Pierre Breber: Hey, I’ll just add. So if you take out inorganic, which is $600 million year-to-date, $400 million in the third quarter for – primarily for ACES and the $200 million that we had for PDC in the third quarter, through third quarter year-to-date, we’re about $200 million above the ratable budget. Of course, fourth quarter tends to be higher. So as Mike says, we’ll likely end the year a little bit above budget.
Sam Margolin: Understood. Thank you.
Operator: We’ll go next to Paul Cheng with Scotiabank.
Paul Cheng: Thank you. Good morning.
Michael Wirth: Good morning, Paul.
Paul Cheng: Mike, can I get back – can I go back to TCO? It’s a little bit of the late stage for the cost increase and everything. I guess the question is that, I mean, what have we learned from this process and to ensure that your future project execution will become better and not facing the kind of problem that, I mean, it has been a challenging project that all along due to a number of different reasons. But quite frankly that this is a bit disappointing at this very last stage for the bit of the slip in the schedule and also the cost increase? Thank you.
Michael Wirth: Yes, Paul. Thank you. And look, I share the sentiment. So I understand where you’re coming from. Big complex projects, you’ve been along for the whole ride. So you know early on, there were some engineering issues that we confronted and addressed. In the middle of it, the big thing was the pandemic and demobilizing, remobilizing, building medical facilities and a whole bunch of stuff that we had to manage our way through and was complex and difficult. And our folks did a great job, but it clearly impacted cost and schedule. And the big thing here, Paul, is as we’ve gotten into – and you have to remember, this is – we’re redoing the power infrastructure for the entire field, which is, geographically speaking, it’s an enormous space.
And this is infrastructure, frankly, it goes back a lot of it to kind of Soviet days. So there’s an entire new power distribution system. We’re taking the entire field and taking it from high-pressure production to lower pressure in the WPMP process and then building the really large sour gas injection and incremental production facilities. And it’s – so it’s almost a field-wide refurbishment of a lot of it and then this big increment of production. And the commissioning of that is incredibly complex. And as we went in and did this cost and schedule review early in – relatively early in the commissioning process, based on what we were seeing, what became evident is that we need to account for that complexity in our schedule. And I don’t think it was fully reflected in the schedule.
And in a big, complex project like this, you find things. And early on, we found challenges in the utility system. And it cost us some time. And it – that ripples through. And so the guidance we’re giving you now is really what I would say is it’s more conservative because it assumes that those kinds of things are going to be encountered for the balance of the project. And we need to set expectations that those are the realities that we’re going to be dealing with. And so that’s why the schedule lights all in commissioning. It’s – bulk construction is completed. All the equipment is there. And this really is the final commissioning process. If we do well, we could end up on the front end of those windows that I gave you. But we’ve given you those because our experience says we should not plan for that, we had to plan for the reality of these things.
And as I mentioned in response to the earlier question by Neil, we’ve added incremental resources in multiple areas now, ought to be – to anticipate and be prepared for these kinds of challenges. And so I think the lesson is on the projects like this, of which there are a few, in the future, our commissioning plans will reflect that complexity more completely than the commissioning plans did on this one.
