Woodside revealed to WestBusiness on Aug. 2 that pipe insulation played a role in Pluto LNG's cost blowout of US$900 million announced in mid-June. According to reports, problems with insulation may have accounted for some US$700 million of the total overrun. Information about how and why the insulation caused such damage was not provided, however, foreign substances can often work their way into process equipment, causing significant damage. Some field engineers have reported finding hard hats and lunch boxes in flow lines upon startup.
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