Other associated costs (site development, offsites, etc.) are not considered since they are common facilities for all configurations. The owner’s costs include startup and commissioning, initial charge of catalyst and chemicals, spare parts inventory, general and administrative (G & A) overheads, contingencies, etc. The EPC contractor’s cost includes all costs involved in preparation of basic (for open art units such as CDU, SGP, SWS, ARU) front-end and detailed engineering, procurement and construction of the facility. The total project cost (TIC) includes both direct and indirect costs: the direct cost includes process equipment, associated bulk and installation labor costs and the indirect cost items are installation equipment rental, EPC contractor’s cost, licensors’ fees and royalties, owner’s cost, taxes, etc.
The cost estimates of all options are developed with an accuracy level of +/– 30% (Class 3 estimate) using a proprietary software tool a with inputs from various engineering departments. The technical data (product yield, utility requirement, ISBL investment cost, etc.) for various open art process units are developed in-house, and those for licensed units are taken from licensor’s information, as well as an in-house data bank. These cases are considered as grassroots investment.