class 13 - Class 13 Estimating Total Capital Investment...

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Estimating Total Capital Investment (C TCI ) Class 13
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Estimating Total Capital Investment (TCI) (or C FCI )
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C TCI (Chemical Plant) is a one-time expense for the design, construction, and start-up of a new plant or revamp of an existing plant Total Capital Investment Analogous to the purchase price of a new house - land, building permit fees, excavation of land, improvements of land to provide utilities construction drawings, construction of the house, landscaping, and contractor’s fee
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The Total Capital Investment (TCI) is the same as the Fixed Capital Investment (FCI)? True False
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Estimating Total Capital Investment (TCI) (or C FCI ) Bare Module Costs
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Bare Module Cost Modules: pumps, heat exchangers, compressors, vessels, distillation columns, reactors, etc. Modules include a piece of process equipment or machinery that is installed and connected to other modules - Direct Costs - Indirect Costs
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Direct Bare Module Costs - purchase price of equipment - piping to and from other modules - concrete (or other) foundation - ladders/other steel supporting structure - instrumentation/controllers - lighting - electrical wiring - insulation - paint - direct labor to install C P or C PE C M C L
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Indirect Bare Module Costs, C IE - freight, insurance, taxes - construction overhead (fringe benefits of workers, burden – i.e. SS tax & unemployment insurance – and salaries, fringe benefits, & burden for mgmt; temporary buildings, roads, parking areas, rented machinery, job site cleanup, security costs, etc.) - contractor engineering expenses (salaries for process/project engineers, etc.) C BM = F BM (C PE ) Bare module cost Bare module factor Purchased equipment cost C FIT C O C E
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This note was uploaded on 11/14/2011 for the course CHEN 4520 taught by Professor Wiemer during the Fall '11 term at Colorado.

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class 13 - Class 13 Estimating Total Capital Investment...

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