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Estimating total capital cost

Estimating total capital cost - To obtain bare total module...

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Tuesday, February 17, 2009 Estimating total capital cost (16.4) 1) Order of magnitude estimate a. Based on bench scale lab data b. Crude estimate 2) Study estimate a. Based on preliminary design (e.g HYSYS flowsheet) 3) Preliminary estimate a. Detailed process design studies leading to optimization process design 4) Definitive estimate: detailed design (drawings, cost estimate of each equipment, etc) Order of magnitude estimate -Compare feasibility of different production routes -Accuracy: I 50% 1) Compute production rate factor F PR = ( (Main production flow rate, lbs/yr)/(10 million)) 0.6 2) Module cost for each major piece of equipment C M = F PR F M x $130000 F M : Material factor e.g. carbon steel: 1.0 copper : 1.2 stainless steel: 2.0 3) Sum equipment costs and multiply by F PI (piping, automatic controls etc)
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Unformatted text preview: To obtain bare total module cost C TBM C TBM = F PI (Marshall and Swift cost Index / 1103 i.e MS index in 2000) F PI : Solids handling = 1.85 Fluids handling = 2.00 4) Include factors for site preparation 1 Tuesday, February 17, 2009 C DPI = (1+F 1 +F 2 )C TBM F 1 : Indoor construction 0.80 Outdoor 0.15 F 2 : Minor add on to existing process: 0.1 F 2 : New process 0.8 C TDI = Direct permanent investment 5) Total permanent investment a. C TPI = 1.50 C DPI i. (40% contingency) ii. (10% start-up) b. C TCI = 1.15 C TPI i. (15% working capital) Roots of equations (Chapter 2) Bisection Method (5.2)-Notes: this method is reliable Convergence is slow Only works for one-dimensional problem 2...
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