Digitalization of Decommissioning Cost Estimation Process for Upstream Assets

2021 ◽  
Author(s):  
M. B. C. Lah
Keyword(s):  
Decision Making ◽  
Cost Estimation ◽  
Cost Effective ◽  
Lessons Learned ◽  
Process Efficiency ◽  
Cost Estimating ◽  
Work Processes ◽  
Floating Structure ◽  
Cost Estimates ◽  
Estimation Process

The paper provides an insight on how has addressed PETRONAS has addressed its pain points on limited resources, simplified work processes with reliable auditable tool for decision making through digitalization. PETRONAS is currently performing its annual budgetary assessment for all Malaysia assets which consist of more than 300 platforms with close to 600 pipelines and other assets eg. terminals, subsea systems & floating structure. With limited timeline and resources to establish decommissioning cost, the consistency and quality is vital for estimating work to improvise process efficiency and cost effective via digitalization. The process improvement requirements are pooled and possible digitalization takeovers are studied in detail via stakeholder engagements, technical workshops and lessons learned analysis. The method is solely based on digitalization of bottoms-up cost estimation process which has been embedded in a single tool to fix and standardize all technical and commercial basis. The tool has been developed with taking into all technical and commercial aspects in decommissioning offshore assets. Twelve base options which include reefing options, cutting methodologies, cost sharing execution strategies have been embedded in the tool. Based on the digital approach, it has been proven that cost estimation process duration has been optimized up to 60% for all Class V- and Class IV decommissioning cost estimates which is equivalent to 3,600 manhours for 1000 facilities. Furthermore, consistency in cost estimation approach and robustness in developing cost estimates for multiple options for decision making has been guaranteed with the centralization cost estimating approach via digital platform. Centralized digital depository of the technical inputs, basis and assumptions are also crucial to ensure this essential data could be retrieved in the future as most decommissioning projects would only be executed during the tail end of a facility’s production life.

Il costo dell'Alta Velocitŕ ferroviaria in Italia

2009 ◽  
pp. 203-251
Author(s):  
Claudio Virno
Keyword(s):  
Risk Assessment ◽  
Conceptual Design ◽  
Cost Estimation ◽  
High Speed ◽  
Cost Effective ◽  
Lessons Learned ◽  
High Speed Rail ◽  
Cost Overruns ◽  
Front End ◽  
Complex Projects

- Cost overruns are common in large and complex projects, especially in high speed rail ones. Budgeting for cost escalation is a major issue in the planning phase of these projects. This paper describes lessons learned on high speed rail in Italy and focuses on problems such as initial poor design, tactical budgeting, inadequate cost estimation and risk assessment, etc. The paper discusses possible means to avoid major flaws in the initial conceptual design of mega-projects. There is a growing understanding of the need to focus on the front-end phase in order to achieve more successful and cost-effective projects.

scholarly journals A Computer-Aided Conceptual Cost Estimating System for Pre-Stressed Concrete Road Bridges

2016 ◽  
pp. 563-575
Author(s):  
Nikolaos Fragkakis ◽  
Sergios Lambropoulos ◽  
John-Paris Pantouvakis
Keyword(s):  
Decision Making ◽  
Statistical Analysis ◽  
Cost Estimating ◽  
Cost Estimates ◽  
Long Span Bridges ◽  
Construction Methods ◽  
Long Span ◽  
Computer Aided ◽  
Short Time ◽  
Decision Making Tool

The need for an environmentally friendly design of modern motorways increases the construction of bridges, which has exhibited substantial overruns above estimated costs. Therefore, easy to use, inexpensive and accurate methods for conceptual cost estimating are needed. This paper presents a computer-aided cost estimating system for pre-stressed concrete road bridges that provides estimates of the material quantities and cost of all bridge elements. It relies on a database incorporating actual data collected from recently constructed bridges and exploits material estimating models developed with statistical analysis. Different configurations are devised from short to long-span bridges, accounting for the major deck construction methods and foundation systems. The system can be easily used to provide different cost estimates to the owner, designer and contractor during the project's early stages. By allowing reliable cost estimates in a short time, the proposed computer-aided system represents a useful decision making tool.

Cost estimates in designing objects at the modern stage of civil shipbuilding development in Russia: Problems and prospects

2021 ◽  
Vol 27 (10) ◽  
pp. 2314-2327
Author(s):  
Vasilii S. DOSIKOV ◽  
Viktor A. KALMYKOV
Keyword(s):  
Cost Estimation ◽  
Information Technologies ◽  
Present Stage ◽  
Cost Estimating ◽  
Cost Estimates ◽  
Scientific Methods ◽  
General Scientific ◽  
The Cost ◽  
Cost Of Construction

Subject. The article addresses cost estimation of designed facilities construction in domestic civil shipbuilding. Objectives. The purpose is to consider the key problems and contradictions in the cost estimating process in this area. Methods. In the study, I apply general scientific methods. Results. The paper presents the analysis of major problems and contradictions in estimating the cost of construction of designed objects of domestic civil shipbuilding at the present stage of its development. I formulate my proposals for improving the system of industry pricing. Conclusions. The paper underpins the need to modernize industry pricing through the introduction of advanced information technologies.

Development of Computer Program for Estimating Decommissioning Cost

2011 ◽  
Author(s):  
Hak-Soo Kim ◽  
Jong-Kil Park
Keyword(s):  
Computer Program ◽  
Cost Estimation ◽  
Nuclear Power ◽  
Power Plants ◽  
Waste Treatment ◽  
Assessment Tool ◽  
Unit Cost ◽  
Cost Effective ◽  
Cost Estimating ◽  
Plant Area

The programs for estimating the decommissioning cost have been developed for many different purposes and applications. The estimation of decommissioning cost is required a large amount of data such as unit cost factors, plant area and its inventory, waste treatment, etc. These make it difficult to use manual calculation or typical spreadsheet software such as Microsoft Excel. The cost estimation for eventual decommissioning of nuclear power plants is a prerequisite for safe, timely and cost-effective decommissioning. To estimate the decommissioning cost more accurately and systematically, KHNP, Korea Hydro and Nuclear Power Co. Ltd, developed a decommissioning cost estimating computer program called “DeCAT-Pro”, which is Decommissioning Cost Assessment Tool – Professional. (Hereinafter called “DeCAT”) This program allows users to easily assess the decommissioning cost with various decommissioning options. Also, this program provides detailed reporting for decommissioning funding requirements as well as providing detail project schedules, cash-flow, staffing plan and levels, and waste volumes by waste classifications and types. KHNP is planning to implement functions for estimating the plant inventory using 3-D technology and for classifying the conditions of radwaste disposal and transportation automatically.

Information Requirements for Cost Estimating in the Automotive Industry

2003 ◽  
Author(s):  
Rajkumar Roy ◽  
Petros Souchoroukov ◽  
Harri S. Koponen
Keyword(s):  
Automotive Industry ◽  
Cost Estimation ◽  
Sources Of Information ◽  
Cost Estimating ◽  
Cost Information ◽  
Information Requirements ◽  
Cost Estimates ◽  
Market Competitiveness ◽  
The Cost ◽  
Product Costs

The automotive companies operate in a very competitive market. Competitiveness requires controlling product costs, and cost estimation is an important activity for this. Cost estimation requires quality information but the conducted research found several issues that hinder this activity, namely a lack of resources and information acquiring and validation difficulties. Data and Information requirements are a major issue in cost estimating. Research in cost estimating mainly focus on improving techniques and methodologies. There is a need to investigate the data and information requirements and corresponding sources of information for cost estimating. These issues have led to the extensive use of expert judgement. Experienced cost estimators use a variety of information resources and cost elements to create a cost estimate, and this causes communication issues. Better information is needed for both creating sound cost estimates and increasing understanding of these created cost estimates. This paper proposes a novel idea, an information infrastructure for automotive cost estimation to address the issue. The constructed Infrastructure provides relevant cost information needed to develop sound and robust cost estimates using a webportal design. It defines in depth the necessary cost information, explains why it is used and gives details where to find it and how to validate it. The research increases understanding of the cost estimation information requirements for the automotive industry.

scholarly journals Evaluation of Cost Estimation Techniques in Drc Valuation: A Comparative Assessment of Valuers and Quantity Surveyors in Lagos State

2018 ◽  
Vol 6 (1) ◽  
pp. 175-192
Author(s):  
Vincent Uwaifiokun Aihie ◽  
Matthew Ikuabe
Keyword(s):  
Cost Estimation ◽  
Current Knowledge ◽  
Research Work ◽  
Cost Estimating ◽  
Cost Estimates ◽  
Tertiary Institutions ◽  
Estimation Techniques ◽  
Secondary Sources ◽  
Valuation Process ◽  
The Cost

Abstract The aim of the research is to comparatively assess the knowledge and competency levels among valuers and quantity surveyors of cost estimation techniques used in DRC valuation. The study investigates the need for estate surveyors and valuers in Nigeria to improve their current knowledge of cost estimation techniques when valuing non-rent yielding and specialized properties using the DRC method of valuation. More importantly, it evaluates the need for valuers to engage in the services of quantity surveyors in order to ensure that accurate cost estimates are provided for use in the valuation process. The research methodology adopted in actualizing the aim of the present study made use of primary and secondary sources of data, which included texts, published research work and semi-structured questionnaire. Identical questionnaire was distributed to both valuers and quantity surveyors in Lagos and their responses were measured using statistical tables and simple percentages. A proficiency scale of the National Institute of Health was adopted to test the level of competence of cost estimation techniques amongst valuers and quantity surveyors and their responses were ranked. Furthermore, a two-sample t-test was used to compare the means of random samples drawn from the responses of these two populations. The findings showed that there was a lack of awareness more on the part of valuers than quantity surveyors when it came to the knowledge and use of current cost estimating methods when valuing properties using the DRC method of valuation. These findings also gave credence to the fact that the services of quantity surveyors most times were not commissioned when these cost estimates were to be determined for valuation, hence leading to properties being undervalued or overvalued. In a nutshell, the recommendations postulated dwelt on improving the cost estimating knowledge of estate surveyors and valuers through seminars, symposiums and workshops organised by NIESV and NIQS, awareness of the need for valuers to work with quantity surveyors to perfect valuation briefs involving the use of the DRC method and slight changes made to the curriculum of the study course “Estate Management” in tertiary institutions so as to accommodate taking courses in quantity surveying.

A Computer-Aided Conceptual Cost Estimating System for Pre-Stressed Concrete Road Bridges

2014 ◽  
Vol 5 (1) ◽  
pp. 1-13 ◽  
Author(s):  
Nikolaos Fragkakis ◽  
Sergios Lambropoulos ◽  
John-Paris Pantouvakis
Keyword(s):  
Decision Making ◽  
Statistical Analysis ◽  
Cost Estimating ◽  
Cost Estimates ◽  
Long Span Bridges ◽  
Construction Methods ◽  
Long Span ◽  
Computer Aided ◽  
Short Time ◽  
Decision Making Tool

The need for an environmentally friendly design of modern motorways increases the construction of bridges, which has exhibited substantial overruns above estimated costs. Therefore, easy to use, inexpensive and accurate methods for conceptual cost estimating are needed. This paper presents a computer-aided cost estimating system for pre-stressed concrete road bridges that provides estimates of the material quantities and cost of all bridge elements. It relies on a database incorporating actual data collected from recently constructed bridges and exploits material estimating models developed with statistical analysis. Different configurations are devised from short to long-span bridges, accounting for the major deck construction methods and foundation systems. The system can be easily used to provide different cost estimates to the owner, designer and contractor during the project's early stages. By allowing reliable cost estimates in a short time, the proposed computer-aided system represents a useful decision making tool.

Early-stage cost estimation model for power generation project with limited historical data

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jin Gang Lee ◽  
Hyun-Soo Lee ◽  
Moonseo Park ◽  
JoonOh Seo
Keyword(s):  
Factor Analysis ◽  
Cost Estimation ◽  
Construction Projects ◽  
Project Planning ◽  
Data Availability ◽  
Ensemble Modeling ◽  
Cost Estimating ◽  
Cost Estimates ◽  
Content Type ◽  
Project Data

PurposeReliable conceptual cost estimation of large-scale construction projects is critical for successful project planning and execution. For addressing the limited data availability in conceptual cost estimation, this study proposes an enhanced ANN-based cost estimating model that incorporates artificial neural networks, ensemble modeling and a factor analysis approach.Design/methodology/approachIn the ANN-based conceptual cost estimating model, the ensemble modeling component enhances training, and thus, improves its predictive accuracy and stability when project data quantity is low; and the factor analysis component finds the optimal input for an estimating model, rendering explanations of project data more descriptive.FindingsOn the basis of the results of experiments, it can be concluded that ensemble modeling and FAMD (Factor Analysis of Mixed Data) are both conjointly capable of improving the accuracy of conceptual cost estimates. The ANN model version combining bootstrap aggregation and FAMD improved estimation accuracy and reliability despite these very low project sample sizes.Research limitations/implicationsThe generalizability of the findings is hard to justify since it is difficult to collect cost data of construction projects comprehensively. But this difficulty means that our proposed approaches and findings can provide more accurate and stable conceptual cost forecasting in the early stages of project development.Originality/valueFrom the perspective of this research, previous uses of past-project data can be deemed to have underutilized that information, and this study has highlighted that — even when limited in quantity — past-project data can and should be utilized effectively in the generation of conceptual cost estimates.

scholarly journals Deterministic and Probabilistic Engineering Cost Estimating Approaches for Complex Urban Drainage Infrastructure Capital Improvement (CIP) Programs

2018 ◽  
Author(s):  
Thewodros K. Geberemariam
Keyword(s):  
Cost Estimation ◽  
Estimation Methods ◽  
Design Stage ◽  
Cost Estimating ◽  
Project Cost ◽  
Cost Estimates ◽  
Contract Negotiations ◽  
Potential Risks ◽  
Good Resource ◽  
Engineering Cost

Accurate and reliable project cost estimates are fundamental to achieve successful municipal capital improvement (CIP) programs. Engineering cost estimates typically represent critical information for key decision makers to authorize and efficiently allocate the necessary funds for construction, budgeting, to generate a request for proposals, contract negotiations, scheduling, etc. for these reasons, cost estimators are using different estimating methods and approaches that allow for required levels of accuracy. As the project’s scope becomes more detailed and the potential risks are identified and/or the project design stage progresses these cost estimates are revised and updated. In this paper, the most common project cost estimation methods and approaches were collected and categorized into two main groups of (1) probabilistic and (2) deterministic methods. Under these groups overall ten different methods were identified and discussed addressing their requirements, advantages, and shortcomings, including the potential risk that can positively or negatively affect the project’s cost outcome. This paper will be a good resource for professionals who are in budget development and/or are seeking to a better understanding of different methods in determining an appropriate base cost margin and produce a meaningful and reliable project cost estimate.

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