COST BENCHMARK VALUES OF NEW CHEMICAL / PROCESS FACILITY:

Typical Cost Breakdown of a new Chemical / Process related Facility (constructed in an existing production / manufacturing facility with some available utilities – that may need some upgrading): This data is based on more than 30 EPC projects valued between $5 million & $150 million constructed in the last 5 years.

Note: These values are appropriate to Inside Battery Limits (ISBL work) – Outside Battery Limits (OSBL scope / work) is not included in the following percentages.

?CATEGORY % VALUE & TYPICAL - LOW - HIGH % RANGE:

• ?Major Equipment - Pumps, Towers, H.E,'s, Reactors etc. (includes freight). 23.5% (18% - 28%)
• Materials (Bulks - Stone, Concrete, Rebar, Formwork, Structural Steel, Piping, Cable etc. / Engineered Bulks - Instrumentation ). 21.3% (16% - 26%)
• Direct Field Labor Costs – including specialist sub-contractors. 24.3% (19% - 29%)
• Field Construction In-directs / General Conditions / Site Establishment / Construction Equipment / Scaffolding / Support Labor / Small Tools & Consumables. 11.4% (8%- 14%)
• Detailed Design / HO support Procurement & Project Controls / Project Management. 12.8% (10% - 15%)
• Construction Management / Field Project Controls / Expediting / Safety. 6.7% (5.5% - 8.5%)

?TOTAL 100 %

To develop a budget value for the Offsite Battery Limit (OSBL). Compass International advises the reader review the scope of the offsite work, if significant new power, steam, waste water treatment facilities, lengthy pipe tracks, tank farms & loading facilities such as truck, rail, barge or jetties are required to support the new (ISBL) facility then this values could be 20% to 50% of the (ISBL) value.

?If the (OSBL) scope is minimal then 5% to 10% of the (ISBL) value may be appropriate.

If you have any questions on the above article or construction costs, future inflation or productivity contact John G. McConville CCP – Operations Directors – Compass International. Feel free to contact me +1 (609) 577 4505 or email [email protected]

For additional data on the Labor, Materials & EPC costs & % breakdowns go to our Front End Conceptual Estimating Yearbook, to order our database click on the following link. www.compassinternational.net/books/