FieldNews
Subscribe

Daily oil & gas and construction news for subcontractors

IndustryGlossary Term

Leasehold

Land or mineral rights an operator has legally secured through a lease agreement with the landowner or Crown. Subcontractors typically work within leasehold boundaries, so access, permitting, and site rules are set by the operator holding the lease. Understanding leasehold limits helps crews avoid trespassing on adjacent unlicensed areas.

Related Terms

Diverging Diamond Interchange

Industry

A road interchange design where traffic briefly crosses to the opposite side of the road between two intersections. Subcontractors hauling heavy equipment or oversized loads must account for altered lane patterns and potential permit route restrictions. Plan site access carefully, as DDI layouts can complicate convoy movements and GPS routing.

Perforate

Industry

To create precisely spaced holes or openings in oil well casing and cement at a target formation depth, allowing hydrocarbons to flow into the wellbore; subcontractors providing perforating services typically work under wireline or coiled tubing crews and must coordinate closely with the operator's completion schedule.

Refractory Lining

Industry

Heat-resistant material installed inside furnaces, boilers, and process vessels to protect steel from extreme temperatures. Subcontractors are often hired for installation, inspection, and repair during turnarounds. Proper curing and dryout procedures are critical to avoid costly failures.

Hydrostatic Testing

Industry

A pressure integrity test where pipelines, vessels, or equipment are filled with water and pressurised to detect leaks or weaknesses. Subcontractors are often hired to perform or witness these tests before commissioning. Proper documentation is critical, as clients and regulators require certified test records.

Membrane Separation

Industry

A filtration process that uses semi-permeable membranes to separate gases or liquids by molecular size or pressure. Common in natural gas processing and produced water treatment on field sites. Subcontractors may install, inspect, or maintain membrane units as part of facility service scopes.

Suspension Order

Industry

A formal directive from a prime contractor or operator to halt work on a project temporarily. Subcontractors must stop billable activities but may still incur standby costs. Review your contract carefully, as suspension terms affect demobilisation, remobilisation, and delay compensation.

Stay sharp on field operations

Industry news and insights, delivered to your inbox.

Subscribe to FieldNews
A community project byAimsio