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IndustryGlossary Term

EPCM (Engineering, Procurement, Construction Management)

A project delivery model where one firm manages engineering, procurement, and construction on the owner's behalf. Subcontractors are hired directly by the owner, not the EPCM firm. Understanding this structure clarifies your contract chain, payment authority, and site reporting lines.

Related Terms

Advanced Conductors

Industry

Large-diameter steel casings driven into the ground before main drilling begins to stabilise the wellbore and prevent surface collapse. Subcontractors involved in conductor installation, welding, or pile-driving work are typically mobilised in this early phase. Securing this scope early can anchor longer project commitments on a well site.

Distribution System

Industry

A network of pipelines, valves, and infrastructure that moves oil, gas, or utilities from a main supply point to end users. Subcontractors are often hired to install, inspect, or maintain these systems. Work scope can include trenching, pipe fitting, and pressure testing across large service areas.

Default Order

Industry

A purchase or work order automatically issued to a subcontractor when a client's primary vendor cannot fulfil a job. It serves as a backup contract, so subcontractors should confirm scope and rates before accepting. Default orders may come with tighter mobilisation timelines.

Oil-Directed Rig Count

Industry

The number of rigs actively drilling for oil, tracked weekly by services like Baker Hughes. A rising count signals increased demand for field crews, equipment, and well-site services. Subcontractors use it to anticipate work volumes and adjust capacity accordingly.

ERAS (Expedited Resource Addition Study)

Industry

A utility or pipeline operator's fast-tracked assessment to connect new energy infrastructure to the grid or network. For subcontractors, an approved ERAS often signals upcoming mobilisation opportunities and tight project timelines. Winning work tied to an ERAS typically means compressed schedules and rapid crew deployment.

Permanent Magnets

Industry

Fixed magnets that retain their magnetic field without external power, used in motors, sensors, and lifting equipment on job sites. Subcontractors handling this equipment must follow strict handling and storage protocols to prevent injury or tool damage. They are common in downhole tools, generators, and magnetic lifting devices.

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