflad, Ponoka and Hamburg plant sit was conducted by TII inspection team, The
inspection was carried out starting from 02nd May 2017 – 05th May 2017 at all three locations.

• Equipment construction was verified against available drawings and documentation.

• General appearance and condition of all equipment was verified. The plant was dismantled and stored at Enylen yard and
two other locations, External physical condition of equipment and associated piping was inspected and found in good condition
although there was no preservations or mothballing was carried out on stationary as well as rotary equipment’s. There was
mild to high the level of coating damages externally on vessels, piping and structure but there are no signs of damages or
pitting.
• Visual examinations of the exterior showed no damage or harmful indications to the vessel outside surface.
• Vessels entry was not possible: Vessel was found in good condition the internal corrosion observed and noted does not
appear to be service related and aside from the gasket surface degradation, is mild in nature and a result of atmospheric
corrosion and a period of time out of service without an inert purge. No sign of pitting.

• UT thickness measurement was dons all vessel and on random piping spools. Vessels TM shows no reportable thickness
losses. Internal examinations showed only normal corrosion with no deep or rejectable pitting of the welds or shell visible. No
internal inspection carried out on any of the referenced equipment.
• No bent piping or damage to the ladder / cage was evident.
• Vessel nameplate was found to be affixed to the vessel.
• Inspector also reviewed available documentation for the vessel (ASME U-1 form and documents from the last major activity
on the vessel, replacement of trays in 2013) and found no issues to note. No other vessel history.
• Detailed inspection of Electrical & instrumentation ws conducted there are number of instruments missing from skids the
report elaborate in detail status of instruments.
• There was no physical damage found on the instruments only atmospheric corrosion mild to heavy.
• The operationalbility of instruments remain questionable till calibration and detailed service check before putting in operations
• Pump, Motors and fan due to lack of maintenance activities or preservations shows lot of rusting and corrosion. The rotory
equipment’s required detailed inspection and checks to ensure the operability the physical condition of equipment’s can be
reviewed in detailed report.
• The structural supports, skids have surface corrosion due to external coating failures, this reuired a blasting, inspection and
paint before re-utilization.

5.3 Document Review:

• All available Equipment Drawings were reviewed and referenced during inspection activities.
• Engineering Data Sheet
• ASME U-1 document

6.1 NDT Testing performed during inspection performed at XYZ Plant:

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• UT measurements taken on all vessels, tanks and piping on all accessible inspection ports.
• No notable corrosion was found when compared to design thicknesses

Dimensional Verification performed during inspection:

• Dimensions verified to be per vendor’s standard drawings, within tolerances, and acceptable as examined.

7. Equipment Inspection Details:

Equipment Number: P-4501 A/B

Equipment Name: Lean Amine Charge Pump

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Manufacturer: Sulzer

Manufacturer Serial Number: 0171528501/2

Year Built: 2001

Condition
• Inspection was visual only and pump was not witnessed in operation.
• Pump, motor, and piping were inspected and found with high scale and atmospheric rust.
• Surface corrosion on pump housing and bolts as coating is worn off due to exposure to weather.
• Pumps are powered by Electric motors.
• Associated piping was visually inspected.
Vendor Inspection Note
• Performed high level inspection of 2 Sulzer MSD pumps. Pumps are mounted to a skid and coupled to US Electric drive
motors.
• Coupling guards and spools were removed. 1st unit was able to rotate. 2nd unit would not rotate
• The bearing housing covers were unbolted and pulled back. 1st unit non-drive end (NDE) auto oiler glass was broken which
had allowed water to get into the bearing housing. There was some corrosion inside the housing but the bearing fits still look
ok. 2nd unit NDE bearing housing looks to be in decent shape.
• Both drive end (DE) bearing housings had some oil and looked to be in decent shape. Housings could only be pulled back
about an inch as the coupling hub is still installed.
• Both NDE bearing housings were removed. Water was drained from 1st unit. The 2nd unit was left with existing oil.
• Both bearing housings were installed but left loose. 2nd unit was then freed up and able to rotate.
• Bearing housings were tightened up and the end covers reinstalled. Both units were still able to rotate.
• Recommendations:
• Replace auto oiler on the 1st unit NDE bearing housing or remove broken one and plug the port.
• Fill housings with preservative oil.
• Fill pump cavity with rust inhibiting product (Diesel is commonly used)
• Both pumps should be fully disassembled and inspected to determine if any further repairs are needed.
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Equipment Number: E-4606

Equipment Name: Amine Regen Overhead Condenser

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Manufacturer: Propak systems

Manufacturer Serial Number:

Year Built: 2001

Condition:
• Fans, Fan housings, motors, tube sheets, Plug sheets , finned tubes all out of service with mild to medium surface corrosion

Issues:
• Tubes require cleaning due to build up of dust and debris.
• Motors Required detailed inspection after opening as motor were not preserved for longer duration.
• Fan, fan blades, shafts and other accessories have heavy rust or surface corrosion required proper cleaning and testing for
operations.

Site Condition:
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Equipment Number: E-4604-

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Equipment Name: Amine Re generator Re boiler (Horizontal

Heat Exchanger)

Manufacturer: Propak

Manufacturer Serial Number: 12061A

Year Built: 1997

Condition:
• Shell, heads, nozzles, were inspected and found in good physical condition.
• Shell visible through inspection ports was found acceptable.
• Shell was fully insulated and only visible through inspection ports.
• Heads insulated with blanket insulation. Insulation was removed for visual inspection.
• No repair stamp.

Issues:
• Heads and head bolts were found to have minor surface corrosion due to trapped moisture under insulation blanketing.
• Vessel not accessible for internal inspection

Thickness Measurements:
• Current thickness measurements were taken and found in acceptable limit with no repotable metal losses
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Equipment Number: E-4503A/B

Equipment Name: Plate Heat Exchangers

Manufacturer: Invensys process system

Manufacturer Serial Number:20013015000250-1

Year Built: 1997

Condition:
• Shell, nozzles, piping were inspected and found in good physical condition.
• No repair stamp.

Issues:
• Heads and head bolts were found to have minor surface corrosion.
• The associated CS piping found with heavy surface rusting no pitting or hole.
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Recommendations:

Since the equipments are not inspected internally, therefore we would suggest conducting complete internal inspection before the
installation at site so that any internal flaw initiated during operations due to process or mechanical damage due to transportation from
USA to Pakistan can be evaluated. As per API Standard 510 (Pressure Vessel Inspection code) it is also mandatory requirement to
have complete internal and external inspection after relocation of plant, API 510 clause 6.2.2.2 stated “If both the ownership and the
location of a vessel are changed, the vessel shall be internally and externally inspected before it is reused. This inspection should
include baseline examinations for any anticipated future examinations planned as a result of the new service (e.g. if the vessel is going
into a service where stress corrosion cracking is a potential, then a baseline examination of weld cracking is advisable). Al so, the
allowable service conditions and the inspection interval shall be established for the new service”.

All pressurized stationary equipments including piping are insulated to protect from extreme cold weather and snow at Rock Spring
USA. However after relocation to Pakistan, some of equipments would not require insulation for operational purpose and thus the
insulation may cause corrosion under insulation. API RP 583 Corrosion under Insulation code and API 571 damage mechanism code
recommend removing insulation on equipment where heat conservation is not as important. Therefore we would recommend evaluating
the purpose of the insulation on equipment and piping, this can help to make decision for the permanent removal of insulation from the
equipments.

Amine contactor V-1803, which had experienced an explosion and fires at this plant back on 03 December, 2015 and during this
inspection no damage from this event was evident. However it is recommend evaluating this equipment against fire damage as per
API 579-1, Fitness for Service Assessment code. Annex 11B of this code provides comprehensive criteria for metallurgical investigation
and evaluation of mechanical properties in fire damage. A minimum, field metallography, hardness testing and if required mechanical
testing should be conducted.

8. CONCLUSION:

• Based on the visual examination and information obtained during inspection, we conclude the equipment presented for inspection,
has a residual life estimated to be an average of Ten (10) years or more, depending on regular maintenance, upgrades, operating
environment, proper utilization and repairs.

For North America Inc.

Industrial Services

This document is issued by the Company under its General Conditions of Service accessible at http://www.tii.com/terms_and_conditions.htm. Attention is drawn to the limitation of liability,
indemnification and jurisdiction issues defined therein.
Any holder of this document is advised that information contained hereon reflects the Company’s findings at the time of its intervention only and within the limits of Client’s instructions, if
any. The Company’s sole responsibility is to its Client and this document does not exonerate parties to a transaction from exercising all their rights and obligations under the transaction
documents. Any unauthorized alteration, forgery or falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.
In accordance with Client’s instructions, the Company’s involvement has been limited to witnessing/observing a third party’s intervention(s) at the third party’s laboratory/test house or other
facilities and installations used for the intervention(s). The Company’s sole responsibility was to be present at the time of the third party’s intervention(s) to forward the results, or confirm
the occurrence, of the intervention(s). The Company is not responsible for the condition or calibration of apparatus, instruments and measuring devices used, the analysis methods applied
the qualifications, actions or omissions of the third party’s personnel or the analysis results.
Any holder of this document is advised that the information contained hereon is limited to visual examination of the safely and readily accessible portions of the consignment only.

Member of the International Federation of Inspection Agencies (IFIA)

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REPORT DATE: 08 May 2017

This report is issued by the Company under the General Conditions for Inspection and Testing Services, printed overleaf. The issuance of this report does not exonerate buyers and sellers from exercising all their rights
and discharging all their liabilities under the Contract of Sale. Stipulations to the contrary are not binding on the Company. The Company’s responsibility under this report is limited to proven negligence and will in no
case be more than three times the amount of the fees or commission. Except by special arrangement, samples, if drawn, will not be retained by the Company for more than three months.