Gas Power Plant - Time and Money Claim
The ACWA Kirikkale Combined Cycle Power Plant in Turkey stands as a testament to modern engineering and energy efficiency. This project, with a total investment of US$ 597 million, involved the engineering, procurement, construction, and commissioning of a private gas combined cycle power plant, boasting an impressive capacity of 950 MW. Located strategically in Kirikkale, the plant significantly bolsters the region’s power generation capabilities.
Our involvement was instrumental in steering the project through complex contractual landscapes. Initially tasked with providing a comprehensive overview of entitlements and risks for the contractor before proceeding with claims, our duties were extensive and multifaceted. We conducted a thorough evaluation of the contract conditions, the breakdown of the contract price and scope of work, and the existing claims. Our analysis pinpointed potential claimable events and significant delays, assessing the corresponding strengths and weaknesses of the client's position under the framework of a bespoke contract governed by English law.
In the first phase, our focus was on reviewing and enhancing existing records to protect and strengthen the client’s position. This involved a detailed examination of the baseline program, progress updates, revised programs, and variation submittals to ensure their robustness for delay analysis. Our team also collaborated closely with the commission manager, comparing the contract conditions with standard EPC contracts and advising on risk mitigation strategies.
The second phase saw us preparing the delay analysis section of the contractor’s claim, meticulously calculating compensable delays and average daily running costs. Our efforts culminated in a prolongation cost claim of US$ 2.6 million, contributing to a total claim amount of US$ 6.5 million. This project highlights our adeptness in managing large-scale power plant projects, underlining our expertise in contract analysis, delay assessment, and claims management.
