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IndustryGlossary Term

Grid-Tie

A system that connects on-site power generation to the utility grid. Subcontractors working on grid-tie installations must coordinate with utility companies and meet strict interconnection standards. Common on solar and wind projects in remote industrial or construction settings.

Related Terms

Progressive Design-Build

Industry

A project delivery method where design and construction phases overlap, with the owner and contractor collaborating before scope is fully defined. Subcontractors are often brought on early, meaning scope, pricing, and schedules can shift as design matures. Contracts may be cost-reimbursable at first, then convert to fixed-price once scope is confirmed.

Commercial Operations

Industry

The point when a facility or project officially begins generating revenue and is fully handed over from construction to production. For subcontractors, this milestone often triggers final billing, contract closeout, and demobilisation. Work orders and scopes tied to commissioning typically end at this date.

Compression

Industry

The mechanical process of increasing natural gas pressure for pipeline transport or storage. Subcontractors are frequently mobilised to install, maintain, or repair compressor units and associated equipment. Compression work is common in gas processing facilities, wellsites, and midstream pipeline operations.

Run Schedule

Industry

A timeline that outlines when specific tools, equipment, or crews are deployed downhole or on-site during an operation, dictating when a subcontractor's services are required and for how long. For field service companies, the run schedule directly determines mobilisation timing, crew rotations, and invoiceable hours on location.

BOE (Barrel of Oil Equivalent)

Industry

A standardised unit of energy measurement that converts different types of oil and gas production into equivalent barrels of crude oil, used by operators to report total production volumes when determining project scope and service requirements for subcontractors.

Frac Sand Hauling

Industry

The trucking of proppant (silica sand) from storage terminals to active frac sites. Subcontractors operate on tight dispatch schedules to maintain continuous sand supply during pumping operations. Contracts often include standby rates for wait time at the wellsite.

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