Identification and Analysis of Main Risks of International Petroleum Engineering Procurement Construction Projects

Abstract

The statistical databases utilized as the input of this study are built up with the actual total cost of the international petroleum EPC (Engineering Procurement Construction, EPC) project, which are completed overseas by China National Petroleum Company. With mathematical models are built according to different compositions of the cost and the raw data are processed by SPSS23 software, project risks are identified and evaluated by Principal Component Analysis (PCA). The results show the top four risks of international petroleum EPC project are communication risk, subcontractor risk, claim risk and change risk.