A thesis submitted in partialfulfillment of the requirements for the degree of Master of Engineering in Construction Engineering and Infrastructure Management

Project (M. Eng.) - Asian Institute of Technology, 2009

Nowadays, the EPC contract is very wide applied inenergy industry (specially in thermalprojects) in this Region for developing anenergy field project, this EPC contract is as a2fast track3 tool to reduce the project duration. In order to execute this kind of contractsuccessfully in term of the benefit for all involved parties, it is necessary to focus on somekey factors that shall be affected on the project during execution phase i.e...contract termsand conditions clauses. Therefore, understanding and interpreting the application of termand condition clauses clearly in EPC contract will help the project to be executed andmonitored by using the proper manning levelin accordance with project specification andthe project will be achieved its goals without the minimized disputations and conflictshappening.This study will also discuss on the advantages and disadvantages of EPC contract fromboth Contractor and Project Company{u2019}s point of view and how to manage the EPC contractin accordance with term and condition clauses stipulated in the signed contract documents;how to resolve problems by understanding the contract clauses. However, the improvementof some major clauses are still needed in order to specify and define clearly the duties andresponsibilities as well as obligations of involved parties to minimize the conflicts,interfaces, risks and disputes that can be happened during the project execution phase.