Offshore Cost Estimates

In this age of multinational companies most project managers/engineers will be asked sooner or later to come up quickly with a cost estimate to build a given facility at an offshore location. 

The ratio of TIC s between the United States and various offshore locations is readily available through several publications. This information would be sufficient when the intended location is an industrial country (Western Europe or Japan). However, for other locations, especially in the so-called Third World, the TIC ratios do not give any insight into specific local conditions that could impact 

With luck there will be an estimate, broken down by accounts, of a similar facility, at a US location, that could be used as a starting point. If not, the guidelines and procedures proposed in this book can be used to prepare quickly an in-house estimate of the quality and details of the case study in Appendix L. 

The information required for the conversion must be obtained from contractors with actual recent experience in the intended location. All of the major US engineering and/or construction firms have offices and active presence in most parts of the world and would be more than happy to respond, as a business promotion, to any reasonable request. 

The information required to make a meaningful conversion from US costs to those of another location is of a general nature as well as specific to each of the cost components. 

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Resolution Allow ance Escalation Contingency Checking Criteria and Guidelines Offshore Cost Estimates... 

Having defined and gathered data adequate for an initial reserves estimation, the next step is to look at the various options to develop the field. The objective of the feasibility study is to document various technical options, of which at least one should be economically viable. The study will contain the subsurface development options, the process design, equipment sizes, the proposed locations (e.g. offshore platforms), and the crude evacuation and export system. The cases considered will be accompanied by a cost estimate and planning schedule. Such a document gives a complete overview of all the requirements, opportunities, risks and constraints. 

Windparks - Killer-Kriterien , grobe Auslegung, Kostenabschatzung -Hydrogen Production in Offshore Wind Parks - Killer Criteria , Basic Design, Cost Estimation 2001)... 

Eront-End Engineering and Design (FEED) focuses on obtaining accurate cost estimates for the major items of process equipment and further definition of the most sensitive parts of the overall project cost. It is denoted Eront-End because this is performed prior to final corporate board and financial approval for the overall project. EEED costs typically 5 to 10% of the overall project cost - thus for a 1,000 million project expenditure of about 100 million will be required. Only after the feasibility and FEED will the cost error be in the vicinity of +1-5%. In many instances, especially for new technology or for a remote location or offshore, the error will still be in the region of +/-10% or more. 

Dynamic loading problems in the offshore environment depend on either estimated or measured values of shear modulus. In practice, in situ determination of shear wave velocity on land has been used as the best approximation to the actual values for laboratory tests on samples (Richart, 1975). The techniques for using these seismic methods and data acquisition techniques to determine shear wave velocity for land-based applications have been well developed. The problem in the marine environment has been to develop methods to determine in situ shear wave velocity measurements both at the seabed surface and at known depths in the sediment column, which can be determined in a cost-effective manner. 

Estimated costs are listed in Table XIII. Liao, T, Giannoti, J. G., van Mater, P.R., and Lindman,R. A. (1986). Feasibility and design studies for OTEC plants along the coast of Taiwan, Republic of China, Proc. International Offshore Mechanics and Arctic Engineering. Symp. 2,618. 

Citigroup has estimated that the cost of installing one megawatt of offshore wind is about 3.5 million, which is roughly five times the cost of building a gas-fired power station with the same capacity. These projections can only boost the utilisation of polymer/fibre composites in the future. 

Rademakers, L.W.M.M., Braam, H., Obdam, T.S., 2008a. Estimating Costs Of Operation Maintenance For Offshore Wind Farms. Presented at the EWEC 2008, ECN Wind Energy, Brussels, Belgium, p. 10. 

A number of attempts to a more systematic and consistent approach to quantitative occupational risk assessment have appeared in the hterature. A model has been developed to predict the frequency of occupational accidents in offshore oil and gas industry, based on direct, corporate and external factors, as proposed by Attwood et al. (2006). Quantified risk for various occupational groups in Sweden based on the number of accidents and relevant exposure has been calculated by Larsson and Forsblom (2005). A method has been proposed by Ivan et al. (2010) for risk assessment of several trades in the construction industry, based on estimating the overall frequency and severity from historical data of accidents in Hong Kong and their consequences regarding injuries, days lost and compensation cost. Fuzzy methods have been... 

Estimation of RISKEX which included costs of failed components, rental fee of an offshore crane vessel, and production loss during repairtime was also taken into account for LCCA, using the safety philosophy of the PGS. 

A methodology for the determination of design load was taken into account. The PGS was considered and Busan New Port was selected as a target site for the case study. Gumbel distribution was employed to estimate extreme environmental conditions and ANSYS AWQA was used to calculate extreme environmental loads. Nine return periods (30, 50, 100, 300, 500, 1 000, 3 000, 5 000 and 10 000 years) of extreme environmental loads were considered for the PGS structure design. For LCCA, CAPEX was estimated based on material costs and RISKEX, while the costs of failed components, the rental fee of an offshore crane vessel, and production loss were also taken into account. 

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