CLIENTS

Casecnan Multi-Purpose Project
Philippines

The Casecnan Multi-Purpose Project is a combined irrigation and hydroelectric project being developed by an International Power Generation Developer as a “Build-Operate-Turnover (BOT)” Venture with a capital outlay of a half-billion dollars. The Project involves the diversion and conveyance of water from two rivers through a 21 km tunnel to an underground powerhouse, where it is drawn from an existing reservoir and used for irrigation. The developer terminated the Engineer-Procure-Construct (EPC) Contractor after 18 months on the project due to a variety of causes including poor quality of work, delay and safety issues, and the contractor going into receivership. Our company developed expert analyses and presented testimony in an International Chamber of Commerce (ICC) Arbitration. Analyses included project management, delay, disruption and cost impact evaluations. Our client recovered $108 million. In an ICC Arbitration in London, the Italian replacement contractor sought delay and disruption damages. We, on behalf of the Owner, evaluated the contractor’s claims and presented expert testimony. The Tribunal found for the Owner.
 

Cirata II
Indonesia

Cirata II, a hydroelectric dam with the second largest underground powerhouse in the world, is located in Indonesia. The Civil Works Contractor for the second phase of Cirata II engaged our company to resolve a dispute with the Owner, a recently privatized utility Agency, after the Contractor had exhausted all other attempts to reach an amicable settlement. The Contractor’s claim was complex and enormous in terms of documentation, value and technical issues. We visited the Project, reviewed the claim documents and Project records, prepared an independent analysis of the Contractor’s claims, determined entitlement for excusable delays, and quantified disruption to the planned work sequence. During negotiations, our independent assessment of the disputed issues was presented to the Owner. As an independent party, We were consulted by both the Owner / Agency and its consultants and by the Contractor and his contract advisor during negotiations on technical merits of the claims and impact to the Project completion date and interim key dates. The disputes were successfully settled. The Agency subsequently requested us to provide Critical Path Method (CPM) training classes. The classes have been provided to the Agency under the terms of the technology transfer provisions in the Contractor’s contract.
 

Hydro-Electric Project
Nepal

Our company assisted the Project Developer with its claim to its Insurers involving a force majeure event (a flood) that occurred on a Hydroelectric Project in Nepal. Working with the Owner and Contractor, We formulated a written acceleration plan for submission to the Insurers outlining the parameters and components of the mitigation and recovery of the time impact of the force majeure event on the Project completion. We also prepared a delay analysis to the point of the flood to identify delays incurred and responsibility for those delays, and feasibility reviews of completion as forecast in the various change order schedules. After presenting these conclusions and analysis during follow-up meetings with the Insurers, a positive settlement of recovery was awarded to the Developer under the Construction Material Damage Advanced Consequential Loss / Third Party Liability and Advanced Loss of Profits Insurance policies. Our company continued thereafter to monitor the progress of the work and conformance to the acceleration plan, as well as to provide assistance on resolving emerging change order issues.
 

Musi Hydroelectric Dam
Indonesia

Engaged by the Lot 1 Civil Works Contractor to develop its entitlement to an extension of time for 24 separate claims against the Indonesia Electric Authority. These claims varied from changed and unforeseen geology, to effects of geothermal springs on productivity in the powerhouse excavation, to the effects of a Project suspension while the Asian Development Bank (ADB) decided whether or not it would continue funding its portion of the Project, to the continuing effects on its progress due to the lack of follow-on and interfacing contractor contracts being let. The Critical Path Method (CPM) schedules developed on the Project were developed in multiple formats and used in different ways by the Engineer, Contractor and Employer. To demonstrate the impact of each variable, we worked with the Contractor to further develop the schedules and their updates. The resulting report was used to negotiate a settlement with the Indonesia Electric Authority.
 

Xiaolangdi Dam
China

Engaged by the Lot 3 Contractor for Xiaolangdi Dam, one of the largest dam in China. Located on the Yellow River, the Lot 3 works included the world’s most complex Intake Structure, the world’s largest diameter underground diversion tunnels and a massive plunge pools complex (water outflow and energy dissipating tanks). Nielsen-Wurster initially commented on submitted and pending claims prepared by the Contractor. The Contractor’s claims were complex and enormous in terms of documentation, value and technical issues, based primarily on unforeseen geology that adversely impacted underground and surface earth works and that affected all parts of the Contractor’s work. Following submission of its comments, Nielsen-Wurster assisted the Contractor with developing a strategy and preparing the final claims to be presented to the Project’s Dispute Review Board (DRB), the first of its kind in China. The claims included delay, disruption and acceleration issues to the intake structure, diversions tunnels, plunge pools and sediment control tunnels. At the Contractor’s request, Nielsen-Wurster maintained a periodic presence on site working in a project team with the Contractor. The team continued in an oversight capacity to review claims being developed, develop claim and DRB presentation strategies, review Project records, quantify and determine entitlement for excusable delays, and prove disruption through productivity loss analysis. In addition, Nielsen-Wurster prepared responses to the Engineer’s Decisions, prepared DRB position papers and presentation materials, and provided presentation training.

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