A major oil and gas owner-operator
Project / Facility
Multi-site design-one, buildmMany upstream greenfield facility
A client embarking on a long-term asset development program wanted to implement a design-one, build-many approach and sought advice early in the planning phases on how a digital execution approach could reduce the cost of the project.
The client had aggressive cost targets relative to similar projects in the region. The challenge to the project team was to make the project economically viable in a down market by producing a design that could be constructed for 30% less than the previous best-in-class facilities in operation.
After reviewing multiple options, the team decided the solution was to implement an owner-controlled A web-based application that allows users to organize, validate and collaborate on asset data and documents regardless of their source and location.... Read more (hub) from the start of the project. The hub included an integrated suite of engineering and design applications with a data portal to facilitate sharing of data among various applications. All contractors were required to perform their work within the owner’s hub.
The results through the concept phase and front-end engineering design (FEED) have been very positive with the project achieving a 15% cost savings and even more savings are expected during detailed engineering. These cost savings were the result of:
- Improved collaboration and transparency for all project participants
- Time saved by all project participants being able to quickly and easily find accurate information
- Non-technical staff being able to access technical information and track progress directly without relying on and consuming the time of technical resources
- Integration of P&IDs with the line list, instrument index and 3D model
- 3D Model integration with plot plan and stress analysis
- Greater detail and 3D model integration with SLD and cable schedule for improved cost certainty (electrical discipline)
- 50% reduction in duration to produce Class 3 Estimate
- Class 3 Estimate: electrical and instrumentation quantities taken straight from design tools
- Class 3 Estimate: improved accuracy and reliability and the ability to reproduce it from the engineering databases easily
It is a common misconception that a digital execution approach is too rigorous and slow for use in the early engineering phases. However, our experience indicates that a well-planned digital execution strategy can reduce costs by up to 15% and produce better results in the early engineering phases, and sets up the project for even greater results in the latter project phases.